Petroleo Brasiliero (PBR, PETR4.BR), the Brazilian state company, yesterday expanded its distribution of natural gas taking up Gas Brasiliano Distribuidora SA in a $250 million deal. The state run company, the world’s second largest oil company also known as Petrobas, bought the Sao Paolo state natural gas supplier from Eni Spa, an Italian Oil and Gas company.
Burberry plans to expand its investments in new luxury markets in Latin America in a bid to strengthen its brand and a 23% increase in underlying profit in the year to march. The company’s chief executive said that it plans to optimize on the momentum of the brand and capitalize on its impressive and strong financial performance in the preliminary results for the full year ending March 2010.
Coomex, Brazil’s biggest electricity trader intends to develop a 90MW biomass-burning power plant estimated at US$185 million in Bahia. The project will encompass forest and elephant grass plantations estimated to cost $34.7 million and three 30MW generator turbines that sum to US$150 million. The company’s president announced that it had already gotten about 20,000 hectares land environmental permits all over the country, most of which will be degraded pastures.
The adoption of open source software for the education sector by the Brazilian government might have seemed like a great milestone but budget crunches have slowed down the implementation of the project in many institutions. The Brazilian government selected Userful, Positivo and ThinNetworks to supply about 324,000 virtualized desktops in each of the country’s municipalities.
Pernambuco is a Brazilian state located in the northeast of the country. According to last year’s statistics by the IBGE, the population of the state stood at about 8,745,000 residents with a population density of 89.6 inhabitants per square kilometer. The state has an urbanization rate of 76.8% and a population growth rate of 1.2%.
Five reasons to place Brazil high on your list of priorities for investment, business expansion and exports in the coming years:
Amazonas is located in the northwestern corner of Brazil and has a mixed race population of about 3,351,000 residents, as per a 2007 population report by the IBGE. Its population growth is pegged at 3.3% and the state’s urbanization at 2006 stood at 77.6%. Manaus, its capital city, has a developed industrial park with very good investments policies and a 1.6% share of the Brazilian economy.
As the biggest economy in Latin America and a major investment destination in the emerging economies, Brazil has a rapidly expanding technology and services industries. Brazil is the largest information and communication technology (ICT) market in Latin America with major trading partners such as Canada in this industry. In the year 2008, Canadian ICT exports to Brazil stood at 81.8 million Canadian dollars. Even though the sector was in decline after the hard hitting economic recession, Brazilian IT spending is expected to make a comeback this year as the economy recovers.
Porto Alegre is the 10th most populated metropolis in Brazil and the capital of the Brazilian state of Rio Grande do Sul. It is a significant political, economic and cultural center in the southern part of Brazil and the country’s fourth largest metropolitan area. It has a port that has been vital in handling of cargo from the area whose economy largely bases on the Agricultural and industrial sectors. In the Agricultural sector, production includes items such as plums, peaches, rice and cassava that are grown in the rural areas of the state on small farm holdings.
Belem is found in the southern part of Brazil, the capital city of Para state and the largest metropolitan city in the state with a population of 2.09 million. Even though most people know about the Amazon, little is known about Belem that marks the entry point for the Brazilian Amazon region and therefore has an important place in the country. The city of Belem is a significant Brazilian tourist destination and has as well earned a high reputation in the world economy with sectors such as rubber production.
Even though it is a controversial project, the hydroelectric dam to be built in the Amazon rain forest is expected top rack in returns of more than 10 percent. The dam to be constructed by Electrobas, Brazil's state -controlled power utility, together with other construction companies in the country won the tender for the construction of this 11,000 megawatt dam that is already controversial.
Natural gas is an emerging industrial sector in Brazil and the primary source of energy with the highest growth rates in the world energy matrix. Natural gas has been rated as an excellent option for use at the international level from its environmental friendly nature and to as an alternative source of energy. As a transition fuel, ranked between liquid oil based fuels and carbon free gas fuels such as hydrogen, it has become a constant feature of national discussion as an important feedstock for Brazil’s rapidly emerging economy.
Alagoas is one of the smallest states of North Eastern Brazil with an emerging and growing economy thanks to tourism and sugar cane production. The service sector industry is the largest GDP earner for the state at 55.8% closely followed by the industrial sector at 36.9%. The states GDP share of the Brazilian economy stood at 0.7% in 2004 but has since improved significantly. The Algoas economy has largely been Agricultural, mainly sugarcane plantations and tobacco farming that is done in the Arapiraca city.
Foreign direct investments have played an important role in Brazil’s economic development. FDI inflows into the country are mainly attracted by its big domestic market and the liberalized economy thanks to fair government policies. Most investments in Brazil have been made with a bias on the technological aspects of the economy. However, the service sector has attracted foreign investments too.
Porto Velho is the capital of Rondonia in Brazil. It is a center for trade, communications, transport, financial services, property investments, and the service and production industries. It has efficient highway network with an international Airport that connects it to other cities in Brazil. Porto Velho is a bubbling location for investments. The mining industry is an important sector of its economy. The availability of an abundant source of minerals has particularly been the driving force behind the mining investments. It leads world over in the trade of the mineral Cassiterite.
Foreign Direct Investments have played an essential role in the development of the Brazilian economy. Its large domestic market and favorable government policies have attracted investors. The Brazilian economy has emerged over the years as a strong third world economy partly due to government FDI policies that directed Brazil investments into industrialization, capital flows, technology and services. This has been helped by a liberal FDI regime that encourages foreign investments. The overall effect has been the creation of Jobs and rapid modernization.
The Brazilian stock exchange experienced a drop in the stocks trading on Friday due to investor wariness as a result of the fall in equities around the world. The Brazilian benchmark, Bovespa stock index decline drastically towards the negative to 62,195.60. That marked a 2% fall from the previous session. Global stocks fell as major currencies sharply declined as a result of investor worries over sovereign debt problems in some euro-zone nations; fearing that the Greek crisis might affect larger economies. This saw the Brazilian stocks decline rapidly.
Sao Paolo is Brazil’s business Hub in terms of foreign and domestic investments. Investments in properties in this city are acquired on a sustainable and consistent basis. For companies that wish to make a Brazil investment, Sao Paolo is a suitable location. It represents one of Brazil’s most important commercial cities. This city drives Brazil’s economy with its diverse investments. Major industries in Brazil can be found in Sao Paolo. The economy of this region survives on the thriving big industry and the other small sector industries that form the backbone of its investments.
The imminent Nordeste Invest 2010 is due to take place from 10-12 May 2010 in the city of Natal, capital of Rio Grande do Norte state in Brazil. In its fifth edition the leading annual real estate investment event will unite Brazilian and international investment companies and developers who want to form partnerships and negotiate business plans. This year’s event brings over 80 international conference speakers from England, Spain, Portugal, the United States and Dubai who will analyze Brazil’s economy and real estate investment opportunities in the region.