Country Research Report - Brazil

Country Research Report (CRR)
Country Name- Brazil
Prepared on: O6th April 2018
L E A R N I N G
©Aditya Deshpande
deshadi805@gmail.com

©Aditya Deshpande deshadi805@gmail.com
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INDEX
Aspect No Aspect Name
1 Introduction to CRR
2 About the Country
3 Historic Perspective/ Background
4 Geographic Overview
5 Governance/ Political System/ International Presence
6 Industry
7 Country Selected
8 Own conclusions
Bibliography

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Aspect No- 1
Introduction to CRR
Introduction to CRR:
As a management student, one require to have thoroughly knowledge of geographical and
economic factors of international level. Country Research plays very good role in
understanding the nature of these factors. In today’s world of globalization and Information
Technology, it is very well said that world is global village; each part is connected to other and
this makes it very much necessary for each country to have good relations with not only
neighbors but also other countries.
Importance of CRR:
CRR could be useful for Management student in following ways:
1. A Tool for Building Knowledge and for Facilitating Learning
2. Means to Understand Various Issues and Increase Awareness
3. Means to Find, Gauge, and Seize Opportunities
4. Nourishment and Exercise for the Mind

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CRR Factors:
CRR consist of various factors ranging from history of country, geography to demographical
situations, politics, trade and economy, future, etc. These are listed below. All these factors
are enlisted in index and explained in further aspects by one by one.
1. About the country
2. Historic Perspective/ Background
3. Geographic Overview
4. Governance/ Political System/ International Presence
5. Industry and Economy
6. Future Aspects

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Aspect No- 2
About the Country- Brazil
In this aspect, I have discussed about Brazil country. It contains following topics and
information:
2.1 Brazil: Basic Information
2.1.1 Official Name: Federative Republic of Brazil (Presidential System)
2.1.2 Capital: It has capital of Brasília but previously and even now largest city is São Paulo. In
order to control vast area effectively new place called Brasilia was constructed and presently
it is capital.
2.1.3 Independence: 29 August 1825 from Portuguese Empire, 07th Sept as Independence Day
2.1.4 National Identities:
2.1.4.1 National Flag:
The flag is green, symbolic of Brazil's lush fields and forests. Its primary feature is a
large yellow diamond, symbolic of Brazil's wealth in gold, and in its centre floats a blue
celestial globe. In middle Brazil’s motto is written in Portuguese language.
2.1.4.2 National Anthem: "Hino Nacional Brasileiro" i.e. "Brazilian National Anthem"
total 222 seconds duration
2.1.4.3 National Seal: “Selo Nacional do Brasil”
2.1.4.4 National Motto: Motto: “Ordem e Progresso” which is in Portuguese which
means "Order and Progress".
2.1.1.5 National Flower: Cattleya also known as Corsage Orchid

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2.1.4.6 National Animal: Jaguar
2.1.4.7 Currency: Real; as on date 03rd Apr 2019, 1 Real= 17.70 INR
2.1.5. Neighbours: It is located in South America continent and it is 5th biggest country in area
and population both. It is surrounded by Atlantic Ocean and by countries, Argentina Paraguay
and Uruguay to south, Colombia, Venezuela, Peru, Bolivia to west and small countries like
Guyana, Suriname, and French Guiana to north.
Map of Brazil
2.1.5 Major Cities: as stated earlier its capital is Brasília, and its most populated city is Sao
Paulo. Other cities include Rio de Janeiro where Olympics 2016 was occurred. The federation
is composed of the union of the 26 states, the Federal District, and the 5,570 municipalities.
2.2 Brazil- National Sport:
Brazil’s national and most favourite sport is Football or Soccer. Football is treated as common
religion in Brazil. Brazil as a nation has world record of winning most number of FIFA world
cup i.e. total 4 times. Some notable famous football players are Pele, Neymar, Ronaldinho,
Kaka, etc. Football in Brazil is like Cricket in India.
2.3 Brazil- Official language:
Portuguese. It is also national language of Brazil with 99% speaking population.
2.4 Brazil- Population:

