Brazilian Small Oil Equipment Companies Get a Chance to Export

Micro and small companies in Brazil linked to the oil and gas sectors, which manufacture items such as valves, pipes, couplings and compressors, and provide other services, will have an opportunity for exporting their products for the first time ever.

The opportunity will be provided by means a pioneering project, established through a partnership between the National Organization of the Petroleum Industry (ONIP) and the Brazilian Export and Investment Promotion Agency (Apex).

The Apex-ONIP project was presented yesterday, February 6, in Rio de Janeiro, capital of the southeastern Brazilian state by the same name, to a group of local businessmen, and should be presented to people in the industry in other states as well.

The superintendent at ONIP, Bruno Musso, explained that the project for promoting Brazilian exports, established in late 2006, will be developed over the course of two years (2007/2008) and ensures the presence of participating companies in five international trade shows, and in business missions to 11 different countries. Up until now, 60 companies have adhered to the program, which is accepting new members.

"The project is aimed at increasing exports in 30% in 2007, based on export figures for 2005, and then 35% in 2008. In 2005, the 60 participating companies exported approximately 90 million Brazilian reais (US$ 43,2 million) worth of products. The figure does not correspond to the sector's exports," he explained.

Musso also said that, besides increasing export volume, the program is aimed at generating employment and income as well. "We want to have at least 20 new companies to enter the foreign market."

The program brought the two organizations together for the first time ever to elaborate a project for the sector, and has a budget of 4 million reais (US$ 1,9 million), to be shared by Apex and the sector's companies.

ONIP is the manager of the project, which will be evaluated halfway through 2008. The idea, according to the superintendent at ONIP, is to propose to Apex the creation of a new program for the 2009/2010 period, based on the results of the experience being implemented now.

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