São Paulo, Number 1 State in Brazil - Austrian Business ... · São Paulo, Number 1 State in...

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Investment Promotion Agency São Paulo, Number 1 State in Brazil Luciano Almeida President March 13 th , 2014

Transcript of São Paulo, Number 1 State in Brazil - Austrian Business ... · São Paulo, Number 1 State in...

Investment

Promotion

Agency

São Paulo,

Number 1 State in Brazil

Luciano Almeida

President

March 13th , 2014

Investment Promotion Agency

Mission

To be the gateway to new investments

or expansion of existing businesses,

generating innovation, employment and income,

in addition to the continuous improvement

of the competitive environment and

of the image of the State of São Paulo

Promotion of the image of the State of Sao Paulo

Actions for the Promotion of Competitiveness

• Labor training, Taxation, Innovation, Infrastructure and Licensing

• Studying and proposing public policies

Institutional Activities

• Reception of foreign delegations and organization of international missions

• Support and guidance for municipal governments

Investment Projects

• Technical support and orientation to investors: site location, taxes, infrastructure

• Contact with public and private institutions aiming as investment facilitation

Business Prospection

• Identification of sectors and companies with investment potential

Areas of Activity

SP

www.investe.sp.gov.br

SP in Maps

Investment Promotion Agency

International Cooperation Agreements

America

USA:

R20

BRATECC

Charlotte RP

Europe

Norway: BNCC

United Kingdom: UKTI, HSBC

Spain: ICEX

Portugal: AICEP

Italy: ITALCAM

Toscana Promozione

Czech Republic: CzechInvest

Asia

South Korea: Kotra,

Kobras

Japan: JETRO

Bank Tokyo-Mitsubishi

UFJ

China: Bank of China

Our Customers

Direct jobs

50,468

Investments

US$ 11.77 bi

71 announcements

Brazil on the Worldstage

Investment Promotion Agency

Brazil, the 7th economy of the planet

15,653

8,250

5,984

3,366

2,580

1st USA

3rd Japan

2nd China

4th Germany

5th France

6th UK

8th Italy

7th Brazil

12th Australia

11th Canada

10th India

9th Russia

2,245

1,980

2,433

1,770

1,946

1,953

1,493

Source: IMF - year 2012

GDP - US$ billions

Investment Promotion Agency

Selected Countries:

Territory, Population and Economy

Territory > 3 million km2

Economy (GDP) > US$ 750 billion

Population > 100 million

Canada Australia

Russia India China

United States Brazil

Indonesia

Nigeria

Bangladesh Pakistan

Japan Mexico

Spain

Germany France United Kingdom

Netherlands Italy South Korea

Source: IMF, World Bank – 2013

Investment Promotion Agency

Brazilian Age Structure

Source: IBGE / Revista Veja, December 2010.

0

30

50

80

2020 2010 2050

Opportunity

Larger contingent of working-age

population = possibility of increasing

productivity

Challenges

Increase on health and social security

expenditures

Investment Promotion Agency

Social Mobility

Year

projection

Percentage of Inhabitants

Source: Banco Central do Brasil/ FGV

7.4%

10.6%

15.5%

37.7%

50.5%

56.5%

26.9%

23.4%

20.0%

28.0%

15.4%

8.0%

2003

2009

2014

A e B C D E

Highlights of Austria-Brazil Relations

Austria-Brazil and SP Economic Relations

Source: Brazilian Central Bank

(1) Considering only stock purchases, excluding intercompany loans

Economic Relations with the Austria

(US$ millions) - 2013 Brazil State of São Paulo

% São

Paulo/Brazil

Austria 's bilateral trade 1.527 711 47%

Exports to the Austria 139 49 35%

Imports from the Austria 1.388 662 48%

Source: Ministry of Development, Industry and Foreign Trade

96 6 16 116 93 48

3.420

1.508

108 89

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Austrian FDI into Brazil (US$ million)

Source: Ministry of Development, Industry and Foreign Trade of Brazil

3,5 4,0 4,2

5,3

6,3 6,1

7,8 8,6

8,0

1,5

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Bilateral Trade Austria-Brazil (US$ billions)

Investment Promotion Agency

Brazil/SP – Austria Economic Relations

São Paulo’s exports to the Austria (2013) Main Products and percentage of Brazil’s total

