Brazil 4 Business

Rio Grande do Sul

The Rio Grande do Sul is a state of diversified economy and with prestigious international companies. It’s located in the extreme south of Brazil, bordering Uruguay and Argentina, a privileged position in the heart of the economic bloc of the Southern Common Market (Mercosur), near cities like São Paulo, Buenos Aires, Montevideo, Asuncion and Santiago.

bandeira_rspdf_1.png The state has 6.7% of the national GDP participation, the fourth largest in the country. Consecutively, the gaucho industrial growth is two times higher than the national average. The potential of the state's economy, together with advanced technology, puts Rio Grande do Sul in a competitive world scenario.
There are several reasons to invest in the state. Among them we highlight:
•    2nd most important centre of the country's Transformation Industry with the highest industrial growth between the South and Southeast states.
•    Focus on innovation and research, being a national reference in parks and technology centres;
•    The Port of Rio Grande is placed 2nd in the country regarding the handling of containers and one of the most important in South America;
•    Quality of life above the national average, with the lowest infant mortality in the country and high literacy rates;
•    Diversified industrial park, with about 40.000 industries.

To assist and support to foreign investors, the International Business Centre (CIN) makes available to businessmen information, consulting services, organization of fairs, events and international missions. The CIN-RS is part of a network led by the Confederation of Industry (CNI) and connected with dozens of international institutions in promoting business and investments.
Check in the left menu, a number of advantages to invest in Rio Grande do Sul e please contact our team in the state.

The Gaucho industry is one of the most modern and diversified in Latin America and is based on a robust technology base, generating products with high added value in various economic sectors. The State currently has major automation, biodiesel, road and bus equipment, agricultural machinery and equipment, leather and footwear, wine and sparkling wine and rice agribusiness industrial parks.

In addition to the consolidated industries in the state, we present sectors with strong potential for attracting investment:

Metal mechanic
Rio Grande do Sul has the second largest metal mechanic cluster of Brazil and the most modern in Latin America. The quality of products is related to the integration of their complex, housing industries, service providers, organizations, technology centres and universities.

The sector accounts for over 30% of State’s industrial GDP. It has a diversity of action segments, like: industry, agribusiness, automotive, construction, naval construction, wind energy, among others. Besides, State's industry expertise is settled on the many techniques like metal cutting, folding, welding, iron foundry, forge, steel mill, metallurgical, etc. 

Food & Beverages
The State is currently in second place as beverages manufacturing industrial complex and forth as food industrial complex. It is important to highlight the high level of innovation and technology in the sector, creating thereby a wide range of products.

The food and beverages produced in Rio Grande do Sul gain relative highlight regarding Brazil's food supply. Among the products we could give special light to grain as soy, fruits, rice, beef, pork, poultry, milk and dairy, fine wine and sparkling wine.  

Defence industry

The demand of the National Armed Forces and civil society for defence products and defence equipment follow an upward curve, offering great opportunities for the local industry. The approach between the areas of defence, industrial and academic, has brought great benefits to the sector. The transfer of knowledge reinforces the technological basis for this strategic sector.


Oil & Gas and Naval Industry

In recent years, the oil and gas industry has grown considerably in Brazil and continues to grow with the recent discoveries of large reserves in the pre-salt. Motivated by this recent movement, led by its main player, Petrobras, Rio Grande do Sul has established itself as one of the key players in the national shipping industry.



Rubber and Plastic
The rubber and plastic industry is known for having a vast applications gamma inside of important economy sectors like furniture, automotive and food and beverages. Since the 1st Generation to the final consumer/processing industry, important companies strongly operate in the sector especially aiming on plastics and rubbers value addition. 

The existence of the Triunfo Petrochemical Polo, one of the main polo in Latin America located in the state of Rio Grande do Sul, combined with sector application versatility and a productive participation of important companies, all this serves as strong arguments that the sector possess a competitive differential regarding the rubber and plastic raw material supply chain. 



Renewable Energy

The industry in the State has directly been influenced by the great potential of the country in renewable energy and the Brazilian government’s plans of investing around US$ 63 billion for the expansion of renewable energies by 2020, increasing the demand for international products and know- how.
Rio Grande do Sul already positioned itself as a leading player in the wind power segment in the country, with the 4th largest full potential. It is noteworthy that it is the state with greater potency under construction.  The largest wind farm in Latin America is in the city of Osório, about 100 km from the capital Porto Alegre.
The State has been developing actions to also boost the photovoltaic industry, solar thermal, biofuels, biogas, biomass and small hydroelectric plants (PCH). The good infrastructure of electricity transmissions and distribution networks facilitate the flow of renewable energy in the region.

Rio Grande do Sul provides various incentives and benefits, to increase the attractiveness of the region in different areas of competitiveness and innovation. These incentives are supplemented with subsidized credit lines and planned labour skill, customized to each investment. Among the main incentives are the following:

Tax incentives:
•    Fundopem
•    Integrar
•    Banks with attractive financing lines
•    Badesul
•    Banco Regional de Desenvolvimento do Extremo Sul (BRDE)
•    Banco Nacional de Desenvolvimento Econômicos e Social (BNDES)

Other incentives:
• Innovation Law
• Technological Parks
• Industrial Districts

The International Business Centre is ready to assist in the process of obtaining incentives and various benefits, by coordinating with the various agents involved.