ABCC – Forthcoming Events

ABCC Farewell Luncheon to His Excellency Fernando de Mello Barreto

Join us to farewell Brazilian Ambassador to Australia, His Excellency de Mello Barreto at a special luncheon at the UUSC.
Details are:
Date: Wednesday, 4th August 2010
Time: From 12pm to 2pm
Venue: Union, University and Schools Club, Library Room
25 Bent St Sydney 2000
Dress Code: Business Attire
To register, DOWNLOAD THE LINK
And RSVP by 30th July to abcc@australiabrazil.com.au

ABCC at the IMPORT EXPORT SHOW:

The ABCC is taking part at the “Import Export Show” organized by Trade Australia on 1st and 2nd September 2010 at the Sydney Convention & Exhibition Centre, Darling Harbour. We will have a stand at the International Alley session and would like to invite ABCC members who are willing to take part to utilize this opportunity to showcase their products and services.
The Exhibition is dedicated to showcasing the full spectrum of services and support available to assist exporters and importers with their international business development, growth and engagement.
It includes a seminar program with expert presenters, workshops and networking with information on latest solutions, important connections and business opportunities.
Our members can take part:

1)As exhibitors with the ABCC for a nominal fee of $100 for both days

2)By having marketing and promotional materials at our stand free of charge

3)As visitors by registering through the website: http://www.importexportshow.com.au/

The ABCC will be making presentations as part of the Exhibition program and you are also welcome to take part contributing to the dialogue.

If you wish to participate, please contact us ASAP on abcc@australiabrazil.com.au or call us on (02) 9909 0987

ABCC, ALABC and AISES Seminar Series: “World Cup 2014 and the Olympic Games in Rio 2016: Opportunities for Australian Companies”

The ABCC in conjunction with the Australia-Latin America Business Council and AISES (Australian International Sporting Events Secretariat) is hosting a series of seminars highlighting opportunities for Australian companies to provide services and products for the World Cup 2014 and the Olympic Games 2016 in Brazil.
Feedback:
Australian companies have developed a reputation built on excellent performance in the global sporting major events industry. Their industry capabilities, gained from the planning and successful delivery of the Sydney 2000 Olympic and Paralympics Games, the Melbourne 2006 Commonwealth Games, the Brisbane 2001 Goodwill Games and other major international events, are world class and proven. With Brazil hosting the 2014 Football World Cup and 2016 Olympic Games significant opportunities for Australian companies to get involved in major construction and infrastructure projects are now developing.
Opportunities:
The Brazilian Football Confederation (CBF) estimates that the cost of construction and remodelling of 12 stadiums alone will be over US$1 billion. In addition to stadium upgrades and renovations millions more will be spent on basic infrastructure and related services; and a further US$2.5 billion on airports. The total World Cup budget is estimated to be US$52 billion and will cover:

• Host cities stadiums and surrounding areas - design, construction and overlay; expansion of electric power and telecommunication networks and waste/water system.


• Infrastructure – planning, design and management of roads and railways in hosting cities and between.


• Air travel - overhaul of the Sao Paulo and Rio de Janeiro airports.


• Tourism – new hotels, security, transport management, promotion & information.


• Training programs – volunteers and public officials including English lessons.

A joint partnership between the Australia-Latin America Business Council (ALABC), Australia-Brazil Chamber of Commerce (ABCC) and Australian International Sporting Event Secretariat (AISES) was formed to-jointly organise a trade mission for companies interested in Brazil for November 2010. The mission will include visits to major cities including Rio de Janeiro and Sao Paulo and participa-tion at Soccerex Global Convention, the global leader for the business of football. Planning is currently underway and more information will be provided when available.
ALABC, ABCC and AISES will stage a series of free seminars in Sydney, Melbourne and Brisbane to brief on business opportunities that arise for Australian companies around these two global events. The semi-nars will feature presentations by market and industry experts including Cristina Talacko—Vice Chair ALABC & President ABCC, Crispin Conroy—Senior Trade Commissioner for Latin America—Austrade, Craig Foster, Américo Doytt Fontenelle—Consul General of Brazil and Industry Speakers (TBC).

