Did you know exporting
to overseas markets
just got easier?
Talk to UKTI about the
first steps to expanding
your business in Brazil.
2
Brazil – Gateway to South America
Brazil is larger than the whole of Western
Europe. In fact, São Paulo state is the same
size as Great Britain. In 2001 it was labelled
as one of the four ‘BRIC’ countries by Goldman
Sachs, as they considered there to be huge
potential for Brazil to be one of the most
dominant economies by 2050.
With a population of over 190 million, it is the world’s fifth
largest country and has a GDP per head that is greater than
both China and India. It is very high in natural resources and
has a substantial people resource pool.
Key facts about the Brazilian market
• B
razil is the world’s seventh largest economy and
represents 50% of the whole of South America’s GDP.
• B
ritain has been trading with Brazil for more than
200 years.
• Bilateral trade almost reached $5 billion in 2010.
• B
razil is part of the Mercosul (Spanish-speaking Latin
America) which has free trade between Brazil, Argentina,
Uruguay, Paraguay and Venezuala providing an additional
market of 185 million people.
Brazil – Gateway to South America
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Brazil – Gateway to South America
Which products and services?
UKTI have teamed up with i2i Events Group
to deliver a number of international trade
shows in the following specific industries:
Homewares, jewellery, gifts (Spring Fair),
education and training (Bett, The Education
Show), fashion and clothing (Pure), media
(BVE), electronics, automotive and energy
(CWIEME).
Trade shows can be one of the best ways to promote your
products, as well as find out much more about the market in
which you want to export to. Be sure to explore how you can
have exporting success in Brazil by attending one or more of
these trade shows.
Thinking about exporting to Brazil
Here are three top tips to help you prepare for
exporting:
1.Do your market research by accessing the UKTI website
www.gov.uk/ukti and reading the ‘Doing business in Brazil’
guide. Search the Internet and talk to others who have
successfully exported.
2.Make use of the UKTI experts, such as an International
Trade Advisor (ITA) and Commercial Officer (CO).
They will advise you and provide a myriad of services,
most of which are completely free of charge.
3.Attend a trade show that attracts international visitors.
Brazil – Gateway to South America
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Brazil – Gateway to South America
The market, and
how to get there
Brazil – Gateway to South America
Brazil is made up of 26 administrative states
and the Federal District of Brasilia. As you
would expect for such a vast country, each has
its own culture and economic profile. You will
need to decide which part of Brazil you want
to set up your business and the main cities to
consider are:
• São Paulo – The main business centre of Brazil and one
of the largest metropolitan areas in the world. The region
accounts for 25% of the nation’s industrial production.
• Rio de Janeiro – The second largest city, and the centre
for tourism. It is also a busy business area with a significant
oil and gas industry, as well as being home to many
multi-national businesses.
• Recife – An important city for marine, shipping, aquaculture
and fisheries.
• Porto Alegre – The gateway to the Mercosul hub, which
makes it an important place to consider for wider export
into Latin America.
You will likely start you export journey with an agent or
distributor. They can handle the complex customs and
logistics challenges, but make sure you vet them thoroughly
first. For example, how large are they? What other companies
have they imported for? Do they have goods that compete
with yours? What is their coverage? Do they have experience
with your type of goods?
If you are considering setting up your own operations, then
consult UKTI for their advice about the best route to take.
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Brazil – Gateway to South America
Brazil – Gateway to South America
Tax, customs
and regulations
Goods entering Brazil will be liable to pay
import duty based on a standard classification
and their value. The importer is responsible
for calculating the value and using the correct
classification based on the Harmonized Tariff
Schedule. In addition to these duties, taxes are
also due.
This can make export to Brazil very expensive and you must
factor in the expected end price, all the taxes and duties you
will need to pay, as well as transportation and logistics in
order to determine your own margins to see if they are
healthy enough to develop an export plan.
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Brazil – Gateway to South America
Tax, customs and
regulations continued
Intellectual property, trademarks and
certification
Brazil has a good intellectual property rights and patent
system that doesn’t discriminate unfairly against foreign
companies. However, as with any country you are
considering exporting into, you are encouraged to seek
legal advice and protect your trademarks and intellectual
property against infringement.
Culture and etiquette
Unlike most of the other Latin American countries, the
language of Brazil is Brazilian-Portuguese and not Spanish.
Being able to say a few words in Portuguese will help you
build rapport with your contacts. Brazilians can be quite
direct in their communication, which can seem a little abrupt.
However, on the other hand, punctuality can be challenging,
with meetings often starting late and being relatively
lengthy. Food and entertainment is a large part of the
culture, and as everyone needs to eat, going out for lunch
or dinner can be a great way to build a relationship with a
new contact outside of the office. It is quite normal for your
guests to arrive late for social engagements, and often
there will be plenty of time after the formal meal is over
to socialise more at leisure.
Brazil – Gateway to South America
11
gov.uk/ukti
UKTI
UK Trade & Investment is the Government Department that helps
UK-based companies succeed in the global economy. We also help
overseas companies bring their high-quality investment to the UK’s
dynamic economy acknowledged as Europe’s best place from which
to succeed in global business.
Disclaimer
Whereas every effort has been made to ensure that the information in
this document is accurate, neither UK Trade & Investment nor its parent
departments (the department for Business, Innovation and Skills, and
the Foreign and Commonwealth Office) accept liability for any errors,
omissions or misleading statements, and no warranty is given or
responsibility accepted as to the standing of any individual, firm,
company or other organisation mentioned.
© Crown copyright 2014
You may re-use this information free of charge in any format or medium,
strictly in accordance with the terms of the Open Government Licence.
To view this licence, visit:
www.nationalarchives.gov.uk/doc/open-government-licence
or e-mail: [email protected].
Where we have identified any third party copyright information in the
material that you wish to use, you will need to obtain permission from
the copyright holder(s) concerned.
Any enquiries regarding this material should be sent to us at
[email protected] or telephone +44 (0)20 7215 5000.
This document is also available on our website at www.ukti.gov.uk
Published November 2014
by UK Trade & Investment
UKTI HEAD OFFICE
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Telephone:
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