Curitiba Cup stadium tender to be released in February

The Atletico Paranaense football club, owner of the Arena da Baixada stadium in the southern Brazilian city of Curitiba, capital of Parana state, has indicated that it will open a public tender for the refurbishment and management of the facility by February 2011.

UK`s Brazilian Chamber launches new Cup and Rio-focused committee

In yet another noteworthy incursion into the Brazilian major events market, the UK's Brazilian Chamber of Commerce has formed a new committee focusing on Major Sporting Events. To be launched in January 2011 in partnership with Major Events International (MEI), the aim is to provide clear communication about the commercial opportunities presented by hosting iconic events such as World Cup series and Olympics, and a framework of support to help members of the Chamber establish a stronger business presence in Brazil and greater collaboration in the UK.

The calendar of events in 2011 will include hosted visits by relevant Brazilian government officials and stakeholders involved in planning and delivering the sporting events in Brazil, expert briefings from commercial companies with experience in this market and access to organisations which can assist with establishing a new business in Brazil.

The Major Sporting Events Committee will be led by MEI and will be supported by a Steering Group consisting of:
- Berwin Leighton Paisner LLP – International Law firm experienced in London 2012.
- Brazilian National Development Bank (BNDES) – currently financing all FIFA 2014 World Cup stadiums.
- Bradesco - Private Brazilian Bank and official sponsors of Rio 2016.
- Embratur – Brazilian Tourism Office
- KPMG – international consulting firm experienced in Major Events, including London 2012 and World Cup 2014.
- Noerr – International Law firm with Major Events experience, including Rio 2016.
- Rede Record – Broadcaster rights holder of London 2012 and Rio 2016.
- TAM Airline – Brazilian airline sponsor of the Brazilian Football Team.

At the inaugural meeting of the Steering Group, Chairman of the Chamber, Jaime Gornsztejn stated that there is a unique window of opportunity for UK and Brazil to strengthen commercial ties and share their mutual experience of major events.

Australia Brazil sport link down in ink

As part of one of the most significant steps ever for Australia Brazil trade relations, the Australian Minister for Foreign Affairs, Kevin Rudd, has signed a MoU on Cooperation on Major Sports Events that will facilitate bilateral cooperation on sports and the exchange of knowledge concerning the organization of major international sporting events.

Specialised training programs to assist Brazil´s urban redevelopment

Education and training groups looking to win a slice of Brazil´s massive preparations for the World Cup 2014 and Rio 2016 should note this week´s announcement of an innovative new program for one of Rio de Janeiro's biggest shanty towns, or favelas.

More Olympic investment to benefit high performance sport

In an important sign of growing confidence in the future of the Brazilian sport industry, electronics giant Samsung has made a significant new investment in the country´s Olympic program.

The contribution is through the existing ‘Projeto Medalha Azul’ (Blue Medal Project), which provides financial and technological assistance to individual athletes and sport federations alike. Importantly, Samsung’s commitment to the provision of state-of-the-art technology will ensure chosen athletes can reach new levels of performance.

Samsung Brazil´s director of marketing, Carlos Werner, commented that their idea is to involve both existing high level athletes as well as up-and-coming talent, with the sponsored group to be developed over a number of years, both for London 2012 and Rio 2016.

Leaks show US targeting Brazil event planning

The recent WikiLeaks release has had some interesting repercussions for the Brazil 2014 World Cup and Rio 2016, with documents from the US department of defence mentioning the expectation of delays in preparations for the two mega-events.

Golf resort push adds momentum in a land of opportunity

Although currently a very minor sport in Brazil with equally negligible playing options, golf looks set for a period of significant expansion over the coming years as the tourism and resort industries in particular look to attract more golfing tourists.

Universities investing in sport and Olympics

A major new investment by the University of Sao Paulo (USP) in high performance sport is just a small part of a growing wave of activities throughout Brazil geared towards finding the next generation of Olympic champions in time for the 2016 Rio Games.

Training stadia renovations add business options

The creation of a new Brazilian law making potential training and base camp stadia for the 2014 World Cup eligible for tax offsets for refurbishments works is fuelling a wave of additional projects around the country. Beyond the financial stimulus, city councils and private football clubs are also seeking to win their share of the World Cup pie, with the chance to host pre-Cup training and acclimatisation camps right through to the more formal sub-hosting base camp rights the main targets.

Belo’s ties to Australia deepen

The state of Minas Gerais and its capital Belo Horizonte continue as strong links for Australia following a visit by a large delegation of Australian business and government representatives last Thursday as part of the previously-mentioned Brazil sport and major events-focused trade mission.

Trade mission unmasks opportunities in ‘the marvellous city’

A major Australian trade mission to Rio de Janeiro has learnt first-hand the enormity of the task required to prepare the city for the 2016 Olympics and, to a lesser extent, the 2014 World Cup. Opportunities across a range of industries linked to the two events are being revealed each day and a number of links are already in the making.

Hotel sector finally hotting up

After years of stagnation Brazil´s hotel sector has been well and truly sparked by the opportunities associated with the world´s two biggest sporting events, with initial preparations for the 2014 World Cup and Rio 2016 showing up the dearth of supply right across the country.

Government focused on linking sport and education

Brazil´s Minister of Sport Orlando Silva Jr has provided some telling insights into future sport policy in the country, declaring at an event in Rio through the week that their challenge for 2011 and beyond is to increasingly link sport to education and provide new opportunities for social inclusion for millions of students around the country. He said although they have already begun to invest in the area there now needs to be much greater effort to ensure sustainable development across various sporting disciplines, both before and after the two mega-events scheduled to be held in the country over the coming years.

Rio 2016 architecture competition launched

The competition for the design of a range of 2016 Olympics facilities in Rio de Janeiro´s ‘Porto Maravilha’ redevelopment has been launched, with prizes of up to R$80k on offer.