Details are:
Dates:
SYDNEY—Breakfast Briefing
When: Tuesday 10 August 7.30am—9.00 am
Where: MLC Centre, Level 47, 19 Martin Place Sydney

MELBOURNE—Briefing
When: Thursday 12 August 4.30pm—6.30 pm
Where: Investment Centre, Level 46, 55 Collins Street, Melbourne

BRISBANE—Breakfast Briefing
When: Thursday 19 August 7.30am—9.00am
Where: Treasury Room, Level 4, Marquee Hotel, 103 George St, Brisbane

Speakers:
Austrade’s Senior Trade Commissioner for Latin America, Crispin Conroy
Chief Football Analyst/ SBS Presenter, Craig Foster
His Excellency Americo Fontenelle, Consul-General of Brazil
(Invitations will be forwarded via email to our members)

To register CLICK HERE.

For further details please contact our secretariat on: abcc@australiabrazil.com.au or phone: (02) 9909 0987.

ABCC South Australia “Eyes on Brazil” Program

Join us in Adelaide for a series of events starting with a co-hosted seminar with Onkaparinga Exporters Club on Technology (IT, Resources and Clean Tech).

Date
Thursday 21 October 2010
Time
3.30pm - 6.00pm. Drinks and Brazilian canapés 6.00pm – 7.00pm
Venue: TBC

(Invitations will be sent via email to ABCC members)
For further details you may contact Richard Hancock, ABCC South Australia on: http://www.blogger.com/Richard.Hancock@sa.gov.au

Special Article by His Excellency Fernando de Mello Barreto: Brazil’s Ambassador to Australia

A GOOD BYE LETTER BY Ambassador Fernando de Mello Barreto

After 45 months as Ambassador of Brazil to Australia, sadly it is time to say goodbye to the members of the ABCC.
Ever since my arrival, I have been leading the Embassy in promoting bilateral trade, investment, divulging Brazilian culture and attempting to establish a cooperation in science and technology between the two countries.
During this period, a number of important economic developments occurred: the Australian airline Virgin Blue has acquired 20 Embraer aircraft, and the Brazilian companies Vale and JBS made investments in Australia. This was followed by the increase in visitors between the two countries which led Qantas to establish direct flights to South America, certainly having in mind the Brazilian market.
The Brazilian Foreign Minister, Celso Amorim, made an official visit to Australia in August 2008, and proposed the preparation of a Action Plan for an enhanced partnership between the two countries. Foreign Minister, Stephen Smith, returned the visit one year later and continued the dialogue for that purpose.
In 2008 and 2009 the relationship strengthened continuously between businesses, individuals and various entities. The number of Brazilian students in Australia and Australians to Brazil continued to grow rapidly. In 2010, the Trade Minister, Simon Crean, visited Brazil, when he signed the amendment to the Air Services Agreement to further facilitate such interchange.
I hope I have contributed to the intensification of trade, mutual investment and tourist and cultural exchanges with the many lectures that I gave in several Australian cities. In more than 40 of such presentations, I was able to maintain frequent contact with the business community and academics from Australia, as well as the Brazilian community, especially in Sydney, Brisbane, Melbourne, Adelaide and Perth. Several of such presentations were made under the auspices of the Australia Brazil Chamber of Commerce, thanks to the good work and dedication of its President, Cristina Talacko.
Another initiative that I believe has contributed to increase the bilateral relationship was the establishment of honorary consulates in Melbourne, Adelaide, Perth and Brisbane. Given the geographic distances between Australian cities and the dispersal of the Brazilian community as well as the strong decentralization that characterizes the Australian federation, the support of honorary consulates proved essential to the work of the Embassy.
The completion of the exhibition in Canberra entitled "Connections Australia, Brazil” provided an opportunity for cultural dissemination and also opened up prospects for cooperation in science and technology. Another positive development was achieved when the Embassy and the University of Queensland agreed on the creation of the first and only Portuguese lectorate in this country.
I continue to believe that there is potential for increased exchanges, economic, cultural and scientific and technological cooperation between both countries. Thanks to better communications and transport, there is potential to strengthen a bilateral partnership in many areas of mutual interest. The role of ABCC for that purpose is crucial.
Fernando Mello Barreto, Ambassador

ABCC welcomes His Excellency Americo Fontenelle, Brazil’s Consul-General to Australia

The ABCC is delighted to welcome and introduce to our members the new Consul-General of Brazil, His Excellency Américo Dyott Fontenelle.

