The Febrava International Business Roundtable 2013 continues to gain strength, this year the number of participants increased, in what continues to be Brazil's biggest bet to encourage the exports of its companies to Latin America in the HVAC/R sector.
by Duván Chaverra Agudelo
It is no secret to say that Brazil is one of the most important economies in the world and every time the Febrava International Air Conditioning, Heating and Refrigeration Fair is held, all eyes look towards the South American giant.
Well, in this 2013 was no exception, our HVAC / R sector met in Sao Paulo to learn about the latest developments in the industry at a fair where every two years it gives rise to agreements in business of millions of dollars.
If we look back, the industry in Brazil in general worked to meet the needs of their own country: they have their own plants, they manufacture their products there and distributed and marketed them for users internally, however, this commercial attitude changed and now the bet of the South American country is to enter the large markets of the region presenting competent alternatives.
For that reason there is the Febrava International Business Roundtable, a cooperation of Abrava – Brazilian Association of Refrigeration, Air Conditioning, Ventilation and Heating with Apex-Brazil – Brazilian Agency for the Promotion of Exports and Investments, which reached its Phase 5.
As indicated by Leila Vasconcellos, technical director of the Abrava Exporta Program, "the purpose of the International Business Roundtable is to hold business meetings bringing Brazilian companies in the HVAC/R sector closer together with distributors, importers and engineering companies from Chile, Colombia, Costa Rica, Guatemala, Panama, the Dominican Republic, Uruguay and Venezuela, enabling the presentation of their products and their technical applications, aiming at increasing its exports and new commercial relationships for future business".
In total, 210 business roundtables were held between the 16 participating Brazilian companies and the 17 international buyers who arrived in Brazil. From there, expectations of business generation for US$5,115 million were born.
ACR LATINOAMÉRICA accompanied the round and learned about the proposals of Brazilian companies, with which we found out why they were interested in crossing the borders of their country.
For example, Henrique Leite, export manager of Refrex (HNR Group), a manufacturer of components for white goods and refrigeration for commercial and residential air conditioning, who believes that "we have a good relationship with the manufacturers of the equipment in Argentina, Colombia, Mexico, Peru, Chile, Venezuela, and with the contacts we had in the past we are going to recover them because there is a very important refrigeration market and they are types of customers with a lot of connection with our products".
For his part, Wanderson Scheiber, commercial director of Serraff, said that for them this International Business Round allows them to come into direct contact with many countries that may be interested in doing business with the products they manufacture. "Our products sell very well in Brazil, but now we want to enter other countries, because it is a challenge for our developers and we also do it for our own satisfaction."
He added that "we are manufacturers of heat exchangers, but for three years we have been developing forced air evaporators, and for us it is very important to explore other markets that use our technologies."
Full Gauge Controls was another of the companies participating in the event. Rodnei Peres, manager of foreign trade, said that they always participate in the activities of Abrava Exporta, because for them the international market is very important, and although they already have a strong presence in Latin America, they are always interested in meeting new players in the sector.
With regard to Febrava, the executive of the manufacturer of controllers for refrigeration, believes that the Brazilian market will behave until the end of the year in the same way as the fair does and for him: "This year we saw a large participation of many companies, visitors from all over the world were present and this means that our market awaits a good near future."
Meanwhile, Coel, a manufacturer of controls for the sector, told us that their interest in expanding into the Latin American market is such that they plan to open a new office in Colombia, from where they will serve the market in the region. Its president Alfredo Dal Pozzo confirmed this. "We are already very strong in Mexico, now we want to expand our participation in other countries and we know, for example, that Colombia has many opportunities," said the executive.
Another of the participating companies that is looking to expand its market is GHS, manufacturer of chemical products for air conditioning, boilers, cooling systems, water treatment, among others. "We are already working in Panama, but our goal with the wheel is to reach countries like Colombia, Chile, Dominican Republic; in Venezuela we are also starting with some work."
For his part, Mauro Roberto de Souza, export coordinator of Termomecánica, recognized the potential of the region for his business, especially in Central America: "In this round we promoted the copper tubes of our new manufacturing line. We are verifying that there is an opportunity to generate business, because our market is important to them and there are few suppliers that they manage today. In addition to Argentina and Chile we are suppliers in Paraguay, Bolivia, Colombia, Uruguay, but we do not know very well the Central American market and here I had the opportunity to learn and I see a lot of potential there."
The internationalization of companies
As mentioned above, Apex is responsible for the promotion of Brazilian products and services in the international market. Wagner Paes, project manager of the agency linked to the Ministry of Development, Industry and Foreign Trade, indicated that in the specific HVAC/R sector it seeks to promote the exports of SMEs.
"Through agreements with associations, for example with Abrava, we use the relationship so that they can organize participations in fairs, business roundtables abroad or in Brazil to bring Brazilian companies and international buyers from countries that have an interest in our products and services."
Apex makes a rigorous study to know the companies with the highest projections, and this year they managed to invite a larger group of participants: "We do many analyses to understand if it is viable to invest in the sector: that they are SMEs, that the offer is exportable and that the company is prepared for it, that is why certifications are important, that they know the culture of other countries so that they can negotiate efficiently. We do opportunity studies in certain countries, there are business intelligence teams doing market analysis."
For his part, Wadei Tadeu Neaime, president of Abrava, expressed the importance of this type of space, and highlighted the work that the association is doing in favor of the professionalization of the sector. "In 2014 we will start with a higher graduation course at the Faculty of Technology of Sao Paulo, which will last three years and will have 120 students."
As for the expectations of the Brazilian market in the HVAC/R sector, the association estimates that it will have a growth in 2013 of 8%, a fairly high figure when compared to other important markets in Latin America.
Finally, WAdi Tadeu, confirms the commitment of Abrava in terms of environmental protection and therefore works responsibly with the Ministry of the Environment to support the refrigerant disposal process through technical conferences that encourage the use of new refrigerants, according to the Montreal Protocol and the United Nations Program.
Details of the International Business Roundtable
- Participating Brazilian companies (16): Apema, Apexfil, Armacell, Capmetal, Coel, Full Gauge, GHS, Globus, Joape, Paranapanema, Powermatic, Refrex, Semco, Serraff, Termomecanica, Trox Latin America,
- Number of participating international buyers (17): Clima Ambiente, Climazero, Comercial Tres, Envirocare (Chile), Air Andes, HVAC Consulting, Omega Ingenieros, Refrinorte (Colombia), Refrimundo (Costa Rica), Refricentro (Guatemala), Proyex (Panama), Fluitec, MPG Aire (Dominican Republic), Frielectric, Frymon (Uruguay), Frioven, Latin Impor (Venezuela).
- Number of meetings held at las Ruedas: 210.
- Business Generation Expectation: US$5,115 million.
Objectives achieved at Febrava 2013
Febrava 2013 generated business in the order of US$155 million over the next two years. The main fair of the air conditioning, refrigeration, ventilation and air treatment sector received 29,700 visitors this year and brought together 650 exhibiting companies from eleven countries.
"We achieved the goals set two years ago. This is the largest Febrava we have ever done, with 38,000 m2 of total surface. In addition, the fair brought together a much more qualified public with purchasing potential. Most of the stands were filled during the four-day event," said Nelson Baptista, President of the Febrava 2013 Organizing Committee.
Within the fair, 28 companies were also recognized for their innovative products with the Abrava Seal 2013. Full Gauge Controls was highlighted with Sitrad software and Microsol Advanced and Evolution driver lines. Indústrias Tosi was recognized by a new chiller and DuPont also took some recognitions.
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