Called Olympic Port, the competition is being run by the Brazilian Architect’s Institute, the Rio city council and the Rio 2016 Organising Committee and proposals must be submitted by January 25.

A river of projects in Brazil´s southernmost capital

Porto Alegre in Brazil´s southern state of Rio Grande do Sul (big river of the south) sits just a few hundred kms from the Uruguayan border on the eastern bank of the Guaiba river, which itself forms part of the Lagoon of the Ducks, a large lake fed by five rivers. This natural feature has seen the city grow into an important port as well as one of Brazil´s chief industrial and commercial centres, despite being only the eleventh most populous city in the country with around 1.4 million inhabitants, although there are over 4 million in the wider metropolitan area.

More sporting promises from president elect

In a follow up to last week´s report on the Brazilian election, the country´s newest president, 62 year old Dilma Rousseff, has provided further details of her encouraging plans for the Brazilian sport industry in the lead up to the 2014 World Cup and Rio 2016 Olympics.

Trade mission centred on Soccerex shaping up well

This week sees the launch of the all important networking tool for the annual Soccerex global convention, which is one of the highlights of the upcoming Australian trade mission to Brazil.

Mission participants that have already signed on for the world’s leading football business event can now log in and begin marking meetings and networking opportunities amongst the more than 700 registered attendants. The convention will feature many heavyweights and decision makers from Brazil's flourishing sport industry and should throw up a range of chances to develop business, both during and around the event.

Election result a big win for Brazilian sport

This week’s election result is being considered a strong result for Brazil’s sport industry with president elect Dilma Rousseff having promised increased spending for the area on top of the already significant commitments of recent years, including ongoing World Cup and Rio Olympics preparations, both of which she has had a previous hand in through her previous role as Chief of Staff in the Lula government.

Builder and operator locked in for key Cup stadium

In a noteworthy development for Australian businesses offering specialist stadium services and products, an all-Brazilian consortium has just been appointed for the overhaul and future management of one of the 2014 World Cup’s key facilities, the Mineirão stadium in Belo Horizonte.

Accessing new Brazilian football revenue streams: expertise required

Brazilian football clubs will have the chance to double their current revenues over the next few years thanks in large part to the 2014 Brazil World Cup, according to a new study by the Brazilian arm of international consulting group Crowe Horwath. The prediction is that last year´s R$250 million combined figure, derived mainly from ticket sales, could reach R$520 million by 2014 thanks mainly to additional revenue streams to be made possible by preparations for the 2014 Cup.

Architects with Olympics experience required in Rio

Australian architects should note the imminent launch of the competition for the design of two high profile 2016 Olympic facilities as part of Rio de Janeiro’s port redevelopment (Porto Maravilha), particularly given the projects are required to meet International Olympic Committee standards, giving groups with previous Olympics experience a distinct advantage.

Sport science and technology gets its own money pool

Funding sources for World Cup and Olympics projects in Brazil continue to sprout up with the latest injection coming from the federal government´s Studies and Projects Financing department (FINEP), part of the Ministry of Science and Technology, which has committed R$120 million to projects involving technological innovation in the area of sport.

Petrobras pumps millions into 2016 medal push

In huge news for a range of Brazilian athletes and their respective sports, not to mention foreign experts seeking opportunities in Brazil, semi-public energy company Petrobras has committed to invest R$265 million in five lucky sporting disciplines to assist the country’s chances of winning medals at Rio 2016.

Brazil sets sights on sport specialists and new training centres

In a huge boost for international sport specialists looking to enter the Brazilian market, the country´s Olympic Committee (COB) chief has openly admitted their desire to bring in coaches and technical advisors in a range of Olympic sporting disciplines in order to raise their medal chances for Rio 2016.

Golf specialists soon required in Rio

In a noteworthy report on Rio’s ongoing planning for the 2016 Olympics, which will feature golf for the first time ever, authorities have already started discussing their quite limited options for the unprecedented tournament.

Construction giant forms new partnership to target Cup and Olympics projects

Canadian engineering and construction giant SNC Lavelin has significantly ramped up its involvement in the Brazilian market, citing opportunities stemming from preparations for the 2014 World Cup and Rio 2016 Olympics as its chief motivation.

Brazil set for a dose of Australian technological innovation

An important event currently unfolding in the city of Belo Horizonte will be the scene of a key demonstration of Australian innovation come this time next year.

Called Inovatec, the exhibition and trade show “encourages dialogue about innovation aimed at disseminating a culture that accelerates the process of developing new technological solutions and management for the benefit of society”, according to organiser Minasplan, which has established the event with significant support from the Minas Gerais state government and a range of sponsors.

Football’s place in Brazil’s heart and soul

Ahead of the 2014 FIFA World Cup it is worth taking a look at just how dominant football is on Brazil’s sporting scene. By far the most popular and played sport in the country, football is also a key part of Brazilian culture, with just a small portion of the population not involved with it in some way or another. The game is strong at all levels and is played in various formats, some of which were invented in Brazil, including FUTSAL and beach soccer.

Utilising Brazil’s Incentive for Sport Law

In a development that shows both the growing wave of support for Olympic sports in Brazil as well as an important source of investment for sporting projects across the country, the Minas Tennis Club in Belo Horizonte has just finalised two new funding arrangements involving the Brazilian Ministry of Sport’s “Incentive for Sport Law”.

Non-Cup sport projects booming across Brazil

Highlighting once again the sheer spread of sporting infrastructure development occurring right around Brazil, a report this week has detailed how over R$250 million that is not directly linked to World Cup 2014 preparations is being spent on other facilities across the country.

Olympic sport investment to create opportunities

The Brazilian Olympic Committee (BOC) has opened a new source of opportunities in the country´s sport industry by announcing its intention to expand the range of sporting disciplines that Brazil will be able to compete for medals in by Rio 2016. Over the past few Olympics Brazil has averaged medals in around eight sports and the aim is to expand this to 13 for South America´s first ever Olympic Games.

