Revenues from sales are also decreasing less than they did last year. In the first quarter the rate was 34%, in the first half it was 29%, and in June alone it was 14%.

Last month, foreign sales of raw beef contributed US$ 289 million to the Brazilian balance of trade, whereas the accumulated result in the first half of the year was US$ 1.36 billion. The executive director of Abiec, Otávio Cançado, said in a press release that the worst of the crisis is over, the supply of export credit is back to normal, and markets are heating up again.

"There was a worldwide retraction of economy, which impacted the performance of Brazilian beef exports. Brazil is the largest beef exporting country in the world, and is capable of retaining its leadership position: all that it takes is for the world economy to return to the level at which it was before September 2008," said Cançado.

The Abiec also informed that at the peak of the crisis, the dollar was equivalent to 2.50 Brazilian reais (US$ 1.27 at current exchange rates), and now it is worth 1.99 real (US$ 1.01), besides the fact that the average price of beef has decreased by approximately 14%.

Russia remains the leading buyer of Brazilian raw beef, having purchased 237,000 tons from January to June, generating revenues of US$ 410 million for the country. The city of Hong Kong, a special administrative region of China, ranks second, followed by Egypt and Algeria.

The Chilean market represents hope for increasing exports in the second half. An embargo was imposed on Brazilian beef in October 2005, and only in April this year certain Brazilian slaughterhouses were authorized to sell to the country again. The Abiec, however, believes that the volume of trade between the two countries is much lower now than it was before the embargo.

In order to try and accelerate the resumption of exports, representatives of the Abiec are going to promote, starting now, meetings in Santiago, the capital of Chile, with the participation of businessmen, secretaries of state, restaurant owners, food critics, and news reporters.

ABr

At the age of 101, the celebrated and sometimes vilified Niemeyer is still very active.

The government of Algeria selected the Brazilian project after a tender, according to the minister of Culture of Algeria, Khalida Toumi, who was at the meeting in Rio.

Khalida stated that the library should start being built in December, soon after the end of the studies for the project. The conclusion of the construction, according to her, is scheduled to take around two years after works begin. The Algerian minister said that the most difficult part, which was deciding on the initiative, is already in the past. It has already been over two years since the idea was released, in 2006. The government of Algeria, according to Khalida, should cover the cost for construction of the library.

Khalida recalled that Niemeyer has a history connected to Algeria, as has designed a series of constructions there. He was responsible, for example, for the design of Constantine University. A representative of Niemeyer's office presented a drawing of the library to the ministers in Rio. It should have two main buildings, should be in a high area, with a view to the sea, and should include an auditorium, exhibition room, restaurant, square and apartments for researchers.

Also in progress is the development of a project for a South American research institute, to be in Tangiers, Morocco. According to the minister of Communications of Morocco, Khalid Naciri, who was in Rio, the space has not yet started being built, but there is already a 20,000 square meter plot made available by the government of Morocco for that purpose.

The site should serve for the promotion of translations and exchange of research between the countries in South America and the Arab world. The initiative was included in the final document of the meeting.

The final declaration also included the availability of the countries to help in the recovery of cultural assets of Iraq, partly lost due to the war faced by the country. The plea was made by the Iraqi ministers of Culture, Maher Ali Ibrahim, during the meeting of ministers. At the recommendation of the minister of Culture of Brazil, Juca Ferreira, the final declaration got an item calling for support to Iraq in the recovery of its assets.

According to Ibrahim, the museums, auditoriums and theatres of Iraq were destroyed after the North American invasion. With this, historic and artistic collections from Iraq, like archaeological articles, pictures and books, were stolen and traded all over the world.

To his colleagues present at the meeting, the minister said that there is now just one theatre in the country, in Baghdad, which is being recovered. The undersecretary of Cultural Policy at the Ministry of Foreign Relations of Peru, Liliana Cino de Silva, told the story of two articles from Iraq that were confiscated at the airport in Lima and returned to the Arab country.

