P29. Contents. INDEE - Brazil 2009, Brazil. India Pavilion at CAITME 2009, Tashkent/ Uzbekistan. Important Notice. Highlights ISSN

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1 ISSN WEEKLY NEWSLETTER VOL. 11 ISSUE NO. 28 JULY 13, 2009 Highlights INDEE - Brazil 2009, Brazil is organizing an Indian P3 Engineering Exhibition (INDEE) in Brazil from October, Members are requested to register their participation within 7th August, Shri C. Rajendiran, I.R.S., Commissioner of Central Excise, Customs & Service Tax, Coimbatore addressing the gathering at Export Awareness Seminar in Coimbatore on 26th June, On the dais (L to R) Shri K.R. Pandian, Member, Working Committee, EEPC India (SR), Shri K. Kasturirangaian, Chairman, Functional Committee for Coimbatore, EEPC India (SR) & Shri M. Ganesan, Regional Director, EEPC India (SR) also present Contents From Chairman s Pen 2 OVERSEAS SECTION Overseas Market Information Council s Activities India Pavilion at CAITME 2009, Tashkent/ Uzbekistan Important Notice EEPC P9 INDIA is organizing an India Pavilion at CAITME 2009, Tashkent, Uzbekistan from September, Members are requested to register their participation within 15th July, EEPC P29 ALL INDIA Award for outstanding export performance in Members are requested to submit their applications online by 29th July, 2009 and hard-copies should reach the Head Office of the Council by 7th August, INDEE - Brazil 2009, Brazil 3 - India Pavilion at CAITME 2009, Tashkent, Uzbekistan 9 - India Pavilion at MIDEST 2009, Paris, France 13 Information on Brazil 14 Global Business Opportunities Tender Information 20 Trade Enquiries 28 DOMESTIC SECTION Important Notice EEPC All India Award for ourstanding Export Performance in Shipping Information 30 Steel Prices 34 For information about visit : For information about Exhibitions visit :

2 Chairman s Pen My dear fellow exporters, The EEPC All India Award for Outstanding Export Performance in will be presented shortly. The call for nomination of the award has been made and the application will have to be filed online by July 29, Thereafter, the hard copies of the application along with the documentary evidence required under the application will have to reach the Head Office by August 07, This year a total of 122 awards will be given in six categories. This includes five Gold Trophies, 5 Silver Trophies, one Special Trophy for Engineering Process Outsourcing Services, 102 Star Performers in Product Groups Trophies, six awards for Special Contribution and three awards for maximum participation in Council s Promotional activities will be given. I request all our members to apply for this prestigious awards and we have already requested the Hon ble Union Minister of Commerce & Industry to do the honourous this year. Yours sincerely, (AMAN CHADHA) 2 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

3 Council s Activities Invites Participation in INDEE Brazil, 2009 (Indian Engineering Exhibition) October 20 23, 2009 In association with MERCOPAR (Subcontracting & Industrial Innovation Fair) at Centro de Feiras e Eventos Festa da Uva Caxias Do Sul RS Brazil Brazil: A Vibrant Export Destination for India and the Opportunities in MERCOSUR Brazil is the world s tenth largest economy at market exchange rates and the ninth largest by purchasing power parity. Economic reforms have given the country new international projection. With large and developed agricultural, mining, manufacturing and service sectors, as well as a large labour pool, Brazilian economy is booming. The country is regarded as one of the groups of four emerging economies called BRIC (Brazil- Russia-India-China). The biggest investment boom in history is under way in Brazil. Brazil imported about USD million worth of engineering goods in 2008, of which only about USD 463 million went from India, indicating a share of only 0.71%. However, this share has substantially increased over the past few years, and India s exports to Brazil are increasing at a rapid pace. Brazil is a member of the MERCOSUR trade bloc, the other members being Argentina, Paraguay and Uruguay. It might be worthwhile to mention here that MERCOSUR is a trade bloc which sources about 80% of its import requirements from outside the bloc. This gives an immense opportunity to countries like India. India has signed a Preferential Trading Agreement with MERCOSUR which is in force since June 1, MERCOSUR has offered lower-duty access to 450 items from India, of which 170 items are from the engineering sector (please open this link to get the list of products with their HS Codes : Why Caxias do Sul? Caxias do Sul is situated in the Rio Grande do Sul state of Brazil. This state in Brazil possesses a unique location, as it shares its international boundary with three very important Mercosur economies, viz, Uruguay, Paraguay and Argentina. With the 4th largest GDP in the country and good highway and telecommunications infrastructure, Rio Grande Do Sul benefits from major national and international investments. The State also has substantial contribution in sectors such as metal and mechanical products, agribusiness, chemicals, leather products and furniture, pulp and paper. Rio Grande do Sul has the distinction of being the fastest growing state economy in Brazil. Caxias do Sul is the second largest city in the State, after its capital Porto Alegre, which is only 89 kms away from this city. It also happens to be the most important industrial cluster in the state of Rio Grande do Sul. There are a number of small, medium, large and multinational companies in the city, and it is recognized as an Entrepreneurial-Exporting Hub of Brazil. Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

