São Paulo – The Sultanate of Oman is optimistic about the possibility of attracting more Brazilian investment, after the success of the project of the mining company Vale at the Port of Sohar and the purchase offer recently made by BRF for 40% of its distributor in the country, Al Khan Foods. This Monday (12nd), representatives from Omani agencies and companies presented business opportunities in the Brazil-Oman Economic Forum, held today at the Grand Hyatt hotel, in São Paulo.

“I think [this event] is precisely the outcome of the first trip of a [Brazilian] authority to the Sultanate of Oman, when I was there last year. It has led to this trade and industry forum, where Omani and Brazilian representatives have met to learn how to invest in Oman, and how Omani businessmen can invest here in Brazil”, said Brazilian vice president, Michel Temer, who took part in the conference.

According to the Omani ambassador in Brasília, Khalid Al Jaradi, the government of his country has a long-term strategy to diversify the economy, since the oil and gas industry accounts for 50% of activity. The areas the Omanis plan on developing include the food industry. They believe they can make Brazilian companies interested in carrying out something similar to what Vale did in the sultanate, in the iron ore business.

The mining company has a pelletizing plant, a seaport and a distribution centre in Oman’s Sohar port area. The place is considered strategic by the company to answer to the Middle Eastern and Indian markets, and there was an investment of US$ 2 billion there. “It is a very favourable environment to foreign investment,” said the External Affairs head of Vale, Marcio Senne.

Interested in the potential presented by the Brazilian grain exports, the director of Port of Rotterdam International (PoRint), which runs the Sohar Port and Freezone, said there are plans of setting up a food distribution hub at the facility. The representative of PoRint in São Paulo, Peter Lugthart, said they are trying to attract more companies from Brazil, besides Vale. “In our opinion, there is space to set up a grain terminal”, he said.

Other activities Oman wishes to develop are steelworks, fishing and aquaculture, agriculture, information and communication technologies, chemistry and petrochemistry, tourism, besides expanding its infrastructure.

“The policy of attracting investments to Oman is bearing great results”, said the Arab Brazilian Chamber of Commerce’s president, Marcelo Sallum. “It is a wonderful country, tourism-wise”, added the CEO of the organization, MIchel Alaby. Both visited the Gulf nation alongside Temer, in 2013. The Arab Brazilian Chamber helped the Omani embassy hold the forum this Monday.

These country believes these areas can offer “competitive advantages”, either in the way of raw material and services availability or for its geographic location, halfway to large consumer markets.

“Our goal is to build partnerships with Brazilian companies,” said the chairman of the Duqm Special Economic Zone Authority and head of the Omani delegation, Yahya Said Abdullah Al Jabri. “We have reasons to hold similar activities (the forum) in the future,” he said. Approximately 160 people were in attendance.

Presentations were given on the ports and free zones of Duqm, Sohar and Salalah. Apart from their infrastructure and location, these facilities offer tax exemption, among other advantages. In Duqm, for instance, the grace period for taxes is 30 years.

Two-way street

Temer stated that Brazil is also interested in being targeted by investment from Oman, and said his country should see an infrastructure sector investment of US$ 150 billion in the next five years. “Bring your companies to invest and to make money,” he said.

One of the Omani companies at the forum invests overseas. The Oman Oil Company is a sort of sovereign fund from the Arab country that operates in energy and related activities. In South America, the company has business interests in Chile. “Brazil is one of the places we look to. If we find anything that fits our portfolio, we will look into it,” said the vice president for Emerging Business vice-president, Hilal Al Kharusi.

To Marcelo Sallum, Temer’s visit to the sultanate in 2013 “gave a positive signal of the [Brazilian government’s] interest in establishing closer ties” with Oman. “And the fact that the vice president has attended this forum was important, since it gave credibility, not to mention that we had the opportunity to see new projects,” he said. The Duqm project, for instance, is new.

Because developing its infrastructure is a priority for the Omani government, Sallum added that construction works in the Arab country could translate into “big opportunities for Brazilian companies.”

Double taxation

One obstacle to the development of closer ties with Oman, and to the internationalization of Brazilian enterprises in general, was discussed by senator Ricardo Ferraço (from the Espírito Santo chapter of party PMDB), chairman of the Senate’s External Relations and National Defence Commission. According to him, the Brazilian legislation regards the sultanate as a “location with more favourable taxation” and a “more favourable tax regime,” i.e. a fiscal haven, which prevents Brazil from negotiating an agreement for preventing double taxation in mutual investment.

“We must review this petty position, this Jurassic bureaucracy,” the senator criticized. He promised to “stress” the issue at the commission he presides, i.e., to place it on the agenda and discuss potential modifications.

Temer asserted that the topic “is being continuously examined by government.” “On several occasions, whenever I take these trips [abroad], I hear these pleas [for anti-double taxation agreements],” he said. “The government has not closed the doors on the matter, the government is examining it in proper fashion, so as not to cause problems for the Federal Revenue here in Brazil, and the Revenue in the other country at hand,” he added.