Final 2014 stadium tender hits the streets

The construction tender for the only publicly managed World Cup 2014 stadium project yet to go through the process has been finalised, with the “Stadium of the Dunes” in Natal now set to leave the paper within the next five months.

Sao Paulo´s Cup troubles continue

Following a few weeks of added hope but even more uncertainty in relation to Sao Paulo city´s role in the 2014 World Cup, the latest news sees mega-club Corinthians leading a new push for the city to host the opening ceremony.

Portal to the Amazon, Manaus to receive a sporting overhaul

The latest in this site's series of reports on 2014 World Cup host cities heads to the Amazon and one of the region´s main cities, Manaus, capital of Brazil´s largest state by area, Amazonas.

2014 Cup & 2016 Olympics trade mission launched

The official program has been launched for the November 21-26 Sporting Events Business Mission to Brazil. This mission and ongoing business activities in Brazil are being managed by the Australian International Sporting Events Secretariat (AISES), Austrade and their program partners, and will include a recognised sports/events leader.

The mission will target business opportunities arising from the 2014 Football World Cup and the Rio 2016 Olympic and Paralympic Games, with the primary themes to be:

- Planning and delivery of the forthcoming major sport events, including venue, event and precinct infrastructure/design, planning, project management through to overlay implementation.

- Sport development, athletes’ performance and participation; targeting opportunities for key sports codes and sport/athletes’ performance

Click here for full details

Sport & Business - Australia, the sporting country

By Marco Aurelio Klein (Brazilian Ministry of Sport –High Performance Director)

Today, when you think of high performance sport you think of Australia. When planning a bid for a major event you think of Australia.

Port renovations set to move full steam ahead

In another Cup 2014 development presenting potential opportunities for Australian business, Brazil’s national body for ports has called for significant new passenger facilities to be installed in eight of the country’s main sea-based entry points, of which only two (Santos and Rio de Janeiro) are currently equipped with specific travel installations.

University puts hand up for Cup role

In the west of Brazil a federal university has launched a telling push to take advantage of the 2014 World Cup by preparing itself to host one of the up to 31 national teams set to base themselves in the country in the lead up to and during the tournament.

Soccerex releases Rio 2010 event details

The football world´s biggest annual business event, the Soccerex Convention, which is likely to be one of the stops on an Australian trade mission to Brazil in November, has finally released full details of the agenda.

Rio 2016 architecture competition set to be launched

A major opportunity for architects to get involved in the Rio 2016 Olympics preparations is set to be fully detailed at the beginning of October. A partnership between the Rio de Janeiro City Council and the Brazilian Architects Institute, the competition involves the design of five new construction projects forming part of Rio´s port area redevelopment, all to be used for the 2016 Games.

Brits deepen Brazil major events focus

International interest in Brazil ahead of the 2014 World Cup and Rio 2016 Olympics continues to grow, with Britain the latest country to organise a trade mission focused on Brazil 2014 and Rio 2016 opportunities. Vince Cable, the Secretary of State for Business, has just completed a quick four day tour as head of a delegation of around 25 companies, including the likes of Anglo American, BAE Systems, British Airways, Diageo and Glaxosmithkline.

Another boost for rugby

Rugby has received another boost in Brazil with the creation of a public facility dedicated to the sport in Sao Paulo. Located in the suburb of Tatuape in Sao Paulo´s east, the installation will be available to the city’s various rugby clubs and will also be used for increased promotion of the sport.

Although rubgy remains fledgling in the country, momentum continues to gather ahead of the Rio 2016 Olympics, which will feature rugby 7s for the first time ever.

Natal’s Aussie influenced Cup project set to leave the paper

The Brazil 2014 Cup stadium with probably the closest existing links to Australia, thanks to the involvement of specialist architecture group Populous, which boasts several high profile Australian designers and projects such as ANZ Stadium (formerly Stadium Australia), is finally set to move off the drawing board with the Natal city government announcing the construction selection process will begin next week.

Football investment opportunity on steps of 2014 Cup host city - ADDED INFO

An established and well-regarded football training centre in the north-east of Brazil is currently seeking outside investors, presenting a potential opportunity for relevant Australian groups looking to gain a foothold in the country or align with Brazilian football ahead of the 2014 World Cup.

Canadians to examine Cup and Olympics opportunities

In a noteworthy move, Canada has organised a trade mission to Rio de Janeiro at the end of September. The one day visit program, organised by Export Development Canada (EDC), will involve key meetings with the Rio 2016 Organising Committee, the Rio city council and a number of key Brazilian companies including stadium construction groups Odebrecht and Andrade Guitierrez.

Presidential race reveals more sport-focused plans

In a follow up to this site’s recent reports on Brazil’s two main presidential candidates for the October elections, the presently third-placed hopeful has also made some encouraging promises concerning the future of sport in the country.

White elephant alert highlights need for innovative stadium management

Four World Cup 2014 host stadia have been earmarked as future white elephants by Brazil’s ‘Accounts Tribunal of the Union’. The federal body, which oversees the administrators of public funds, released a report in July warning that the stadium projects for Brasilia, Cuiaba, Manaus and Natal are at risk of losing money following the 2014 Cup, with all four locations lacking a strong football tradition.

Australia's sports excellence to inspire Rio 2016 Olympics preparations

Officials from the Brazilian Ministry of Sport's High Performance Secretariat visited Australia from the 2nd to the 6th August to learn from the Australian experience in hosting the Olympic Games in 2000 and developing high performance athletes. The officials visited sports installations and training centres in Brisbane, Gold Coast, Melbourne, Canberra an Sydney.

Hotel finance boost kicks into action

The first two state-backed finance packages for private hotel developments as part of preparations for the 2014 World Cup and 2016 Rio Olympics have just been approved, with a wave of others on the way.

