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flag Brazil Brazil: Selling and Buying

In this page: Market Access Procedures | Reaching the Consumers | Distributing a Product | Organizing Goods Transport | Identifying a Supplier

 

Market Access Procedures

International Conventions
Member of World Trade Organisation
Party to the Kyoto Protocol
Party to the Washington Convention on International Trade in Endangered Species of Wild Fauna and Flora
Party to the Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and Their Disposal
Party to the Montreal Protocol on Substances That Deplete the Ozone Layer
Party of the International Coffee Agreement 2001
Main International Economic Cooperation
Fully member of MERCOSUR since 2012.
Latin American Integration Association (ALADI) (in Spanish)
Free Trade Area of the Americas (FTAA)
The country have signed a trade agreement with 21 other countries in the São Paulo Round of the Global System of Trade Preferences among Developing Countries (GSTP).
Non Tariff Barriers
A large number of imported products are subject to a prior license application to the SECEX (Secretariat for Foreign Trade), which is the only organization authorized to issue this license. The license is valid for 60 days from the date of shipment of the goods (sometimes from the date of the license application). This period cannot be extended and is often insufficient. A new license application must then be made. For textiles, regulations are even more strict: the license is only issued if payment is carried out within 30 days following the date of the B/L (importers have to prove that they have effectively paid within the 30 days).
All imports must be accompanied at least by 2 copies of the commercial invoice and the B/L. In the case of non-compliance with the legal requirements of the country, the Customs have the right to impose large fines, up to 100% of the usual Customs duties being common. It is advisable in any case to work with a very good Brazilian Customs broker, who stays informed in due course of Customs regulations.
It is necessary to consult the numerous sanitary regulations before undertaking any imports.
Moreover, since Brazil launched the Brasil Maior (Greater Brazil) plan, a rise in trade protection has been observed.
Customs Duties and Taxes on Imports
10.73 %, within the average for emerging countries.
You can find Customs duties by country on the International Customs Tariffs Bureau website.


Customs Classification
Brazil applies the Harmonized Customs system. The Mercosur Common Nomenclature (NCM) is used to comply with the Harmonized Customs system.
Import Procedures
Every importer must be registered with the authorities in charge of foreign trade, SISEX, in order to be integrated into the Customs computer system, the SISCOMEX. More information is available here. This represents a costly investment, as the prerequisites, especially in terms of minimum capital, are considerable. The regime in place in Brazil has an automated process for issuing import licenses, except for a certain number of products listed below. Almost all used consumer goods are prohibited from being imported, although a few exceptions exist.
Importing Samples
Imported samples will be considered by the Customs at their market value, unless there is a particular agreement according to the quantity and size of the samples.
 
 
For Further Information
Customs Department
The WTO website

Learn more about Traders, Agents in Brazil on Globaltrade.net, the Directory for International Trade Service Providers.

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Reaching the Consumers

Marketing Opportunities

Consumer Behavior
Consumers are loyal to brands; including the low income population which this allows to assert itself. More well-off consumers pay particular attention to quality, after-sales service, and the company's social commitment (protection of the environment, sanitary standards, etc.)
National pride is reflected in consumer habits, but Brazilians remain attached to foreign products as exterior signs of wealth (technological equipment, American sports brands, etc.). Payment terms are an important factor.
Consumer Profile and Purchasing Power
Consumption among the majority of the population is turned towards food and housing. The Brazilian consumer is more demanding and selective. He is aware of quality, the price of goods and special offers. Brazil is a dual economy, in which the upper classes distinguish themselves by consumption close to that of the United States and Europe, while the poorer people have to be careful with prices and buy almost exclusively on the unofficial market.
Consumers Associations
IDEC , Brazilian Institute for the Defense of the Consumer
Main Advertising Agencies
Members of the professional association of Brazilian advertising agencies

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Distributing a Product

Evolution of the Sector
With the liberalization of trade, undertaken since 1990, many agents and distributors have formed themselves into companies and begun to import and sell on their own account. Today, the majority of the large distribution chains have their own import agency. For several years, supermarkets and in particular hypermarkets have become increasingly important in the distribution domain. 80% of sales of staple commodities can be attributed to Brazilian hypermarkets. In 2013, Brazil’s domestic retail market was estimated at about $230 billion.
Market Shares
CBD/Casino : 9.19% ; Carrefour : 5.96% ; Wall Mart : 4.1% ; Atacadao: 2.43% ; Lojas Americanas (en portugais): 2.18% ; SHV Makro: 2.01%.
Organizations in the Retail Sector
Brazilian supermarket association (Abrasnet)