*Translated by Rodrigo Mendonça & Gabriel Pomerancblum

São Paulo – Muslims travelling to Brazil for the FIFA World Cup will have an additional welcome treat, apart from the country’s warm hospitality. The Federation of Muslim Associations in Brazil (Fambras) has devised a guide for them, plus a mobile application and a landline to help them with directions and tips on how to observe the rules of their religion during the tournament.

According to information released by Fambras and the Brazilian Ministry of Tourism, out of 32 national teams playing the World Cup, six are from countries where Islam is significantly present. They are Algeria, Bosnia, Cameroon, Côte d’Ivoire, Nigeria and Iran. “In some of these countries, like Iran, football is a national passion, similar to Brazil,” says Fambras vice president Ali Zoghbi. In addition to fans from these countries, people from Muslim countries which are not playing the Cup should also attend.

The guide, is written in English and titled Guide Muslim Fan – Salam Brazil – World Cup 2014, is already available for download on the association’s website. There will be a print version as well. The guide is succinct and practical. It contains information on Islamism in Brazil, the prayer hours in the time zones of each host city, basic information on the host cities, their mosques, the matches they will host, the consulates and embassies from Muslim countries and the history of the World Cups.

The app for smartphones will bring the same information as the guide alongside other tools, such as a compass to show fans where Mecca is located, since they need to pray facing the city. There will be a 12-hour-a-day phone service available on 0800 718 6245, during the days of the World Cup, from 8am to 8pm, in English, Arabic, Spanish and French. For the remainder of the day, an answering machine is programmed, and will be checked on an hour-to-hour basis so calls can be returned in case of urgent messages, according to Zoghbi. Besides, the Fambras intends to send a team to visit the Muslim countries delegations and help them if need be.

According to the Fambras vice president, the federation has worked to spread knowledge about Islam among the general public for some time now. “We have set a few parameters to dispel prejudice and ignorance as to what Islam really is”, says Zoghbi. When Brazil was chosen to host the World Cup, Fambras decided that it would be a good opportunity to proceed with the work and help government organizations support the Muslims during the tournament.

Service:

Guide Muslim Fan – Salam Brazil – World Cup 2014: http://www.fambras.org.br/Content/image_app/images/FanGuidePDF.pdf

Telephone service for Muslims during the World Cup: 0800 718 6245

App for smartphones: coming soon

*Translated by Gabriel Pomerancblum and Rodrigo Mendonça

São Paulo – Arab companies which took part of the supermarket sector’s fair, Apas, finished this Thursday (8th), in São Paulo, promise to come back to the event next year. Invited to present their products at the Arab Brazilian Chamber of Commerce’s stand at Expo Center Norte, the exhibitors stated that the show offered the opportunity to reach a large number of purchasing public and to meet with people capable of deciding or not on the closing of deals.

 “Apas is a great opportunity for companies from Tunisia and other Arab countries to show their products and learn about the food consumed in Brazil and Latin America. It is also an opportunity for them to meet clients and distributors in Brazil. This was our first time at the fair, but it will not be the last”, said the Middle East and Africa Exporters Association (Maex)’s general-secretary, Zied Jaouadi.

Maex is based in Tunisia. At the event, Jaouadi presented dates produced in the country to visitors. He has already been to another Brazilian fair, Sial, last year.

The businessman suggested that in the next edition the fair organizers should bring together companies from other Arab countries and Brazilian suppliers to discuss business opportunities. “It would be a way to promote exports and imports”, said Jaouadi.

Chairman of the Egyptian company Elmokkadem Co. for Export and Import, Mohamed El Mokkadem came to Apas to show products such as potato snacks, dates, flavoring, among others. Besides looking for clients, he met with companies which are willing to export to Egypt.

 “The Brazilian market was unknown to us and we learn a little about it every day. I think I will be able to do business with the companies from here because my products are interesting to the Egyptian consumers and vice-versa. Dates are not grown here, for example, and there we don’t have tropical fruit we can find here. Brazil is also very technologically advanced in food processing. I would like to take this technology to Egypt. There will be even more opportunities in the next edition”, he said.

During Apas, Mokkadem met with a candy company from Brazil that wishes to import flavoring components. He may also buy fruit for Egypt. “For now it is time for Brazilian fruit, which have a large market in Europe, to be shipped. The price is a little high, so we have to wait for it to lower”, he said.

Owner of the importer and exporter Comercial Khoury, Amin Khoury, expects to close deals with the contacts he met at the fair. He exports to Brazil the olive oil Nasr, manufactured by his relatives in Lebanon. “Two olive oil specialists tasted our product and said it is very good. They will recommend it to their clients. Besides that, I have established import contacts with supermarkets in the São Paulo countryside and other states”, he said.

*Translated by Rodrigo Mendonça