With Cup stadium projects underway, top builders reaping big rewards

Some of Brazil´s biggest construction companies are already taking advantage of the country´s preparations for the 2014 World Cup, with the majority of the lead contractors for stadium projects now decided.

New airline bodes well for Australia-Brazil options

The recently initiated merger plan involving Brazil's TAM and Chile's LAN airlines is likely to create significant benefits for travel between Australian and Brazil. As an existing Partner of Qantas and with a strong presence in Australia, LAN Chile already services a strong portion of Australia to South America travellers, however Brazil flights have always required between one and three stops, usually Auckland, New Zealand and Santiago, Chile before connections with either Sao Paulo or Rio.

International interest in Brazil continues to grow

Providing yet another clear indication of the growing foreign interest in Brazil ahead of the 2014 World Cup and 2016 Rio Olympics, a trade mission consisting of up to forty companies from Ireland is being organised for November, around the same time as a similar mission currently being planned in Australia.

2014 Cup final stage finally has a builder

The major renovation of Rio de Janeiro´s hallowed Maracanã stadium for the 2014 World cup has moved a step closer to fruition with the selection of a consortium responsible for the works. The Maracanã Rio 2014 consortium, consisting of Brazilian companies Andrade Gutierrez, Odebrecht and Delta, presented the lowest quote of R$705.6 million, which is 2.14% less than the cost predicted in the project budget. The second placed tender, by construction giant OAS, came in at R$712 million.

Athletes and figures show up massive lack of sporting infrastructure in Brazil

The drive to instil a stronger national sport policy in Brazil ahead of the 2016 Rio Olympics (and, to a lesser extent the 2014 World Cup) continues unabated with a group of the country’s most well known athletes launching a push to encourage greater and fairer access to sport in schools and municipalities, including a major improvement in Brazil’s sporting infrastructure.

High performance commitment looking a solid bet

Brazilian president hopeful Dilma Rousseff, one of the favourites thanks in part to her being the candidate from the same party as popular incumbent President Lula, has made some encouraging comments for Brazilian sport development during a meeting with the Rio 2016 organising committee.

Fortaleza´s castle to be the home of Cup activity

One of Brazil’s most sought after tourist destinations, Fortaleza ('Fortress'), the capital of the north-eastern state of Ceará, is sure to be a popular spot during the 2014 World Cup. Notable for its beaches - there are 15 on the outskirts of the municipality – the city has a population of around 2.5 million, with 3.4 million in the wider metropolitan area. Importantly, Fortaleza´s tight 313km2 means the city has one of the highest population densities in the country at close to 8,000 per km2.

Security centres for each host city

In an update to last week’s report on new security funding released for 2014 Cup preparations, the federal government has added details about a `command centre` that will be established especially for the event.

Rio embarks on long urbanisation process

In a much needed attempt to overcome one of the city’s biggest problems, the Rio city council has launched a massive new push to ‘urbanise’ all of the metropolitan area´s favelas, a term incorporating both slums and shantytowns, by 2020. Significantly, one of the initial aims of the project is to open up new, safe and accessible public spaces, such as parks and sport facilities, in light of short term requirements involving preparations for both the 2014 World Cup and 2016 Olympics.

Security spending plan outlined

One of the key concerns for the 2014 Cup is security and the Brazilian authorities are already looking closely at the issue. According to a recent report in Brazil´s top newspaper, Folha de Sao Paulo, the government has committed to spend R$1.6 billion (currently just over AU$1 billion) on a range of Cup-specific investments in the sector, including specialised police equipment and training.

Rio´s Port offering chances for Australian designers

Five new construction projects forming part of Rio´s port area redevelopment, all to be used for the Rio 2016 Olympics, will be the subject of an international design competition set to be promoted over the coming months. The Architecture Institute of Brazil will run the contest, which will require all designs to be ready by February 2011, following which an auction will be held to determine the developers.

The projects involve the media and judges village as well as facilities for IT and non-official media. Further details of the competition will be forwarded as they come to hand.

August a busy month for Australian initiatives involving Brazil 2014 & Rio 2016

The Australian Latin America Business Council (ALABC), Australia Brazil Chamber of Commerce (ABCC), Australian International Sporting Events Secretariat (AISES), Austrade and Industry Capability Network (ICN) have formed an alliance to assist and support Australian businesses target and compete for contracts in Brazil. During August, a number of briefings will be hosted in Sydney (10/8), Melbourne (12/8) and Brisbane (19/8) to discuss business opportunities for Australian companies, all featuring presentations by market and industry experts. More details here.

Airlines starting to worry about airports and the Cup

In a clear warning about the need for quick and decisive action to upgrade Brazil’s airports, the country’s main airline companies have questioned the ability of the federal government’s central airports body to resolve existing infrastructure deficiencies in the near future, let alone have host cities ready on time for the 2014 World Cup.

Rio 2011 Military World Games fast approaching

In less than a year the 5th Military World Games will be held in Rio de Janeiro, giving the city another small taste of what is in store come 2016 and where improvements are required. The event will utilise various existing facilities around the city, including Stadium Rio (formerly João Havelange Olympic Stadium), which was built for the 2007 Pan-American Games. There will be approximately 4,900 athletes from over 100 countries competing in 24 sports.

Green building and the 2014 Cup

As 2014 preparations pick up speed all around Brazil, a central theme to many of the projects is sustainable design, a factor essential to much of the funding available through the federal government´s BNDES (National Development Bank) and Caixa public banks.

Spreading the benefits of 2016 Olympics around Brazil

Outside of Rio, the 2016 Olympics are also driving new promises for upgraded sporting facilities around Brazil. This week heavyweight Presidential candidate José Serra has pledged to establish a number of Olympic centres of excellence throughout the country if elected this October. He said the facilities would not only be used by Brazilian athletes preparing for the Games but would also host foreign delegations in the lead up to the two week extravaganza.