4 Below is given a list of major cities nearby Caxias do Sul, and their distances from this city : (source: INDEE Brazil 2009 The Indiatech Fair in Sao Paulo, Brazil, which was organised in November 2003 with 87 Indian companies, fetched spot orders worth USD 50 million for the participants. Serious enquiries worth $25 million were generated in the show. India s exports of engineering goods, which was at a level of only USD 35 million then, have now reached a level of almost USD 500 million. EEPC India is pleased to announce its next INDEE Brazil to be held in Caxias Do Sul in Brazil from 20 to 23 October The show will be a part of MERCOPAR, a leading Subcontracting and Industrial innovation fair in the entire Latin American region taking place since The Mercopar exhibition is being organized by Hannover Fair Sulamerica Ltda, a subsidiary of Deutsche Messe and SEBRAE, an association promoting entrepreneurship in the small and medium industries sector in Brazil. India, this year, has been given the status of the Partner Country in this exhibition. Last year, EEPC India had an information booth in this show, and the response was rather encouraging. A substantial number of enquiries were generated in the fields of hand tools, cutting tools, agricultural implements, mining equipment, castings, forgings, automotive components and so on. Product Sector Basic metal Basic iron and steel Rolled, drawn and folded products of iron and steel Semi-finished products of nickel or nickel alloys Fabricated metals products Domestic metal products including utensils Hand tools and cutting tools Structural metal products and parts thereof Metal fasteners, springs and miscellaneous articles made from metal wire Bearings, gears, gearing and driving elements, and parts thereof Ball or roller bearings Transmission shafts and cranks; bearing housings and plain shaft bearings; gears and gearing Electrical machinery and apparatus Electric accumulators; batteries Electric motors, generators and transformers, and parts thereof Electrical equipment and parts thereof Electricity distribution and control apparatus, and parts thereof Insulated winding wire 4 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

5 General purpose machinery, equipment and parts Ovens and furnace burners and parts thereof Pumps, compressors, hydraulic and pneumatic power engines, and valves, and parts thereof Internal combustion piston engines and parts Special purpose machinery, equipment and parts Lifting and handling equipment and parts thereof Machinery for agriculture and forestry Machinery for metallurgy and parts thereof Machinery for mining, quarrying and construction, and parts thereof Machinery for textile, apparel and leather production, and parts thereof Machine-tools and parts and accessories thereof Domestic appliances and parts thereof Transport equipment, parts and accessories thereof Motor vehicles Motorcycles and parts Parts and accessories of motor vehicles Details of the Show Venue : Centro de Feiras e Eventos Festa da Uva Rua Ludovico Cavinato, 1431 Cep : Caxias do Sul - RS Date : 20th to 23rd October 2009 Time : 2.00 P.M. to 9 P.M. Display Booth The in-built booth of minimum 9 sq. mtr. shall contain 1 Round table 3 Chairs 1 Waste bin 3 Spot lights One 10 amp. electrical Socket Wall-to-wall carpet Fascia For additional furniture and other requirements, prior intimation has to be made to the EEPC India against payment. Larger booths in multiple of 3 sq. mtr. are also available. Participation Charges One side open booth : US$ 290 per sq. mtr. or Indian Rs. 14,500/- per sq. mtr. + Rs. 1,494/- per sq. mtr. as deposit towards Service Tax. Two sides open booth Early Bird Rates : US$ 335 per sq. mtr. or Indian Rs. 16,750/- per sq. mtr. + Rs. 1,725/- per sq. mtr. as deposit towards Service Tax. One side open booth : US$ 275 per sq. mtr. or Indian Rs. 13,750/- per sq. mtr + Rs. 1,416/- per sq. mtr. as deposit towards Service Tax. Two sides open booth : US$ 315 per sq. mtr. or Indian Rs. 15,750/- per sq. mtr. + Rs. 1,622/- per sq. mtr. as deposit towards Service Tax Early bird rates are applicable to those who will confirm their bookings on or before 21st July, Note : In case Service Tax is not chargeable, the deposit would be returned to participants. If participants make payments in US dollars, then Service Tax is not applicable. Due to limited availability of corner booths, allocation will be done on first-come-first-served basis subject to receiving full payment. Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

6 Payment & Cancellation Full payment should be made along with Application Form, duly filled in latest by 7th August, The payment should be made by way of Demand Draft drawn in favour of EEPC India. Booking of space will be considered only after receiving 100% payment. 50% cancellation charges applicable if reservation is cancelled before 7th August, Any cancellation after this date would result in 100% forfeiture. Acceptance of application and allocation of space will be at the sole discretion of the EEPC India. Selection Criteria Final selection of the participants will be done by a Committee based on the criteria such as Accreditation to the International Standards (like ISO, QS, etc.), foreign collaboration, annual exports etc. Marketing Efforts EEPC India would undertake special promotional efforts to invite serious business visitors to the INDEE show. These efforts would be undertaken in various parts of Brazil, and also the important neighbouring countries, such as Argentina, Paraguay and Uruguay. Shipment of Exhibits In order to facilitate shipment of exhibits, EEPC India will appoint a Shipping Agent. However, the participants are free to choose their own shipping agents. Travel and Hotel Accommodation EEPC India will assist participants in locating suitable airlines and hotels at Caxias do Sul Brazil at negotiated rates through accredited Travel Agents. However, participants are free to make their own travel/hotel arrangements. Visa EEPC India will issue recommendation letters in favour of the representatives of the participating Indian companies in INDEE for issuance of visa for the show. However, EEPC India will not give any guarantee to this effect, as this is the sole discretion of the Embassy of Brazil in India. EEPC India will recommend for issuance of visas for a maximum number of two participants for each 9 sq. mtr. booth. MDA Grant All eligible participants will be entitled to MDA grant under Focus LAC Programme of the Ministry of Commerce, Government of India as per the MDA Guidelines effective from April 01, The MDA guidelines can also be downloaded from /commerce.nic.in/mda-guidelines.pdf Assistance would be permissible on travel expenses by Air on return Economy Excursion Class fare and charges of built up furnished stall subject to an upper ceiling of Rs. 1,80,000/- (Rupees One Lakh Eighty Thousand only). Further, eligibility for MDA grant is subject to exporting companies having FOB value of exports not exceeding Rs. 15 crores in the preceding year, having completed 12 month membership with EEPC India with regular filing of returns and fulfilling other conditions, details of which can be obtained from respective Regional Offices of EEPC India. 6 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

