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Bleak: Less than 1% of Brazil’s Small Businesses Are Innovative

Port in Pará, Brazil
Sebrae's (Brazilian Micro and Small Business Support Service) latest Global Entrepreneurship Monitor GEM survey shows that only 0.6% of Brazilian micro and small companies are innovative. Brazil is among the lowest raking countries among the 43 countries surveyed. It is a discouraging figure, as the whole world is experiencing and economic crisis and betting on the economies of emerging countries.

The seminar "Challenges of Growth – Innovation in Small Companies," to be held on July 2 in the city of São Paulo, should bring together representatives of the country's leading science and technology organizations and of Sebrae, as well as 400 businessmen, to discuss the matter. The chairman of Sebrae, Paulo Okamotto, will participate in the opening of the event.

Promoted by the National Association for Research and Development of Innovative Companies (Anpei), with sponsorship from the Sebrae, the event will be held from 8:30 am to 12:30 pm at HSBC Brasil.

"With incentive, the number of innovative micro and small businesses may increase from the current 50,000 to 80,000 within two years," says the technical director of Sebrae, Luiz Carlos Barboza, who specializes on the matter. The director will give a lecture explaining what the Sebrae has been doing to encourage innovation in small businesses. One of the highlights will be the presentation of the project ALI – Local Agents of Innovation, who work as door-to-door consultants for small companies.

Pará's New Port

Pará, a state in the Brazilian North is getting a new port, in the municipality of Marabá, in the Tocantins River and also a steel mill. The government of the state signed an agreement with the National Department of Transport Infrastructure (DNIT), for an investment of 76 million reais (US$ 38.8 million) in the port. Mining company Vale do Rio Doce informed that it is going to build a steel mill in the city as well.

Construction work on both the mill and the port should be concluded by 2012. The river port should enable the municipality to develop and help improve the infrastructure of the state, so that it may attract more industries.

According to information supplied by the governor of Pará, Ana Júlia Carepa, the state is awaiting the clearing of 344 million reais (US$ 175.8 million), from the National Treasury, for investing in industrial districts.

The funding for the port will come from the Federal Budget. By means of the DNIT, the federal government will participate in the project with 68.4 million reais (US$ 34.9 million), or 90% of the total, and the government of Pará will invest the remaining 10%, the equivalent of 7.6 million reais (US$ 3.8 million), thus totaling 76 million reais. As of now, 5 million reais (US$ 2.5 million) will be cleared for the elaboration of the project's general guidelines.

The port will have terminals for liquid bulk, solid bulk, and general cargo. The projects will be executed by the Federal University of the State of Pará, and the works will be undertaken by the Ports and Waterways Company (CPH), a public enterprise linked to the State Secretariat for Regional Integration (Seir).

Reduced Growth

The estimate by Brazil's Central Bank for growth of the Gross Domestic Product (GDP) of Brazil in 2009 was revised from 1.2% to 0.8%. The information is in the Quarterly Inflation Report, from June 26.

According to the report, the estimate "specifically reflects the impact of less favorable forecasts" for industrial performance. The report also shows that the GDP result in the first quarter suggests that "the economic deceleration that followed the intensification of the financial crisis may be lower than initially forecasted.

Service

Seminar Challenges of Growth – Innovation in Small Companies
July – from 8:30 am to 12:30 pm
HSBC Brasil
Rua Bragança Paulista, 1.281
Contact: Anpei – (+55) 11 3882-0005
http://www.sirin.com.br/desafiosdocrescimento

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