Brazil-Macau partnership will favor small and medium businessmen

11 August 2009

Sao Paulo, Brazil, 11 Aug – Small and medium Brazilian entrepreneurs will become the new focus of attention in the partnership between Brazil, Macau and the province of Guangdong, it was argued a the Conference of Economic, Trade and Services Cooperation between Guangdong, Macau and Brazil.

In the first business meeting jointly organized between Macau, Guangdong and Brazil, staged Monday in Sao Paulo, officials from Brazil and China also discussed the importance of expanding bilateral business and encouraging entrepreneurs to establish partnerships in the region.

“Macau can help support Brazilian firms and investors to enter the potential consumer market of Guangdong,” said Lee Peng Hong, chairman of the Institute for Promotion of Trade and Investment of Macau (IPIM).

Lee noted that Macau hosts offices of Brazilian trade associations like the Sao Paulo Trade Association and that small and medium Brazilian executives can receive advice. He also said his organization has a cooperation mechanism with export promotion agencies across the Portuguese-speaking world.

Guangdong’s deputy governor, Wan Qingliang, outlined the region’s selling points and said cooperation between Brazil and China should be deepened.

Many smaller firms need to receive advice to better understand the Chinese market, said Julio Airosa, executive director of the Association of Macau entrepreneurs of Brazil, an agency acting as an intermediary in negotiations between Brazilians, the Macau government and Chinese firms.

“Difficulties can arise from differences in culture of even geographical distance,” added Airosa, who said small companies want to invest more but lack the structure to do it.

“China, for example, consumes beef and poultry giblets, feet and skin of poultry, items that Brazilians sometimes don’t realize can be sold,” said Frederico Martins, the Brazil representative of the International Trade Association for Lusophone Markets (ACIML).

Smaller firms also need assistance on quality control and other important procedures to import of export from and to China, said Claudio Meirelles, based in Sao Paulo and CEO of Baumann, a company that supports Brazilian executives in inspection of imported containers. He believes that distances between counties mean it is difficult for importing firms to undertake this work and the Macau partnership and efforts to support these entrepreneurs, are, therefore, very important.

China is already the main destination for Brazilian exports. In the first six months of 2009 Brazilian sales to the Asian state were worth over US$ 11 billion. This trade is, however, highly concentrated with 20 products, including iron ore, soy beans and oil derivatives, accounting for 91% of Brazilian exports.

The fresh efforts of Macau, Guangdong and Brazil are intended to strengthen the trade partnership and diversify business.

“Guangdong is the most economically developed province in China,” said Wan Qingliang, “I hope we can reinforce this cooperation for a more perfect future.” (macauhub)