7 Submission of Application Interested firms may please send their Application Forms (enclosed) duly filled in and signed, along with the payment latest by 14th August, 2009 to any of the following offices in the respective regions : Shri R. Maitra Shri Rajat Srivastava Executive Director Regional Director Vandhna, 4th Floor Centre 1, 12th Floor 11, Tolstoy Marg World Trade Centre New Delhi Cuffe Parade Tel. : / Mumbai Fax : Tel. : /00/01 eepcto@eepc.gov.in Fax : , Website : rd.eepcmum@vsnl.net/eepcmum@vsnl.com Shri Bhaskar Sarkar Addl. Executive Director & Secretary Shri A.A. Kazmi Regional Director (Actg.) Vanijya Bhavan (1st Floor) International Trade Facilitation Centre Vandhna, 4th Floor 1/1, Wood Street 11, Tolstoy Marg Kolkata New Delhi Tel. : /52 Tel. : /74 Fax : Fax : eepcho@eth.net info@eepcrodel.org Website : mail@eepcrodel.org Smt. Anima Pandey Shri M. Ganesan Regional Director Regional Director Vanijya Bhavan (2nd Floor) Greams Dugar (3rd Floor) International Trade Facilitation Centre 149, Greams Road 1/1, Wood Street Chennai Kolkata Tel. : / Tel. : /74 Fax : Fax : eepcchennai@airtelmail.in eepcrokol@vsnl.net Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

8 Name of the Company : Postal Address : Application Form INDEE - BRAZIL (20-23 October, 2009) Phone (with area code) : Fax (with area code) : Website : Total Space required (Minimum 9 sq. mtr.) : Area : Sq. mtr. Booth type : One side open Two side open Fascia name to be displayed : Amount with DD/Cheque No. & date : Name & Designation of the MD/CM : Name & Designation of the Participant : Mobile No. : Passport No. : Place of Issue : Date of Issue & Valid up to : Status (please tick mark) : Manufacturer/Exporter Merchant Exporter Export House Total Annual Export : (in Million US$) Total Export to LAC Region : (in Million US$) Foreign Collaboration, if any : Products Manufactured/Exported : Countries of Export : Accreditation to International Standards : (like ISO, QS, etc.) Nature of Display : Display of Samples Display of Posters 1. Please use separate sheet to furnish details of your company (within 80 words) for the Exhibitors Profile. 2. Please send us this Form duly completed and signed along with your participation fees by Demand Draft and 2 (two) copies of passport size colour photographs of the Participant. Signature : Date : Office Seal : 8 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

9 EEPC India invites Participation for India Pavilion at CAITME 2009, Tashkent, Uzbekistan (15 17 September 2009) Central Asian International Textile Machinery Exhibition (CAITME 2009) is the largest international Textile Machinery Exhibition in Central Asia. CAITME 2009 is a showcase of the latest technology and a meeting place for buyers and sellers in the textile industry from all over the world. It provides companies with the best opportunity to enter successfully one of the most promising markets with dynamically developing textile industry and recognized regional textiles and fashion development center. Potential of Textile Industry in Uzbekistan The Textile Industry in Uzbekistan is being considered as one of the most strategic and dynamically developing sectors of local economy with numerous quantitative and qualitative changes. Economic performance of the industry has seen a significant increase in the volume of domestic processing of cotton fibre, exports and production rates. Thus only in 2007 the volume of industrial production has grown by over 50%, the volume of exports of the industry has grown by 40% comparing to the year The share of finished textile products in the total volume of exports has increased up to 20%. In 2007 the volume of capital investments to the industry comprised over UZS 109 billion, including USD 82.5 million of foreign investments, 23 new joint ventures started to operate and export their products to the foreign markets. With the purpose of further development of the textile industry it is also expected to conduct a modernization and reconstruction of all obsolete enterprises while establishing new ones with the complete cycle of production, up to finished goods with high value addition, resulting into surge in demand for modern high quality equipment and technologies of world s best manufacturers at a competitive rates. Participation in CAITME 2009 will not only provide a successful entry into the Uzbekistan, but also other neighbouring countries of the Central Asian region, such as Kazakhstan, Kyrgyzstan, Tajikistan and Turkmenistan, the vast and booming new textile region of the world. Who visits the exhibition? Heads and managers of textile, knitting and sewing enterprises, mills and factories Heads and officials of the government organisations, ministries, state industrial associations and companies of Uzbekistan, Kazakhstan, Kyrgyzstan, Tajikistan and other countries of Asia, Europe and the CIS Representatives of private sector, small and medium enterprises Representatives of distributing companies Local and foreign mass media Scientific employees, technical experts and engineers Representatives of international financial institutions and banks. is organizing an India Pavilion at CAITME 2009 which would provide an excellent opportunity for business relationships with customers from all over the world. Main Product Categories Machinery for Spinning Preparation, Man-made Fibre Production, Spinning Machinery for Winding, Texturing, Twisting Machinery for Web Formation, Bonding and Finishing of Nonwovens and Felting Weaving Preparatory Machinery, Weaving, Turfing Machinery Knitting and Hosiery Machinery Sewing, Braiding and Embroidery Machinery, Accessories Washing, Bleaching, Dyeing, Printing, Drying, Finishing, Cutting, Rolling and Folding Machinery Machinery and Accessories for the Making-up Industry Laboratory Testing and Measuring Equipment, Accessories Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

