Business Opportunities in Brazil
The following are some of the key sectors of opportunity in the Brazilian market, although there are also many other niche opportunities. Handel Export specialises in accelerating global business development. If you would like to discuss potential opportunities for your business in Brazil, you can either call us on +44 (0)28 9092 3378, or drop us an email with your contact details and we will call you back: info(at)handelexport.com
RAILWAYS SECTOR
The budget for the Rail Industry in Brazil will be approx. £30 billion over the next 5 years and will be spent on the following projects:
- High Speed Rail Line
- Monorail systems projects
- Light Rail Vehicles
- Expanding metro lines
There will be major investments in the rail/metro transport systems due to the FIFA World Cup 2014 and the Rio 2016 Summer Olympic Games.
Opportunities include:
- Rail construction
- IT
- Specialist Consultancy services
- Specialist equipment supply
- Legal & Financial services
- Environmental consultancy services
CONSUMER GOODS
Brazil has a large affluent middle class who have developed high standards for quality and value for money.
Opportunities include:
- Textile & Clothing – Brazil is the world’s 2nd biggest manufacturer of denim and the world’s 6th largest textile manufacturer according to the Brazil Textile Association.
- Cosmetics – Brazil is the 3rd largest beauty market in the world
- Giftware
- Luxury market
PORTS
The Brazilian Port System is made up of 37 ports. The Federal Special Ports Secretariat is in charge of 34 coastal public ports, 18 managed by State or municipal governments and 16 in 7 States by public owned Companhia Docas and 3 private concessions.
The majority of Brazilian exports are carried via sea. The Brazilian government predicts that exports will increase 50% by 2016, this demands the importance to have world-class ports and services.
Within the next 4 years The Brazilian Federal Growth Acceleration Programme (PAC) will finance infrastructure projects in areas such as: transport, energy, water treatment and sanitation and housing.
Opportunities include:
- Civil works & engineering services
- Supply of equipment
- Insurance
- Equity investments
- Debt underwriting
- Environment services
- Security monitoring equipment
- Legal services
- Toll-booth
SECURITY & SAFETY
In preparation for the FIFA World Cup and Olympic Games approximately $1.4 billion will be invested in the security sector.
Opportunities include:
- Access control
- Closed circuit televisions
- Alarm systems
- Surveillance technology
LIFE SCIENCES
Brazil has the largest healthcare market in Latin America.
Opportunities include:
Medical Devices
Brazil has the largest medical device market in Latin America.
Opportunities include:
- Monitoring and curing procedures with short recovery time
- Devices offering minimal invasive treatment and low cost diagnosis
Pharmaceutical
Brazil is one of the key destinations for international investors. Investments will be made in the following areas:
- Acquisitions
- Expansion of existing plans
- R&D for potential new products
Biotechnology
The Brazilian President Luiz Inácio Lula da Silva introduced the National Biotech Industry Development Policy in 2007. The main objective if this policy was to transform Brazil into one of the top five major worldwide biotechnology business hubs by 2015.
Beauty Products
Brazil is the 3rd largest Beauty market in the world.
Opportunities include:
- Manufacturers of beauty products
- Hygiene products
AUTOMOTIVE
Brazil is the 5th leading manufacturer of vehicles in the world.
Opportunities include:
Automotive
- Low carbon technologies
- Lightweight components and advanced materials
- Engineering services in particular software and consultancy
Construction
Equipment used in:
- Oil & Gas
- Mining industries
- Heavy Construction
Motorsport
Accessories including:
- Seat belts
- Seats
- Green technologies
- Fuels
- Fire extinguisher
- Electronic instrumentation
EDUCATION
One of the key aims of the Brazilian Government is to improve the education sector. They realise it is essential to develop and transform its vocational education system.
