Luiz Carlos T. de Carvalho
Chief Advisor for Foreign Trade and Investments
Undersecretary for International Relations
Chief of Staff Secretariat
Government of the State of Rio de Janeiro




LOCATION:
Southeast of Brazil
(57% of national GDP)
AREA:
43,780 km2
(0.5% of the Brazilian territory)
POPULATION :
16.00 M (8.4% of total)
GDP:
US$ 192,0 B (10,9% of Brazil’s GDP)
US$ 11,9 (GDP per capita)
Source: World Bank/IBGE
Source: IBGE
US$ B
GDP OF THE STATE OF RIO DE JANEIRO
250
200
185,4
150
100
50
74,5
80,0
92,6
101,6
120,4
133,5
148,8
192,0
160,4
US$ B
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
Source: IBGE (2010)
Projection of GDP Growth for 2020
2020
2018
2016
2014
2012
2010
2008
2006
2004
Source: IBGE (2012) / Austiin Ratings
STRONG SUSTAINABLE GROWTH
2000 - 2009
BRAZIL
5,7
5,7
5,1
4,3
4,0
3,2
2,7
1,1
-0,2
Source: World Bank/IBGE- All numbers refer to the year 2008
Source: IMF/IBGE (2010)
STRONG SUSTAINABLE GROWTH
2000 - 2009
BRAZIL VS CHINA
11,1
10,1
10,0
11,4
9,9
9,1
9,6
8,7
8,3
8,0
5,7
5,7
4,3
3,2
2,7
1,3
5,1
4,0
1,1
-0,2
Source: World Bank/IBGE- All numbers refer to the year 2008
Source: IMF/IBGE (2010)
STRONG SUSTAINABLE GROWTH
2000 - 2009
BRAZIL VS CHINA VS RIO DE JANEIRO
18,5
15,8
8,0
6,1
8,3
7,0
9,1
15,5
10 9,6
10,1
10,8
9,9
11,1 11,4
9,6
8,7
7,7
5,7
5,7
4,3
3,2
2,7
1,3
11,4
4,0
5,1
2,0
1,1
-0,2
Source: World Bank/IBGE- All numbers refer to the year 2008
Source: IMF/IBGE (2010)
INFLATION RATE
2000 - 2009
BRAZIL
RIO DE JANEIRO
Source: IBGE/IPCA
GROSS DOMESTIC PRODUCT (PPP)
Purchasing Power Parity
Cross-country comparison with the State of Rio de Janeiro
US$ PPP (B)
Source: World Fact Book / CIA / GPD PPP Per Capita 2009
GROSS DOMESTIC PRODUCT
PER CAPITA (PPP)
Purchasing Power Parity
Cross-country comparison with the State of Rio de Janeiro
Source: World Fact Book / CIA / GPD PPP Per Capita 2009
PRE-SALT OIL PERSPECTIVES
Corcovado
Pre-Salt
Source: SEDEIS
PRE-SALT OIL PERSPECTIVES
Source: ANP
PRE-SALT OIL PERSPECTIVES



Perspective of more than 50 billion barrels of light oil
Investments: US$ 600 billion up to 2020
Pre-Salt Region: 800 km long and 200 km wide in 3 basins: Espírito
Santo, Campos and Santos
Source: ANP/Petrobras
PRE-SALT OIL PERSPECTIVES
Main Challenges:
Logistics = 300km offshore
New materials = corrosion
Gas outflow = ELNG
National content= local talent pool
O&G OUTLOOK
Oil Production (2000-2011)
Brazil and the State of Rio de Janeiro (B.O.E./day)
85,0% 79,3%
84,2%
82,6%
79,6% 80,6%
Source: ANP
81,7% 82,0%
84,2% 81,6% 82,5%
O&G OUTLOOK
Gas Production (2000-2011)
Brazil and the State of Rio de Janeiro (millions/m3/day)
43,1% 42,6%
Source: ANP
44,4% 42,2% 39,9%
45,0% 46,4% 44,2%
40,6%
49,7% 44,2%