10 Transport, Handling, Storing and Packing Equipment, Accessories Equipment for Recycling, Waste Reduction and Pollution Prevention, Accessories Software for Design, Data Monitoring, Processing and Integrated Production Associated Equipment and Products for the Textile and Making-up Industry Services for the Textile and Making-up Industry Auxiliaries and dyes, chemical components for textile, garments, leather industries. Venue Uzexpocentre, Pavilion No 1 Tashkent, Uzbekistan Date September 2009 (3 days) Participation Charges One side open built-up booths : Euro 370/- per sq. mtr. (minimum 9 sq. mtr. Shell Scheme) or Rs 25,000/- per sq. mtr. + Rs. 2,575/- per sq. mtr. as deposited towards Service Tax. 20% extra for corner stall (subject to availability). Note : In case Service Tax is not chargeable, the deposit would be returned to participants. If participants make payments in Euros, then Service Tax is not applicable. Participation charges also includes following services : Placing the company description into the on-line catalogue on the web page of the exhibition Official company listing Computerised registration procedures Preparation of badges for participants 2 tickets for each company for official gala reception Display Booth There will be in-built display booths of 9 sq. mtr. EEPC India will provide the following : Carpeted floor One table Three chairs One electrical socket Three spot lights One waste basket Fascia Please note that by paying an additional amount of Euro 300/-, participants can also get an entry into the official exhibition catalogue published in hard copy form. Mode of Payment Full payment is to be made along with the Application Form latest by 15th July, Payment may be made by Demand Draft/at par Cheque drawn in favour of. Cancellation of Participation Request for cancellation of participation will be accepted if EEPC India receives the same in writing on or before 25th July, EEPC India shall not entertain any cancellation afterwards. Any cancellation after the due date shall result in forfeiture of the amount already paid on this account. Selection Criteria Since limited space is available, selection of participation will be done strictly on first-come-first-served basis. 10 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

11 Benefit of the member-exporters All eligible participants will be entitled to MDA grant under Focus CIS Programme of Ministry of Commerce, Government of India as per the MDA Guidelines effective from April 01, Assistance would be permissible on travel expenses by Air in Economy Excursion Class fare and/or charges of built up furnished stall subject to an upper ceiling of Rs. 1,50,000/- (Rupees One Lakh Fifty Thousand only). Further, eligibility for MDA grant is subject to exporting companies having FOB value of exports up to Rs. 15 crores in the preceding year, having complete 12 months membership with EEPC India with regular filing of returns and fulfilling other conditions, details of which can be obtained from respective Regional Offices of EEPC India. Submission of Application Interested firms may please send the Application Form, duly filled in and signed, along with full payment latest by 15th July 2009 to the respective Regional Offices or to : Mrs Jaya Basu Deputy Director Vanijya Bhavan (1st Floor), ITFC 1/1 Wood Street Kolkata Tel. : /52/53 Fax : eepcho@eth.net Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

12 Application Form India Pavilion at CAITME 2009 Tashkent, Uzbekistan (15 17 September, 2009) Name of the Company : Postal Address : Phone (with area code) : Fax (with area code) : Website : Total Space required : Amount with DD/at par Cheque No. & date : Name & Designation of the Chief Executive : Name & Designation of the Participant : Type of Units (please tick mark) : SSI Non-SSI Status (please tick mark) : Manufacturer/Exporter Merchant Exporter Export House Total Annual Export : (in Million US$) Total Export to CIS countries : (in Million US$) Foreign Collaboration, if any : Products Manufactured/Exported : Countries of Export : Accreditation to International Standards : (like ISO, QS, etc.) Nature of Display : Manufacturer/Exporter Display of Posters Please use separate sheet to furnish details of your company (within 80 words) for the Exhibitors Profile. Please send us this Form duly completed and signed along with your participation fees by Demand Draft/Cheque and 2 (two) copies of passport size colour photographs of the Participant. Signature : Date : Office Seal : 12 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

13 INDIA PAVILION AT MIDEST 2009, PARIS, FRANCE is inviting participation India Pavilion at MIDEST 2009, Paris, France from 17th - 20th November, Members are requested to register their participation within 30th July, Details information has already been hosted in our Website ( for information of our members. Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