Ambassador Fontenelle is a career diplomat with more than 3 decades in the Brazilian Foreign Ministry, which he joined in 1974. Born in Rio de Janeiro, he studied law at Universidade do Estado do Rio de Janeiro (UERJ) before being admitted into the Brazilian Diplomatic Academy. His former postings include Rome, Santiago, New York, Ottawa and Rome for a second time. Between 2003 and 2005, he worked as a Special Advisor to the Chief of Staff of the President of the Republic of Brazil. Promoted to Ambassador in 2004, he served as Consul-General of Brazil in Toronto between 2006 and 2010.
Ambassador Fontenelle has had a great first impression of Australia, and admires the skill of the Australian people in building an important nation in the last 200 years. He is married to Tereza, and they have two adult children, who currently live in Brasilia.
As Consul-General of Brazil, also in charge of the Brazil Trade Bureau in Sydney, Ambassador Fontenelle is very optimistic about the potential of bilateral trade and investment. Amongst his objectives are to improve and deepen the Brazilian government’s relationship with the Australian business community.

ABCC New Members

The ABCC welcomes the following new member:

• Novo Mundo Exports

Foreign investment

Carlyle Group acquires health-care firms in Australia and Brazil

By Thomas Heath
Tuesday, July 20, 2010

The Carlyle Group continued its flurry of dealmaking with two globe-spanning, health-related investments Monday, one in Australia and the second in Brazil, as the District-based private equity firm continues to be one of the most active in the buyout business.

Carlyle and private equity giant TPG won a bidding war for Australia's Healthscope, a big player in that country's hospital sector, over rival Kohlberg Kravis Roberts in a deal that valued the company at $2.35 billion. Carlyle and TPG are paying about $5.45 a share for Healthscope.

Carlyle also purchased a controlling stake in Brazil's Qualicorp, an example of its continued interest in the growth potential offered in emerging markets. Carlyle's Brazil investment is about $1.2 billion, according to sources who spoke on the condition of anonymity because the amount had not been officially released.

Qualicorp manages private health insurance plans in Brazil, a country that Carlyle has targeted because of rising disposable income in its middle class. That growing wealth has led many middle-class consumers in Brazil to seek to augment their government health-care plans with private coverage.

"As the middle class grows, they demand services and products that were previously beyond their reach," Carlyle managing director Fernando Borges said in a statement.

Private equity analysts said the two deals announced Monday make sense for Carlyle.

"Health care is a sector that Carlyle has been in for a long, long time. It's one of their core sector focuses," said Dan Primack, editor-at-large for Private Equity Hub, which tracks the private-equity business. "This is more a reflection that the leveraged-buyout market is returning. Carlyle is one of those firms that is lucky to have a lot of capital left to do deals."

Last week Carlyle agreed to acquire New York-based vitamin maker NBTY for $3.8 billion. Also, Carlyle and a partner firm announced this month that they were selling their interests in MultiPlan, a health-care management company, to two private-equity firms in a deal that values the business at $3.1 billion.

On July 8, Carlyle invested $175 million in a Thailand-based livestock feed producer. On June 29, Carlyle announced a plan to invest $190 million in an Asian fisheries company. And on June 21, the company announced it was going to take public the Booz Allen Hamilton government consulting firm.

Carlyle has more than $90.5 billion under management, spread across 67 funds. Its biggest holdings include Hertz, Dunkin' Donuts and the nursing home giant HCR ManorCare.

Source: washingtonpost.com

Infrastructure

Brazil to invest $3B on airports for 2014 World Cup

Updated July 20, 2010 02:11 PM

BRASILIA (AP) – The Brazilian government approved on Monday nearly $3 billion in funding to renovate and expand its airports ahead of the 2014 World Cup.

The government also guaranteed investments of about $400 million in its ports, hoping to make sure the country is ready to host soccer's biggest tournament.

