Opportunity for Indian private investment in building out Brazil’s rail infrastructure. Also planned regulatory reform to revive idled capacity and lower freight costs will help. In a country like Brazil, 3 times the size of India, the fact that about 75% of freight is hauled by road shows the huge opportunities. It costs an average $27 per ton to transport goods by rail, less than a third of the $117 per ton cost by road. Brazil’s competitive position in many commodity exports will dramatically improve as a result.
ANALYSIS-ThomsonReuters
Investment in Brazilian ports and higher forecasts for Indian output are set to prevent a repeat of severe loading delays for the new sugar crop next year, but terminals will be pressured to meet booming demand.
A huge line-up of vessels at Brazilian ports has triggered lengthy delays in loadings of sugar cargoes, contributing to a surge in sugar futures to seven-month highs this week, above the psychological 25 cents a lb resistance level.
“The Brazilian industry is going to continue to grow sugar production, and there will be a need for logistics to match that,” said Toby Cohen, head of research at London-based sugar merchant Czarnikow.
Brazilian port officials say improvements in infrastructure and new investments in logistics will improve the capacity of Brazil to meet its increasingly onerous export commitments.
Brazil has been loading up to 2.6 million tonnes of sugar a month this year, up from 2.2 million a year ago, underlining the strength of physical demand, especially in the June-July period when Brazil is the predominant supplier of the world’s sugar.
“Brazil’s projected export growth will likely further expose the underlying inadequacies of the sector,” said Cole Martin, commodities analyst with Business Monitor International. “Steps towards private investment in the country’s ports have generally been lacking.” A big logistical problem has been transport access to major sugar ports such as Santos.
Technorati Tags: brazil, sugar, logistics
Popularity: 3% [?]
For sure India needs more design thinking in products and services; with many engineers running the show, good design, sadly, is thought of an expense.
Nussbaum: | Co.Design
If you’re a business or an NGO with an operation in Asia or Latin America, where do you go when you want some serious local design thinking? You might start by calling my colleague and friend Carlos Teixeira, a Brazilian-born assistant professor at the School of Design Strategies, in Parsons The New School for Design. Carlos is speeding the transfer of design thinking expertise by building his own network called NODES.NODES connects Parsons to Idiom Design and Consulting, a key design thinking-based consultancy in India. Idiom founder Sonia Manchanda is a close friend of Carlos and recently helped launch SPREAD to spread the word of design thinking in her country. Here’s what the Idiom Web site says about it:
“SPREAD was hence born as the design outreach program of Idiom. Since its induction three years ago SPREAD has successfully worked with various institutions and business houses conducting workshops, seminar programs and lectures to make design a weapon to transform and grow our economy and to better plan our lives and environment. SPREAD makes design thinking, tools and processes accessible to design and business students, practitioners and even school children.”
Today, along the NODES network, one can see the thinking between the Parsons design knowledge network lab and Idiom’s SPREAD project. As NODES expands to other consultancies and schools, Carlos expects increasing knowledge to flow South to South among consultancies in Asia, Latin America and Africa as well as between South to North.
Business is beginning to follow. European and U.S. corporations are increasingly using local innovation consultancies for their local business. And other emerging market countries are starting to hire consultancies schooled in design thinking. Idiom was recently hired by companies in Sri Lanka who have heard of its strategic design capabilities and Brazil-based Crama has new business in Angola for the same reason. Mexico-based Insitum has opened offices in the U.S., Brazil and Colombia, and works in Canada.
Technorati Tags: design, india, brazil, mexico
Popularity: 4% [?]
Bloomberg
“Soy prices are progressing significantly, boosted by weather conditions in Argentina and Brazil,” Paris-based farm adviser Agritel said on its website today. “Mato Grosso lacks water and planting is being delayed, and a return of the rains will be necessary for correct germination of the crops.” Brazil is the world’s second-largest grower of soybeans after the U.S., and Argentina ranks third.
The corn harvest in India, Asia’s second-biggest grower, may exceed 20 million metric tons in the year to June 2011, beating the 19.73 million-ton record in 2009 and increasing exports, after above-normal rains aided crops, Atul Chaturvedi, president of Adani Enterprises Ltd., said yesterday. Adani is the country’s biggest non-state trader of farm goods.
Technorati Tags: india, argentina, brazil, corn, soybean
Popularity: 6% [?]
Every year for the coming decade there will be at least a growing shortfall of 5,00,000 tons each each year. India’s edible oil import bill is next only to its crude oil import bill.
Bloomberg
India, the top buyer of vegetable oils after China, may import a record quantity of soybean and palm oils for a fourth year as growing population and incomes increase demand for processed foods, a processors’ group said.
Purchases may climb to 9.5 million metric tons in the year starting Nov. 1, compared with 9 million tons this season, Ashok Sethia, president of the Solvent Extractors’ Association of India, said in a phone interview from Kolkata today.