Important center for postgraduate education
(50 PhDs per 100,000 inhabitants)

Strong professional education network:
Noroeste

6 technological education institutions

134 universities

21 technological centers
Norte
Centro-Sul
Fluminense
Serrana
Médio-Paraíba

Research centers:



Biomedical
Engineering
Energy:

Oil and Gas

Electricity
Baixadas
Litorâneas
Metropolitana
Costa Verde
Universities
University Centers
Technological Education
Centers
Science and Technology
UENF
UERJ
INMETRO
PUC-RIO
FIOCRUZ
FINEP
INT
FAETEC
LNCC FGV
INCA
CENPES
UFRJ
IME
CNEN
CETEM
CECIERJ
IMPA
UFRRJ
ABC
PESAGRORIO
UNIRIO
UFF
FAPERJ
Source: FAPERJ
Logistics
Roads – 27,000 Km (17,000 miles)
Natividade
Rio das
Flores
Valença
Itatiaia
Resende
Vassouras
BR-116
São Paulo – 429 Km
Barra
do Piraí
Volta
Redonda
Barra
Mansa
Pinheiral
Piraí
Rio Claro
COSTA VERDE
S. Antonio
de Pádua
Itaocara
Cantagalo
Carmo
S. Sebastião
do Alto
Macuco
Cordeiro
Sumidouro Duas
Trajano
Barras
de Morais
SERRANA
Bom
Jardim
Areal
S. José
de Ubá
Petrópolis
Cardoso
Moreira
NORTE
Sta. Ma.
Madalena
Conceição
de Macabu
Casimiro
de Abreu
BAIXADAS Silva
Jardim
LITORÂNEAS
Itaboraí
Rio das
Ostras
Guapimirim
Niterói
S.João
da Barra
Quissamã
Macaé
Cachoeiras
de Macacu
METROPOLITANA
Paracambi Japeri
Italva
São
Fidélis
Teresópolis
Miguel
Pereira
E.Paulo de
Frontin
Mendes
S. Francisco
de Itabapoana
Carapebus
Tanguá
Maricá
Rio
Bonito
Iguaba
Grande
S. Pedro
Araruama
da Aldeia
Saquarema
Arraial do
Cabo
Parati
ATLANTIC OCEAN
BR-101
Santos – 535Km
NOROESTE
Nova
Friburgo
Magé
Queimados
B. Roxo D. de
Seropédica
Caxias
Nova Iguaçu
Mesquita
S. Gonçalo
S.J.
Nilópolis
Itaguaí
Meriti
Mangaratiba
Itaperuna
Cambuci
Aperibé
Paty do
Alferes
Rio de Janeiro
Angra
dos Reis
Miracema
S. J. do Vale
do Rio Preto
CENTRO-SUL
MÉDIO PARAÍBA
Quatis
Paraíba
do Sul
Laje de
Muriaé
BR-116
Salvador – 1654Km
Sapucaia
Três Rios
Porto Real
B. Jesus de
Itabapoana
BR-040
Belo Horizonte – 434Km
Com. Levy
Gasparian
BR-101
Vitória – 514 Km
Porciúncula
Railways – 3,000 Km (1,900 miles)
6 Ports (1 project)
12 Airports
- 10 Regionals
- 02 Internationals
ESPÍRITO SANTO
Varre-Sai
Armação
de Búzios
Cabo Frio
Campos dos
Goytacazes
R&D Centers established
in the last 24 months
4 of the top 9 universities of
Brazil are in Rio
Research Centers
Education Ministry Ranking - Undergrad
University
UFRJ
UFMG
UFRGS
UNIFESP
IBMEC - RJ
USJ - SC
FACAMP
IME
FGV
City
RJ
BH
P.Alegre
SP
RJ
São José
Campinas
RJ
RJ
Grade # Course
5
119
5
104
5
71
5
41
5
5
5
3
5
2
5
1
5
1
Other Universities in Rio with grade 4
UERJ
4
51
Education MinistryRJRanking – Grad
PUC-RIO
RJ
4
30
UNIRIO
University
City RJ
Grade 4# Course26
CEFET/RJ
RJ
4
12
UFRJ
RJ
7
7
IST-RJ
RJ
4
1
UNICAMP
Campinas
7 4 6 1
ENCE
RJ
UFRGS
7 4 4 1
Esc.
Direito do RJ P. Alegre
RJ
USP
UFMG
PUC-RIO
CBPF
IMPA
UNESP
SP
BH
RJ
RJ
RJ
SP
University
City
Source: MEC, CAPES
UFRJ
RJ
7
7
7
7
7
7
3
3
2
1
1
1
Grade # Course
6
9
Company
Investment (USD)
CENPES
Petrobras´Research center
12M
FIOCRUZ
Brazilian Health Research Center
30M
CEPEL
Electricity Research Center
30M
CTEX
Army’s Technology Center
INT
National Institute of Technology
IMPA
Inst. of Pure and Applied Mathematics
CBPF
Brazilian Center for Physics Research
IEN
Nuclear Engineering Institute
INMETRO
National Institute of Metrology
36M
450M
21M
15M
50M
50M
120M
N/A
70M

