São Paulo – Kepler Weber, the Brazilian agricultural storage systems manufacturing company, has created a silo tailored for the African market. The product is designed for small rural properties and features a solar-powered aeration system. The equipment was primarily developed to suit the needs of Sub-Saharan Africa, where a significant portion of farmers have no access to electricity.

Kepler Weber foreign trade manager Antônio Campos explains that about a year ago, the company’s vice president and Investor Relations director Olivier Colas surveyed the African market to assess potentialities and needs. Afterwards, the company developed the silo, named Kikapu, Swahili for “basket,” in order to store food and harvests.

“In Sub-Saharan Africa, 70% of the farms measure five hectares on average,” says Campos, adding that the goal was to address demand with a product that could store the grain, process it and remove moisture. The main product farmed at these properties is maize, which the silo’s aeration system will help dry up.

Campos explains that in case the product is kept in the crop until it dries, pests will prey on it. In order for it to be harvested while still protected from pests, it must have humidity ranging from 17% to 18%. Then, it can finish drying inside the Kepler Weber silo, using the ventilation the equipment provides. If the silo was not aerated, then the maize might grow fungus.

The solar panel that feeds the ventilation system is photovoltaic. Campos claims that by using the equipment, farmers will not be forced to sell their product at the peak of supply, when prices are lower. In Sub-Saharan Africa, the manager explains, farmers often use part of the product for their own consumption and sell the surplus. Kepler Weber has developed the silo in three different sizes, but initially it will sell the six-tonne unit.

The product was launched in partnership with Kepler Weber’s East Africa representative, Brazafric, early this month at an agriculture forum in Kenya. The silo will be showcased at an African Union seminar on the impact of climate change in Africa next November in Addis Ababa, Ethiopia. The company will likely take the opportunity to hold another meeting in the country, plus one in Tanzania.

Campos believes demand for this silo should not be strong in Arab countries, since most of them – excepting some, like Morocco and Egypt – are not farming countries. Furthermore, properties in those countries are medium-sized. Some of the Arab nations, however, such as Comoros, Djibouti and Somalia, are included in some classifications of Sub-Saharan Africa.

Kepler Weber’s foreign trade manager claims the company has set a ceiling price of US$ 4,500 for the end consumer, but the tag may be lower. The company is hoping to sell the silo both via commercial distribution outlets and in large volumes, to initiatives of the United Nations Food and Agriculture Organization (FAO) and non-government organizations.

Kepler Weber is the leading storage company in South America and the leading manufacturer of complete grain storage systems in the world. Last year, the company posted a net income of R$ 594.8 million (US$ 266.9 million), up 40.1% from 2013. Net profit was up 98.5% to R$ 62.1 million (US$ 27.8 million). The company’s plants are located in the states of Rio Grande do Sul and Mato Grosso do Sul.

*Translated by Gabriel Pomerancblum

São Paulo – The Brazilian beachwear industry will seek more market abroad with a new concept, “Fashion Beyond Summer”. The strategy was launched two weeks ago in Miami, United States, and the objective is to associate Brazilian-made bikinis, swimming trunks, swimming suits and the like not only with the Brazilian lifestyle of happiness, beautiful beaches and sceneries, but also with production quality.

 “The finishing, the technology used, the innovative cut, the prints, the sophisticated materials used, the colour palette,” says the project manager of Brazilian Export and Investment Promotion Agency (Apex-Brasil), Isabel Fontoura, about the attributes of the beachwear the initiative wants to advertise.

The Apex is backing the “Fashion Beyond Summer” alongside the Brazilian Textile and Apparel Industry Association (Abit) and the Brazilian Designers Association (Abest).During the World Cup 2014, which took place in Brazil in June and July, the agency launched and advertised the “Brazil Beyond” concept, aimed at Brazilian production as a whole. The action in Miami, with a specific focus on beachwear, was the first carried out abroad after the Cup. Throughout this year, ten international events will highlight other segments of the Brazilian industry.

Miami was not randomly chosen for the launch of “Fashion Beyond Summer”. The United States are currently the largest importers of Brazilian beachwear, according to Fontoura. The event in which the concept was introduced was held at the Soho Beach House hotel and gathered trendsetters, journalists, buyers, local and Brazilian companies. It showed Brazilian fashion among other kinds of art, such as music and gastronomy, with a cocktail and a show by the Brazilian band Saulo Duarte e a Unidade, among other performances.

As part of the initiative, Brazilian companies took part in two fairs in Miami soon after the event, the Cabana and the Miami Swim Week. The former is an exclusive trade show, featuring at most 80 brands from all over the world. The program also endorsed a parade by three Brazilian companies at the Mercedes-Benz Fashion Week Swim. A temporary store was set at the Soho Beach House’s rooftop terrace for four days, so attendees could see Brazilian beachwear up close.

The “Fashion Beyond Summer” concept will go on being advertised, according to Fontoura. The Apex is starting to draft plans with the Abit and Abest for the Paris Fashion Week, which will be held in the second half of the year. In this case, however, the conception will be broader, as it will have not only beach products, but fashion in general.