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As per 2019 estimate, population of Brazil is around 210 million and Brazil ranks 6th in world
after China, India, US, Indonesia and Pakistan. Per capita income is around $16,727 which is
equal to Rs. 11, 44,260. Per capita of Brazil is almost 57.14% more than that of India thanks
to less population and great natural resources.
Most population situated near mega cities, coastal region and capital. In Amazon rain forest,
population is hardly there.
Population Density- Brazil
2.5 Brazil- Ratings and Index:
GDP of Brazil is $3.524 trillion by PPP and $1.929 trillion by Nominal by 2019. Brazil ranks in
top 10 countries related to GDP.
Brazil is at 32 position in 2019 for World Happiness Index. While it is ranked 84 out of 187
countries in Human Development Index, ranked 53 out of 142 countries in Global
Competitiveness Index. In production of cars, it is ranked 6th in world. While in Corruption
Perceptions Index, ranked 73 out of 182 countries.
2.6 Brazil- Demographics:
Brazil has sex ratio of men to women of 0.95:1 i.e. 950 women per 1000 men. Also 83.75% of
the population defined as urban. According to government, 48.43% of the population
described themselves as White; 43.80% as Pardo, 6.84% as Black; 0.58% as Asian; and 0.28%
(about 536 thousand) as Amerindian or Indigenous, while 0.07% of them has no recognition
to race. In context of religion, Brazil is prominently Christian country. 73.57% of the

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population followed Roman Catholicism. Other accounts for Protestantism with 8% as
atheistic people and small percentage of traditional religion practices.
The core culture of Brazil is derived from Portuguese culture, because of its strong colonial
ties with the Portuguese Empire. The culture was, however, also strongly influenced by
African, indigenous people. Brazilian cinema dates back to the birth of the medium in the late
19th century and has gained a new level of international acclaim since the 1960s. Especially
‘Brazil’ was a greatest hit song during 2000s and even now it is very popular representing
Brazilian culture.
2.7 Brazil- Problems Facing:
Brazil was although apart from terrorism but in 016 Summer Olympics in Rio, Brazil’s anti-
terrorism police force arrested 12 suspected pro-ISIS operatives who were allegedly plotting
to carry out attacks during the games marking entry of radicalistic movements. Also fights
between white and black blood is persistently there from its independence although Brazil
has for years presented itself as a “racial democracy” – a land of harmonious racial relations
and free of racism.
Brazil is neither associated with any organization of terror or it is in support of same. In fact,
it is heavily backing India on world stage against terrorism.
2.8 Brazil- Educational Aspects:
Brazil invests 5.95% of GDP on education, approximately 15.72% of total government
expenditures. Brazil has very high literacy rate of 90.4%. It has many famous colleges; The
University of São Paulo which is the second best university in Latin America is one among
them. Elementary school is mandatory for children ages 6–14. Higher education is somewhat
less developed as student prefer to do it in either US or Portugal.

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Aspect No- 3
Historic Perspective/ Background
3.1 Previous Ruling:
The Marajoara culture flourished on in the Amazon delta from 800 CE to 1400 CE, developing
sophisticated pottery, social stratification, large populations. Portuguese colonization began
in 1500 by eliminating native people either killing them or converting into Christians. King of
Portugal divided territory in 15 provinces colonies. As tensions between Portuguese and
Brazilians increased, leading to the Brazilian War of Independence, and leading to Brazilian
victory and Portugal officially recognized Brazil on 29 August 1825.
3.2 Influence on Culture:
Portuguese have great impact on Brazilian culture due to colonial roots as in case of British
with India. Culture of Brazil is primarily Western, but presents a very diverse nature showing
that an ethnic and cultural mixing occurred in the colonial period involving mostly indigenous
peoples. It is reflected in language also apart from religion. As in Portugal, the Brazilian
Carnival is an annual festival held forty-six days before Easter. Since the imperial period, the
feijoada, a Portuguese stew with origins in Ancient Rome, has been the country's national
dish. Brazilian architecture in the colonial period was heavily influenced by the Portuguese
Manueline style, also even colleges, government buildings, houses resembles to that of
Portugal. In field of literature and cinema- theatre, we can see great impact of colonial power.
3.3 Influence on Political system:
Brazil has democratic federative republic, with a presidential system of which traces
originates from Portugal. Brazil and Portugal are founding members of the Community of
Portuguese Language Countries, an intergovernmental organization of former Portuguese
colonies. But Portuguese links with Brazil were weaker than that of other countries like the
United States like in case of economic ties and trading. Social environment is also influenced
by helping hand of US during 1800s and 1900s for settlement of black people and having equal
human rights norms.
3.4 Key people:
There are many popular names in Brazil. Singer and actress Carmen Miranda popularized
samba worldwide. Pele made Brazil synonymous to Football. Princess Isabel, was princess of