BRAZIL
March 2010
December 2011
The State of Rio
de Janeiro
becomes the
first in South
America to
Receive
Investment
Grade
The State of Rio
de Janeiro
becomes the first
and only to have
two Investment
Grades




Oil production
1.5 million barrels / day (79,3% of the national production)
Gas production
21 million m3/ day (44,2% of the national production)
Self sufficient in eletricity
Installed capacity: 7,400 MW
6 thermoelectric plants: 4,320 MW
2 nuclear plants: Angra I and II
Under construction
Açu Coal Fired Power Plant: 2,100 MW
Angra III Nuclear Power Plant: 1,350 MW
Simplicio Hidroelectric Power Plant 333,7 MW
Source: SEDEIS
Major Investment Projects
Oil and Gas
US$
60,7
Petrochemical Industry
US$
6,5
Steel Industry
US$
2,0
Shipyards
US$
6,6
Transformation Industry
US$
0,7
Logistics
US$
1,7
Energy
US$
8,2
Urban Development
US$
1,7
World Cup and Olympics
US$
6,5
São Francisco de
Itabapoana Eletric Plant
US$ 0,8 Bi
OSX
US$ 1,3 Bi
Ternium
US$ 0,7 Bi
Açú Thermo Plant
US$ 2,9 Bi
Açu Complex
Oil and Gas- US$ 60,7 Bi
R$ 1,0 Bi
Volkswagen
US$ 0,3 Bi
GE US$ 0,4 Bi
Duque de Caxias
Refinery
CEDAE
Comperj
Coquepar
US$
0,7 Bi
US$ 0,7 Bi
US$ 0,7 Bi
STX US$ 5,1 Bi
Brasfels
Porto US$ 0,3 Bi
US$ 1,1 Bi
Prosub
Angra 3
Maravilha
US$
2,1
Bi
US$ 4,5
Bi do Sudeste (LLX) US$
Grupo Fischer
Porto
- US$1,0 Bi
US$ 0,4 Bi
Cup
and
0,7 Bi Gerdau - US$ 1,3World
Bi
Eisa
Olympics
US$ 1,0 Bi
US$ 6,5Bi
Source: Firjan, SEDEIS e PCRJ
Major Investment Projects
Total of Investments
US$
102,0
Source: Decision Rio/FIRJAN
New Investments Announcements - 2010
Country/State
Announcements
Value (US$ Million)
Part. (%)
Brasil
794
268.000
-
Rio de Janeiro
63
18.457
6,87
Minas Gerais
39
10.607
3,95
São Paulo
129
10.471
3,90
Source: RENAI/MDIC
Foreign Direct Investments
Brazil X Rio de Janeiro
2007-2010
100%
RJ U$ 5,45B
RJ U$ 11,1B
RJ U$ 7B
BR U$ 43,9B
BR U$ 30,4B
90%
RJ U$ 25b
80%
70%
60%
BR U$ 33,7
50%
BR U$ 48b
40%
30%
20%
10%
0%
2007
2008
2009
2010
OIL AND GAS
BLOCKS
Source: SEDEIS
DISTANCE
280
km
150
km
SPEED
12
knots
12
knots
TIME
12.6
hours
6.8
hours
OIL AND GAS
BLOCKS
Source: SEDEIS
DISTANCE
280
km
150
km
SPEED
12
knots
12
knots
TIME
12.6
hours
6.8
hours
 150 km from Campos oil basin (85% of Brazil oil production);
 Natural workshop for the pre salt in Brazil: one stop shop for the oil and gas industry;
 Açu Superport : Brazil’s new route to China (Source: FT; May 9th, 2011).
 Up to 350 million tons port complex with 2 terminals (TX1 and TX2), to be
ranked among the largest in the world.