14 Overseas Market Information Brazil Synopsis of the Country Capital : Brasilia Currency : Brazilian Real (BRL) Languages : Portuguese (official), Spanish, English, French Population : Total Area : sq. kms GDP : $ trillion (2008 est.) GDP Growth Rate : 5.2% (2008 est.) GDP Per Capita : $ 10,300 (2008 est.) Major Exports : Transport equipment, Iron ore, Soybeans, Footwear, Coffee, Autos. Exports Value : $ 200 billion f.o.b. (2008 est.) Major Countries of : US, Argentina, China, Netherlands, Export Germany Major Imports : Machinery, Electrical and Transport equipment, Chemical products, Oil, Automotive parts, Electronics. Imports Value : $176 billion f.o.b. (2008 est.) Major Countries of : UK, Singapore, Malaysia (2007) Import Economic Indicators Brazil is one of the ten most important world economic powers. Fiscal and monetary policies, implemented cautiously by President Lula, together with the necessary microeconomic reforms (which have continued since his new term of office began in January 2007) have restored confidence in the market. However, strict fiscal discipline and restrictive budgetary policies will not allow the Government to act according to an ambitious agenda, and this will limit growth. The rate of growth of GDP is slacking off because of the current economic situation. For all international observers, the Brazilian economy is in clear progression and less and less vulnerable. The unemployment rate has been affected and it is in constant decrease. The Brazilian Government s debt (mainly domestic) is still high, however, about 45% of GDP. Thanks to a commercial surplus since then, the total amount of reserves equals that of foreign debt at the level of 190 billion dollars. The consumer price index should slightly increase during the current year and it should tend to decrease the following year. Main indicators GDP (billions USD) 1, , , ,587.73e 1, GDP (constant prices, annual % change) e 3.5e 4.4 GDP per capita (USD) 5,742 6,938 8,676 8,169 8,586 Inflation rate (%) e 5.1e 4.5 Unemployment rate (% of the labor force) Current Account (billions USD) e e Current Account (in % of GDP) e Main sectors of industry (Source : IMF - World Economic Outlook Database; FMI - World Economic Outlook Database; CIA - The World Factbook) Note: (e) Estimated data Brazil has abundant natural resources and its economy is relatively diversified. It is a great agricultural power : the leading world producer of coffee, sugar cane and oranges, a leading producer of soya and it attracts many world groups in agri-food and biofuels. Agriculture has a minimal contribution to GDP; on the other hand it represents more than a third of Brazilian exports. Brazil has the largest commercial herd of livestock in the world (50% larger than that of the United States). Forests cover half the country, with the largest tropical rainforest in the world situated in the Amazon Basin. As a great 14 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

15 industrial country, Brazil benefits from its mineral ore wealth; it is the second world exporter of iron and one of the main producers of aluminium. The country is asserting itself more and more in the sectors of textile, aeronautics, pharmacy, automobiles, iron and steel and the chemical industry. Most of the large automobile manufacturers have set up their production plants in the country. The industrial sector contributes almost 1/3 of GDP, while the tertiary sector represents about 2/3 of GDP. Breakdown of economic activity by sector Agriculture Industry Services Value added (annual % change) Value added (in % of GDP) Employment by sector (in % of total employment) (Source : World Bank - World Development Indicators - last available data) Monetary indicators Brazilian Real (BRL) - Average annual exchange rate for 1 USD Foreign trade in figures (Source : World Bank - World Development Indicators) Brazil is not a free-trade champion, ranked 22nd world exporter, which is well under its economic potential. The main trade partners of the country are the Mercosur (Common South American market which encompasses Argentina, Brazil, Paraguay and Uruguay), the United States and China. In 2008, Brazil recorded a trade deficit for the first time since This was due to the sharp appreciation of the real against the dollar which made foreign products cheaper. It is forecasted that the trade balance will not stabilize until Foreign trade indicators Imports of goods (millions USD) 48,290 62,809 73,606 91, ,621 Exports of goods (millions USD) 73,084 96, , , ,649 Imports of services (millions USD) 15,378 17,260 24,356 29,116 37,250 Exports of services (millions USD) 10,447 12,584 16,047 19,462 - Imports of goods and services (annual % change) Exports of goods and services (annual % change) Imports of goods and services (in % of GDP) Exports of goods and services (in % of GDP) Trade Balance (millions USD) 24,794 33,666 44,703 46,458 - Trade Balance (including service) (millions USD) 19,863 28,990 36,394 36,804 - Foreign trade (in % of GDP) Trade by partner countries Main partner countries Main customers (% of exports) 2008 United States 14.0% Argentina 8.9% China 8.3% Netherlands 5.3% Germany 4.5% Other partners 59.0% (Source : World Bank - World Development Indicators) Main customers (% of exports) 2008 United States 7.5% China 5.8% Argentina 3.8% Germany 3.5% Japan 2.0% Other partners 77.5% (Source : Comtrade) Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

16 Main products Main exports (% of exports) 2008 Ores, slag and ash ores, slag and ash 9.5% Mineral fuels, mineral oils and products of their...mineral fuels, mineral oils and products of their distillation; bituminous substances; mineral waxes 9.4% Vehicles other than railway or tramway. Vehicles other than railway or tramway rolling-stock, and parts and accessories thereof 7.4% Iron and steel 6.5% Nuclear reactors, boilers, machinery and...nuclear reactors, boilers, machinery and mechanical appliances; parts thereof 6.4% Other products 60.8% Main exports (% of imports) 2008 Mineral fuels, mineral oils and products of their...mineral fuels, mineral oils and products of their distillation; bituminous substances; mineral waxes 19.8% Mineral fuels, mineral oils and products of their...mineral fuels, mineral oils and products of their distillation; bituminous substances; mineral waxes 19.8% Nuclear reactors, boilers, machinery and...nuclear reactors, boilers, machinery and mechanical appliances; parts thereof 14.9% Nuclear reactors, boilers, machinery and...nuclear reactors, boilers, machinery and mechanical appliances; parts thereof 14.9% Electrical machinery and equipment and parts...electrical machinery and equipment and parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts and accessories of such articles 11.5% Other products 19.2% India s Total Trade with Brazil (Source: Comtrade) EXPORT TO BRAZIL ( , , ), ALL COMMODITIES (in US$) US$ Million US$ Million US$ Million Cumulative Cumulative Cumulative Exporting Country Importing Country Commodity Name Value Value Value India Brazil All Commodities EXPORT TO BRAZIL ( , , ), ALL COMMODITIES (in Rs.) Rs. Lakh Rs. Lakh Rs. Lakh Cumulative Cumulative Cumulative Exporting Country Importing Country Commodity Name Value Value Value India Brazil All Commodities Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