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emperor of Brazil. Oscar Niemeyer was great designer. Gisele Bündchen is best known for her
pouty lips and long legs. Miguel Nicolelis is great scientist.
3.5 Name change:
Word "Brazil" comes from the Portuguese word for brazilwood, a tree that once grew
plentifully along the Brazilian coast. The official Portuguese name of the land, in original
Portuguese records, was the "Land of the Holy Cross" (Terra da Santa Cruz), but European
sailors and merchants commonly called it simply the "Land of Brazil" (Terra do Brasil) because
of the brazilwood trade. After that there is no name change of country.
3.6 Historical Importance:
Brazil is historically known for its Brazil tree and production of coffee. It has been largest
producer of coffee in world since 1800s. It is also very well known for statue of “Christ the
Redeemer”.
Statue of Christ the Redeemer

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Aspect No- 4
Geographic Overview
4.1 Location of Brazil:
With a total area of 8,515,767 sq. km, it is 5th biggest country by area in world. The Brazilian
government has grouped the country’s states into five large geographic and statistical units
called the Major Regions: North, Northeast, Central-West, Southeast, and South. The tropical
North—comprising the states of Acre, Rondônia, Amazonas, Pará, Tocantins, Roraima, and
Amapá—covers more than two-fifths of Brazilian territory and includes the largest portion of
Amazon rainforest and parts of the Guiana and Brazilian highlands; however, the region
accounts for a limited proportion of the nation’s population and economic output.
Location of Brazil in South America continent
The boundaries of Brazil have changed at various times. Brazil has been enlarged by various
treaties from areas of French Guiana, Venezuela, Colombia, Ecuador, Peru, Paraguay, Bolivia,
and Argentina.
4.2 Climate:
Due to its unique continental dimensions, Brazil possesses a wide variety of climates,
influenced by its geographical configuration, its significant coastline, its relief, and the
dynamics of the masses of air on its territory. The climate of Brazil is influenced by several
factors, including temperature, rainfall, atmospheric humidity, winds and atmospheric
pressure. There are five primary climates present in Brazil. These include:

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1. Equatorial Climate. The humid equatorial climate is present in Northern and Central
Brazil, an area which includes Amazonia. This particular climate is caused by the
convergence of the trade winds.
2. Tropical Climate. The tropical climate, which is alternately humid and dry depending
on the season, can be found in the greater part of the central area of Brazil and along
the coast of the middle-north.
3. Semi-Arid Climate. The semi-arid climate of Brazil can be defined as a tropical climate
that tends to be dry due to the irregularity of the action of the air masses in the region.
In Brazil, this type of climate can be found in the hinterlands of the northeast and in
the medium valley of the river São Francisco.
4. Oceanic Climate. An oceanic climate is a coastal humid climate exposed to the marine
tropical air masses. Brazil’s oceanic climate is dominant on the narrow strips of
coastline in the eastern and north-eastern sections of the country.
5. Sub-Tropical Climate. The humid sub-tropical climate of the orient and subtropical
coasts is dominated mainly by marine tropical air masses. In Brazil, the sub-tropical
climate is dominant in the southern portion of the country.
4.3 Time Zones in Brazil:
There are 4 main time zones in Brazil as considering its huge size and high variation in latitude:
Offset Time Zone Abbreviation & Name Example City
UTC -5 ACT Acre Time Rio Branco
UTC -4 AMT Amazon Time Manaus
UTC -3 BRT Brasília Time São Paulo
UTC -2 FNT Fernando de Noronha Time Fernando de Noronha
4.4 Rivers in Brazil:
There are 3 main rivers in Brazil.
1. Amazon River (6992 Km)
2. Parana River (4880 Km)
3. Sao Francisco River (2914 Km)
4.5 Main mountains in Brazil:
There are main 5 mountain ranges in Brazil.