Authorities signed a document Monday securing the investments and creating a timetable for work related to transportation and stadium construction, two of the areas receiving most of the criticism from FIFA because of delays.

Government officials had also expressed concerns with the country's preparations, but Brazil president Luiz Inacio Lula da Silva said everything will be ready on time.

"Things are happening very quickly," he said.

The document allows Brazil's civil aviation agency to accelerate work to renovate the 13 airports expected to be used by fans and tourists in the 12 host cities that are spread across Brazil, a large country that is currently without the transportation infrastructure needed to host the tournament.

"Now we have the investments for some of the sensitive areas such as the airports," Brazil Sports Minister Orlando Silva said. "We expect 600,000 international visitors and other 3 million Brazilians (traveling)."

The investments approved Monday will also help Rio de Janeiro host the 2016 Olympics.

A recent government study said Brazil will invest a total of $18 billion in infrastructure in the next few years.

Brazil opens bidding for $19 billion fast train

BRASILIA, July 13 (Reuters)

Brazil's government kicked off the bidding process for a high-speed train between its two biggest cities on Tuesday, one of its most ambitious infrastructure projects and expected to cost $19 billion.
The government set Nov. 29 as the deadline for companies to bid on the line that is to connect beach-side Rio de Janeiro and Brazil's financial center Sao Paulo.
President Luiz Inacio Lula da Silva said he wanted the 280 kilometer per hour (174 mph) train to be running for the Olympics, but the completion date according to the bidding documents is in 2017 - a year after the Rio games.
The 530-km-long (329-mile) line and other massive projects are crucial for Latin America's largest economy to sustain annual growth rates above 5 percent for the next decade, Lula has said.
Critics contend the money would be better spent in creating several fast rail lines in a country that has a small passenger rail network and relies largely on badly maintained roads for transportation.
Companies from France, Germany, Japan, South Korea, Spain and China have expressed their interest in bidding for the project, Transport Minister Paulo Sergio Passos said.
France's Alstom (ALSO.PA: Quote), Germany's Siemens (SIEGn.DE:Quote) and Japan's Mitsui & Co (8031.T: Quote) are among the possible contenders, Brazilian media has reported.
The line will be built and run on a concession basis and the government will rank bids based on the cheapest economy fare, with a maximum permitted price of 0.49 reais ($0.28) per kilometer. That would would translate into a ticket fare of about $120 for the 430 kms (270 miles) stretch between Rio and Sao Paulo.
The winner of the auction, budgeted at 33.1 billion reais ($18.9 billion) will be announced on Dec. 16.
State development bank BNDES will fund up to 60 percent of the total investment, or almost 20 billion reais.
Brazil's government will also create a Brasilia-based closed capital company, known as ETAV, to manage the project and will retain a majority share in the entity. ETAV will oversee the construction and operation of the project, as well as the transfer of technology.
The estimated travel time between Sao Paulo and Rio on the proposed bullet train is just over 1.5 hours, compared to one hour by air and six by bus. The line will also reach the city of Campinas in Sao Paulo state.
($1=1.756 reais)
(Reporting by Fernando Exman and Bruno Peres, Writing by James Matthews; Editing by Stuart Grudgings and Leslie Gevirtz)

Airline Industry

Brazil's Azul May Launch IPO In 2011; Focus On Profit

SAO PAULO -(Dow Jones)- Brazilian low-cost, low-fare airline Azul Linhas Aereas SA may hold an initial public offering of shares in 2011 on the Sao Paulo Stock Exchange, the BMFBovespa, Azul President Pedro Janot said Tuesday.

"We can hold an IPO in 2011 or in 2012, but right now our focus is on the company's profit," Janot told reporters during a press conference in Sao Paulo.

According to the executive, the company is likely to post its first net profit this year, although he declined to provide more details.

Already Brazil's No. 3 carrier, Azul currently commands 5.43% of domestic commercial air traffic with a fleet of 18 jets.