Rio already building Olympic sport capabilities

A number of noteworthy developments in Rio de Janeiro over the last few weeks have given a big kick along to the country´s preparations for the 2016 Olympics, while also revealing possible opportunities for Australian expertise.

Updated Matrix provides details of airports and ports spending

The Brazilian Federal Government´s “Matrix of Responsibilities” defining the roles of and relationships between the country´s three tiers of government in relation to World Cup 2014 preparations has been updated to include both airports and ports.

2014 Cities site now online

A helpful new website with a range of information on the 12 host cities for the 2014 World Cup has been launched by Brazil´s federal tourism board as part of the ongoing promotion "Brazil calls to you. Celebrate life here". Check out the ‘Selection of Brazilian Cities’ site here

Sustainability on agenda in south of Brazil

In encouraging signs for sustainability specialists, the state government of Parana, in Brazil’s south, have committed to the establishment of a specific work group to ensure all World Cup 2014 projects in the state and its host city Curitiba are environmentally friendly.

Bullet train tender open

The tender for the 511km Rio-Sao Paulo high speed rail line has been opened by the Brazilian federal government, with interested parties given until November 29 to submit their proposals.

Following the tender submission period, there will be a final auction at the Sao Paulo Stock Exchange on December 16 to determine the winner.

Click here for more details on the project.

Brazil´s transport issues and what´s in the planning

Although successful overall, South Africa 2010 suffered from urban mobility and transport issues and a similar situation, without serious work and in some cases miracles over the next three and a half years, awaits in Brazil.

Another Aussie engineer hits Brazil

Brisbane-based Austin Engineering has become the latest Australian business to invest in Brazil through a new 50/50 joint venture with local company Delp Engineering, with the new entity, called Austin Delp Mining Equipment, to be based on Belo Horizonte, Brazil´s main mining hub.

New Brasilia hotel tender open to international bidders

The opening of a tender for the construction of a new hotel in Brazil’s capital city, Brasilia, this week could be a prime opportunity for relevant Australian groups looking to make a move into the country.

Infraero, Brazil’s federal body for airports, is developing the new 150 bed hotel in an area just a few hundred metres from the city’s international airport, primarily to cater for passengers in transit.

The project is expected to cost around R$13.5 million and international groups are able to bid for the work. The tender closes September 15 and the work is expected to take 18 months. The winning bidder will also have the right to develop a number of associated commercial facilities, such as shops and restaurants.

Increase in activity as Brazil prepares for spotlight

It has been a busy week for World Cup 2014 news with the 2010 tournament reaching its climax and focus already shifting to Brazil.

Still in South Africa, President Lula, at the launch of the official symbol for the 2014 Cup, has offered some important comments on preparations for the event, stating that they are aiming to have ‘maximum transparency’ for all public spending, which will be able to be followed via the internet in real time.

Sub host competition driving additional opportunities

In a development with wider implications for Australian groups looking at business opportunities in Brazil, the city of Sao Caetano do Sul, adjacent to the Sao Paulo metropolitan area, has indicated its willingness to be an integral part of the 2014 World Cup by hosting one of the 31 visiting teams in the lead up to and during the event.

Brazil’s northern fortress to offer football by the beach

Moving to Brazil’s north-eastern corner, at a latitude equivalent to northern Papua New Guinea, the city of Forteleza should be one of the 2014 World Cup’s most visited locations not only because of the matches it will host but also thanks to both its strategic position close to Europe and tourist-friendly tropical beach setting.

Tender almost ready for Rio-Sao Paulo bullet train

A tender for the construction of a high-speed `bullet train` between Rio de Janeiro and Sao Paulo is expected to be opened by Brazil’s federal transport body within the next few weeks. A five-year construction period – 2011 to 2016 – is expected.

Rio’s new port an important lure for Australians

Plans for a massive redevelopment of Rio’s central port region should provide a range of opportunities for Australian expertise and investment. Driven by the Rio city council, the ‘Porto Maravilha’ project involves a wide range of works in a 3km x 1km slice of rundown waterfront just a few kilometres from the CBD (see image below). Amongst other things, the area will be home to two new residential developments, a commercial hub with towers of up to 50 stories, a tourism and entertainment quadrant featuring a new aquarium, the international media facilities for the 2016 Olympics, and new government buildings including the reserve bank headquarters and a federal police facility.

Curitiba to improve city´s already high standards for Cup

Despite being one of the country’s lesser known tourist destinations, Curitiba is considered by many to be Brazil´s most liveable city thanks in large part to its system of combined transport, the Ligeirinho, which has become a model both in Brazil and around the world. Located around 100km from the coast in the southern-Brazil state of Paraná, the city is built on a plateau at an altitude of 900-1000m and has a population of 1.8 million, 7th in Brazil, with 3.6 million in the metropolitan area.

Upcoming visit to present strong Australian interest in Brazil

As mentioned at the beginning of June, moves are currently underway to have a strong delegation of Australian government and business groups visit Brazil at the end of November to increase ties and trade between the two countries ahead of the Brazil 2014 World Cup and Rio de Janeiro 2016 Olympics.

Rio opening its arms to Australia

In encouraging signs for Australian companies looking to enter the Brazilian market, the Rio de Janeiro city council has indicated it is very interested in attracting new investments and business ventures from Australia as it aims to position the city as a business friendly destination ahead of the 2016 Olympics.

Brazilian heading to Oz to learn Australia’s Olympic approach

Sporting ties between Australia and Brazil will be given a much needed boost over the coming months with ex-judo champion and Brazilian Olympic Committee (BOC) member Sebástian Pereira to spend 75 days with the AOC as part of a special internship program.

