Brazil negotiates package of industrial machines with Venezuela
Valor Econômico - 06/05/2008
At the request of President of Venezuela Hugo Chávez, Brazil is already negotiating with its neighboring country the sale of machines and equipment, and technical consultancy for an ambitious program, which foresees the construction of 200 state factories of foods and consumer goods in the country. Gathered in the Brazilian Association of the Industry of Machines and Equipment (Abimaq), Brazilian businesspeople who visited the country recently to hold discussions with Venezuelan authorities estimate that the deals to be closed should amount to something between US$ 100 and US$ 150 million. The foreseen investments in the factories that are negotiating with Brazil amount to nearly US$ 200 million, according to a diplomatic source. The articulation between the Brazilian private sector and the government of Venezuela is made by the Brazilian Agency of Industrial Development (ABDI), linked to the Brazilian Ministry of Development, which opened an office in Caracas, where it has also opened an office of Brazilian Company of Agricultural Research (Embrapa), which is negotiating technical support and the provision of technology and seeds with the Venezuelans. The Venezuelans have already decided that they want Brazil's cooperation for up to 73 factories, and, since March, seven types of projects for 11 productive units have been discussed. The projects being discussed between Brazilians and Venezuelans include food processing and industrial cooling factories, factories of glass and metal packing, PVC tubes, printed circuit boards and foundries and mini metallurgical plants.