Coca-Cola grows 25% in Brazil, with record earnings of US$ 8.2 billion
Valor Econômico 02/13/2009
Amid the global crisis, Coca-Cola will bet more in Brazil in 2009, after obtaining the greatest income ever reached in the country last year: R$ 15 billion (US$ 8.2 billion), 25% above 2007's. The multinational company plans on investing 16.6% more this year, the equivalent to R$ 1.75 billion (US$ 761 million), a record value for Brazil. The third largest consumer market of the multinational company, after the United States and Mexico, Brazil is seen as a country still to be explored, because it has an average soft drink per capita consumption which is considered low. "The bet in Brazil is huge", said the new CEO of Coca-Cola in Brazil, Mexican Xiemar Zarazúa. The expectation is that the sales volume, whose increase was 7% in 2008, continues at the same rhythm of expansion this year. Among the investments planned for this year are the new soft drink plant in Maceió and another Mate Leão one in Fazenda Rio Grande (PR). Coca-Cola will also invest on the placement of four new production lines in the plants in Mato Grosso do Sul, Ceará, Espírito Santo, and Pernambuco. In 2008, the growth rate of the sales in Brazil was below the average compared to Latin America, of 8%, but it exceeded the performance of sales in the world, whose increase reached 5%. In the fourth quarter, after the worsening of the world financial crisis, Brazilian sales increased 7%, whereas the total sales in the world increased 4%. "Brazil may become the second greatest world market in two, three or four years", affirmed the executive.