Reaching the consumers

Marketing opportunities

Consumer behavior

Consumers are loyal to brands; including the low income population which this allows to assert itself. More well-off consumers pay particular attention to quality, after-sales service, and the company's social commitment (protection of the environment, sanitary standards, etc.)
National pride is reflected in consumer habits, but Brazilians remain attached to foreign products as exterior signs of wealth (technological equipment, American sports brands, etc.)

Consumer profile and purchasing power

Consumption among the majority of the population is turned towards food and housing. The Brazilian consumer is more demanding and selective. He is aware of quality, the price of goods and special offers. Brazil is a dual economy, in which the upper classes distinguish themselves by consumption close to that of the United States and Europe, while the poorer people have to be careful with prices and buy almost exclusively on the unofficial market.

Consumers associations

Brazilian Institute for the Defense of the Consumer (IDEC)

Main advertising agencies

Members of the professional association of Brazilian advertising agencies

Distributing a product

Evolution of the sector

With the liberalization of trade, undertaken since 1990, many agents and distributors have formed themselves into companies and begun to import to sell on their own account. Today, the majority of the large distribution chains have their own import agency. For several years, supermarkets and in particular hypermarkets, have become more and more important in the distribution milieu. Brazilian hypermarkets make 80% of sales of staple commodities.

Market shares

CBD/Casino : 9.19% ; Carrefour : 5.96% ; Wall Mart : 4.1% ; Atacadao: 2.43% ; Lojas Americanas: 2.18% ; SHV Makro: 2.01%.

Organizations in the retail sector

Brazilian supermarket association (Abrasnet)

Market access procedures

International Conventions

Member of World Trade Organisation
Party to the Kyoto protocol
Party to the Washington convention on International trade in endangered species of wild fauna and flora
Party to the Basel convention on the Control of Transboudary Movements of Hazardous Wastes and their disposal
Party to the Montreal protocol on Substances that deplete the Ozone Layer
Party of the International coffee agreement 2001

Main International economic cooperation

Member of MERCOSUR
Latin American Integration Association (ALADI)
Free Trade Area of the Americas (ALCA/FTAA)

Non tariff barriers

A large number of imported products are subject to a prior license application to the SECEX (Secretariat for Foreign Trade), which is the only organization authorized to issue this license. The license is valid for 60 days from the date of shipment of the goods (sometimes from the date of the license application). This period cannot be extended and is often insufficient. A new license application must then be made. For textiles, regulations are even more strict: the license is only issued if payment is carried out within 30 days following the date of the B/L (importers have to prove that they have effectively paid within the 30 days).
All imports must be accompanied at least by 2 copies of the commercial invoice and the B/L. In the case of non-compliance with the legal requirements of the country, the Customs have the right to impose large fines, up to 100% of the usual Customs duties being common. It is advisable in any case to work with a very good Brazilian Customs broker who alone will be in a position to be informed more or less in due course about Customs regulations. It is necessary to consult the numerous sanitary regulations before importing anything.

Customs duties and taxes on imports

10.73 %, within the average for emerging countries.
You can find Customs duties by product on the International Customs Tariffs Bureau website.

Customs classification

Brazil applies the Harmonized Customs system.

Import procedures

Every importer must be registered with the authorities in charge of foreign trade, SISEX, in order to integrate the Customs computer system, the SISCOMEX. This represents a costly investment, as the prerequisites, especially in terms of minimum capital, are considerable. The regime in place in Brazil has an automated process for issuing import licenses, except for a certain number of products listed below.

Importing samples

Imported samples will be considered by the Customs at their market value, unless there is a particular agreement according to the quantity and size of the samples.

For further information

Customs Department
The WTO website

Organizing goods transport

Main useful means

17% of domestic transport is carried out by sea or by waterway; sea traffic plays a leading role in international goods transport, since it transports 97% of Brazilian exports. A total of some 350 million tonnes of goods are transported by this means every year.
Brazil's large cities are well served by air. However, goods transport is not much developed, mainly because of the high cost of this type of transport.
Practically all the State capitals are linked by tarmacked roads. São Paulo, Rio de Janeiro and other important States have expressways. The road and motorway network covers approximately 1.5 million kilometers, of which some160 000 are tarmacked, an increase of more than 300% over the last two decades. This is the means of transport used most, as it handles about 85% of the transport of people and Brazilian products. Recently, the exploitation of several motorways has been transferred to the private sector.
The railway network carries 22.5% of goods traffic. Only 7% of the lines are electrified.

Ports

Port of Recife
Port of Santos (São Paulo)
Port of the Rio Grande
Port of Salvador
Port of Rio de Janeiro
Port of Belem
Port of Paranagua
Port of Vitoria
Port of Itaqui
Port of Sao Sebastiao
River port of Manaus

Airports

Brazilian airports website

Sea transport organizations

Government agency for sea transport

Air transport organizations

National Civil Aviation Agency

Road transport organizations

National land transport agency

Rail transport organizations

National land transport agency

Identifying a supplier

Type of production

Industry is dynamic and contributes 37% to GDP, especially in the following sectors: agri-foods, textiles, aeronautics, pharmacy, automobile, iron and steel industry, chemical industry.

Business directories

The Yellow Pages
Busca.sos102.com.br
BrazilBiz

Manufacturers associations of the main industries

Association of shoe manufacturers
Association of institutions involved in applied research
Association of defense material and security industries
Association of aerospace industries
Association of car manufacturers
Association of machine and equipment manufacturers
Brazilian association of the food industry

Trade Agencies and their representations abroad

Chamber of Commerce and Industry of Rio de Janeiro

Enterprises federation

Union representation for trade in goods, services and tourism.
National Confederation of Industry
National agency for support for SMEs