All actions are designed to increase exports. The Apex project manager claims that Brazilian fashion is already internationally renowned, but there is room for improvement. “Positioning is key,” claims Fontoura. Last year, Brazil exported US$ 10 million in beachwear and the main markets were the United States, France and Portugal.

The Arab countries are not among the main destinations of the segment, but according to the Apex project manager, they have a lot of potential. She mentions some specific products which may find a market in the region, such as the kaftans and cover ups (a long loose tunic of light fabric) which may be worn over the bikini. Fontoura recalls that the Arab importers usually attend the Paris Fashion Week, which is visited by buyers from all over the world, and Brazil will also participate in it.

The two main destinations of Brazilian exports in the Arab world, according to the Apex-Brasil, are the United Arab Emirates and Lebanon. Last year the country exported US$ 216,000 to the Emirates and US$ 58,000 to Lebanon. Brands such as Blue Man, Desiree Nercessian, Despi, Feriado Nacional, Vix, Lenny, Salinas and Clube Bossa export to the region.

*Translated by Rodrigo Mendonça

São Paulo – Brazilian pharmaceutical industry executives attended a lecture this Wednesday (30th) at the offices of the Arab Brazilian Chamber of Commerce, in São Paulo, to learn more about the workings of this industry in the Middle East and North Africa. The workshop was also attended by professionals from other industries who are interested in doing business with Arabs.

The event is sponsored by a partnership between the Arab Chamber and the Brazilian Pharma Chemical and Pharmaceutical Inputs Industry Association (Abiquifi), and precedes a matchmaking event for Arabs and Brazilians due on August 5th and 6th, during the CPhI South America fair in São Paulo.

The workshop was delivered by the Arab Chamber’s CEO Michel Alaby, International Business executive Rafael Solimeo, and Business and Markets manager Rafael Abdulmassih.

“The Arab countries rank among the leading pharmaceutical importers in the world, and are the 23rd leading export destination for the Brazilian pharma industry. There is plenty of room for growth,” Solimeo stressed. In his presentation he showed that last year, Arab countries imported a combined US$ 18.59 billion worth of pharma products from the world. Brazil, however, only accounted for US$ 11.57 million of that sum.

The Arab companies attending the matchmaking are Tabuk (Saudi Arabia), Bajafar Medical (Sudan), Reopharm and Al Taqaddom Pharmaceutical Industries (Jordan), Ibn Hayyan&Mohdar (Yemen), Al Multaqa Drugs & Pharmaceutical (United Arab Emirates), Unipharma (Iraq), Biopharm and SigmaTec Pharma (Egypt).

Saudi Arabia, Egypt, Sudan, Iraq and Emirates are some of the top Arab pharma importers.

During the lecture, the profiles of each of the matchmaking companies were outlined, as well as those of their countries of origin. “Europeans are always among the main trade partners with Arab countries in this industry,” said Solimeu. He also explained that countries like Saudi Arabia and the Emirates operate as distribution hubs in the region, acting as gateways into other countries.

Adriana dos Santos, the New Business director for Brasterápica Farmacêutica, notes that her although her company does not export at this time, it is expanding and beginning to seek out export avenues.

And what caused the company to become interested in the Arab market? “I see many opportunities, because they already import from Europe and the United States. I believe Brazil offers more competitive pricing, so there is an opportunity to be explored,” she says.

Brasterápica manufactures medication for the flu, fever, headache, cough, cold, vitamin supplements for children, and phytotherapy products, among others. “I hope we can pave the way for new business deals,” she said regarding her expectations for the matchmaking with Arabs.

Theraskin, a maker of cosmetics, dermo-cosmetics and therapeutic treatment products, is also looking to start selling to foreign countries. “The Arab market is very large. I believe it holds several areas of interest to the company. We are not certain that we will start exporting right away, but we believe some of the countries, considering their market characteristics, may be interesting eventually,” said Products manager Álvaro Menezes.

At the presentation, the profiles of Egypt, Saudi Arabia and Sudan attracted the executive’s attention. Menezes believes the matchmaking will kick-start his prospecting. “We will begin to learn a bit about our possibilities as concerns exports and the foreign market,” he said.

How to negotiate

The workshop also featured important tips on doing business in the Arab world. “Arab businessmen favour personal relationships over entrepreneurial ones,” Alaby warned.

The Arab Chamber CEO also highlighted the importance of one-on-one contact when doing business, and explained that email is a tool mostly used by the younger executives, while older businessmen prefer the telephone, in case an actual meeting is not possible.

Alaby also discussed the Ramadan, the holy month of Muslims, which ended on Monday (28th). “During the Ramadan, it is not advisable to schedule trips to [the Arab world]. They work less hours and are not allowed to drink water or eat [during daytime]. Doing business during this period is harder,” he said.

According to Alaby, “we must be familiar with the culture in order to avoid mistakes and keep negotiation channels open.” The executive also stressed the importance of speaking other languages, such as French and English, when the time comes to talk business with Arab executives.

*Translated by Gabriel Pomerancblum