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1. Pico Da Bandeira: This is known as Flag Peak in English, is near the border of Espírito
Santo and Minas Gerais. It is the highest point and is a popular tourist attraction for
its beauty and accessibility.
2. Pedra da Mina: This mountain has an elevation of 2798 metres, or just over 9 000 feet,
and is situated in São Paulo and Passa Quatro. This is one of the highest mountains in
the country.
3. Mount Roraima: Located in the western part of Guyana, Mount Roraima is on the
border between Brazil and Venezuela. It has an elevation of 2810 metres.
4. Pico do Monte Negro: Pico do Monte Negro is Rio Grande do Sul’s highest peak and is
at the city of São José dos Ausentes. At 1398 metres high, this mountain is a popular
climbing one, considered accessible and suitable for experienced hikers.
5. Sugarloaf Mountain: With an elevation of only 1299 feet or 396 metres, the Sugarloaf
Mountain is situated in Rio de Janeiro on a peninsula that leads it into the azure waters
of the Atlantic Ocean.
4.6 Natural Resources in Brazil:
Natural resources include: bauxite, gold, iron ore, manganese, nickel, phosphates, platinum,
tin, clay, rare earth elements, uranium, petroleum, hydropower and timber.
4.7 Fora and Fauna in Brazil:
About one-fourth of the world's known plant species are found in Brazil. The Amazon Basin,
the world's largest tropical rain forest, includes tall Brazil nut trees, brazilwood, myriad palms,
kapok-bearing ceiba trees enlaced with vines and creepers, rosewood, orchids, water lilies,
and the wild rubber tree.
South of the vast Amazonian forest is a mixture of semi deciduous forest and scrub forests.
The characteristic flora of the northeast interior is the carnauba wax-yielding palm in the
states of Ceará and Piauí. To the east there are big areas of thorn scrub, the result of generally
poor soils and periodic devastating droughts. Along the humid coast are many mango, cajú,
guava, coconut, and jack-fruit trees, as well as large sugar and cotton plantations, the latter
indigenous.
The Amazon rain forest is host to a great variety of tropical fauna, including hundreds of types
of macaws, toucans, parrots, and other brightly colored birds; brilliant butterflies; many
species of small monkeys; anacondas, boas, and other large tropical snakes; crocodiles and

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alligators; and such distinctive animals as the Brazilian "tiger", armadillo, sloth, and tapir. The
rivers in that region abound with turtles and exotic tropical fish, and the infamous "cannibal
fish" (piranha) is common; in all, more than 2,000 fish species have been identified.
4.8 Wildlife in Brazil:
The wildlife of Brazil comprises all naturally occurring animals, fungi and plants in the South
American country. Home to 60% of the Amazon Rainforest, which accounts for approximately
one-tenth of all species in the world, Brazil is considered to have the greatest biodiversity of
any country on the planet. It has the most known species of plants (55,000),
freshwater fish (3000) and mammals (over 689). It also ranks third on the list of countries with
the most bird species (1832) and second with the most reptile species (744). The number of
fungal species is unknown, but is large. Approximately two-thirds of all species worldwide are
found in tropical areas, often coinciding with countries such as Brazil. Brazil is second only
to Indonesia as the country with the most endemic species.
4.9 Ports in Brazil:
Most important ports in Brazil are:
1. Porto de Santos
2. Porto de Vitoria
3. Porto de Paranagua
4. Porto de Rio grande
5. Porto de Rio de jeneiro
6. Porto de Itajai
7. Porto de Sao Sebastiao
8. Porto de Itaqui
9. Porto de Aratu

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Aspect No- 5
Governance/ Political System/ International Presence
5.1 Past and Present Governance:
Past Governance: Brazil remained an empire from 1822 until 1889. In the early years, the
army ruled the republic, leading to further political upheaval and civil war. But by 1895 order
had been restored and Brazil had a civilian government. Brazil became increasingly important
in world politics and fought on the side of the Allies during World War I (1914-18). But the fall
of world coffee prices during the Great Depression of the 1930's brought new difficulties. In
1930 the president was overthrown, and Getúlio Vargas became dictator. He patterned his
government after the fascist regimes in Italy and Portugal. In 1945, the army forced Vargas
to resign, and General Eurico Gaspar Dutra was elected to succeed him. This all suggest that
Brazil was under many years in military rule or dictatorship.
Present situation: The form of government is a democratic federative republic, with a
presidential system. The president is both head of state and head of government of the Union
and is elected for a four-year term, with the possibility of re-election for a second successive
term. The current president is Jair Bolsonaro. Current constitution was adopted in 5 October
1988.
The political-administrative organization of the Federative Republic of Brazil comprises the
Union, the states, the Federal District, and the municipalities. Brazil is a federation composed
of 26 states, one federal district, and the 5570 municipalities. Voting is compulsory for the
literate between 18 and 70 years old and optional for illiterates and those between 16 and 18
or beyond 70.
5.2 Political Culture:
Election: Brazil elects on the national level a head of state—the president—and a legislature.
The president is elected to a four-year term by absolute majority vote through a two-round
system. The National Congress has two chambers. The Chamber of Deputies has 513
members, elected to a four-year term by proportional representation. The Federal Senate has
81 members, elected to an eight-year term, with elections every four years for alternatively