17 IMPORT FROM BRAZIL ( , , ), ALL COMMODITIES (in US$) US$ Million US$ Million US$ Million Cumulative Cumulative Cumulative Exporting Country Importing Country Commodity Name Value Value Value Brazil India All Commodities IMPORT FROM BRAZIL ( , , ), ALL COMMODITIES (in Rs.) Rs. Lakh Rs. Lakh Rs. Lakh Cumulative Cumulative Cumulative Exporting Country Importing Country Commodity Name Value Value Value Brazil India All Commodities India s Engineering Exports to Brazil EXPORT TO BRAZIL (FOR , , ), ENGG. GOODS (in US$) US$ Million US$ Million US$ Million Cumulative Cumulative Cumulative Exporting Country Importing Country Commodity Name Unit Value Value Value India Brazil Mica Kgs India Brazil Ferro alloys Tonnes India Brazil Aluminium other than products Kgs India Brazil Manufactures of metals India Brazil Iron & steel bar/rods Tonnes India Brazil Primary & semi-finished iron & steel Tonnes India Brazil Machine tools India Brazil Machinery & instruments India Brazil Transport equipment India Brazil Non-ferrous metals Kgs India Brazil Residual engineering items Total : Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

18 India s Engineering Imports to Brazil IMPORT FROM BRAZIL ( , , ), ENGG. GOODS (in US$) US$ Million US$ Million US$ Million Cumulative Cumulative Cumulative Exporting Country Importing Country Commodity Name Unit Value Value Value Brazil India Machine tools Brazil India Non-electrical machinery Brazil India Electrical machinery Brazil India Professional inst, optical goods etc Brazil India Transport equipment Brazil India Primary steel pig iron based items Tonnes Brazil India Iron & steel Tonnes Brazil India Manufactures of metals Brazil India Non-ferrous metals Total : Reaching the consumers Marketing opportunities Consumer behaviour Consumers are loyal to brands; including the low income population which this allows to assert itself. More well-off consumers pay particular attention to quality, after-salesservice, and the company s social commitment (protection of the environment, sanitary standards, etc.) National pride is reflected in consumer habits, but Brazilians remain attached to foreign products as exterior signs of wealth (technological equipment, American sports brands, etc.) Consumer profile and purchasing power Consumption among the majority of the population is turned towards food and housing. The Brazilian consumer is more demanding and selective. He is aware of quality, the price of goods and special offers. Brazil is a dual economy, in which the upper classes distinguish themselves by consumption close to that of the United States and Europe, while the poorer people have to be careful with prices and buy almost exclusively on the unofficial market. Distributing a product Evolution of the sector With the liberalization of trade, undertaken since 1990, many agents and distributors have formed themselves into companies and begun to import to sell on their own account. Today, the majority of the large distribution chains have their own import agency. For several years, supermarkets and in particular hypermarkets, have become more and more important in the distribution milieu. Brazilian hypermarkets make 80% of sales of staple commodities. Market access procedures Non tariff barriers A large number of imported products are subject to a prior licence application to the SECEX (Secretariat for Foreign Trade), which is the only organization authorized to issue this licence. The licence is valid for 60 days from the date of shipment of the goods (sometimes from the date of the licence application). This period cannot be extended and is often insufficient. A new licence application must then be made. For textiles, regulations are even more strict : the licence is only issued if payment is carried out within 30 days following the date of the B/L (importers have to prove that they have effectively paid within the 30days). All imports must be accompanied at least by 2 copies of the commercial invoice and the B/L. In the case of non-compliance with the legal requirements of the country, the Customs have the right to impose large fines, up to 100% of the usual Customs duties being common. It is advisable in any case to work with a very good Brazilian Customs broker who alone will be in a position to be informed more or less in due course about Customs regulations. It is necessary to consult the numerous sanitary regulations before importing anything. Customs duties and taxes on imports %, within the average for emerging countries. 18 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