Key opportunities include:
- Supply of ICT Equipment
- Distance Learning
- Special Needs Education
- Training programmes throughout various sectors including healthcare, financial, retail and many more
- MBA’s (Business related)
SPORTS & INFRASTRUCTURE
Brazil will host the FIFA World Cup in 2014 and the Olympic Games in 2016 both of which will greatly benefit Brazil’s infrastructure. There will be high levels of investment throughout the country which will provide opportunities in the following sectors
- Airports
- Roads
- Railways
- Telecommunications
- Hotels
- Stadiums
FOOD & DRINK
The Brazilian Food Ingredients Association reported that the Brazilian Food and Drink sector reached a turnover of US$153 billion in 2009. Brazil is the world’s leading exporter of chicken, beef, coffee, soybeans and sugar. There is a real necessity to improve manufacturing methods and to expand in up-and-coming areas.
Opportunities to supply the following products:
- Low fat products
- Organic
- Fruit Juices
- Ingredients
AEROSPACE
The Brazilian Aerospace industry is the biggest in the Southern Hemisphere. The sector is controlled by Embraer which is ranked in the top 4 of the world’s principal civil and military aeroplane manufacturers.
Due to the vast size of the country, air transportation is a vital link in Brazil’s infrastructure and with Brazil hosting the FIFA World Cup 2014 major expansion is required.
Opportunities include:
- Air Traffic control systems
- Offshore helicopters
- Parts and components for helicopters
- Avionics and systems
- Turbojet aircraft engines
- Aircraft control systems
- Aircraft propeller parts
- Aircraft accessories
- Baggage X-rays
- Radar systems
- Baggage handling equipment
TELECOMMUNICATIONS
Brazil has the largest Telecommunication market in Latin America. Companies such as Motorola, Cisco, Nortel and Nokia have manufacturing facilities in Brazil.
Opportunities include:
- Broadband internet infrastructure
- Application software
- Wireless communication networks
- 3-G Network maintenance
- IP Telephones
- IPTV Software
CONSTRUCTION
The Brazilian Government have announced a new Growth Acceleration programme which will provide £580bn for infrastructure and public projects.
With the 2014 FIFA World Cup and 2016 Olympic Games taking place in Brazil there will be a wide range of opportunities in the Construction sector.
Key areas of opportunity include:
- Housing
- Retail
- Hotel
- Industrial
- Roads
- Green Building
MINING
Brazil is ranked 5th in the world for producing minerals and is reported to be one of the world’s biggest markets in mining equipment.
Several large multinational companies have manufacturing facilities in Brazil including: Volvo, Caterpillar, Case, Cummins etc.
Opportunities to supply parts and components:
- Crushers and grinding equipment
- Earth-moving equipment
- Drill bits
ENVIRONMENT & WATER
Brazil has the most resources in the world of tropical forest, biodiversity and flows of fresh water. Brazilian companies understand the need to develop the management of their social and environmental effects.
Opportunities include:
- Water & Wastewater treatment
- Waste Management technologies
- Recycling
- Hazardous Waste
- Construction Waste
- Air Pollution Control
- Climate Development Mechanism
- Renewable Energy
POWER SECTOR
Brazil has the biggest electricity market in South America, it has more than twice the combined consumption of Argentina, Bolivia, Chile and Uruguay.
One of the key focuses of the Brazilian Government is to boost energy security and to invest in the following areas:
- Wind
- Biomass
- Renewable Energy Sources
Opportunities include:
- Renewables
- Generation
- Nuclear
- Transmission & Distribution
OIL & GAS
Brazil has the 2nd biggest oil reserves in Latin America and became a net oil producer in 2009.
Petrobras is state run and is the leading company in Brazil. Other companies present in the market include Shell, BG, BP, Chevron, Statoil and Exxon.
The Strategic plan for Petrobas for 2009-2013 will see US$174.4 billion invested in the oil and gas sector.
Opportunities include:
- Offshore support services
- Maintenance of production facilities (onshore & offshore)
- Production platforms
- Refineries
- Corrosion control
- Pumps and pipeline products
- Drilling equipment
- Components and tools
- Drilling
- Exploration
- Airborne seismic surveys
- Engineering and environmental services
- Software for drilling, oil platform management and geophysics