Apart from the support to Iraq, yesterday's meeting resulted in the resolution and presentation of a series of measures that are being or will be taken for the generation of closer ties between Arabs and South Americans. After the meeting of ministers, the final document also got another paragraph calling for the fostering of Arabic teaching in the South American countries and the teaching of Spanish and Portuguese in the Arab world; another expressed the concern of the countries with regard to preservation of the cultural, historic and religious assets of Jerusalem, calling the United Nations Educational, Scientific and Cultural Organization (UNESCO) to care for them.

The final document of the meeting also included several other items, like the support to international events in each of the countries, the statement of the importance of the Bibliaspa, a digital library with literature and audiovisual material, special attention to the National Day of Arab Immigration, in Brazil, on March 25th and the call for countries to avoid the trafficking of antiques. It was agreed that the countries will send suggestions and information for the completion of a final plan in the cultural area up to July 22nd, and that the next meeting of ministers should take place in Jordan, in 2011.

The ministers, in their declarations at the conference, pointed out the importance of cultural relations between South America and the Arab countries and the desire for them to grow. "Brazil and Latin America are commanding a new world with regard to dialogue between cultures," said the minister of Culture of Jordan, Sabri Rbeihat. "The meeting between Arabs and South Americans strengthens the confidence in human values and in culture," said the minister of Culture of Sudan, Amin Hassam Amr.

In the sidelines of the event, the ministers of Algeria and Brazil signed a framework agreement in the cultural area. According to minister Juca Ferreira, it is an agreement that shows the desires of both sides for this cooperation to be permanent. From it, should arise joint cultural projects.

Anba

The delegation, led by minister Miguel Jorge of Development, Industry and Foreign Trade, will be traveling to Libya, Algeria and Morocco between January 24th and 30th, 2009.

The Arab Brazilian Chamber of Commerce is supporting the ministry in selecting the companies and should send a representative to accompany the mission. The main objective of the event is to promote trade and investment between both regions, as well as exploring possibilities for cooperation between the productive sectors in Brazil and North Africa.

"North Africa is a market with great potential and trade (with Brazil) has grown significantly in recent years," said Arab Brazilian Chamber president Antônio Sarkis Jr.

Over the last three years, from January to November, bilateral trade between Brazil and Algeria, Morocco, Tunisia and Libya has grown 80%, rising from US$ 3.68 billion in 2006 to US$ 6.63 billion this year.

Brazilian exports to the four countries from January to November totaled US$ 1.5 billion, which represented an increase of 27.8% over the same period last year. The main products shipped were sugars, meats, ores, fats and animal or vegetable oils.

On the other hand, Brazilian imports up to November grew 48% over the first 11 months of 2007, rising from US$ 3.4 billion to US$ 5 billion. Fossil fuels, fertilizers, chemical products and sulphur were the main products exported by these countries to Brazil.

According to Sarkis, North Africa is undergoing a great process of industrialization and investment, which generates opportunities for Brazilian companies. "Apart from that, they are countries with a good level of schooling, as they have invested much in education in recent years, and they currently have very qualified labour," he said.

The economies of these countries have presented rates of growth of over 5%, higher than the global average. Privatization and the opening of specific sectors to foreign capital are also positive factors for the companies to invest in the region.

According to the secretary general at the Arab Brazilian Chamber, Michel Alaby, the mission to North Africa is also an opportunity to seek strategic partnerships. "Sectors like chicken, building material, medical and hospital equipment, agricultural products, auto parts and agricultural food products are fundamental," said Alaby.

According to the Ministry of Development, transportation will be in a Brazilian Air Force aircraft, eliminating expenses with tickets. On the other hand, companies participating will have to cover housing and feeding expenses of their representatives, and also production costs of promotional material and any other material of private interest.

Service

Brazil's Ministry of Development
Tel.: (+55 61) 2109-7744
Fax: (+55 61) 2109-7433
Website Site: www.desenvolvimento.gov.br/missoes

Today Amorim will be in Algiers. In addition to attending the third meeting of the Brazil-Algeria Bilateral Mixed Commission, which will count on representatives from different sectors in the two countries, the chancellor is going to meet with the Algerian president, Abdelaziz Bouteflika, the minister of Foreign Affairs, Mourad Medelci, other local government representatives, and Brazilian businessmen operating in the country.

