Brazil is 2nd for investments
Valor Econômico
The Brazilian industry of construction - including civil works and infrastructure - is the second in the world with greater potential of investment. A study of the global consulting firm Roland Berger shows Brazil should have 5.1% growth between 2008 and 2013 - for a global expansion of 2.3% in the same period. The country is only behind Asia, whose increase in the period is estimated at 7.1%. Because of that, the industry of machinery and heavy equipment, which grew 23% in 2010, should have a growth rate of 15% between 2010 and 2014, when it should have 38.6 thousand units sold. 18 thousand units were sold in 2009 and, last year, they were 22.1 thousand units sold.
The Growth Acceleration Program (PAC), the 2014 FIFA World Cup and the 2016 Olympics are the main factors of growth for the sector. "There are great deficits and needs of investment to be solved, such as ports and airports", says Thomas Kunze, of Roland Berger. To handle the great projects Brazil will host, besides the structural improvements, the country needs to go from 19% of the GDP of investment in infrastructure to 23%. In China and India, countries where the Government invests heavily in infrastructure, the percentage was 47.8% and 32% respectively in 2009. Only in ports, Brazil would have to receive from US$ 10 billion to US$ 15 billion in investments and in airports, from US$ 8 billion to US$ 13 billion.
Still according to the survey, the great global competitors are the ones leading the Brazilian market. Roland Berger points to Caterpillar as the main supplier of machinery and heavy equipment in 2009 with 3.87 thousand units; followed by Case, with 2.88 thousand; Volvo, with 1.54 thousand; and Komatsu, with 1.32 thousand units sold. "Regardless of the bottlenecks, there is a latent demand for machinery and equipment in Brazil", says Kunze. The Finame (Machinery and Equipment Financing), of the BNDES (National Development Bank), which requires 60% of national content, greatly boosts the industry.