“Imports will need to increase by a minimum 4 to 5 percent annually to meet demand from a growing population in a booming economy,” said Sethia, who is due to speak at a three-day event in Mumbai starting Sept. 24. “Purchases can be more or less depending on prices and the local oilseed crops.”
Imports by India surged 64 percent to a record 1.07 million tons in August from 650,603 tons a year earlier, the association said Sept. 14. Purchases in the November-August period climbed 5 percent to 7.45 million tons from a year ago, it said. [India] relies on imports to meet almost half its annual cooking fat demand.
Technorati Tags: edible oil, india, soybean oil
Popularity: 4% [?]
Financial Express
According to the latest data from the Solvent Extractors’ Association of India (SEAI), import of 1.06 million tonne of vegetable in August 2010 mainly consisting of edible oil is the highest in a single month since the government allowed import of crude vegetable oil for meeting the domestic demand in 1994. In India, edible oil demand usually jumps ahead of festivals and marriage as consumption of fried eatables rises.
SEA said India’s imports in August [2010] were an increase of 64% compared to same month last year, 2009. About 1.3 lakh tonne of RBD palmolein, 5.4 lakh tonne of crude palm oil and 2.1 lakh tonne of soyabean oil were imported during the month. SEA said around 6.8 lakh tonne of edible oil stock was at ports and about 7 lakh tonne were in the pipeline at the start of this month. In August, 2009, edible oil imports stood at 6.12 lakh tonne, while non-edible oil shipments amounted to 37,705 tonne, the industry body said.
India imports palm oils from Indonesia and Malaysia, while soyaoil and sunflower oil are sourced from Argentina and Brazil. India, the second-biggest vegetable oil consumer after China, had imported a record 8.6 million tonne of vegetable oil in the 2008-09 oil year.
Technorati Tags: edible oil, soya oil, india, argentina, brazil
Popularity: 5% [?]
Los molinos de viento ganan popularidad en la India
WSJ.com
Suzlon Energy Ltd. plans to open a research-and-development center in China and to make the first large export of turbines from its Chinese factory, its chairman said.
Chaiman Mr. Tanti, speaking on the sidelines of the World Economic Forum, an annual meeting of business leaders, politicians and others, said the planned export of 120 megawatts of wind turbines to Brazil marks the first time Suzlon is using its low-cost manufacturing and supply base in China for sales overseas and is part of broader plan to increase exports from China.
The Brazil deal could be valued at as much as $200 million, based on an industry average for deals of that size. Mr. Tanti declined to specify the value or the name of the buyer, but said the deal could be the largest export of wind turbines from China from a domestic or foreign producer. Each turbine will have a capacity of 2.1 megawatts. They are scheduled for delivery next year, he said. Suzlon, which Mr. Tanti founded in Pune, India, in 1995, is now one of the biggest wind-power companies in the world.
Technorati Tags: wind energy, suzlon, brazil, energia aolica
Popularity: 5% [?]
Here at IndusLatin we recently highlighted the growing role of cities like Mumbai, India, and São Paulo, Brazil, as international financial centers. The NY Times has just drew attention to a few recent developments in Brazil that indicate that this trend is unlikely to stop any time soon. Here are some key facts from the article:
- A Brazilian-backed investment firm just acquired Burger King, further securing Brazil’s place as an ascendent global commercial leader
- The number of millionaires in Brazil jumped nearly 70 percent, to 220,000, from 130,000, between 2006 and 2008
- JBS Friboi, a Brazilian company, butchers and packages 8 percent of the world’s beef
The article further emphasizes that Brazil is an increasingly dominant world player in the food and agriculture industries, and with growing fears over the world’s food supply, Brazilian agriculture is looking like a solid investment.
Popularity: 2% [?]
Reuters
With developed economies struggling and emerging markets thriving, more and more financial deals are being cut well away from the traditional centres.
Rising trade between emerging economies, cross-border mergers, acquisitions by Indian and Chinese companies and moves by developing world businesses to raise capital in each other’s markets will spur growth of financial centres in the fastest growing economies, according to industry experts who addressed the Reuters Emerging Markets Summit in Sao Paulo last week. For the bankers clustering in cities like Sao Paulo and Mumbai, the intra-emerging markets movement of funds represents an alluring chance to make money.
“We see flows between Africa and India, India and China, India and Korea being much bigger,” said Neeraj Swaroop, CEO of Standard Chartered’s India business. “Not just big companies but also small- and medium-sized companies are making outbound investments. For banks like Standard Chartered, these are immense opportunities to pursue.”
Stephen Jennings, CEO of Renaissance Capital, a Moscow-based investment bank, told the Reuters Summit “In our M&A practice, 80 percent of our deals don’t have a Western face. And the same thing will happen with financial flows.
Technorati Tags: south-south, banking, M&A
Popularity: 2% [?]
