Geovana Pagel
São Paulo – The 37th Cairo International Fair, which promises good business opportunities to Brazilian businessmen, begins today (17), at 10:00am. The event, to go on up to March 26, is considered an important source of publicity for Brazil in Egypt, currently the second largest economy in the Arab countries. One of the Brazilian companies present at the event has already closed deals.
The fair in Cairo, considered the most important business event in Egypt, and also the oldest, is turned to ample trade of products and services, including construction material, watches, computers, cosmetics, electronic products, shoes, furniture, presents, jewellery, decoration items, leather goods, pharmaceutical products, plastics, rubber, sports equipment, agricultural machinery, equipment, and auto parts.
The Arab Brazilian Chamber of Commerce (CCAB) has been participating in this multisector fair since 1997. In a telephone interview to ANBA from Cairo, CCAB secretary general Michel Alaby showed his optimism adding, "there are good business possibilities for the Brazilians who are exhibiting at the fair."
An example, according to Alaby, is the fact that one of the Brazilian companies to participate in the event has already closed its first deals, even before the fair is opened to the public. Official opening took place last night (16) and included the presence of Egyptian Prime Minister, Atef Obeid.
Brazil is represented by two stands: One belonging to the CCAB, and the other to the Brazilian Zebu Breeders Association (ABCZ), which is counting on Brazilian Export Promotion Agency (Apex) support.
Apex president Juan Quirós will be travelling to Cairo on March 24, where he should have a schedule apart from the fair. According to an Apex spokesperson, he should be meeting representatives from the Egyptian Businessman Association (EBA) and Egyptian Foreign Trade minister, Youssef Boutrus Ghaly.
"We will once again be representing Brazilian companies in an important international fair. This time in a multisector event," commented Quirós.
The CCAB stand includes four companies: Tigre – pipes and connections; Criogen, which makes tanks and containers for compressed and liquefied gas; Ataforma – moulds and extractors for popsicles, and stick aligners; Sansuy – plastics. The Arab Chamber will also be showing another 9 Brazilian companies that will have their product catalogues exhibited at the stand.
Industrial partnerships
Mohamad Bakry Agami, Egyptian commercial consul in São Paulo, the largest financial centre in Brazil, informed ANBA yesterday that the Cairo International Fair is the most important business event in Egypt, and also the oldest. "It is a great chance for companies all around the world to show their products and new technologies," he stated.
For Brazil, added Agami, it is a great opportunity to change the country image. "Most Egyptians do not know, for example, that Brazil produces highly technological equipment. It will also be a moment to find partners for industrial cooperation," he guaranteed.
It is worth pointing out that Industrial cooperation is a project that the Egyptian government is developing, and the objective is to establish partnerships between Brazilian and Egyptian companies. According to Agami, Egyptian Foreign Trade minister Botros Ghaly discussed this matter in December, while he was visiting Brazil. The idea, explained the consul, is to establish systems for industrial cooperation, increasing trade between both countries.
The Egyptian consul said it is important for Brazil to look at the Egyptian market not only as one to sell products, but also as one to invest in and establish industrial partnerships. "This is another step in the direction of diversifying markets," explained the Egyptian consul.
According to him, the fair is an opportunity to show products and make contacts. "Brazilian companies will certainly find Egyptian companies interested in partnerships," he remarked.
Visit to Brazil
During the fair in Cairo, CCAB representatives will be making a presentation of market studies they prepared with the consulate in São Paulo to businessmen. These studies evaluate the potential 20 products have of selling in Brazil.
The intention is to show the Brazilian market and also invite the businessmen present to visit the country this year. "Our intention, in partnership with the CCAB, is to bring a delegation of Egyptian companies to Brazil in 2004. Talks should begin during the fair," he informed.
Main buyer
Brazilian businessmen are interested in the fair itself, but they also have their eye on the potential of the local market. In January and February this year, export to the country rose by almost 140%, to US$ 120 million. With this, Egypt, previously the third largest buyer of Brazilian products in the region, has become first in the rank, in terms of revenues, followed by the United Arab Emirates (revenues of US$ 82.7 million) and Saudi Arabia (US$ 82.3 million).
The growth in sales to Egypt was also one of the highlights in the agribusiness trade balance. According to a report published by the Agriculture Ministry Production and Trade Secretariat, agricultural product shipping to the country grew 220.5% in the first months of 2004.
In January alone, Egypt purchased 15,200 tonnes of Brazilian cattle beef, equivalent to US$ 15.1 million. With this, the country became the main buyer of the Brazilian product in terms of quantities, and second in terms of revenues.
Still in January, Egypt purchased the equivalent to US$ 8.8 million in Brazilian sugar against US$ 4.5 million registered in the first month last year. In the evaluation of CCAB technicians, this increase in beef and sugar sales is the main reason for this great growth in trade between Brazil and Egypt.