Source: nasdaq.com

Mining

Posco Invests in Australian Ore Mine, Brazilian Mill

July 16, 2010, 12:25 PM EDT

July 16 (Bloomberg) -- Posco, the world’s third-biggest steelmaker, will invest in an iron-ore project in Western Australia and in a Brazilian mill to expand markets and raw material supplies outside of South Korea.
Posco will spend 194.7 billion won ($162 million) to buy a 24.5 percent stake in the Australian Premium Iron project, the Pohang, South Korea-based company said today in a statement. It also agreed to buy about 20 percent of a steel venture planned by Vale SA, the world’s largest iron-ore producer, and Dongkuk Steel Mill Co., according to an e-mailed statement distributed today by Rio de Janeiro-based Vale.
Posco Chief Executive Officer Chung Joon Yang is building plants and investing in mines in countries including Indonesia, setting aside a record $8.7 billion for capital spending this year. Posco, which gets 70 percent of sales from the domestic market, will gain a foothold in the South American country and be able to supply the U.S. from the Brazilian venture, it said.
“The iron-ore mine investment is very positive,” Um Jin Seok, an analyst with Kyobo Securities Co., said in Seoul. “The Brazil venture is not a bad deal because Brazil is a fast- growing market. It’d be better to join an existing project instead of starting from the beginning.”
Posco rose 0.9 percent to close at 491,500 won in Seoul trading today, outperforming a 0.7 percent loss in the local benchmark Kospi index.
Increased Self-Sufficiency
The investment in the Australian project, being developed by American Metals and Coal, Coal International Inc. and Aquila Resources Ltd., will boost Posco’s self-sufficiency ratio of the material to 34 percent from 18 percent, the company said. Posco will receive 9.8 million metric tons of iron ore a year from the mine, about a fifth of its annual needs, it said.
Posco will buy its stake from American Metals, whose holding will drop to 25.5 percent. Aquila Resources will retain its 50 percent stake.
Vale’s planned steel plant in the Brazilian state of Ceara is expected to produce 3 million tons of slabs a year after completion by 2014, and may double its capacity to 6 million tons in a second phase, the Brazilian company said.
“We expect some synergy in that Posco has the world’s best expertise in terms of furnace construction and operations and we can also diversify investment funding for the project,” Kim Sun Hong, a spokesman for Seoul-based Dongkuk, said by telephone today, before Vale announced the agreement.
Murchison Stake
Posco earlier this year agreed to buy as much as 15 percent of the Roy Hill iron-ore project in Australia and a 7.8 percent stake in a coal mine in Mozambique. Posco’s Australian unit today increased its shareholding in Murchison Metals Ltd. to 13.91 percent, making it the iron ore miner’s largest shareholder.
Separately, Posco said today in a regulatory filing it will pay a mid-year dividend of 2,500 won.
Posco is ranked as the world’s third-biggest steelmaker by the World Steel Association, with ArcelorMittal and Baosteel Group Corp. rated above it. According to the American Institute for International Steel, the South Korean mill comes fourth, after ArcelorMittal, Hebei Iron & Steel Group and Baosteel.
--With assistance from Helder Marinho in Rio de Janeiro. Editors: Tan Hwee Ann, Indranil Ghosh.
To contact the reporter on this story: Sungwoo Park in Seoul at spark47@bloomberg.net.
To contact the editor responsible for this story: James Poole at jpoole4@bloomberg.net; Andrew Hobbs at ahobbs4@bloomberg.net

Source: businessweek.com

Agribusiness

Brazil, India to Produce Bumper Sugar Crops Next Year, ISO Says

July 14 (Bloomberg) -- Sugar production in Brazil and India, the top two producers, looks promising in the year starting October, with a possible record crop from South America, the International Sugar Organization said today.
Brazil, the largest grower, may have a record crop of about 41 million metric tons in the 2010-2011 year, compared with 36 million tons in the current year, Peter Baron, ISO’s executive director, said in an interview in Indonesia.
India may produce about 26 million tons next year and export about 500,000 tons, Baron said.
Production in China will probably increase by 20 percent to 15 million tons, Baron said. Still, the country may need to import as much as 2 million tons next season, he said.
“We may start to see price pressure in October, but it’s not a dramatic pressure,” Baron said before the 16th Asia International Sugar Conference that starts in Bali, Indonesia tomorrow.
To contact the reporter on this story: Supunnabul Suwannakij in Bangkok at ssuwannakij@bloomberg.net
To contact the editor responsible for this story: Matthew Oakley at moakley@bloomberg.net