"He is going to participate in the second meeting for political consultation (with the Algerian government), and also sign cooperation agreements," said the Brazilian ambassador to Algiers, Sérgio Danese.

Algeria is one of Brazil's leading trade partners in the Arab world, large supplier of oil to the South American country, and a hub that attracts Brazilian enterprises to the region. Companies such as Randon, a maker of highway implements, Neobus, for buses, and construction company Andrade Gutierrez own operations in the country.

On the 24th and 25th, the minister will be in Morocco. There, he is going to attend a meeting of the Brazil-Morocco Bilateral Mixed Commission, and should also meet with the prime minister, Abbas El Fassi, the foreign minister, Taí¯bi Fassi-Fihri, and other government officials.

According to the Brazilian ambassador to Rabat, Carlos Alberto Simas Magalhães, a highlight of the trip will be the signing of agreements in the sanitary and environmental areas. The treaty in the veterinary field paves the way for meat exports from Brazil to Morocco. Presently, the Arab country does not import any beef from Brazil, and buys very small quantities of chicken meat.

Other subjects to be discussed by the minister, according to Magalhães, include economic cooperation, trade, investment, air and sea transport, tourism, urbanism and habitation, agriculture, and professional training.

According to the ambassador, cooperation in the fields of culture and energy should also be discussed. "(The Moroccans) would like for Petrobras to provide assistance in obtaining geophysical data on the country's continental shelf," stated the diplomat.

Tunisia

On the 26, Amorim will be in Tunisia, where he will meet with the country's chancellor, Abdelwaheb Abdallah. According to the Brazilian ambassador to Tunis, Marí­lia Sardenberg Zelner Gonçalves, this will be the first meeting turned to political consultation among the chancellors of the two countries ever since an agreement in the area was signed in 2002.

The Brazilian minister has already been to the Arab country in 2005, to prepare the Summit of South American and Arab Countries that was held that year.

"Such a high level visit changes the level of bilateral relations," said Marí­lia. The representatives of the two governments are going to exchange ideas on the international scenario and issues related to their respective regions. The ambassador stated that Brazil and Tunisia are members of different multilateral regional organizations.

"They are going to analyze bilateral cooperation relations, whose full potential is not being fully tapped, and which could be further explored," stated the ambassador. On the sidelines of the ministerial meetings, diplomats from the two countries will meet in order to assess of what can be done to strengthen relations.

According to Marí­lia, on the Brazilian side, three areas have already been chosen that may be the target of cooperation agreements: agriculture, education and energy. "We believe that these areas will be of interest to them as well," she declared.

She asserted that Tunisia has good social indicators, as only 4% of the country's population lives below the poverty line and 80% of people own their housing units. Furthermore, the country's economy has been growing steadily: 6.3% last year, and a forecast of 7% for 2008.

The country is, however, very much linked to Europe. Early this year, the tariffs provided for by the association agreement that Tunisia sustains with the European Union were eliminated. "Our challenge is to prove that Brazil is a viable alternative for partnership. Besides, Tunisia might function as a gateway for Brazil to enter Africa, especially the Maghreb," stated the diplomat.

She claimed, for example, that there are no Brazilian companies installed in Tunisia, but that the country is receiving heavy investment in its real estate sector, especially from Arabian Gulf countries, and that this represents an opportunity for companies willing to operate in the country.

Marí­lia highlighted the fact that Brazil is very much appreciated in Tunisia, a fact that became clear, according to her, in a series of cultural events promoted by the embassy in Tunis, including presentations of various Brazilian musical genres, and fine arts exhibitions. Events were open to the general public and "enjoyed very good acceptance." In April, the Brazilian minister of Culture, Gilberto Gil, played a show in the country. He, however, did so by invitation of the Tunisians themselves.

"We have a cultural agreement with Tunisia, in effect from 2006 to 2009, and such an exchange should lay the foundations for a mutual interest that will become further diversified," said Marí­lia. "I am very happy with the whole experience," she concluded. In July, she will leave Tunisia to assume the Brazilian embassy to the Czech Republic.

