News

Brazil for Australia

Release Date

13 April 2011

For many Australians, making business with Brazil might seem like a real challenge. Not only the two countries speak different languages but they are situated miles away from each other. However, keeping logistical obstacles apart, there are several opportunities that lie ahead of Australian companies in the Brazilian market.

In recent years, the world has been taking a bigger glance at Brazil. Being part of the BRIC countries (group of emerging economies composed by Brazil, Russia, India and China), Brazil is in the select bunch that, according to Goldman Sachs, will become the world's most dominant economic grouping by 2030.

Despite the attractiveness of the remaining countries in the group, Brazil draws attention for a series of reasons. It is not only the world’s biggest exporter and/or producer of sugar, coffee, orange juice, ethanol, iron ore, soya beans, chicken and beef, but it was recently rated the 3rd most attractive investment destination by the United Nations Conference on Trade and Development (UNCTAD). Moreover, Brazil maintains good relations with its neighbouring countries, having no borders issues like India. Its stable democratic government, now under the management of Dilma Rousseff, has demonstrated to be a lot more cooperative than authoritarian regimes like China. In addition, due to its diverse economy, Brazil is less vulnerable to commodity prices fluctuations that affect Russia.

Endless opportunities

Many opportunities could come to Australian businesses with the approach of Brazil’s 2014 FIFA World Cup and the 2016 Olympic Games. As we all know, hosting events of this magnitude involves a lot more than merely building stadiums. Brazil will need support in providing a vast range of services. Potential areas range from master planning and project management to games facilities, catering, cleaning and waste management. An unprecedented number of tourists will be visiting Brazil creating many opportunities in several sectors, including transport and accommodation. Since Australians have great expertise in running large events, especially after the renowned 2000 Sydney Olympic Games, there is a lot Brazilians could learn from the Aussies.

Looking away from the major sporting events, a long-term outlook provides opportunities in the energy sector. The Brazilian Government has allocated just over US$5 billion for energy infrastructure to be spent until 2015. Besides, Brazil is now the sixth biggest investor in renewable energy in the world and with the 2014 FIFA World Cup being labelled as the “green” cup, many opportunities could take place. Nonetheless, the Brazilian wine industry has been gaining international recognition in the past years. Since 2002 the country has started exporting its produce around the world but it is still an industry that needs development. With a well established reputation worldwide, Brazilian producers could learn a lot from Australian companies.

Contact Australian Business Consulting and Solutions for the best Brazilian market knowledge and business contacts that will help you do business overseas faster and more easily than on your own.

If you aspire to conquer the world – or a little piece of it – Australian Business Consulting and Solutions can help you.

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