• Categories
  • Archives

Brazilian Trailer Maker Wants to Export US$ 170 Million in 2006

Randon, the Brazilian maker of highway implements, should end the year with growth of 11% in exports. The company hopes to have revenues of US$ 190 million on the foreign market in 2006, according to Astor Milton Schmitt, corporate director at the industry.

Last year, the company had record revenues of US$ 170.6 million with foreign sales. Randon makes trailers and semi-trailers, as well as special lorries, railcars, auto parts and automotive systems.

Exports to the Arab world should grow in the same proportion as company foreign sales as a whole, according to Schmitt. Last year, North America answered to one third of company exports, the countries of the Mercosur, Chile and Bolivia, for another third, and the Middle East and other nations in South America for the remaining third. Therefore, together with some South American countries, Africa and the Middle East purchased US$ 56 million in Randon products.

Randon sales growth estimates are based on the good performance of the world economy. "The world is at a moment of accelerated growth and emerging countries are growing more than developed countries. As our trailers go mainly to emerging countries, the tendency is for growth," stated Schmitt. The regions that are destinations, however, should continue answering to the same percentages in 2006.

The company from southern Brazil intends to open a new trailer and semi-trailer assembly line in the United Arab Emirates. According to Schmitt, the unit may be open in the Emirates or in another Arab country. Last year, Randon opened a commercial office in Dubai.

The company also has an agent with strong operation in the United Arab Emirates, according to Schmitt. In the Arab world, there are units for assembly of trailers in Algeria and Morocco. They are shipped in disassembled kits and are assembled in the countries themselves.

According to the corporate director at Randon, the distance is the main reason for the opening of new assembly lines. "Sales to the region include high logistics costs. Sooner or later we will have to establish an assembly line in Dubai or in another Arab country, as we did in Morocco, Algeria and Kenya. This will reduce costs," explained Schmitt.

The main Randon clients in the Arab world are in Algeria, Iraq and the United Arab Emirates. The company exports to most of the Arab countries.

Randon is currently undergoing great international expansion. In 2002, the company exported just US$ 50 million, a value that rose to US$ 75 million in 2003, US$ 118 million in 2004 and US$ 170.6 million last year.

The company started exporting 34 years ago. Company gross revenues in 2005 totaled US$ 2.84 billion, 20.4% greater than in the previous year. The Randon headquarters are in the city of Caxias do Sul, in the southernmost Brazilian state of Rio Grande do Sul. The company employs 6,800 people.

Anba – www.anba.com.br

Tags:

  • Show Comments (0)

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Brazil Repeats It Will Not Renew IMF Accord

The International Monetary Fund (IMF) has completed the 10th and final review of Brazil’s ...

Lula: Tree-Hugger He Isn’t

Is Lula becoming the nightmare of ecologists? In a visit to the Amazon, the ...

Brazil to Get US$ 14 Billion Trade Surplus This Year, One Third of 2007

Brazilians are finding some encouraging numbers in their latest statistics. Data shows that the ...

Brazilian Architects Have Program to Get World Recognition

The idea is to promote Brazilian architecture projects and services abroad. For that the ...

Just Saying Yes

Brazil has become the world’s largest corridor for cocaine. Sixty percent of the cocaine ...

Brazilians to Be Jailed and Then Deported for Producing Fake ID’s

Two Brazilian nationals have been sentenced and ordered deported yesterday in federal court on ...

Brazil’s Azul Gets First Jet on Its Way to Become Greenest Airline

Azul Linhas Aéreas Brasileiras has just received its first Embraer 195 jet manufactured by ...

Brazil: Tired of Waiting, Indians Invade Land

Several Brazilian Indians communities began to occupy at the end of June an area ...

Brazil’s Lula Pays 3rd Visit to Africa

Brazilian President Luiz Inácio Lula da Silva is back in Africa. The purpose of ...