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Organizing Goods Transport

Main Useful Means of Transport
The most commonly used means of transport in Brazil is roads, as it handles about 85% of the transport of people and products in the country (58% of the total freight). Practically all the State capitals are linked by tarmac roads. São Paulo, Rio de Janeiro and other important States have expressways. The road and motorway networks covers approximately 1.5 million kilometres, of which some 160,000 are tarmac, an increase of more than 300% over the last two decades. Recently, the management of several motorways has been transferred to the private sector.

The railway network carries 22.5% of goods traffic. Only 7% of the lines are electrified. Brazil's participation in the waterway mode of transportation is small when compared to other countries, despite its enormous potential for river traffic. Only 13% of cargo is transported by this mode. Brazil's large cities are well served by air. However, goods transport is not very developed, mainly because of the high cost of this type of transport.

The Brazilian transportation infrastructure faces many challenges, as roads and ports need to be upgraded. Over the last few years, the transportation sector was among those national economic sectors showing the highest economic growth.

Ports
Port of Recife
Port of Santos (São Paulo)
Port of the Rio Grande
Port of Salvador
Port of Rio de Janeiro
Port of Belem
Port of Paranagua
Port of Vitoria
Port of Itaqui
Port of Sao Sebastiao
River port of Manaus
Airports
Brazilian airports website
Sea Transport Organizations
Government agency for sea transport
Air Transport Organizations
National Civil Aviation Agency
Road Transport Organizations
National land transport agency
Rail Transport Organizations
National land transport agency

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Identifying a Supplier

Type of Production
Industry is dynamic and contributes 37% to GDP, especially in the following sectors: agri-foods, textiles, aeronautics, pharmacy, automobile, iron and steel industry, chemical industry.

Business Directories

Multi-sector Directories
NEI - Directory for industry in Brazil.
NEI Directory - Electronic components, chemicals, electric equipments suppliers directory in Brasil.
All.biz - Brazil - Directory of companies in Brazil.
BrazilBiz - Vendors and business opportunities in Brazil.
Brazilian Companies - Directory of resources provided by BrasilGlobalNet.
Brazilian Exporters Directory - List of Brazilian exporters provided by Brazil4export.com.
Brazilian Tradings Directories - BTD - Business directory provided by ApexBrasil, Brazilian Trade and Investment Promotion Agency.
Catalogo-Empresas - Brazil - Directory of companies, industries & services in Brazil.
CIB - Directory of Brazilian Importers - Directory of Brazilian importers, managed by the Secretary of International Trade of Brazil.
Cyclex - Brazil's business directory.
Directorio Industrial - Brazil's business directory.
Guias - Brazil's Yellow Pages.
Indian exporters - List of companies involved in trade between India and Ukraine, provided by the Embassy of India in Ukraine.
Indian importers - List of companies involved in trade between India and Ukraine, provided by the Embassy of India in Ukraine.
NEI Directory - Solar and photovoltaic panels - Directory of solar and photovoltaic manufacturers in Portugal.
PlanetaBrasileiro - A search engine for companies in Brazil.
Telelistas.net - Brazil's business directory.
The Yellow Pages - Find a business in Brazil.
Ukrainian exporters - List of companies involved in trade between India and Ukraine, provided by the Embassy of India in Ukraine.
Ukrainian importers - List of companies involved in trade between India and Ukraine, provided by the Embassy of India in Ukraine.
 
 
Manufacturers Associations of the Main Industries
55 professional associations listed for Brazil.
 
Trade Agencies and Their Representations Abroad
Chamber of Commerce and Industry of Rio de Janeiro
Enterprises Federation
Union representation for trade in goods, services and tourism.
National Confederation of Industry
National agency for support for SMEs
 
 

Learn more about Service Providers in Brazil on Globaltrade.net, the Directory for International Trade Service Providers.

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Learn more about Sales in Brazil on Globaltrade.net, the Directory for International Trade Service Providers.

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Last Updates: February 2015