Durham-based NOF Energy, the UK business development organisation for oil, gas, nuclear and offshore wind sectors, has announced Brazilian organisationSistema FIRJAN as its latest Global Partner.

The agreement was reached with the signing of a Memorandum of Understanding (MOU) at the Offshore Technology Conference (OTC) in Houston, Texas.
The two organisations received support from UK Trade & Investment Brazil, which helped to facilitate the MOU following an inward market visit to the UK in February this year.
Sistema FIRJAN is a non-profit, private organisation, working in partnership with the State of Rio de Janeiro, with more than 7,500 associated companies and in excess of 7,700 employees working for the business community statewide.
This new partnership will support the development of Rio de Janeiro's energy sector through engagement with NOF Energy and its membership, which is made up of established and experienced UK supply chain companies.

Sistema FIRJAN President, Eduardo Eugenio Gouvêa Vieira (left) and Joanne Leng MBE, Deputy Chief Executive of NOF Energy (right) sign the MOU agreement

The two organisations will reportedly work closely together to share industry intelligence and economic information that will benefit member companies in addition to organising trade visits between the two markets.
NOF Energy has been developing links with South America and, in particular, Brazil for a number of years and has established strong links with local industry and organisations.

This is the fourth Brazilian organisation to join NOF Energy's global partner network alongside The Federation of Industries of Rio Grande do Sul State (FIERGS), Rio Negócios and Federacao das Industrias do Estado de Sao Paulo (FIESP).
NOF Energy has forged partnerships with more than 30 international business development organisations and economic development departments of overseas governments to form its Global Partner network.
Joanne Leng MBE, Deputy Chief Executive of NOF Energy, said: "Sistema FIRJAN is a very important organisation for the Brazilian energy sector. This agreement with further support our members' ambitions to trade with the South American energy sector while enabling Brazilian companies to enhance their access to the skills and innovative technologies developed by UK suppliers."
Eduardo Eugenio Gouvêa Vieira, Sistema FIRJAN President, said: "We are proud of this newest partner. It all started in February 2014 when a mission of UK government from Rio de Janeiro, leaded by us in partnership with Rio state government, went to the UK.
"The group visited Newcastle and Aberdeen and during the time there, FIRJAN made several contacts and started a discussion with NOF about the possibility of cooperation between the two organizations in the oil and gas segment, to exchange experiences".
Jamie Hardesty

Published in Economy

China's Premier Li Keqiang arrived in Brasilia on Monday to sign agreements on infrastructure, energy and aviation that experts say could reach 100 billion dollars. The South American tour also includes Colombia, Peru and Chile and aims to restructure China's resource-driven trade with Latin American countries by including more value-added products.
PM Li Keqiang will be meeting with President Rousseff Tuesday in Brasilia and sign a raft of agreements before flying to Rio do Janeiro (Pic Xinhua)

Li is scheduled to meet Brazilian President DilmaRousseff in Brasilia on Tuesday, sign the agreements and meet the press.
He will also address Chinese and local corporate leaders about Beijing's plan to upgrade its trade with Latin America's largest economy through better financing and targeted industries. Li will then fly to Rio.
"I expect to deepen political trust and economic cooperation with Brazilian leaders with an focus on industrial capacity, equipment manufacturing cooperation and infrastructure construction," Li said upon his arrival at the airport in Brasilia.

High Speed Railways

China previously had said deals expected to be signed with Brazil include a feasibility study for a rail link from Peru's Pacific coast to Brazil's Atlantic coast. The project seeks to lower transport costs of Brazilian products to China. It also would fit into China's plan to export globally its expertise on high-speed railways.
Under the Program of Investments in Logistics, Brazil will invest 65.8 billion in construction and expansion of its aging highways and railways. A total of 20.8 billion will be used to double Brazil's 5,700 kilometers of highways, while 45 billion will be used to build 10,000 kilometers of railways, according to Xinhua News Agency.
Chen Duqing, China's former ambassador to Brazil, said the construction projects mean big opportunities for Chinese companies as Brazil strives to upgrade its infrastructure, especially the transportation system.

Investments

"It is imperative for the country to modernize its transportation network, so as to improve efficiency and encourage spending. Chinese companies are usually at a more advantageous position for these infrastructure construction biddings because they come with a financing plan," Chen said.
The investments are to be made through the private sector, with the government selling highway and railway concessions to private companies.

Political trust and economic cooperation with focus on industrial capacity, equipment manufacturing cooperation and infrastructure, anticipated PM Li

Brazil's transportation system consists mainly of main road and railway networks, where the railway capacity accounts for only 24%. Railway networks are used mainly in the south, the southeast and northeast of Brazil, more than 35% of which was built 60 years ago.
Chen said logistics are a main problem because high costs have increased Brazil's agriculture prices and reduced their competitiveness with overseas producers.
The country relies heavily on road transportation for grains, sometimes impossible to transport during rainy periods. Railways and waterways are cheaper and faster, but underdeveloped.

According to the Brazilian Association of Cereal Exporters (ANEC), the average price for shipping soybeans from Brazil has been nearly 98 dollars per ton over the past three years, which is five times higher than in the United States and considered the most expensive in the world.
However former ambassador Chen said Chinese companies must get involved in Brazil to learn about local laws and rules before completing deals.
Brazilian daily newspaper O Globo reported a change of interest among Chinese investors for value-added industries.
"There is a kind of evolution of Chinese investment in Brazil. We have already been in a third wave. It started in the energy sector with China's State Grid, and now there is much interest in railways," O Globo quoted GuilhermeBilli, head of the trade-promotion sector at the Brazilian embassy in Beijing.
The State Grid Corporation of China has invested more than 1bn dollars to construct and manage power transmission projects in Brazil. Chinese investors are also very interested in railways and "all the large railways groups in China want to operate in Brazil," added Billi.
China has been Brazil's largest trade partner since 2009, accounting for 18% of the country's foreign trade. Despite a slight decrease, bilateral trade last year was 78 billion, according to Brazilian authorities.

Published in Economy

With the discovery of shale gas reserves in Brazil and plans to auction drilling rights there, a delegation is visiting Pennsylvania to see how its drilling boom has turned the state into one of the leading natural gas producers in the U.S. The group of Brazilian business and energy industry professionals hopes to learn from the state's experience and to explore the possibility of exports to Brazil during meetings Wednesday and Thursday.

Celia Feldpausch, executive director of the Brazil Industries Coalition, said Wednesday the national oil company plans to hold auctions for drilling rights later this year, but shale gas drilling is a new issue for Brazil and "we want to make sure to protect the environment." "We're trying to learn as much as we can," said Feldpausch, whose Washingtonbased coalition represents Brazil's private sector.

Published in Economy
© 2017 Eyes on Brasil. All Rights Reserved. Designed By Lennart.