PETpla.net Insider 01+02 / 2014

EDITOUR REPORTS 10 PET planet insider Vol. 15 No. 01+02/14 www.petpla.net We have now arrived in Brazil – South America’s largest beverages market - on the final stage of our “Go With the Flow Tour”. Brazil, with its capi- tal Brasilia, is not only the most densely popu- lated country in Latin America but it is also, in terms of both surface area and population, the sixth largest country in the world. Blessed with rich natural resources, its domestic market com- prises close on 200 million consumers. 47% of the total surface area of Brazil shares a border with ten South American countries, the only countries not to do so are Chile and Ecuador. Geographically, the north of the country is characterised by extensive rain forest, the Amazon lowlands and, in the south, by hilly landscapes and mountains framed by a coastline extending to several thousands of kilometres. Around 90% of the population is concentrated in the federal states along the east and south coasts. Here centres of population are emerging such as, for example, the Federal State of Rio de Janeiro with a population density of more than 300 inhabitants per square kilometre. The population is young, the average age being just 27.4 years. By comparison to the other South American countries, Brazil today has a broad industrial base which is dominated by the direct processing of agricultural products, followed by crude oil and mining products. Traditional sectors such as textiles and leather-working are in decline. The most important exports are coffee, cocoa, tropical fruits, soya beans, sugar and iron ore. Brazil’s predominantly tropical climate fosters the growth of a profusion of tropical fruits in a diversity not found any- where else in the world. Deserving of particular mention is the guarana fruit which comes from the Amazon region. Soft drinks made from this fruit are very popular in Brazil with more than a quarter of all soft drinks on the market using it as a base. The reason for this is the stimulating effect of the guarana fruit which has a naturally high caffeine content. A further product that is inextricably linked with Brazil is the cultivation and processing of sugar cane. Each year approx. 600,000t of sugar cane are made into sugar for domestic consumption or converted into bio-ethanol. Depending on the market price, the quantities are split 50/50. This makes Brazil the largest producer of refined sugar in the world. One other speciality distilled from sugar cane deserves a mention, a spirit that goes by the name of Cachaca. This fiery potion is the base of “Caipirinha“, a cocktail which enjoys a worldwide reputation. Economy The economy of Brazil is characterised by the core ser- vices sectors with about 65% of GDP, industry 17% and agri- culture with approximately 6.7%. The high investment level and solid employment growth combined with lower overall unemployment rate (5.8% in 2011) has significantly increased global economic interest in Brazil over the past few years. The main driver of growth remains the strong domes- tic market (approximately 67% of GDP in 2010). Exports account for around 20%. Lima Santiago La Paz Buenos Aires Montevideo Progresso São José dos Pinhais São Paulo Rio de Janeiro Lindóia Santa Cruz Sucre Quilmes Pilar Jaú Concepción Santa Fe Barueri Jundiai Sorocaba Amparoa Limeira Brazil Part 1 by Waldemar Schmitke