Geovana Pagel
São Paulo – A cooperation agreement to benefit small rubber artefact producers from the southeastern state of São Paulo was signed on the March 15th by the presidents of the Brazilian Export Promotion Agency (Apex), Juan Quirós, and of the Union of the Industry of Rubber Devices in the State of São Paulo (Sindibor), Edgard Solano Marreiros.
Forecasting investment of around US$ 480,000 in actions for promotion and participation in international fairs, the sector hopes to increase export in 2004. The objective is to expand the number of exporters in São Paulo from 17 to 25, resulting in a revenue increase from U$ 560,000 to US$ 610,000.
The rubber market in Brazil generates 41,000 direct jobs, 25,000 in the state of São Paulo alone, and includes another 110,000 indirect occupations. Another target established in the agreement is the creation of 1,164 new work slots in the 22 participant companies in 2004, and another 1,257 next year.
With around 1,400 companies, 90% small, the domestic rubber goods sector presented net revenue of US$ 1.37 billion in 2003, of which 10.3% were obtained with export.
"This partnership is an advance, a very important conquest. I hope that we can make the sector understand that exporting is not a scary process," declared Edgard Solano Marreiros, president of the Sindibor, which currently includes 152 associated companies.
"This agreement is not only proof of country confidence in product industrialization, but also means a new era of investment, of international quality standards, and of greater representation of productivity gain," stated the Sindibor president.
Juan Quirós, president of the Apex, stated that the agency has been supporting important sectors of the Brazilian economy, with greater added value and high potential of participation in the Brazilian export basket. "I am very satisfied when I see a union made up mainly of small companies interested in exporting, because our target is small companies," he stated.
"We have been working to incorporate all rubber goods producers in an attempt to reach new markets, consolidate those that already trade and contribute to increasing jobs and income," explained Quirós.
According to him, the Apex projects are not just market prospecting. "It is necessary to prepare the company, plan, and qualify labour. The businessman must understand what is going to happen to the company," he stated.
Targeted markets
The main markets that the rubber businessmen are focussing on are the United Arab Emirates, Latin America, Germany, France, Italy, England, the United States, Angola, and Nigeria.
The main customers for the sector are carmakers, and companies in the following areas: spare parts, shoes, mining, electric equipment, entertainment, health, and others.
The greatest businesses in the sector, which already export, are also providing incentives to the project. Saulo Pucci Bueno, owner of company Amazonas, which has been exporting components for shoes (heels, soles, and rubber slabs) since 1963, mainly to Latin America, the United States, Africa, and Asia, wants to increase sales to potential markets such as the Middle East and Africa.
"We have been exporting to Egypt, Jordan, Lebanon, and the United Arab Emirates for ten years. We hope to grow at least 10%, mainly in sales to the Arab countries and Africa," he stated.
Amazonas can produce 5 million pairs/month (only soles), in their 14 production units, and generates 3,000 direct jobs.
First steps
Among the various steps to be taken within the project, are organization, analysis and consolidation of productive chain information, market prospecting, courses for certification and quality, strategic planning, commercial promotion, and marketing.
The project will start assisting in sector negotiation on April 27, when a group of importers from 30 countries will be coming to São Paulo to participate in the International Fair of Technology, Machinery and Rubber Products (Expobor) and in the International Fair of Technology and Equipments for Tyre Retreading (Recaufair), at Expo Center Norte in São Paulo. There will be business round tables with representatives from the countries invited.
"Brazil is currently the country with most certifications in the world. I am sure that the initiative of bringing these buyers will generate more business than expected," stated the Sindibor president.
According to him, the sector has over 3,000 finished rubber artefacts, among them hoses, doorstops, electrical conduit, etc.
Promoted by fair organizer Francal Feiras and sponsored by the Brazilian Association of the Industry of Rubber Devices (Abiarb), and by the Tire Retreaders Association in the State of São Paulo (Aresp), Exporbor and Recaufair will bring together 1,400 Brazilian companies from two areas, of which 900 are based in the state of São Paulo.
Expobor and Recaufair, both in their sixth edition, are among the most important events in the area, as they make it possible to exchange ideas and the most recent innovations by industries, suppliers, and service providers. In an area of 6,000 square meters, the fairs this year are going to include 200 exhibitors and around 12,000 visitors.
Apart from the fairs in Brazil, the sector should participate in a fair in Frankfurt, Germany, at the end of this year.
