São Paulo – In December, the Saudis will be able to purchase Brazilian products directly from a showroom. Trading company DXB, from Brazil, is going to inaugurate a Brazilian salesroom in Riyadh, the capital of Saudi Arabia, and is open to talks with Brazilian businessmen, especially those in the food and organic product sectors, who are interested in showcasing their products at the premises.
The showroom is going to have an area of 432 square metres and three floors. According to the Business Development director of DXB, Roberto Leandro, the idea is to exhibit only foods in the first floor, building material in the second floor, and cosmetics in the third floor. However, studies are still required to check whether cosmetics are a potential sector for the region.
“In the last two fairs that I attended in Saudi Arabia (Saudi Build and Saudi Agro-Food, which had support from the Brazilian Embassy to Riyadh) I sensed that the Arabs really want to buy from Brazil, but they need the company to have a representative in the country with whom they can negotiate directly,” said Leandro. According to him, the showroom should favour and increase trade between Brazil and Saudi Arabia.
The idea of opening the showroom in Riyadh rather than Dubai, for instance, which is the target of most Brazilian companies, is due to the country’s market potential. According to Leandro, Saudi Arabia has a population of 26 million, as against nearly 5 million in the Emirates, 80% of which are foreigners. “Saudi Arabia has a larger, more interesting market and it is growing,” said the director.
The Brazilian products that DBX is going to export to Saudi Arabia will be shipped directly to the Arab country. According to Leandro, the Saudis have some different customs laws and there are problems when it comes to receiving goods coming from other countries. One example is foods, for which the shelf life needs to be longer than in other countries.
The Brazilian showroom will have Brazilian and Saudi employees to cater to distributors, retailers and supermarkets. "It will be interesting," said Leandro. Products already being shipped to be sold at the showroom include fruit juices, guarana, hard candy, lollipops and organic foods, such as rice, soy, soy milk, biscuits and cakes. "We are not going to charge anything from companies interested in showcasing their products at the showroom," added the director.
According to him, the Brazilian companies are losing opportunities in the Arab market because they ended up attaching themselves to an exclusive distributor. "We advise them to get a feel for the product’s market acceptance first," said Leandro.
The DXB trading company was established in 2006, as part of the food industry group ASP Copacabana Holding. The company was created to intermediate business between Brazilian companies and Arab countries. DXB is already present in all of the Gulf countries, as well as Lebanon, Sudan, Libya and Jordan.
Contact:
DXB Trading
Tel. +55 11 3254-7675
Fax. +55 11 3254-7628
Site: www.dxb.com.br
*Translated by Gabriel Pomerancblum
