Safety and Security Trade Mission to
Rio de Janeiro and Sao Paulo, Brazil
May 19-23, 2003
Mission Description
The International Trade Administration of the U.S. Department of Commerce will
help U.S. firms find business partners and sell safety and security equipment
and services with a trade mission to Rio de Janeiro and Sao Paulo, Brazil, May
19-23, 2003. Michelle O'Neill, Deputy Assistant Secretary for Information Technology
Industries, and Bruce Blakeman, Deputy Assistant Secretary for Domestic Operations,
will co-lead the trade mission. The mission will include representatives from
a variety of U.S. safety and security equipment firms interested in expanding
their presence in the fast-growing Brazilian market. A Department of Commerce
staff member from the Office of Microelectronics, Medical Equipment and Instrumentation
will participate in the trade mission. If a sufficient number of firms are recruited,
a Western Hemisphere Team member will also participate in the trade mission.
Commercial Setting
Brazil has the largest economy and population in South America, and offers considerable
export opportunities for U. S. firms. Due to the increasing crime rate in Brazil,
the safety and security sector has consistently registered a growth rate of
15 to20 percent per year. Significant increases in private sector and government
spending for safety and security products and services have created enormous
potential for U.S. firms interested in the Brazilian marketplace. To address
the crime rate and other safety and security issues, the Brazilian Government
plans to invest US $8 billion in public security over the next 10 years.
In 2003, the Brazilian Government plans to spend US $665 million to upgrade and expand its security infrastructure. The Brazilian Government plans to build and refurbish existing prisons and police stations, increase training for security officers, and improve communications systems. Other areas where resources will be focused include security vehicles, helicopters, airport security equipment, bullet proof vests, cameras, ammunition, guns, global positioning systems (GPS), cellular phone blocking systems (for prisons), fire protection systems, and intelligence equipment.
In private residential and commercial security alone, Brazil spent over US $30 billion in 2001. In electronic security, the Brazilian market is estimated at US $700 million. Today, electronic security equipment is not limited only to commercial or industrial buildings. The increasing demand for security monitoring services and security devices for residences is contributing to the fast expansion of this market. Sales of remote monitoring systems for privately owned trucks and armor protection for vehicles have also risen.
While U.S. firms face stiff competition in Brazil, U.S. manufacturers of safety and security products continue to be successful. Sales by U.S. firms' account for approximately 50 percent of the Brazilian import market. U.S. products are well received among large Brazilian and multinational companies that demand quality, durability, and state-of-the-art technology.
Brazil has experienced recent economic and financial uncertainties. However, it is important not to lose sight of the fact that Brazil has made huge strides in the past decade, and these fundamental changes have set the stage for future growth. Inflation has been in single digits for seven straight years, down from 2,500 percent in 1993. Labor productivity in manufacturing, which leads to higher investment, has increased 100% in ten years. The improved investment climate has helped generate over $153 billion in foreign direct investment in 10 years. The incoming Brazilian government clearly has economic challenges to address, but indications are that the President-elect has made trade an important part of his agenda to address the goal of improving the lives of Brazilian citizens. Brazil has expressed a keen desire to deepen and strengthen the ties among the countries of the hemisphere, particularly the United States.
Mission Goals
The mission's goal is to provide first-hand market information and to provide
access to key government officials and potential business partners for U.S.
safety and security firms desiring to create or expand their presence in the
Brazilian market. New opportunities for U.S. firms are being created by the
need to protect individuals, property, and the government from loss of assets.
Mission Scenario
The trade mission delegation will meet with high-ranking federal, state, and
municipal safety and security officials in Rio de Janeiro and Sao Paulo. Likewise,
U.S. firms will be introduced to potential Brazilian business partners, customers,
agents, and distributors through mission events and a series of one-on-one meetings.
There will be networking receptions during the stops in Rio de Janeiro and Sao
Paulo.
Timetable
The mission is scheduled to arrive in Rio de Janeiro, Brazil on Sunday,
May 18, 2003, with meetings in Rio on May 19-23, 2003. The delegation will depart
Rio de Janeiro the evening of May 20, and arrive in Sao Paulo for meetings on
May 21-22. Official events in connection with the trade mission are currently
planned for May 19-22 only, with Friday, May 23, as a follow-up day for those
companies interested in pursuing opportunities uncovered during the four days
of the trade mission. The precise schedule will depend in part on the availability
of Brazilian Government and company officials and the specific goals and interests
of mission participants.
Recruitment for the mission will begin immediately and conclude no later than March 31, 2003. Applications received after that date will be considered only if space and scheduling constraints permit.
Criteria For Participants Selection
The participation fee is $3,350 per firm, which includes one representative. The fee for each additional firm representative is $1,000. The option of participation in the trade mission without one-on-one meetings is being offered to U.S.-based firms in Brazil. The participation fee for these firms will be $2,250 per firm, which includes one representative. The fee for each additional firm representative is $1,000. The lower firm participation fee is based upon cost saving from not holding the one-on-one meetings.
Mission recruitment will be conducted in an open and public manner, including publication in the Federal Register, posting on the U.S. Department of Commerce trade missions calendar-www.ita.doc.gov/doctm/tmcal.html-and other Internet websites, press releases to the general and trade media, direct mail and broadcast fax, notices by industry trade associations and other multiplier groups, and at industry meetings, symposia, conferences, and trade shows.
Firms that participate in a Trade Mission must use the Mission to promote only products or services which in the judgment of the Department meet one of the following criteria: A. Manufactured or produced in the United State. B. If manufactured or produced outside of the United States, the product or services must be marketed under the name of a U.S. firm and have U.S. content representing a least 51 percent of the value of the finished good or service.
Any partisan political activities (including political contributions) of applicant are entirely irrelevant to the selection process.
Contacts
Howard Fleming
U.S. Department of Commerce
ITA OMMI, Room 1015
Washington, D.C. 20230
Tel: 202-482-5163 Fax: 202-482-0975
E-mail Howard_Fleming@ita.doc.gov
April Redmon
U.S. Department of Commerce
1401 Wilson Blvd.
Suite 1225
Arlington, VA 22209
Tel: 703-524-2885 Fax: 703-524-2649
E-mail Aredmon@mail.doc.gov
For U.S. based firms in Brazil considering the trade mission, the contact is:
Jim Cunningham
Principal Commercial Officer
U.S. Consulate, Rio de Janeiro, Brazil
Tel: 55-21-2220-1059 Fax: 55-21-2240-9738
E-mail Jim.Cunningham@mail.doc.gov