Brazil: Anti-viral medication factory with Brazilian technology to start operating in 2009

14 October 2008

Maputo, Mozambique, 14 Oct – The installation of an anti-viral medication factory in Mozambique, which is expected to begin operating in 2009, will be one of the issues on the agenda of a visit by Brazil’s President to Maputo, on Thursday and Friday.

According to a spokesperson from the Brazilian embassy in Maputo, the two-day visit by Luiz Inácio Lula da Silva will also serve to sign economic cooperation agreements.

With an initial investment of US$4 million from the Brazilian government and a total cost of US$12 million, the factory is due to start operating in 2009, and initially produce three types of medication for domestic consumption (it is estimated that 19 percent of Mozambique’s 20 million population are carriers of HIV/AIDS).

Tranferring technology may take up to five years and will include training of professionals in Mozambique – the Mozambican technicians will be trained up by the Farmanguinhos laboratory of the Oswaldo Cruz Foundation (Fiocruz), which is being set up in Mozambique.

Lula da Silva will officially open the Fiocruz offices, which will focus on health programmes, at the Centre for Brazilian Studies (CEB) and announce the project for construction of a new building for the institution.

Since last year Brazil has been increasing its business presence in Mozambique.

In June 2007, Companhia do Vale do Rio Doce (CVRD) signed a contract with the Mozambican government for coal mining rights for Moatize with estimated reserves of 2.5 billion tons, for 25 years.

In September Petrobras signed deals with the Mozambican authorities for investments in the areas of oil and biofuels in Mozambique.

In 2007, construction company Camargo Corrêa put forward a project for construction of the Mphanda Nkuma dam, located on the Zambezi river, in Tete province, an investment of 2.1 billion euros and have a production capacity of some 1,500 MW of electricity.

Empresa Brasileira de Pesquisa Agropecuária (Embrapa), na isntitution linked to the Brazilian Ministry of Agriculture, also plans to set up a technology transfer office in Maputo.

In 2007, Brazil was ninth on the list of main investors in Mozambique. (macauhub)