Preparing for Cup matches in the scorching centre of South America

Continuing the series of profiles of host cities for the 2014 Brazil World Cup, this week moves to Brazil´s wild west and the city of Cuiabá, capital of the state of Mato Grosso (thick bush), just a few hundred kilometres from the Bolivian border in the exact centre of South America.

Built on the banks of the river of the same name, Cuiabá (koo-ya-bah) has a population of around 550,000 and is considered one of the hottest places in Brazil, such that for the 2014 Cup, even in the middle of winter, the heat will be an important factor in matches hosted by the city (just this week the city recorded temperatures in the mid 30s).

Heavyweight knocked-out as two new stadium projects gain momentum

Two major developments involving 2014 World Cup preparations have unfolded this week, each one reaffirming just how much work remains to be done in Brazil before the country is ready for the event.

There is now a very real chance that Sao Paulo, the biggest city in the southern hemisphere with a greater metropolitan area population of 20+ million, will host only a few minor qualifying matches following the Local Organising Committee’s decision to reject, after a series of modifications, the project to renovate Morumbi Stadium into a World Cup venue. The key issue was that the financing for the project was never guaranteed, a situation created by the fact that the stadium is privately owned by the Sao Paulo Football Club. Only two other of the 12 host stadia are privately owned, with the remaining nine venues state-owned and therefore eligible for all possible government financial assistance.

Government launches efforts to curb fraud and collusion

Amid a host of delays and uncertainties regarding the majority of 2014 World Cup projects, Brazil´s federal government has launched a new program aimed at ensuring public funds are well managed and accounted for.

Called ‘Playing Clean’ (Jogando Limpo), the initiative will combat anti-competitive practices amongst companies bidding for 2014 Cup tenders, across all areas of preparation. The program has two main aspects: encouraging and facilitating public involvement in the tender process, including a system for anonymous tip-offs and complaints; and obliging relevant public bodies to ensure the tenders are as transparent as possible.

Preparing for the shift of focus post WC 2010

Although the world´s eyes will be firmly fixed on South Africa for the next month, after July 11 the focus will shift quickly to Brazil and its ongoing preparations for the 2014 World Cup and Rio 2016 Olympics.

With this important date in mind, Austrade, through its Sao Paulo office, and Industry Capability Network, an organisation that introduces Australian companies to the supply chains of major projects worldwide, have put in place a number of new resources aimed at giving local businesses access to work opportunities stemming from these two mega-events: this website itself will provide regular, targeted news on big picture developments with possible prospects for Australian business, while a tenders database is also being developed as well as a more general information portal covering the two events. Simply explore the links on this site to check out what is available and how your company can benefit.

With this in mind, Austrade and ICN are keen to hear from Australian companies interested in exploring possible opportunities in Brazil, to help better define and target research and networking efforts in the country. Such proactive approaches are considered crucial to winning work on these two events with very real and immovable schedules.

Please get in touch with the Austrade and ICN contacts mentioned on this site to express your organisation’s interest and assist this important process.

Lula points to lack of public sport spaces and asks for greater effort

In a telling speech at the third annual edition of Brazil´s National Sport Conference, President Luiz Inácio Lula da Silva has made some important comments about the country´s serious shortage of public spaces available for sporting activities and the necessity for city and state governments to address the situation as soon as possible.

Brazil’s capital trying to justify its opening credentials

Brasilia, Brazil´s capital since 1960, is located in the Federal District in the central west region of the country, on a plateau known as the Planalto Central, around 1,000-1,200m above sea level. A planned city like Australia’s Canberra, Brasilia currently has an official population of around 2.56 million (fourth largest in Brazil), although there are around 3.6 million inhabitants in the wider metropolitan area.

Environmental sustainability under the spotlight

The occasion of World Environment Day this Saturday June 5 has been a catalyst for increased discussion concerning environmental sustainability in relation to 2014 World Cup and Rio 2016 preparations.

Overall, there are already 86 ‘environmental’ projects approved and underway as part of 2014 Cup planning, according to the federal government´s special World Cup Environmental Chamber: 12 of these involve stadia, 53 urban mobility, 14 airports and seven involve ports. These incorporate investments of over R$24 billion, most of this falling within the local and state government spheres. Furthermore, additional Rio 2016 projects are also in the planning.

November a key month on Rio’s event schedule

In November Rio de Janeiro will host two important conferences that should be of interest to a number of Australian groups interested in business opportunities in Brazil in the lead up to the 2014 World Cup and 2016 Rio Olympics.

The annual Soccerex convention, which in recent years has turned itself into the world’s leading football business event, will be held from November 20-24 offering the full 'Soccerex Experience'.

Massive increase in investments in Brazil

Brazil’s National Development Bank (BNDES) has made an eye-catching prediction that around $1.3 trillion Brazilian reals (AU$1 = R$1.55) will be invested in the country over the next three years, well over 50% more than the amount invested from 2005 to 2008 (R$856b).

The new research forecasts significantly increased investments in industry, infrastructure and building developments, a major part of which is being driven by World Cup 2014 and Rio 2016 preparations.

The study, which covers the period 2010-2013, includes all types of investments, public and private, and not just those in which the BNDES will assist with finance.

Infrastructure Brazil: Sports-Driven Infrastructure Business & Financing Opportunities

Austrade will be a supporting organisation for this major conference, which is shaping up to be a must-attend for groups keen to be involved in Brazil 2014 and Rio 2016. Along with other benefits, Austrade has arranged for its guests to receive an extra 25% discount when registering. Please see below for more details...

Rio 2016 media on the move but events remain

Following last week´s 2016 Olympics Organising Committee meeting in Rio, it has emerged that only part of a new and somewhat controversial plan to move certain Games facilities to the city´s currently degraded port area will likely go ahead, although no sporting installations will be affected.

