1. Brazil – success story on the economic „playground” Opportunities for Hungarian entrepreneurs

2. Brazil - stereotypes

3. The future is already visible

4. Brazil - facts Brazil is the 5th largest country by territory 8 547 404 km² Population: approx. 200 Million (5th largest) GDP: 6th largest (2,475 Trillion US $) Average GDP growth: over 4,5 % (2004-2014) Public debt decline: 2002: 60%/GDP – 2012: 37%/GDP Reserves: 357 Billion US$ Brazil is net external creditor: 79 Billion US$ Unemployment rate: approx 5,3% Labour force: approx. 105 Million

5. Down to the earth from the macroeconomic data The market (consumers): Over 100 Million people belong to the middle class (A/B: 31 Million, C: 113 Million in 2014) Strengthening purchasing power Increasing incomes Growing retail sales Low unemployment rate Over 1 Million new jobs/year Robust bank sector Sustainable credit policy (no bubbles)

6. The Market Taxation: Brazil is known for charging a high tax burden There is a „jungle” of abbreviations of different taxes (CIDE, COFINS, CSLL, IOF, IPI etc.) The internal market is well defended The local production is preferred E.g. car manufacturing: local production is over 3,5 Million/year, every big manufacturer has its local plants – tax advantages

7. Any opportunities for Hungarians? Huge and still growing market: capable to absorb good products and services Strong presence of the state – high level visits of Hungarian politicians help to establish contacts Possible national projects: e.g. housing programmes, huge infrastructure developments

8. Any opportunities for Hungarians? Management services: less developed management skills Opportunity for the organisational development, training, coaching etc. (e.g.: Flow) Know-how is needed For manufacturing: establish a local plant (e.g.: Hell) New areas: renewable energy

9. Some practical advises Brazil has a federative system: might be reasonable to start the business on federal sate level São Paulo: „economic, financial capital” Rio de Janeiro: centre for the oil and energy sector (e.g. Petrobras) + Rio state automotive industry Curitibá (Parana state): automotive industry, IT Porto Alegre (Rio Grande do Sul): food industry, IT, petrochemical Belo Horizonte (Minas Gerais): mining, metallurgy, IT

10. Some practical advises Find a local partner to establish a joint venture company Fala português! Speak Portuguese! Recruit a Portuguese speaking manager with a local network, experience Networking, networking, networking! Use the already existing contacts (Latin American Section of the Budapest Chamber of Commerce and Industry, Brazilian Embassy in Budapest, Hungarian Embassy in Brasilia, Hungarian Trade Counsellor in São Paulo

11. Thank you for the attention! Obrigado pela atenção! ¡Gracias por la atención! Köszönöm a figyelmet! Csontos Csaba, Chairman of the Latin-American Section of the Budapest Chambers of Commerce and Industry