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one-third and two-third of the seats. Brazil has a multi-party system, with such numerous
parties that often no one party has a chance of gaining power alone, and so they must work
with each other to form coalition governments.
Civil Liberties: Human rights in Brazil include the right to life and freedom of speech; and
condemnation of slavery and torture. The nation ratified the American Convention on Human
Rights. The 2017 Freedom in the World report by Freedom House gives Brazil a score of "2"
for both political rights and civil liberties; "1" represents the most free, and "7", the least.
Although the law prohibits racial discrimination, darker-skinned citizens, particularly Afro-
Brazilians, frequently encountered discrimination. Women have the same legal rights as men.
Lesbian, gay, bisexual, and transgender (LGBT) people in Brazil enjoy many of the same legal
protections available to non-LGBT people, with LGBT people having marriage rights available
nationwide since May 2013.
5.3 Note-Worth Government Events:
1. Brazil with role in WWII: Brazil remained neutral until August 1942, when the country
entered on the allied side, after suffering retaliation by Nazi Germany and Fascist Italy, in a
strategic dispute over the South Atlantic. With the Allied victory in 1945 and the end of the
Nazi-fascist regimes in Europe, Vargas’s, then leader of Brazil a dictator position became
unsustainable and he was swiftly overthrown in another military coup due to heavy losses
incurred of war and death tolls.
2. 1988 constitution adoption: The wear and tear of years of dictatorial power that had not
slowed the repression, even after the defeat of the leftist guerrillas, plus the inability to deal
with the economic crises of the period and popular pressure, made an opening policy
inevitable and for new constitution. The current Constitution of Brazil was drafted as a
reaction to the period of military dictatorship, and sought to guarantee individual rights and
restrict the state's ability to limit freedom, to punish offences and to regulate individual life.
The current constitution limits use of more than two terms as president thus eliminating any
chances of dictatorship and it places military under umbrella of civilised elected member of
states.
This laid foundation for new age Brazil which helped to boost its economy and standard of
living throughout from 1990s.

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5.4 Military Forces:
The Brazilian Armed Forces is the unified military organization comprising the Brazilian Army
(including the Brazilian Army Aviation), the Brazilian Navy (including the Brazilian Marine
Corps and Brazilian Naval Aviation) and the Brazilian Air Force. They are the third largest in
the Americas, and the largest in Latin America. With no serious external or internal threats,
the armed forces are searching for a new role. So Brazilian military, especially the army, has
become more involved in civic-action programs, education, health care, and constructing
roads, bridges, and railroads across the nation. Military is placed under presidential authority.
Seal of the Brazilian Armed Forces
With budget of US$29.3 billion as in 2017, it is ranked 11th in world. Brazil spent 1.4% of GDP
on military expenses as in 2017. It has Active personnel of 384,100 and Reserve personnel
1,652,500 as in 2018; largest in Latin America.
5.5 Monarchy in Brazil:
Brazil was ruled by a series of monarchs in the period 1815–1889; first as a kingdom united
with Portugal in the United Kingdom of Portugal, Brazil and the Algarves (1815–1822),
subsequently as a sovereign and independent state, the Empire of Brazil (1822–1889).
Name Lifespan Reign start Reign end
Mary I 17 December 1734 – 20 March
1816 (aged 81)
16 December
1815
20 March 1816
John VI 13 May 1767 – 10 March 1826 (aged 58) 20 March 1816 7 September
1822
Peter I 12 October 1798 – 24 September 1834
(aged 35)
12 October 1822 7 April 1831
Peter II 2 December 1825 – 5 December 1891
(aged 66)
7 April 1831 15 November
1889
But in today’s modern world there is no such concept on monarchy in Brazil.

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5.6 Association of Brazil in World:
Brazil is part of many world organizations, WHO, UN, WTO, BRICS, others as well. The
admitted dates of Brazil in them are as follows:
1. WHO- 1946
2. WTO- 1 January 1995
3. UN- founding member
4. BRICS- Since 2009
5. G 20- 26 September 1999
6. IMF- effective from 31 December 1954
As far as various index are concerned at international stages, Brazil ranks at good positions.
1. World Economic Freedom - overall score51.9
2. World Competitive Index- scored 59.51 points out of 100
3. Corruption index- scored 105 out of 200, 79th place out of 176 countries
4. Opacity Index- 645 score with 4.0 Corruption Perception Index (CPI)
5. Democracy Index- 50th out of 185 countries with score of 6.97 out of 10
6. Standard of living- life expectancy at birth is 75 years
7. Human Development Index- 0.759, i.e. high category
5.7 Currency in Brazil:
The currency of Brazil is Brazilian Real. As of April 2016, the real is the 19th most traded
currency in the world by value. The modern real was introduced on 1 July 1994, replaced the
short-lived cruzeiro real. It is equivalent to 17.70 INR and 0.26 United States Dollar as of 3rd
March 2019.