In line with the alternative plan, first (formally) proposed by Rio Mayor Eduardo Paes, the media village will be moved from the Barra region, which will host the majority of Games facilities, including the athlete village, to the port area, which is much closer to the CBD and main tourist attractions of the city. Although the media centre will remain in Barra, a number of associated support facilities will also be hosted in the port area. Full details of the changes are yet to be released.

12 host cities remain with new June deadline for finance

Despite ongoing delays affecting a number of the projects, the 12 Brazil World Cup 2014 host stadia have, once again, been officially approved by the Local Organising Committee (LOC) following FIFA’s latest comprehensive inspection of the works. The LOC has also laid out what remains to be done for each project, plus has asked the respective state and city governments handling the projects to assure their financing models and guarantees for the projects by the end of June, at which time further announcements will be made.

While the LOC and FIFA have previously confirmed that some host cities may well be cut from the event because of delays, there was no mention during this latest approval process of any plans to diminish the amount of host cities, however LOC head, Ricardo Teixeira, who is also the president of the Brazilian Football Confederation and has been involved in a number of controversies over the years, commented that some 2014 Cup hosts could lose the right to host matches in the 2013 Confederations Cup because of the ongoing delays. The latter is held in the host country for the next FIFA World Cup 12 months prior to the Cup.

New site to keep Australian business up to date

Welcome to this new resource developed exclusively for Australian major event and sport industry groups interested in the wide range of business opportunities available in relation to the 2014 Brazil FIFA World Cup and 2016 Rio Olympic Games.

The site will be providing weekly news and information on specific, relevant opportunities and developments in all Brazilian 2014 Cup host cities and, of course, Rio de Janeiro, with a view to ensuring Australian expertise is an important part of the planning and realisation of these two mega-events.

Comments, questions and enquiries are always welcome, with the site to grow into an interactive resource and central point for Australia’s involvement in the Brazilian sport and major event industries.

NOTE: Although the new service is officially beginning this month (May 2010), previous content from an earlier version remains accessible and provides some good background on what has been happening with the two events up until now.

Legislation changes to speed up Games procurement requirements

In an unsurprising and considerably overdue move, the Brazilian Federal Government has raised the idea of altering the existing regulations for public tenders to add flexibility and speed up the overall process to assist the realisation of World Cup 2014 and Rio 2016 projects within required timeframes.

Brazil´s new Middle-East sport alignment

In a development with potential repercussions not only for Australia´s World Cup 2018/2022 bid but also for plans to increase engagement with Brazil’s major events industry over the coming years, President Luiz Inacio Lula da Silva has pledged Brazil’s support for Qatar’s 2022 World Cup bid as part of a number of new bilateral agreements finalised with the nation’s Emir, Sheikh Hamad bin Khalifa al-Thani.

Tourism talks a foot in the door for Australia

The chairman of Tourism Australia, Rick Allert, was in Rio de Janeiro during the first week of May as to address a Brazilian Tourism Board (EMBRATUR) seminar titled “The Olympic Games and Tourism - Australia's Experience and the United Kingdom's Preparations”. Mr Allert’s speech covered the experience and expertise in international promotion Sydney and Australia gained from hosting the 2000 Olympics.

Belo Horizonte fighting for opening rights

The Brazilian city with most links to Australia is a good chance to host the Opening Ceremony of the 2014 World Cup.

Belo Horizonte is located around 450km north and 550km north east of Rio de Janeiro and São Paulo respectively, in the state of Minas Gerais, of which it is the capital. The city has a population of around two and half million, with over five million in the official metropolitan region. Minas Gerais state has a population of just under 20 million, making it the second most populous state in Brazil, behind Sao Paulo.

Consultants readying for action

The big four consulting firms, KPMG, PricewaterhouseCoopers, Deloitte and Ernst & Young, have been busy preparing themselves for Brazil 2014 and Rio 2016 and are poised to win significant work over the coming months and years. All are banking on their wealth of expertise gained on other major event projects in many other countries to hone their approaches in the Brazilian market, utilising their international teams and sports “knowledge” centres located elsewhere as a crucial aspect of their local offering.

Key services being offered for the events include works and finance auditing, risk management, viability studies and assistance with the all important Public Private Partnership model, which will be used for numerous projects, including a bunch of the stadium developments. Importantly, the firms will also be seeking to clarify and define the opportunities for private capital and investments in the two events, with the general consensus being that up to this point it is still difficult to determine exactly how many projects will unfold and where the best prospects lie.

A smaller rival, Terco Grant Thornton, is also getting in on the action and has set up a specialised team of around 100 to work on sport and major event projects in conjunction with international partners within the group.

Institute launched to accompany and assist 2016 projects

The ongoing push to move a number of 2016 Rio Olympics facilities from the Barra de Tijuca region, which would remain with the majority of installations even if the new plan is approved, to the city’s currently rundown port area has gained further momentum this week with the launch of the Rio 2016 Institute, a new body modelled on similar initiatives in previous host cities.

The Institute, which is still in the early stages of development, is to consist of an exclusive team of up to 35 experts that will closely accompany the approximately 70 projects already in the works and help ensure works are on track and adhering to required transparency and budgetary procedures. Adding weight to the case for moving certain facilities from Barra, the entity will be located in the Rio port area in an industrial warehouse formerly used by the Porto da Pedra samba school. (for more details on the planned changes see the report below from May 4).

Although the Institute will be subordinate to the Rio-2016 Special Secretariat, the latter’s head, Ruy Cezar, will not be presiding over the new body as his role is to speak for the Rio City Council on the Olympic Public Authority, which brings together federal, state and city government representatives and is responsible for coordinating the bulk of Games projects.

Lateness a window of opportunity for latecomers

The FIFA inspection team in Brazil this week to analyse all twelve host city stadium projects and the associated (and often sensationalistic) reports of missed deadlines, ‘incredible’ delays and possible FIFA repercussions have shown, at the very least, just how much work remains to be done to prepare the country for the 2014 World Cup.