17 km of quay, able to receive 40 very large carriers (including Chinamax) thanks to its 26m draft.
 More than 80 contracts and MoUs signed with companies from sectors such as:




Steelmaking;
Heavy Industry Machinery
Light Machinery and
Components
Power Generation;
Oil and Gas;
Metal Mechanic;
Dry & Liquid Bulk Handling;
Automotive;




Cement;
Offshore Industries;
Shipyards and Repairyards;
General Cargo & Services.
 Resources and cheaper energy supply security, operating and logistic efficiencies, truly just in time
practices and 2% VAT instead of 18%.
Largest and most efficient port-industry complex in Latin America : total
investments of US$ 40 billion
Source: SEDEIS
OIL AND GAS
BLOCKS
Source: SEDEIS
DISTANCE
280
km
150
km
SPEED
12
knots
12
knots
TIME
12.6
hours
6.8
hours

Research and Development
-
Tax Incentives
•
Lei do Bem (Law 11.196 – 2005): IRPF and IPI
IT LAW (Law 8.248, 10.176, 11.077): manufactures and goods
PADIS (Law 11.484 – 2007): PIS/COFINS/IRPJ
-
Programs (BNDES)
•
•
•
•
•
•
•
•
Innovative Capital Program: R$ 200 million per economic group of maximum support
Technological Innovation line: R$ 1 million of minimum support
Production Innovation line: R$ 3 million of minimum support
Technology Fund line - non-reimbursable fund: Investment of up to R$ 1.5 million per
company
Program for Software Development: R$ 1 million and above of financing
Program for Aeronautics: R$ 1 million and above of financing

Research and Development
-
Programs (FINEP)
•
Inova Brasil: R$ 1 million of minimum support
Economic Subvention – non-reimbursable fund
Zero interest rates: R$ 100,000 of minimum support
-
Programs (CNPQ/ MCT)
•
•
•
Company Researchers Grants Program – non-reimbursable
TRANSPORTATION
ENVIRONMENT
9%
INFRASTRUCTURE
SECURITY
VENUES
HEALTH
1%
4%
11%
55%
20%
Source: EGP-Rio (Abril/2011)
Regulation
Representation
Training
Main Players
•IRBRe
• SUSEP
• CNSEG
• FUNENSEG
•Lloyd’s
•Bradesco Seguros
•Korean Re
• ACE Property
• Everest
Reinsurance
• Hannover Re
• Scor Reinsurance
• Transamérica
Reinsurance
• Transatlantic
Reinsurance
• XL Re Latin
America
• 24+ Hedge
Funds
Export x Import
Record
US$ FOB
29,4
Record
20,0
19,0
+47%
13,5
16,7
11,6
2009
Source: AliceWeb/MDIC
2010
2011
2009
2010
2011
www.casacivil.rj.gov.br
[email protected]
Phone: + 55 (21) 2334 3259
Fax: + 55 (21) 2334 3512