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Aspect No- 6
Industry in Brazil
Brazilian industry has its earliest origin in workshops dating from the beginning of the 19th
century. Most of the country's industrial establishments appeared in the Brazilian southeast
region.
6.1 Past Prospects:
The advent of manufacturing before the 1840s was extremely limited, due to the self-
sufficiency of the rural regions, where farms producing coffee and sugar cane also produced
their own food, clothes, equipment, etc., the lack of capital, and high costs of production that
made it impossible for Brazilian manufacturers to compete with foreign products. Costs were
high because most raw materials were imported, even though some of the plants already
used machines.
6.2 Major Industries/ Sectors:
Brazil has the third most advanced industrial sector in American continent. Accounting for
one-third of GDP, Brazil's diverse industries range from automobiles, steel and
petrochemicals to computers, aircraft, and consumer durables. With the increased economic
stability provided by the Plano Real, Brazilian and multinational businesses have invested
heavily in new equipment and technology, a large proportion of which has been purchased
from U.S. firms. Brazil has a diverse and sophisticated services industry as well. During the
early 1990s, the banking sector accounted for as much as 16% of GDP.
Major industrial sectors are listed below:
1. Automobile Industry: The history of the Brazilian automotive industry began in 1925
with the establishment of a Chevrolet assembly line. The country subsequently
attracted other manufacturers from Toyota, Volkswagen, Ford, Fiat, and Mercedes
Benz. The 1990s brought with it more auto companies to Brazil including Audi, Nissan,
Honda, Peugeot, Hyundai, Renault, and Chrysler. Troller ranks as the most successful
home-grown company, and it enjoys a market in Latin America and Africa.
2. Oil and Gas: Brazil has some offshore oil but otherwise must import petroleum. It
relies on hydroelectric energy and nuclear power. The Itaipu hydroelectric power

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plant, on the Paraná River between Brazil and Paraguay, is one of the most powerful
in the world.
3. Iron and Steel: Steel industries in the country benefited from government backing in
the mid-20th century since steel was considered the fundamental produce to
facilitate economic growth. The Vale Company boasts about 14 billion metric tons of
iron ore making it the world's largest iron ore producer.
4. Machinery and Equipment: Brazil's machinery and equipment sector accounts for
about 7% of the nation's Industrial Production Index. The agriculture and transport
sub-sectors are especially lucrative. 90% of the agricultural machines used in the
country are bought domestically and used in the cultivation of crops such as wheat,
soybeans, rice, and corn. The machines enjoy a significant regional market as well with
wheel tractors being one of the top exports. The machinery industry in the country
also produces road equipment.
5. Agriculture Industry: Agricultural products are Brazil's chief export. The nation is
among the world's leading producers of soybeans, coffee, cacao (the source of cocoa
and chocolate), sugar, corn, cassava (manioc), oranges, bananas, pineapples, tobacco,
and cotton. Cotton is grown in the South for export and in the East to supply Brazil's
textile industry. Beans, rice, and cassava are grown widely for local use. Jute, used for
making burlap, sacking, and twine, was introduced by Japanese immigrants. In spite
of Brazil's rich agriculture, however, some foods must be imported. Brazil is now a
major cattle-raising nation. It exports large quantities of meat and other animal
products. Hogs are also raised extensively, as are horses and other animals.
6. Textile Industry: The country's textile sector is valued at $63 billion, and it consists of
30,000 companies with a yearly production of 9.5 million garments. The sector's
workforce is the second largest in the nation. Brazil is one of the few nations that still
utilize all the links in the textile industry that is from sourcing the fibre to design and
production. The country ranks fifth in the world regarding production and
consumption of cotton.
7. Service: Service industries employ many people and account for almost half of Brazil's
economy. Leading service industries include education, finance, health care, domestic
service, and businesses relating to tourism. Tourists come from all over the world,
especially to Manaus, Salvador, and Rio de Janeiro.

