São Paulo – Jordanian group Munir Sukhtian (MS), which makes pharmaceuticals and cosmetics, is going to establish a partnership with company Pharma Vital, from São Paulo, to distribute its products in Brazil. The agreement, to be signed this month, during the visit of Jordanian King Abdullah II to São Paulo, may evolve to the opening of a factory in Brazil in future.
"The partnership involves three points: the transfer of technologies between both companies, the exchange of products for the sale of Brazilian products in Jordan and Jordanian products in Brazil and the joint investment in a factory to produce Jordanian pharmaceutical products in Brazil," said to ANBA the president of MS group, Nidal Sukhtian.
The first step, according to him, should be exchange in the area of distribution. Nidal wants to introduce herbal medication and cosmetics with therapeutic action into Brazil. Initial investment in distribution and marketing should total US$ 10 million, according to the businessman.
His company owns brand HiGeen, of items for personal hygiene, and sells in the Middle East, Africa, Europe and Bolivia. "This brand is case of international success," he said.
According to Nidal, the advantage of the partnership is direct access to the desired market, without intermediaries, which guarantees lower costs to the business. Apart from that, he declared that Brazil may serve as a gateway for Jordanian products to enter Latin America and Jordan may serve as a route for access of Brazilian products to enter the Middle East.
The businessman pointed out that Jordan is a great producer of pharmaceutical products, with annual exports of around US$ 500 million. The country is well known for the cosmetics made out of natural raw materials, especially the so-called "Dead Sea products", made with minerals from the region that have therapeutic action.
It has already been a year and a half since the Jordanian company started seeking a partner in Brazil and right at the start it sought assistance of the Arab Brazilian Chamber of Commerce to find one. Before investing in a factory, the company is going to seek Ministry of Health approval for sales of its products and to verify market acceptance.
*Translated by Mark Ament