19 Customs classification Brazil applies the Harmonized Customs system. Import procedures Every importer must be registered with the authorities in charge of foreign trade, SISEX, in order to integrate the Customs computer system, the SISCOMEX. This represents a costly investment, as the prerequisites, especially in terms of minimum capital, are considerable. The regime in place in Brazil has an automated process for issuing import licences, except for a certain number of products. The issue of samples Imported samples will be considered by the Customs at their market value, unless there is a particular agreement according to the quantity and size of the samples. Organizing goods transport Main useful means 17% of domestic transport is carried out by sea or by waterway; sea traffic plays a leading role in international goods transport, since it transports 97% of Brazilian exports. A total of some 350 million tonnes of goods are transported by this means every year. Brazil s large cities are well served by air. However, goods transport is not much developed, mainly because of the high cost of this type of transport. Practically all the State capitals are linked by tarmacked roads. São Paulo, Rio de Janeiro and other important States have expressways. The road and motorway network covers approximately 1.5 million kilometers, of which some are tarmacked, an increase of more than 300% over the last two decades. This is the means of transport used most, as it handles about 85% of the transport of people and Brazilian products. Recently, the exploitation of several motorways has been transferred to the private sector. Germany, Greece, Guatemala, Guyana, Honduras, Hungary, Iceland, Ireland, Israel, Italy, Liechtenstein, Luxembourg, Macau, Malaysia, Monaco, Morocco, Namibia, The Netherlands, New Zealand, Norway, Panama, Paraguay, Peru, The Philippines, Poland, Portugal, San Marino, Slovakia, Slovenia, South Africa, South Korea, Spain, Suriname, Sweden, Switzerland, Thailand, Trinidad & Tobago, Tunisia, Turkey, United Kingdom, Uruguay, The Vatican and Venezuela. Everyone else can experience the process of obtaining a visa. US citizens - $ non-refundable processing fee per visa is required in reciprocity for an identical fee charged Brazilian citizens applying for a US visa. Australia - $35.00; Russia, Japan - $50.00; Canada, Nigeria - $40.00; South Korea, Mexico - $30.00; other countries - $ If submitted by mail, by commercial proxy or by other person than the applicant (except by next of kin) payment of a $10.00 service fee is required (money order or certified check only payable to the Brazilian Embassy. Additional $25.00 communications charge (since transmission of visa application to Brazil is required) applies to nationals of the following countries who are not holders of a green card : Afghanistan, Algeria, But, Central African Republic, China, Comores Island, Croatia, Cuba, Egypt, Eritrea, Ethiopia, Gabon, Ghana, Hong Kong**, India*, Iran, Iraq, Ivory Coast, Jordan, Kampuchea, Laos, Lebanon, Liberia, Libya, Mali, Mauritania, Mozambique, Nigeria, North Korea, Palestinian Auth., Pakistan, Russia*, Sierra Leone, Somalia, South Korea*, Sri Lanka, Sudan, Syria, and Swaziland. If living for less than one year in this jurisdiction If traveling with a Hong Kong document (To be continued at next issue) The railway network carries 22.5% of goods traffic. Only 7% of the lines are electrified. Visa Information Visas are not required by holders of passports of the following countries : Andorra, Argentina, Austria, Bahamas, Barbados, Belgium, Bolivia, Bulgaria, Chile, Colombia, Costa Rica, Croatia, Czech Republic, Denmark, Ecuador, Finland, France, Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

20 Tender Information Bangladesh Project : Sustainable Power Sector Development Project Loan No BAN Loan from ADB Contract No.: NWPGCL/T-1/20091 Issued by For : Project Director Khulna 150MW Peaking Power Plant Construction Project North-West Power Generation Co. Ltd (NWPGCL) 1 Abdul Ghani Road Bidyut Bhaban (12th Floor) Dhaka 1000, Bangladesh Tel. : pdkhulna150@gmail.com : Development Board (BPDP) invites sealed bids from eligible bidders for the Engineering, Procurement, Construction & Commissioning (EPC) of 132 kv GT Sub-Station & 132 kv Double Circuit Underground Cable Supply, Installation, Testing & Commissioning, on turn-key basis. Tender cost : Non-refundable fee of Tk. 10,000 or US$ US$ 300 (courier charges). Bid security : US$ 180,000 Bid deadline : Bangladesh Project : Sustainable Power Sector Development Project Loan No BAN Loan from ADB Contract No.: 241-NWPGCL/T-2/Siraj 150 MW / 2009 Issued by For : Project Director Sirajganj 150MW Peaking Power Plant Construction Project North-West Power Generation Co. Ltd. Bidyut Bhaban (4th Floor) 1, Abdul Gani Road Dhaka 1000, Bangladesh Tel. : pdsirajganj150@gmail.com : Engineering, Procurement, Construction & Commissioning (EPC) of SIRAJGANJ 150 MW Peaking Power Plant Project, on turn-key basis. Tender cost : Non-refundable fee of Tk. 20,000 or US$ US$ 410 (courier charges). Bid security : US$ 1,200,000 Bid deadline : Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

21 China Project : Jilin Urban Environmental Improvement Project Loan No PRC Loan from ADB Contract No.: CCMSW/2.1 Issued by For : China National Machinery Import & Export Corporation (CMC) Room No.2102, West Wing Sichuan Mansion, No.1 Fuwaidajie Street. Xicheng District Beijing , China Attn. : Mr. Du Yujing(Project Manager), Mr. Cai Xiaojun(Project Manager) Tel. : Fax : caixiaojun@cmc.genertec.com.cn : Supply of Transport Vehicle and Passenger Cars, the required quantity for the bid is fourteen sets, including Dump truck ( ten sets), Notchback(one set), Medium bus (one set), Microbus( one set) and Jeep-like vehicle( one set). Tender cost : Non-refundable fee of RMB 1,000 or US$ US$ 160 (courier charges). Bid security : 200,000 CNY or an equivalent amount in a freely convertible currency. Bid deadline : Pakistan Project : Power Transmission Enhancement Investment Loan No PAK Loan from ADB Contract No.: ADB Issued by For : National Transmission and Dispatch Company (NTDC) 622-WAPDA House, Shahrah-e-Quaid-e-Azam, Lahore, 54000, Pakistan Attn. : Chief Engineer (Material Procurement and Management) Tel. : Fax : stg@ntdc.com.pk : Procurement of 500 and 200 kv Auto Transformers in 2 Lots including spare parts and related services for supervision of erection, testing & commissioning. The bidder may quote for 1 or both lots. - Lot 1 : 500 kv, 450MVA Transformer Bank - Lot 2 : 220 kv, 250 MVA Auto Transformer Tender cost : Non-refundable fee of PRs 8,000 or US$ US$ 150 (courier charges). Bid security : - Lot I : US$ 104,000 or PRs 8.32million - Lot 2 : US$ 76,000 or PRs 6.10million Bid deadline : (Source : Asian Development Bank Website) Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

