Giesse opens plant in the country with an eye on popular housing
DCI
The increase in the demand in the Brazilian civil construction, mainly in the segment aimed at C and D classes, has attracted countless companies. The Italian Giesse is one of them. Leader in Europe in solutions for the opening and closing of doors and windows, the company will have a plant in Brazil in January. The intention is that, in future, this plant concentrates the operations from all over South America, at least, that is what the Commercial Officer of Giesse Brasil, Luis Rosas, told DCI.
The investments in Brazil will amount to nearly R$ 20 million (US$ 11.6 million) and already include the recent acquisition of the Brazilian Promel, of the same field, but which is specialized in products aimed at classes C and D. "Giesse is famous for its products for high quality undertakings, but the My House, My Life program of the Federal Government caught the attention of the company to an increase in the demand in a segment that was already promising, therefore, the acquisition of Promel causes Giesse to enter this market more quickly", says Rosas, who added: "in Europe, Giesse is considered a luxury brand, we want to bring this concept to Brazil as well. There is demand for us to operate in both markets". Rosas also reveals that the company intends to turn Brazil into a productive base for many of the Giesse lines of products.
The new 4.5-thousand-square-meter plant will be installed in the municipality of Mauá, in the Metropolitan Region of Sao Paulo, and should generate, at a first moment, nearly 100 direct and another 100 indirect jobs. But Brazil is not the first emerging country to gain a Giesse plant. The company has recently get installed in China. But the same way as in the Asian country, Brazil called the attention of the company because of its numbers. Rosas believes the Brazilian market of frames represents something near R$ 1.2 billion (US$ 697.7 million) as a whole, and that only accessories for windows represents R$ 250 million (US$ 145.3 million).
The intention of Giesse Brasil is to achieve nearly 20% of the market share of this segment with both brands (high quality and popular). "The high quality segment should grow nearly 15%, and the popular, even more: something near 17% already in 2010", said Rosas. The intention, according to the Executive, is to acquire the segment leadership in the Country, since the company has quickly become the market leader in the regions where it operates. Giesse earns EUR 200 million every year.