•Boilers, machinery and mechanical appliances; Others

(68%)

•Electrical machinery and equipment and parts thereof;

Others (38%)

•Vehicles other than railway or tramway rolling-stock, and

parts and accessories thereof (79%)

•Rubber and articles thereof (78%)

• Miscellaneous edible preparations (100%)

São Paulo’s imports from the Austria (2013) Main Products and percentage of Brazil’s total

•Boilers, machinery and mechanical appliances; Others

(45%)

•Iron and steel (88%)

•Vehicles other than railway or tramway rolling-stock, and

parts and accessories thereof (66%)

•Pharmaceutical products (28%)

•Electrical machinery and equipment and parts thereof;

Other (49%)

Source: Ministry of Development, Industry and Foreign Trade of Brazil

São Paulo state in the

Brazilian Context

Agência Paulista de Promoção

de Investimentos e Competividade

Brasil and São Paulo Comparison

8.515.000

Km² Territory 3%

248.000

Km²

193.9

million Population 22%

41.9

million

US$ 2.475

billion

GDP

nominal 33%

US$ 750

billion

US$ 11,611 GDP

per capita 50% larger US$ 17.908

São Paulo’s

Share

Source: IBGE, Banco Central e SEADE

Exchange Rate: US$ 1 = R$ 1.95

Investment Promotion Agency

São Paulo Competitive Advantages

São Paulo Competitive Advantages

Largest Consumer Market in LATAM

Skilled Workforce

Supply Chain

World-class Infrastructure

Largest Brazilian Investor in R&D

Environmental Responsibility

Investment Promotion Agency

Brazilian State Capitals where the

consumer market grows most

36.59

22.40

8.62 7.78 7.19 6.65 5.75 4.25 4.07 3.65

São Paulo -SP

Rio de Janeiro- RJ

Brasília - DF Belo Horizonte- MG

Curitíba - PR Salvador - BA Fortaleza - CE Recife - PE Porto Alegre -RS

Manaus - AM

Sales increase 2010 - 20201

(US$ billions)

(1) 45 product categories analyzed

Source: Exame Magazine – McKinsey

Exchange rate – US$ 1 = R$ 1.67

Investment Promotion Agency

São Paulo Consumer Market Map

Source: IPC marketing 2012

USD billion

50.2%

49.8%

The largest Brazilian consumer market

USD 390 billion

Investment Promotion Agency

São Paulo’s share of the Brazilian output

33.52% Petroleum products

36.76% Biofuels

47.77% Chemicals

55.28% Machinery and equipment

58.13% Electronic components

58.34% Computer equipment and

peripherals

60% Communications equipment

67.83% Manufacture of pharmaceutical

chemicals and pharmaceuticals

72.92% Electromedical and

electrotherapeutic apparatus

and equipment of irradiation

95.84% Aircraft

Selected Sectors

Investment Promotion Agency

Higher Education

Source: INEP

577 college level

institutions

1,542,415

students enrolled

The State Government is responsible for three of the best universities in Latin America

Largest number of technological students graduated in Brazil

• 59 thousand students

• 56 technology colleges

• 65 courses in the areas industry, services and agribusiness

Investment Promotion Agency

Technical Schools

1274 technical schools

357,000

students enrolled

The largest program of technical education in Brazil: Your company can have specific courses tailored to the project needs

Technical Schools – Etecs

•226 thousand students

•211 technical schools

•124 courses in the fields of industry, services and agriculture

Source: INEP, Centro Paula Souza

Investment Promotion Agency

R&D / Innovation

USP, Unicamp

and Unesp

International

recognition

All over

the state

US$ 513 million

annual budget

Fundação de Amparo à

Pesquisa Científica e

Tecnológica (Fapesp)

3 universities among

the ones that most

develop scientific

research in Brazil

19 research institutes

19 initiatives of

Technology Parks

More than 13% of the São Paulo State

revenue is used in high quality

education, research and development.

The State also hosts federal universities

and research institutions.

Investment Promotion Agency

State funds invested in R&D (2010)

Source: Coordenação-Geral de Indicadores(CGIN)- ASCAV/SEXEC - Ministério da Ciência e

Tecnologia

5,012.2

488.9 413.5 213.9 209.9 120.4 92.9 70.3 63.5 58.2

SP RJ PR MG SC BA RS DF CE PE

(R$ millions)

72%

28%

SP Demais 26 EstadosOther 26 states

Investment Promotion Agency

Technology Park System

Source: Secretariat of Development.