Anba – www.anba.com.br

This will be the third time that the group heads to the Arab country since last December to carry out highly complex surgical procedures with the aim of training Algerian professionals.

According to the head at he INC pediatric heart surgery service and team coordinator, José Caliani, during the two previous trips, 38 children underwent surgery. Algeria is interested in acquiring the know-how because this type of procedure is carried out abroad, usually in France, which leads to high costs. Furthermore, patients recover more easily in a family environment.

The exchange agreement, signed by the Brazilian President, Luiz Inácio Lula da Silva, during a visit to Algeria in 2006, is expected to continue for three years counting from January 2008. According to Caliani, the Brazilian MDs should take two to three trips a year until the project ends.

In addition to surgical procedures attended by Algerian doctors, the program includes theoretical lessons. "We have received some great feedback, they are very pleased. Our work has been widely reported by the local media," Caliani said.

According to him, the project is being regarded as a model for international cooperation, so much so that the Brazilian ambassador to Algiers, Sérgio Danese, invited him to make a public presentation on the subject during his stay in Algeria.

"This is an honor for us," he asserted. His Algerian colleagues, he claimed, have great interest in learning the techniques, which makes work easier and more joyful.

The group is comprised of three doctors. Besides Caliani, also participating are an anesthetists and a specialist in extracorporeal perfusion – i.e., use of a machine which temporarily replaces the heart and lung functions, oxygenating and pumping blood, and thus allowing for the heart to be stopped for surgical intervention to occur.

They should travel to Algeria on June 11 and return June 28.

Anba – www.anba.com.br

António Mexia said, during the presentation of the company's quarterly results, that Brazil needs more electric production and that, along with wind and water energy, "combined cycle centers play an important part".

"We are studying the model they use for gas supply and evaluating the possibility of participating in projects for the construction of liquefied natural gas terminals," he said to journalists at a press conference.

António Mexia also revealed that EDP is discussing "the available natural gas" with Brazilian oil company Petrobras, but added that it is necessary to "purchase gas abroad". "Up to the end of the year, we will have news," he added.

He had already mentioned that a partnership with Sonatrach for the Iberian Peninsula could be extended to other areas.

EDP also added that they currently have a series of projects under study in Brazil in several technologies (water, combined cycle, biomass and wind) corresponding to a capacity of 4,000 megawatts.

With regard to partnerships with the International Petroleum Investment Company (IPIC), from Abu Dhabi, António Mexia added that "projects in which we may operate in partnership" have been identified. "It is an area that presents good perspectives for us," he said.

With regard to auctions for barrages in Portugal and possible partnerships, António Mexia stated that EDP is currently working on "economic and technical viability studies" and that only after they are completed will partnerships be defined.

Lusa

The International Promotion Department at the ministry organized a meeting, this Tuesday, May 6, with companies that intend to be a part of the delegation in the southeastern Brazilian city of São Paulo.

"Those are markets in which Brazil already has good penetration, agriculture-wise. The export basket, however, focuses too much on products such as sugar, meat and corn (in the case of Iran)," said the director of the department, Eduardo Sampaio Marques.

"And they import other items that we are able to supply, but do not sell to them at the volume we could be, such as dairy products, eggs and even coffee," he added.

He claimed that the market share of Brazilian agribusiness products in those three countries is greater than the share on the worldwide market, which is 7%. In Algeria, for instance, Marques informed that Brazil has a 9% market share, but that sugar and meat answer to 80% of total exports. Even in dairy products, for which Brazilian sales have been growing, market presence could be greater.

Marques stated that Algeria imported the equivalent to US$ 630 million in powdered milk in 2006, of which Brazil answered to just US$ 54 million. Last year, Algerian imports of dairy products totaled approximately US$ 1 billion, and the European Union accounted for half that amount.

He listed other products that Brazil could supply more of, such as green coffee (imports of US$ 152 million in 2006), corn (US$ 338 million in imports) and bananas (US$ 53 million in foreign purchases).

