Jeddah – The Brazilian trade delegation that is in the Middle East seeking opportunities is leaving Jeddah, in Saudi Arabia, on Tuesday (19) and promises new export contracts, after roundtables with local businessmen on Monday (18), at Park Hyatt. The mission, which is going to visit Dubai, in the United Arab Emirates, is organized by the Brazilian Export and Investment Promotion Agency (Apex) with the support of the Arab Brazilian Chamber of Commerce.
"The level of the buyers was great, and there are good business perspectives,” said Rafael Narciso de Souza, from Sakura, a traditional maker of soy sauce. "They are interested in buying new products and placing them on the market,” he added.
Apart from traditional soy sauce, the company also showed gluten-free and lower salt versions, according to Souza, which may be good differentials on the foreign market. "They want greater quality with more accessible prices,” he said. The company also presented its lines of chilli sauces and sauces for salads and there was even interest in products considered typically Brazilian, like heart of palm and other pickles.
Julio Ribeiro, from Clap Alimentos, said that the roundtables exceeded expectations. The company already sells its line of ready dishes and frozen cheese bread to a supermarket chain in Riyadh, the country capital, but is not yet present in Jeddah. He said he made promising contacts in this respect.
"We have great faith in this market [of the Middle East], which is growing while other economies are stagnated,” pointed out Ribeiro. "We see great potential,” he added. He also pointed out that to establish himself in the region it is necessary to be persistent, to regularly visit clients and potential buyers.
In the same line, Alain Whebe, from Chocolates Garoto, explained that he already sells to a supermarket chain in Riyadh, but that he does not yet have buyers in Jeddah. In the city, he wants to find a distributor who supplies real estate in general. “If we have a distributor we may ship more, instead of 140 to 150 tonnes a year, we may reach as much as 400 tonnes,” he said.
The market, according to Whebe, "has much price dispute " in the area of chocolates, with strong competition with Turkish and European companies, which pay much cheaper freight to place products on the market in the Middle East. According to him, transport of a forty-foot chilled container from Europe takes seven days and costs US$ 700 to US$ 800, while from Brazil it takes 42 days and the value is as much as US$ 6,0000. However, Whebe guarantees that Garoto has an “aggressive” price policy and hopes for new business to be closed.
Also in the area of chocolates, Harald wants to enter Saudi Arabia. The company currently sells to the Emirates, Jordan and Yemen. Its line of products, however, is different, with items like powdered cocoa and chocolate sweets turned to bakeries and confectioneries. One of the highlights is the certificate of origin of the cocoa, which comes from exclusive suppliers from Pará and Bahia. “I think it is very possible for us to manage something,” said José Ricardo Cicone, the foreign trade manager.
Also believing in the business potential is Richard Posse, from Pacific Group, in Brasília, which represents Coco do Vale, a producer of coconut water. The company does not yet export to the Middle East and aims to find a distributor or large retail chain.
Many of the members of the delegation are in the food sector, and many are then heading on to Gulfood, a food sector fair to take place in Dubai next week. This is the case, for example, with Max Arora, from Evia Foods, which exports mostly chicken. Like him, several of the businessmen heard by ANBA believe that contacts at the roundtables may result in business at the fair, the main event in the sector in the region and one that is visited by several importers who were in the meetings on Monday.
Less optimistic are the representatives of wineries Aurora and Garibaldi, from Rio Grande do Sul, which are trying to sell 100% grape juice in the Middle East. “There are many people interested, but few prepared to invest,” said Felippe Tiago Fleck, from Aurora. Although there are many juices available on the local market, importers are not used to buying the bottled product, ready to drink, as local producers tend to purchase concentrate and bottle it in their region.
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Outside the area of food and beverages, Fabio Toledo, from General Products, sees potential for sales of auto parts made by the companies he represents. He already does business in the Saudi city of Damman, but is seeking a new distributor in Jeddah. The main demand, according to him, is for lorries, buses and heavy construction machinery.
In the sector, NSO Borrachas has seen much interest in pipes for vehicles. Although its specialty is pipes for heavy vehicles, the company guarantees that it may produce what the clients wish for. "It is good having hoses to develop,” said Karla de Mello Kalef, administrative and commercial director at the company.
*Translated by Mark Ament