19 implementation initiatives

Piracicaba

São José dos

Campos

São Carlos - Damha Campinas

Ribeirão Preto

Sorocaba

19 out of the 20 best

highways in Brazil

5.400 Km of railways 2 international airports

32 domestic airports Largest port

in South America

800 km of Waterways Pipeline

in industrial centers

• 19 out of the 20 best highways

• 5,400 Km of railways

• 2 international airports

• 32 domestic airports

• Largest port in South America

• 800 km of Waterways

• Pipelines in industrial centers

Highway

Railway

Waterway

Pipeline

Home airport

International airport

River port

Sea port

World-Class Infrastructure

Investment Promotion Agency

• Energy matrix with 55% of renewables

• Competitive advantages for energy production from biomass

• New opportunities in environmental technology markets

• Brazil’s most advanced conservation system

• 17.5% of the state area is of

environmental preservation

• 27 State Parks

• 21 Ecological Stations

• 17 Experimental Stations

• 13 State Forests

Environmental Responsibility

Source: Energy Secretariat of State of Sao Paulo, Forest Foundation

Ranking IFDM

Nacional

1º SP Indaiatuba 0,9486 0,9394 0,9585 0,9479

2º SP São José do Rio Preto 0,9357 0,8941 0,9650 0,9479

3º SP Itatiba 0,9276 0,9167 0,9330 0,9332

4º SP Amparo 0,9259 0,8748 0,9525 0,9503

5º SP Barueri 0,9258 0,8865 0,9525 0,9385

6º SP Ribeirão Preto 0,9230 0,9223 0,9258 0,9209

7º SP Marília 0,9195 0,8449 0,9825 0,9311

8º SP Louveira 0,9194 0,8611 0,9681 0,9291

9º SP Jundiaí 0,9171 0,8983 0,9276 0,9252

10º SP Paulínia 0,9159 0,8551 0,9675 0,9250

11º SP Bauru 0,9127 0,8964 0,9402 0,9016

12º SP Campinas 0,9117 0,8954 0,9136 0,9260

13º SP Santos 0,9108 0,8689 0,9400 0,9234

14º SP Valinhos 0,9107 0,9318 0,8916 0,9087

15º RS Bento Gonçalves 0,9102 0,9474 0,8471 0,9360

16º SP Bragança Paulista 0,9097 0,9075 0,9088 0,9129

17º SP Araraquara 0,9092 0,8465 0,9600 0,9210

18º SP Americana 0,9091 0,8453 0,9700 0,9119

19º SP São Caetano do Sul 0,9072 0,8206 0,9675 0,9335

20º SP Atibaia 0,9067 0,9102 0,9286 0,8813

IFDM Income

and jobEducation HealthState

Ranking IFDM

Base year 2010

FIRJAN Index of Municipal Development

19 out of the 20 best ranked

Brazilian municipalities are in the State of São Paulo

Economist Intelligence Unit The Economist

Brazilian Investment

Competitiveness Ranking

Investment Promotion Agency

General Ranking

#1

Source: The Economist, Centro de Liderança Pública e Veja

http://veja.abril.com.br/multimidia/infograficos/ranking-de-gestao-dos-estados-brasileiros

VERY GOOD

GOOD

FAIR

POOR

CLASSIFICATION

77.1 71.8

62.8 60.5 59.5 54.7

47.7 47.1 44.2 43.1 43.1 42.8 42.8 40.8 39.2 36.6 33.8 33 32.8 30.2 29.7 28.8 28.1 27.8 23.5 22.6

17.7

SP RJ MG RS PR SC DF ES BA AM MS GO MT PE CE SE PA PB RO AL RN TO AC RR MA PI AP

Scale – 100 for best, 0 for worst

Investment Promotion Agency

Human Resources

#1

91.7 83.3

75 75 66.7 66.7

58.3 50

41.7 41.7 41.7 41.7 33.3 33.3 33.3 33.3

25 25 16.7 16.7 16.7 16.7 16.7 16.7

8.3 8.3 8.3

SP RJ MG PR RS SC DF ES AM BA GO MT CE MS PE RO PA RN AC AL AP PB RR SE MA PI TO

Source: The Economist, Centro de Liderança Pública e Veja

http://veja.abril.com.br/multimidia/infograficos/ranking-de-gestao-dos-estados-brasileiros

