Mars announces R$ 750 million investment in São Paulo
General managers of the three business units of the company in Brazil welcomed state authorities to announce investments in São PauloInveste São Paulo
Mars, one of the largest food companies in the world, owner of brands such as M&M’S®, TWIX®, SNICKERS®, PEDIGREE®, WHISKAS®, ROYAL CANIN® and UNCLE BEN’S®, includes Brazil in its strategy of global investments and considers the state of São Paulo as the main production hub. On October 15, the general managers of the three business units of the company in Brazil, José Carlos Rapacci (Mars Petcare), Filipe Fonseca (Mars Chocolate and Food) and Vladimir Maganhoto (ROYAL CANIN®) gathered various authorities to announce an investment of R$ 750 million in the state, to take place between 2012 and 2018, which relied on the support from Investe São Paulo. In Brazil, the total sum of investments will reach R$ 1 billion.
“These investments reinforce the confidence of Mars in the country and allow us to put into practice our mission to make a difference for people and pets, creating mutual benefits for employees, customers, consumers and in the communities where we live,” said Vladimir Maganhoto, General Manager of ROYAL CANIN® in Brazil.
The investments announced include the new administrative units in São Paulo (Chocolate and ROYAL CANIN®) and the expansion of the units in Mogi Mirim (Petcare), Guararema (Chocolate) and Descalvado (ROYAL CANIN®), and a new plant in Paraná. The investment to expand the production capacity and portfolio is directly related to the potential of the Brazilian market.
The country represents a great opportunity for growth in the two main business areas of the company. In the petcare segment, according to a recent survey released by IBGE, Brazil currently has more than 57 million dogs and cats. Data released by the Brazilian Association of the Industry of Pet Products (ABINPET) indicate that the country is the world’s second largest market in pet food. The potential in the chocolate market is also great, as the per capita consumption in Brazil is considered low (2.8 kg/year) compared to other countries. The investments have a direct impact on the organic growth of the company. The expectation is that these investments allow for the creation of over 450 new direct jobs and 900 indirect jobs.
“Brazil is undoubtedly one of the largest global investments of Mars. Despite all the economic challenges currently experienced in the country, we strongly keep our goal to expand our business and consolidate our brands. We have been conducting an expansion and transformation plan since 2012, and by 2020, our investments in the country will total nearly one billion reais, of which R$ 750 million will be invested here in São Paulo,” said Filipe Fonseca, General Manager of the chocolate and food segment of Mars Brazil.
Support from Investe São Paulo
To strengthen the partnership and the relationship established with the state government, Mars relied on the support from Investe São Paulo, an investment promotion agency associated with the Department of Economic Development, Science, Technology and Innovation, which also provided assistance in the expansion of the plants in Mogi Mirim, Guararema and Descalvado.
“Mars is a major generator of jobs in Brazil and it’s in the state of São Paulo that the company found support to innovate and create new technologies in food production. The supply chain of this industry involves from small producers to the most complex services, further stimulating the economy,” said the president of Investe São Paulo, Juan Quirós, also noting that the state of São Paulo remains attractive and with institutional stability.
Relationship with the country
Mars has been in Brazil since 1978 and is a market leader in the segment of super premium and premium pet food for dogs and cats with the brands ROYAL CANIN®, PEDIGREE® and WHISKAS®. In the chocolate segment, Mars is among the five largest in the market, with the brands M&M’S®, SNICKERS® and TWIX®.
In addition to the leadership in the pet food segment and the growth in the chocolates division, Mars is considered one of the best companies to work for in the country. In 2015 it was elected the 12th best company to work for according to the Great Place to Work institute.
“We always strive to make a difference through performance. Delivering quality and productivity, aiming at the development of our business, we give a special attention to our team. Today, we have 2,400 employees in Brazil and we intend to raise this figure by 20% in the coming years,” said José Carlos Rapacci, General Manager of the Petcare segment of Mars Brazil.
The good corporate environment is one of the main assets of Mars in Brazil and worldwide. The spirit of collaboration in the company is encouraged, for example, by the layout of offices that are open without individual rooms. Everyone, including executives, work in a large area without barriers.
In addition to the open offices, Mars offers the possibility of home office to its managers and flexible schedule, such as short-Friday or daily early departure, so that its employees can adapt their working schedule to their personal routine. In addition, the company encourages its employees to bring their pets to their units and all employees in Brazil receive their wages on a weekly basis, unusual practices in the market.
About Mars, Incorporated
Mars, Incorporated is a private family company with more than 100 years of history and owner of some of the most beloved brands in the world such as M&M’S®, TWIX®, SNICKERS®, PEDIGREE®, WHISKAS®, ROYAL CANIN® and UNCLE BEN’S®. Headquartered in McLean, in the US state of Virginia, Mars has revenues of over US$ 33 billion in sales from six different business lines: Petcare, Chocolate, Wrigley, Food, Drinks and Symbioscience. More than 75,000 people from 74 countries work together under the Five Principles of the company: Quality, Efficiency, Responsibility, Mutuality and Freedom, and struggle each day to develop a relationship with stakeholders in order to stimulate the growth which makes the company so proud.
For more information about Mars, Incorporated, please visit www.mars.com/brazil/pt.