In the case of Egypt, Marques highlighted that the country's supermarket sector is growing and that Brazilian agribusiness already has a 14% market share, but once again, it focuses too much on sugar and beef, even though there is space for expanding trade of other products, such as those of the soy complex (imports of US$ 340 million in 2006), corn (US$ 456 million in imports), powdered milk (US$ 105 million in foreign purchases), food preparations (US$ 45 million), apples (US$ 68 million), butter and cheese (US$ 115 million) and rice (US$ 32 million).

The story is the same with Iran, to where Brazilian exports focus on corn, soy and sugar. Even though Brazilian agribusiness has a 43% market share in the country, those three products represent 84% of total exports, even though there is even space for traditional export goods, such as chicken meat.

Marques said that the international food market is quite heated right now, and that it is easier to export to those countries, as they are not self-sufficient in the sector and impose few barriers on imports.

He claimed, however, that the mission's goal is not just to ink isolated deals, but rather to ensure the establishment of long-term commercial relations. This is so because Brazil is still able to greatly expand its food supply.

This is going to be the second action of the ministry turned to the Middle East this year. The first took place in late February, when the ministry and the Arab Brazilian Chamber of Commerce organized the participation of businessmen from Brazil in Gulfood, a food industry trade fair held in Dubai, and they also promoted an institutional mission to Saudi Arabia.

Yesterday's meeting was attended by representatives of companies in the dairy product, egg, cheese, pasta, biscuit and chocolate, beef, fruit, and agricultural commodity sectors, among them several participants at Gulfood.

The secretary general at the Arab Brazilian Chamber, Michel Alaby, who also attended the meeting, claimed that Algeria favors imports of raw materials and semi manufactured products to be used in the country's domestic industry.

He stated that import tariffs on finished goods range from 30% to 45%, and that tariffs on basic and intermediate goods range from 5% to 10%. "There is much space for us to work in Algeria," he asserted.

In the case of Egypt, Alaby said that there is much demand not only for foods, but also for agricultural machinery and equipment. "They also want to sell more to Brazil, and they have fertilizers to offer, for example," he claimed.

Alaby highlighted that Egypt is an export platform to other countries, both inside and outside of the region. The Egyptians maintain a trade agreement with the United States, for example.

The advisor at the ministry's International Promotion Department, Danilo Gennari, stated that Iran is a market undergoing a process of opening up, and that this is the right moment for Brazil to come through as a trustworthy commercial partner.

Anba – www.anba.com.br

Sonatrach is the largest oil company on the African continent and the 12th largest in the world, according to Petroleum Intelligence Weekly (PIW).

Algerian gas, according to the Petrobras statement, would be used in terminals that the company is implementing in Pecém Port, in the northeastern Brazilian state of Ceará, and in Guanabara Bay, in the southeastern state of Rio de Janeiro.

The agreement, signed in Algeria, also foresees studies in the area of exploration and production on onshore, and especially offshore, blocks in Brazil, Algeria and in some countries of common interest.

Petrobras and Sonatrach also established a Master Agreement contract for the LNG supply, with general clauses that establish the guidelines for both countries for a possible future sale and purchase of LNG.

The agreement was signed by Petrobras president José Sergio Gabrielli de Azevedo, and by the director general of Sonatrach, Mohamed Meziane. The Master Agreement was signed by the Petrobras Gas and Energy director, Ildo Sauer, and by the executive vice president at Sonatrach, Chawki Rahal.

Anba

In the company unit in the city of Pelotas, for example, approximately 70% of produce is turned to the foreign market. Although the organization’s main clients are Russia and the European Union (EU), it has already shipped to Egypt, Algeria and Saudi Arabia.

"We have already shipped large volumes of meat to Egypt," stated the plant’s general manager, Armando Brasil Salis. The unit, purchased by Mercosul in 2005, slaughters 800 heads of cattle a day, which results in a daily production of 72 tons of beef ready for consumption. The company also performs halal slaughter, following Muslim regulations.