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6.3 Largest companies: In 2017, 20 Brazilian companies were listed in the Forbes Global 2000
list – an annual ranking of the top 2000 public companies in the world by Forbes magazine
based on a combination of sales, assets, profit, and market value.
World
Rank
Company Industry
Revenue
(billion $)
Market
Value
(billion $)
Headquarters
38
Itaú
Unibanco
Banking 61.3 79.2 São Paulo
62
Banco
Bradesco
Banking 70.2 53.5 Osasco, SP
132
Banco do
Brasil
Banking 57.3 29 Brasilia
156 Vale Mining 27.1 45.4 Rio de Janeiro
399 Petrobras Oil & Gas 81.1 61.3 Rio de Janeiro
610 Eletrobras Utilities 17.4 7.2 Rio de Janeiro
791 Itaúsa Conglomerate 1.3 23 São Paulo
895 JBS
Food
Processing
48.9 8.2 São Paulo
981 Ultrapar Conglomerate 22.2 12.5 São Paulo
6.4 Import, Export of Brazil:
Brazil is the 22nd largest export economy in the world and the 37th most complex economy
according to the Economic Complexity Index (ECI). In 2017, Brazil exported $219B and
imported $140B, resulting in a positive trade balance of $78.3B.
Brazil Industry wise Export 2017

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Brazil Industry wise Import 2017
Top Trading Countries: The top export destinations of Brazil are China ($48B), the United
States ($25.1B), Argentina ($17.8B), the Netherlands ($7.57B) and Germany ($6.18B). The top
import origins are China ($27B), the United States ($20.4B), Argentina ($9.3B), Germany
($9.3B) and South Korea ($5.39B).
6.5 Foreign Direct Investment:
According to the World Investment Report 2018 published by UNCTAD, FDI inflows in Brazil
increased by 2% between 2016 and 2017 and reached USD 62.7 billion. During that period,
the country recorded a 22% drop in FDI, with investments reaching USD 25.5 billion.
Brazil FDI from 1975 to 2017
6.6 Brazil Industry Pros and Cons:
Brazil is an attractive market for international investors due to several factors: a domestic
market of nearly 210 million inhabitants, availability of easily exploitable raw materials, a
diversified economy that is less vulnerable to international crises, and a strategic geographic
position that allows easy access to other South American countries. However, investment in

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Brazil remains risky because of some negative factors including cumbersome and complex
taxation, bureaucratic delays and heavy and rigid labour legislation.
6.7 Protection of Foreign Investment:
Brazil has signed bilateral agreements for the protection of foreign investment with 14
countries. Following table shows rank of Brazil out of total score 10 per aspect.
Aspect Brazil Score
Index of Transaction Transparency 5.0
Index of Manager’s Responsibility 8.0
Index of Shareholders’ Power 7.0
Index of Investor Protection 6.5
The government encourages foreign investment in the form of tax exemption, aid, etc. also
Tax reductions are granted to companies who set up in economically disadvantaged regions
such as the North and the Amazonian regions.
6.8 Business Registration Formalities: The first step to start a business in Brazil is to make
the legal registration with the Board of Trade or in the Corporate Registry Office. Then
documentation process by then getting NIRE (Company Registration Identification Number).
Then National Register of Legal Entities (CNPJ) registration then finally getting business
license.
6.9 Recruitment and Productivity of Workers:
Recruitment: Statute prohibits employers from discriminating in access to employment on
certain grounds. In general, foreign nationals need a visa to work in Brazil. In order to take up
employment, workers must be in possession of an official Work and Social Security Booklet,
issued by the Ministry of Labour and Employment. Apart from the provisions on unlawful
discrimination, there is no general statutory framework governing the recruitment and
selection of job applicants in the private sector. The conditions of a job offer - regardless of
whether it is written or oral - will be binding on the future employer.

24
Productivity of Worker: The report shows that Brazil's productivity grew by only 1.6% / year
between 2001 and 2013. Between 2003 and 2014, while the minimum wage in Brazil
increased by an average of 68%, the productivity rate per employee increased only 21%.
Issues such as poor infrastructure, the cost of doing business, low efficiency in the financial
sector, the high price of credit and limited openness to trade do hinder Brazil's productivity.
Productivity Rate in Brazil
6.10 Ease of Doing Business Index of Brazil:
Brazil ranked 109th out of 190 countries in the World Bank's 2019 Doing Business report, an
improvement from the previous year, when it ranked 125th (the largest score improvement
in Latin America and the Caribbean).
6.11 Future Prospects of Industry:
With expectation of good growth rate of developing countries, there is huge potential for
industry growth in Brazil. Especially sectors like agriculture and energy are expected to see
annual growth of 6-8% by 2030 as per IMF report in 2018. Also for foreign investors, hope
from newly elected government made some good investments and future growth is expected
also.

