Doing business in Rio Grande do Sul (Brazil)

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Learning unit: Foreign trade and business in Rio Grande do Sul (Brazil). Syllabus:


- The State of Rio Grande do Sul.
- The economy of Rio Grande do Sul.
- Business opportunities in Rio Grande do Soul.
- International trade and FDI in Rio Grande do Sul.
- Case study: Agricultural equipment sector.
- Doing business in Porto Alegre, Caxias do Sul and Pelotas.
- Case study: Gerdau. Marcopolo.

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En Es Brasil Pt Brasil

Course summary: trade and business in Rio Grande do Sul (Brazil)

Rio Grande do Sul (Brazil) accounts for 7% of the Brazilian economy:

  • 3% of Brazilian surface,
  • 6% of the Brazilian population,
  • Gross domestic product (GDP) of USD 129.7 billion,
  • Rio Grande do Soul is the main manufacturer of grains
  • RGS is the 2th biggest commercial and industrial hub of Brazil
  • Rio Grande do Sul is the 1st center for agricultural equipment in Brazil

Over the past years, some companies from Rio Grande do Sul (Gerdau, Marcopolo, Artecola, and Lupatech), have joined the select group of Brazilian multinationals.

Ranking of the most internationalized companies Rio Grande do Sul -2010
RANKING - SECTOR OF ACTIVITY
1º - Gerdau - Metallurgy and steel industry
2º - Marcopolo - Vehicles and parts
3º - Artecola - Chemicals and petrochemicals
4º - Lupatech - Mechanics
5º - Agrale - Vehicles and parts
6º - DHB - Vehicles and parts
7º - Randon - Vehicles and parts
SOURCE OF RAW DATA: Valor Multinacionais Brasileiras, v. 3, n. 3, p. 28, set. 2010.

Rio Grande do Sul is:

  • 3rd major industry park of Brazil
  • 1st manufacturer of leather and footwear
  • 1st center for transport equipment production
  • 1st center for agricultural equipment
  • 2nd center for chemical products
  • 2nd center for rubber and plastics
  • 2nd center for metal products
  • 2nd center for machines and equipment
  • 2nd center for furniture
  • 2nd center for beverage production
  • 4th center for food manufacture
  • 4th center for vehicle production.

Rio Grande do Sul produces 67% of Brazil road cargo transport, 55% of the harvesters, 50% of buses / mini-buses, 8% of cars and 1% of trucks. 576 Brazilian and international auto-Related companies in operation.

Example of the course doing business in Rio Grande do Sul (Brazil):
Business Rio Grande Sul Brazil

Footwear industry of Rio Grande do Sul is responsible for 35% of Brazilian production and employing 340,000 people within Rio Grande do Sul.

The main hub of furniture production of Porto Alegre is situated in the Bento Gonçalves municipality with 298 factories including Italínea, SCA, Dell Anno, Todeschini, Criarae and Bentec

Estimated at R$ 203 billion, agribusiness represents 11% of state Gross domestic product (GDP); 30% of wealth generated and 60% of exports

The main chemical / petro-chemical hub of Rio Grande do Sul is in the Triunfo municipality

International trade of Rio Grande do Sul

In 2010, Porto Alegre (capital of Rio Grande do Sul) was the 10th most populous city of Brazil. Microsoft, Dell and HP are installed in the capital. Porto Alegre hosted the World Social Forum.

Caxias do Sul is the 2th biggest metal-mechanic hub in Brazil and one of the biggest in Latin America. In 2011, Caxias do Sul grew by 18% in exports to international markets, while imports showed the rate of 7.5%.

Pelotas is the commercial hub of the South of Brazil.

Gerdau is the leading manufacturer of long steel in the Americas and one of the biggest suppliers of specialty long steel in the world. It has 40,000 employees and an industrial presence in 14 countries. In countries where the Company has plants, its products are sold directly to customers and through Gerdau's own or independent distribution channels.

Brazil Rio Grande Sul Gerdau

Marcopolo is one of the greatest bus body manufactures in the world. Its bus manufacturing operations are conducted in 11 production facilities, of which 4 are in Brazil. Marcopolo has 7 industrial complexes abroad, including one wholly-owned facility in South Africa, and joint ventures in Argentina, Republic of Colombia, the Arab Republic of Egypt, India and the United Mexican States.

Brazil Rio Grande Sul Marcopolo

Rio Grande do Sul Department of Development and Investment Promotion (SDPI) aimed to the promotion of economic development, and, thus, the improvement of social conditions. Its mission is to promote the sustainable development of Rio Grande do Sul.

The Foundation of Economics and Statistics (FEE) is a research institute of the state government of Rio Grande do Sul, Brazil, whose goal is to assist economic and social planning.



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