Source: businessweek.com

Automotive

Toyota to build $600 mln compact car plant in Brazil

SAO PAULO, July 15 (Reuters) - Toyota Motor Corp (7203.T) said on Thursday it would invest around $600 million for a third factory in Brazil, with production set to begin in the second half of 2012.
Construction of the factory, to be located in Sorocaba, in the state of Sao Paulo, will begin in September. It will initially build 70,000 vehicles a year for the local market. Future plans include production for export, Toyota said in a statement.
Toyota, the world's biggest automaker, had purchased the land for the factory in mid-2008 with plans to produce a new compact car targeted at emerging markets. The car, still under development, will share the underpinnings of the entry-level Etios model to go on sale this year in India.
The Sorocaba factory will employ about 1,500. Toyota currently has two factories in Brazil, both in the state of Sao Paulo.
(Reporting by Cesar Bianconi in Sao Paulo and Chang-Ran Kim in Tokyo; Writing by Ana Nicolaci da Costa; Editing by Sofina Mirza-Reid)

Source: reuters.com

Events – Australia

The Bolero Night

Date: Saturday, August 14th
From 7:30pm to midnight.

Australian Business Events Expo

Date: 22-JUL-10 to 23-JUL-10
Australian Events Expo builds on the heritage of Sydney on Sale and now, for the first time, Australia's largest corporate marketplace will host a truly national event with destinations, venues and suppliers from across the country on show.
Venue: Sydney Convention & Exhibition Centre, Sydney, New South Wales, Australia

ADMA Forum

Date: 27-JUL-10 to 28-JUL-10
ADMA Forum provides a unique opportunity to check out the latest tools and technology available to boost your sales and marketing performance.
Venue: Sydney Convention & Exhibition Centre, Sydney, New South Wales, Australia

Queensland Mining & Engineering Exhibition

Date: 27-JUL-10 to 29-JUL-10
Queensland Mining & Engineering Exhibition is one of the world's largest exhibitions of products and services for the mining and related engineering industries. It is acknowledged as a world leader in providing innovative products and technical solutions to both the domestic and international minerals industries.
Venue: Mackay Showgrounds, Mackay, Queensland, Australi

Australian Opal Exhibition

Date: 05-AUG-10 to 06-AUG-10
Australian Opal Exhibition is a trade only exclusive opal exhibition featuring the largest range of opal and opal jewellery ever seen in the one location. The exhibition will showcase the Black opal, boulder opal, light opal, fine jewellery, fashion jewellery, collectors pieces and much more.
Venue: Gold Coast International Hotel, Gold Coast, Queensland, Australia

Events – Brazil

Chocolate Expo Brazil

Date: 22-JUL-10 to 25-JUL-10
Chocolate Expo Brazil will be held annually at Centro de Eventos Sao Luis, Sao Paulo, The festival aims to be among the top public events that brings various cultures together and satisfy those with a passion for Chocolate. Chocolate Expo Brazil will be hosted by AM3 Feiras E Promocoes.
Venue: Centro de Eventos Sao Luis, Sao Paulo, Brazil

Mec Show

Date: 28-JUL-10 to 30-JUL-10
Mec Show is one the leading trade fair in Brazil. This is the exhibition of metal, Energy and Automation Industry. This is the 3rd edition of the event which will be held between 28-30 July 2010 at Parque de Exposicoes Floriano Varejao.
Venue: Parque de Exposicoes Floriano Varejao, Serra, Espirito Santo, Brazi

Expomac

Date: 04-AUG-10 to 07-AUG-10
World's leading International exhibition for metal industry, Expomac is 4 days show which will prove to be highly effective in getting an in depth information about Metal & Minerals sector. Being convoked at Rio De Janeiro Intercontinental Hotel, the show is expected to be attend by visitors from throughout the world.
Venue: Rio De Janeiro Intercontinental Hotel, Rio De Janeiro, Rio de Janeiro, Brazil