Brazil: Bolsonaro mulls shifting CADE to Economy Ministry

Brazil’s President-Elect, Jair Bolsonaro, has discussed with his transition team the possibility of transferring the Administrative Council of Economic Defense (CADE) from its current position within the Ministry of Justice to the Ministry of Economy, under future minister Paulo Guedes.

There is still no concrete decision on the subject, however the interests of the business sector in having this authority covered by a proposal that would unite government activities in Finance, Planning and Industry, and Foreign Trade have been raised. It is also necessary to evaluate the political impact that the move would have, which can be read as a strengthening of future Justice Minister Moro at the expense of Minister Guedes.

In the opinion of former CADE director Gesner de Oliveira, the world currently has worked with both models. In Germany, for example, the competition regulator is linked to the Ministry of Economy, while in the US, it is linked to the Justice Department. “The two possibilities are conceptually possible and defensible,” he said, although he added that, despite everything, the tradition in Brazil is to work with the Ministry of Justice and the change should not be a priority issue.