Geovana Pagel
São Paulo – A cargo of 15,000 bottles of Água de Cheiro perfume, one of the largest Brazilian perfume makers, was unloaded in Riyadh, Saudi Arabia, on Friday, November 7. In January 2004, another shipping of between 40,000 and 50,000 new units should be sent.
The export is taking place due to an agreement with a large local importer, with 13 perfume stores in Riyadh and Jeddah, two of the most important cities in Saudi Arabia.
Negotiations began in January 2002, when Água de Cheiro managing director Ricardo Pimenta participated in an Arab Brazilian Chamber of Commerce trade mission to the Arab countries.
According to Pimenta, in July last year, the Saudi businessman came to Brazil to continue negotiations. "Due to the war in Iraq, contact dropped, but in April this year they restarted", he says.
Last July the Arab businessman traveled once again, and closed the deal. In August he placed the official order and requested shipping before the end of Ramadan.
"Relations with Arabs normally start in business and then become personal", says Pimenta. "I have noticed that the first deal must go through a long period of maturing. The Arabs are also excellent negotiators", he points out.
The masculine and feminine colognes, all 100ml with spray valve, were adjusted to some demands. The fragrances use special denatured alcohol, which makes the liquid undrinkable, and had their concentration and durability increased.
The text describing product composition has been translated to English, and the phrase "exclusively for external use" was translated into Arabic. Água de Cheiro also had to register in the Saso, the Saudi organism that regulates Saudi import, located in Miami.
Continuity
This is not the first time that Água de Cheiro tries to establish itself in the Middle East. In 1994, the company installed seven franchises under their brand. The attempt, though, did not work out. "We closed the franchise system in Saudi Arabia and Portugal, our first importers, in 1996", recalls Pimenta.
From then on, Água de Cheiro opted for small export shipments to the region. Now, after closing this deal with the Arab distributor, who should in turn supply the perfume to between 10 and 12 countries, new partnerships may arise.
The Água de Cheiro managing director will be at the Brazilian Week in Dubai, United Arab Emirates, from December 7 to 9. The exhibition will certainly be a great opportunity to establish contacts and negotiate with new distributors.
The company
The name given to "cologne water" and the scented water (Água de Cheiro translates to Scented Water) that maids used to rinse their bosses clothes in old times was given to this large Brazilian perfume producer, established in São João Evangelista, Minas Gerais (southeastern Brazilian state), in 1976.
The Água de Cheiro products currently produced by Fanape – Fábrica Nacional de Perfumes Ltda., founded in 1981 in Belo Horizonte (capital of Minas Gerais state), are distributed in over 630 exclusive stores throughout Brazil and in five countries.
The group is currently present on the international market with export to countries like Japan, the United States, Central America, Portugal, and Saudi Arabia.
Água de Cheiro generates 180 direct jobs in their factory and 1,500 indirect jobs, through their franchise stores. They offer a mix of 365 products and ended 2002 with revenues of US$ 34 million. According to Pimenta, annual export represents 2.5% of company revenue, but this may reach 5% by 2006.