Approximately 750 people work at the company plant in Pelotas, but Mercosul counts on approximately 4,000 employees, according to Salis. The company has another eight units, five in Rio Grande do Sul, two in the state of Paraná, also in southern Brazil, and one in Mato Grosso do Sul, in the midwest. The organization is the largest slaughterhouse in southern Brazil. The units in Rio Grande do Sul alone slaughter over 3,000 animals a day.

The Pelotas unit is the second largest in the group. The largest, located in Alegrete, also in Rio Grande do Sul, slaughters 900 heads of cattle every day. The Pelotas plant, however, has just received investment of 3.8 million reais (US$ 1.8 million), according to Salis, for the purchase of equipment and the construction of a continuous cooling tunnel, which is already in operation.

Salis stated that it should be possible to increase the factory’s production capacity by 20% up to next year. "The company as a whole has already grown up to 30% a year on average," he said. "In the beginning of operations, we even grew more than that," he added.

Mercosul was established in 1998, and purchased or leased slaughterhouses that were closed or going broke. This year investment fund AIG Capital purchased 30% of the company, which has another four partners.

The cattle processed at the Pelotas unit come from the north of the state and from the region on the border with Uruguay. Some of the suppliers are exclusively turned to production for Mercosul, as is the case with the cattle raised by Gedeão Pereira, the owner of Santa Maria farm, in Bagé.

"The whole of our produce is turned to Mercosul," stated Pereira, who raises cattle of European breeds, like Hereford and Angus. The farm has 11,500 hectares of land and on average 13,000 heads of cattle.

The journalist from Anba travelled at the invitation of the Brazilian Beef Industry and Exporters Association (Abiec).

The fair will take place between June 1 and 8 in the capital of the African Arab country. They will participate in a stand organized by the Arab Brazilian Chamber of Commerce.

According to the technical spokesperson at the Abiec, Luciana Luiz Casanova, the trip will serve to show how halal slaughter, which follows Muslim rules, is executed in Brazil and to show the quality of the cattle beef produced in the country.

Brazil already sells cattle beef to Algeria. Last year exports totaled US$ 108 million, with growth of 69% over the previous year. "We want to establish the economic integration that already exists," stated Luciana, who participated in a preparatory meeting for the fair at the Arab Brazilian Chamber of Commerce yesterday.

Algeria was one of the countries that stopped importing meat from Brazil due to cases of foot and mouth disease registered in the country last year. In March this year, however, imports were partially started again.

The Arab country returned to buying boneless meat from Brazil, except for that from 15 states. Algeria had not officially embargoed Brazilian meat, but was not granting import licenses. Algerian participation in Brazilian cattle beef purchases was 3.1% in 2005.

At Algiers International Fair, the Abiec and Fambras are going to talk to visitors about the characteristics of the Brazilian cattle herd, covering the raising of cattle on grazing ground, something normal in the country and that makes the meat healthier.

Abiec has a Brazilian cattle beef marketing program called Brazilian Beef, also to be showed in Algeria. According to the figures supplied by the Abiec, the Algerians imported just US$ 4.2 million in cattle beef between January and April this year.

According to the secretary general of the Arab Brazilian Chamber of Commerce, Michel Alaby, Algeria is a potential market for food produced in Brazil.

"Foods represent 22% of Algerian imports," stated Alaby. Last year Algeria imported a total of US$ 22.5 billion in products in general. The Arab country’s main trade partners are France, Italy, Germany, Spain, the United States, China and Turkey.

The Brazilian stand at Algiers International Fair will include, apart from Abiec and Fambras, the Brazilian Furniture Industry Association (Abimóvel), Tangará, a producer of powdered milk, Starret, a maker of tools as well as Rimo and Divicar, furniture producers. The fair is visited by importers from various countries in the region, mainly from Africa.

Last year, Algiers International Fair received one million visitors, among them 15,000 businessmen and businesswomen. The fair had exhibitors from 35 countries in Europe, America and Africa. There were 1,300 foreign and 600 Algerian exhibitors. The fair covers an area of one million square meters.

Anba – www.anba.com.br