25
Aspect No- 7
Country Selected- Brazil
7.1 Reason for selecting country- Brazil:
As doing CRR, there were many options in front of me to select different countries. But many
factors of Brazil attracted me towards doing its research. Being part of BRICS organization,
India and Brazil shares same path towards progress. Apart from this, Brazil is middle power in
Latin America as India is in South Asia. India and Brazil apart from having many similarities in
economic and trade sectors were also once part of European Colonization and also similar in
world’s mega bio-diverse countries.
Hospitality by Brazilian people, their way of living life with joyfulness and high standard of
living, devotion to football and music, great weather are some other points which helped me
to decide taking Brazil for CRR.
7.2 Possibilities of Trade/ Business Relationships:
As of in 2018, India and Brazil has bilateral trade worth of US$ 8.55 billion only fraction of
total trade of India with other countries. India imported goods worth US$5.49 Billion and
exported in tune of US$3.06 billion. As the share of both EXIM (Export and Import) policies
for both countries is less than 2% in their respective economies, there is great opportunity for
further trade and business development.
Fields like information technology and space research could be proved very helpful in
increasing the trade as with proven capabilities of India in tow fields. Also Brazil could act as
source of raw materials like metals, foods, etc. to India as ever growing needs of our country.
Apart from this, cultural relations could help to bring more people in interest by use of India’s
soft power as Bollywood, music, cultural fest in India would serve the purpose.
7.3 Suggestive Inputs:
I think, having annual meet with Brazil’s government officials i.e. two by two meet would help
in strengthening trade and signing memorandum of understanding (MOU) would help in
building strong relations. Enabling Brazilian students to learn at Indian universities, student
exchange programme would make co-operation much deeper.

26
Aspect No- 8
Own Conclusions
From doing all the research for this Country Research Report, I came to know many things
about historical, political and economic terms. Also I understood variety of subjects which we
can refer to identify or know a specific country, other than layman topics.
I found this research very interesting and full of knowledge enabling my improvement in field
of research report type topic.
Brazil as a middle power has lot of potential to become world power in coming century – this
would be my assertion from this CRR based on its historical and economical advantage.

27
Bibliography
Internet Websites:
1. https://koheletprize.org/media/TWWLI-Appendix-F-Research-Project.pdf
2. https://www.uplifteducation.org/cms/lib/TX01001293/Centricity/Domain/173/International
%20Festival%20Packet.pdf
3. https://www.patana.ac.th/secondary/geography/IB/Population/Brazil%20Pop%20Dist%20C
S.htm
4. https://www.mea.gov.in/Portal/ForeignRelation/Bilateral_brief_Latest__1_.pdf
5. https://www.ufmg.br/dri/cei/wp-
content/uploads/2015/04/brazil_india_roadmap_mvf_jbb_faap_19_aug_20082-1.doc
6. https://www.state.gov/r/pa/ei/bgn/35640.htm
7. https://www.transparency.org/country
8. https://en.portal.santandertrade.com/establish-overseas/brazil/foreign-investment
9. https://www.xperthr.com/international-manual/brazil-recruitment-and-selection/9866/
Videos:
1. Geography Now Channel:- https://www.youtube.com/watch?v=JFfcD-SkqIc
2. Wendover Productions Channel:- https://www.youtube.com/watch?v=FQ2jmrz_xgU
Online Magazines:
1. BBC - https://www.bbc.com/news/world-latin-america-18909529
2. Country Official website- https://www.brazil.org.za/
3. Telegraph UK Weekly Magazine- https://www.telegraph.co.uk/travel/destinations/south-
america/brazil/articles/brazil-fascinating-facts/
Daily News Papers:
1. The Hindu:
1.1 Dated October 13, 2018, https://www.thehindu.com/opinion/editorial/bolsonaros-
brazil/article25208801.ece (Regarding Brazil Elections 2018)
1.2 Dated February 06, 2019, https://www.thehindu.com/news/international/brazil-
education-overhaul-aims-at-ousting-marxist-ideology/article26192196.ece
(Regarding views on education system)
2. Business Insider Line: Dated October 29, 2018,
https://www.thehindubusinessline.com/news/world/jair-bolsonaro-elected-brazil-
president/article25357102.ece (Regarding Elections 2018)

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