Scale – 100 for best, 0 for worst

VERY GOOD

GOOD

FAIR

POOR

CLASSIFICATION

Investment Promotion Agency

Highways Quality

#1

Source: The Economist, Centro de Liderança Pública e Veja

http://veja.abril.com.br/multimidia/infograficos/ranking-de-gestao-dos-estados-brasileiros

Scale – 100 for best, 0 for worst

VERY GOOD

GOOD

FAIR

POOR

CLASSIFICATION

100

75 75 75

50 50 50 50

25 25 25 25 25 25 25

0 0 0 0 0 0 0 0 0 0 0 0

SP PR RJ RS BA DF PB SC AL ES MG PI RN RO SE AC AM AP CE GO MA MS MT PA PE RR TO

Investment Promotion Agency

Innovation

#1

100

85

65 55

50 45 45

35 35 30 30 30 30 30

25 25 25 20 20 20

15 15 10 10 10 10 10

SP RJ MG RS SC AM PR BA PE CE GO MS MT SE AL DF ES PA PB TO MA RN AC AP PI RO RR

Source: The Economist, Centro de Liderança Pública e Veja

http://veja.abril.com.br/multimidia/infograficos/ranking-de-gestao-dos-estados-brasileiros

Scale – 100 for best, 0 for worst

VERY GOOD

GOOD

FAIR

POOR

CLASSIFICATION

Investment Promotion Agency

One of the lowest national

death rate by gunfire

7,1 8,0 8,5 9,3 10,0 10,5 13,4 13,8 14,5 15,8 16,3

18,9 19,9 20,6 22,0 23,0 23,6 25,0 25,3 26,4 26,4 30,3

32,8 34,4 34,6

39,4

55,3

RR PI SC SP AC TO MG MA MS AP RS AM MT RN GO SE RO CE DF PR RJ PE PB BA PA ES AL

Death rate by gunfire in Brazilian States ( per 100,000 inhabitants - 2010)

Source: Violence Map 2013 ( reference data 2010)

PPPs and MIP

Investment Promotion Agency

Investment with Fiscal and Social

Responsibility

São Paulo State

Investment Plan of US$ 65,8 billion

PPPs 15 projects US$ 18,5 billion

Public Funds Treasury

Financing

State companies US$ 47,3 billion

Investment Promotion Agency

Innovative Fast Track for PPP Projects

State Decree 57.289 dated August 30, 2011 allows interested investors to present

proposals for PPPs Projects

PRIVATE SECTOR INITIATIVE (MIP)

APPROVAL

PUBLIC CALL for detailed technical

studies, including alternatives

CONTRACT (PPP Project winner reimburses selected

technical study author)

EVALUATION by State Commission

EVALUATION by State Commission

Technical studies

PPP Project APPROVAL

PRELIMINARY PPP PROPOSAL

PUBLIC BIDDING for the PPP

REJECTION

REJECTION

Technical studies

Technical studies

$

Current MIP Projects

Prision Units in the State .

Private Investment - R$ 750 mi

Pharmaceutical Factory

Américo Brasiliense – IFAB Studies under evaluation with the

coordination of the Executive Secretariat

of the Managing Council of PPP

Private Investment - R$ 140 mi

Social Interest of Housing

Private Investment - R$ 7,31 bi

Line 18 – Bronze of the

Metropolitan Network of São

Paulo

Private Investment - R$ 3 bi

Major Events

World Cup 2014

•R$ 300 million of state investments in public works around

the arena

•Opening Stadium for 65 thousand spectators

•Increase from 42 thousand hotel rooms to 50 thousand

Olympic Games 2016

•R$ 28.8 billion until 2016

• R$ 23.23 billion in infrastructure

• R$ 5.62 billion for operations

•São Paulo is expected to host selected contests

Major Events

SECRETARIA DE DESENVOLVIMENTO

ECONÔMICO, CIÊNCIA E TECNOLOGIA

Thank You!

Luciano Almeida President

Telephone: + 55 11 3218 6060

E-mail: [email protected]

www.investe.sp.gov.br