22 Lao People's Democratic Republic (EEPC Ref. No. DB-232) Project : Rural Electrification Phase I Project Credit No. H 2180-LA Credit from IDA Notice No. : WB /09 Issued by : Managing Director Electricité du Laos Substation & Transmission Line Division Nongbone Road P.O. Box 309 Vientiane, Lao P.D.R Tel. : (856-21) ; Fax : (856-21) edlpj@laotel.com For : Distribution Transformer Fitting Materials. Tender cost : Non-refundable fee of US$ US$ 50 (courier charges). Bid security : US$ 5,000 Bid deadline : Lao People's Democratic Republic (EEPC Ref. No. DB-233) Project Notice No. Issued by For : Rural Electrification Phase I Project Grant H218-LA, Project ID P Credit from IDA : WB /09 : Managing Director Electricité du Laos Substation & Transmission Line Division Nongbone Road P.O. Box 309 Vientiane, Lao P.D.R Tel. : (856-21) ; Fax : (856-21) edlpj@laotel.com : 22 and 0,4 kv Over head Conductors. Tender cost : Non-refundable fee of US$ US$ 50 (courier charges). Bid security : US$ 70,000 Bid deadline : Lao People's Democratic Republic (EEPC Ref. No. DB-234) Project : Rural Electrification Phase I Project Grant H218-LA, Project ID P Credit from IDA 22 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

23 Notice No. Issued by For : WB /09 : Managing Director Electricité du Laos Substation & Transmission Line Division Nongbone Road P.O. Box 309 Vientiane, Lao P.D.R Tel. : (856-21) ; Fax : (856-21) edlpj@laotel.com : Concrete Cross-Arms. Tender cost : Non-refundable fee of US$ US$ 50 (courier charges). Bid security : US$ 5,000 Bid deadline : Lao People's Democratic Republic (EEPC Ref. No. DB-235) Project Notice No. Issued by For : Rural Electrification Phase I Project Credit No. H 2180-LA Credit from IDA : WB /09 : Managing Director Electricité du Laos Substation & Transmission Line Division Nongbone Road P.O. Box 309 Vientiane, Lao P.D.R Tel. : (856-21) ; Fax : (856-21) edlpj@laotel.com : Watt hour Meters. Tender cost : Non-refundable fee of US$ US$ 50 (courier charges). Bid security : US$ 5,000 Bid deadline : Lao People's Democratic Republic (EEPC Ref. No. DB-236) Project Notice No. : Rural Electrification Phase I Project Credit No. H 2180-LA Credit from IDA : WB /09 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,

24 Issued by For : Managing Director Electricité du Laos Substation & Transmission Line Division Nongbone Road P.O. Box 309 Vientiane, Lao P.D.R Tel. : (856-21) ; Fax : (856-21) edlpj@laotel.com : Distribution Line Materials. Tender cost : Non-refundable fee of US$ US$ 50 (courier charges). Bid security : US$ 10,000 Bid deadline : Lao People's Democratic Republic (EEPC Ref. No. DB-237) Project Notice No. Issued by For : Rural Electrification Phase I Project Grant H218-LA, Project ID P Credit from IDA : WB /09 : Managing Director Electricité du Laos Substation & Transmission Line Division Nongbone Road P.O. Box 309 Vientiane, Lao P.D.R Tel. : (856-21) ; Fax : (856-21) edlpj@laotel.com : 22/0,4 kv and 12,7/0,4 kv Distribution transformers. Tender cost : Non-refundable fee of US$ US$ 50 (courier charges). Bid security : US$ 16,000 Bid deadline : Sudan (EEPC Ref. No. DB-238) Project Notice No. : Decentralized Health System Development Project (DHSDP) MDTF-NS Grant No. TF057324, Project ID No. P Grant from IDA : WB /09 24 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13, 2009

25 Issued by For : Decentralized Health System Development Project (DHSDP) Federal Ministry of Health Sudan Government of National Unity Khartoum, Sudan Attn. : Omer Mohammed El Amin Omer Tel. : Fax : Mobile : newgaily@hotmail.com, osmanhamid72@gmail.com : Supply and delivery of Vehicles equipped with Mobile Cinema Equipment & Accessories (PC, Projector, Tripod Screen, Generator, TV, Stereo, etc.) (4 Units). Tender cost : Non-refundable fee of SDG-500 ( Five Hundred Sudanese Pound ) or equivalent in convertible currency. Bid security : Not less than 2% percent of the bid price. Bid deadline : Vietnam (EEPC Ref. No. DB-239) Project Notice No. Issued by For : Second Transmission and Distribution Project (Sub-Project: 500/220kV Song May Substation) Credit No VN; Project ID No. P Credit from IDA : WB /09 : Southern Vietnam Power Project Management Board (SPPMB) 383 Ben Chuong Duong Street, District 1 Hochiminh city The Socialist Republic of Vietnam Attn.: Mr. Nguyen Tien Hai, Executive Chairman Tel. : (84-8) Fax : (84-8) mynt@npt.evn.vn or nguyenthemy@yahoo.com : Package No. 4.1 : Steel Gantries For 500kv, 220kv And 110kv Busbars Of The Substation (Not Including Steel Supporting Structures For Equipment). Tender cost : Non-refundable fee of US$ or VND1,750, US$ 50 (courier charges). Bid security : US$ 18, or an equivalent amount in a freely convertible currency. Bid deadline : Vietnam (EEPC Ref. No. DB-240) Project Notice No. : Second Transmission and Distribution Project (Sub-Project: 500kv Phu Lam - O Mon Transmission Line) Credit No.4107-VN; Project ID No. P Credit from IDA : WB /09 Engineering Export Info-Bulletin, Vol. 11, Issue No. 28, July 13,