With all but a few of the projects behind schedule and, more importantly, still requiring a major amount of work (some are yet to appoint a main contractor and those that have are just starting initial demolition or basic construction work), there are still hundreds of tenders, supply contracts, specialised technology requirements, advisory roles, etc. still to come, not to mention added opportunities stemming from inevitable design alterations and last minute changes.

For Australian businesses able and willing to win work on Brazil 2014 projects, the current amber alert not only shows that the window of opportunity is still open, but that things are likely to start moving a lot quicker than they have been up until now. Furthermore, the previously hazy details surrounding most projects are now coming into sharper focus, so a much clearer picture of potential opportunities are set to emerge over the coming months. All in all, it would be a good time to start considering where your business may fit in.

Belgian Approach Provides Key Pointers

Australian groups with an interest in World Cup 2014 and Rio 2016 opportunities should note the latest international move to link with the two events: a huge trade mission from Belgium is in Brazil this week accompanying Prince Philippe on an official visit to the country. A report in business newspaper Valor details how executives from 120 companies are taking advantage of the royal presence and have already offered some telling insights into the best options for approaching the complex yet dynamic market.

Re-iterating a common piece of advice on the Brazilian business environment, a number of participants have confirmed that they are primarily looking at partnership and even acquisition opportunities as a means of dealing with the country’s infamous “bureaucratic complexity”.

Amongst the diverse delegation are a range of businesses looking directly at Cup and Games opportunities, as part of an industry body called Belgium SportsTechnology Club. The entity has brought together 50 companies offering a “complete project” to organiser of both the Cup and Rio 2016, including two service providers that have already decided to establish a presence in Brazil: event, travel and hospitality specialist Suseia, and Veldeman Structure Solutions, which offers a range of temporary construction solutions.

Although yet to finalise anything, event specialist Production Resources Group has also been in discussions with Cup organisers about potential requirements, according to the report.

England agreement latest on a growing pile

With a number of countries already well positioned to be part of the preparations for the 2014 World Cup and Rio 2016 Olympics, England has sured up its involvement this week with the signing of an accord for the exchange of information and expertise in relation to organisation of the summer Olympic Games. The agreement also aims to ensure strong legacies for both London 2012 and Rio 2106 by increasing the flow of tourists between Brazil and England.

Upon the signing of the accord, Sandie Dawie, representative for Britain´s National Tourism Agency, commented that one of their first pieces of advice is to ensure everything is planned and budgeted in stages, and that there is an efficient and prepared team in place. These measures, she explained, help deal with inevitable bad press concerning perceived delays and related issues. For the London 2012 Games, organisers have been using the “2-4-1” program: two years preparation, four years of construction and one year of final rehearsals.

In April, both Germany and China also made official links with the Brazilian major events industry, the former formally signalling its intention to invest in the 2014 Cup and pass on expertise gained from the 2006 edition, while the latter agreed to share knowledge gained through hosting Beijing 2008 and assist with key infrastructure projects.

IOC flying in to new Olympic Port proposal

Planning for the Rio 2016 Olympics should step up a notch over the next few weeks with the IOC to visit the city for meetings from May 16-17.

The visit will be particularly interesting following the rise of an alternative plan for some key locations included in the official bid. The idea was first put forward by the Mayor of Rio, Eduardo Paes, in October 2009, and involves the transfer of the media village, two press and television media centres and some smaller temporary competition venues from the Barra region in the south-western part of Rio, around 20km from the CBD, where the bulk of venues will be concentrated, to the Port region just out of the CBD and just a few kilometres from the famed Maracanã stadium and João Havelange Stadium, which will host the athletics competitions.

Called Olympic Port, the proposal aims to take advantage of ongoing and much needed redevelopment of the port, which is quite degraded despite offering a range of important infrastructure. Following recent zoning changes in the port surrounds, there is considered to be plenty of room for such facilities, with buildings of up to 50 levels now allowed. The Mayor also cited the much-lauded port redevelopment for the Barcelona Games in 1992 as an example of what they hope to do.

The main questions surrounding the proposal relate to why it wasn´t included in the bid in the first place and just who is set to benefit from such a major change.

2014 Brazil FIFA World Cup – Register your interest

With the planning process for 2014 well underway, now is the time to for Australian companies to target oportunities in Infrastructure, Design, Supply and associated Major Event Services.

Registering interest

The Brazilian Ministry of Sport has recently launched an online supplier database designed to consolidate information about companies looking to bid for tenders:

http://copa2014.questionpro.com/

Registering interest is an important first step for Australian companies looking to participate in future tenders around the 2014 Brazil FIFA World Cup.

Why should you register?

• Promote and profile your expertise within the 2014 Organising Committee
• Allow 2014 project managers at state and federal level to proactively match your expertise with local opportunities
• Provides an avenue for Brazilian companies to contact you regarding JV’s and partnership opportunities
• Increase your chances of accessing and winning tenders


To discuss opportunities around 2014 Brazil FIFA World Cup and Rio 2016 Olympics further, please contact:

Austrade Australia
Tom Calder
Senior Industry Advisor -Sport
Melbourne
T (03) 9648 3285
E tom.calder@austrade.gov.au

Austrade Brazil
Fabio Nave
Business Development Manager
Sao Paulo
T +55 (11) 2112 6212
E fabio.nave@austrade.gov.au

Comparisons aside, the focus must turn to modifications

While the concept of using major sporting events like the football World Cup and Olympics to drive urban and social development in host cities is not new, the unique set of circumstances for each location plays a major role, of course, in determining just how such development unfolds. In Brazil, the circumstances in host cities, all twelve different versions of them, are so far proving rather tricky and non-conducive to top class outcomes.

There has been no lack of ambition and lofty discussion in relation to the potential of the 2014 Cup and Rio 2016 to bring about major positive changes to urban infrastructure and social situations around Brazil, however the harsh realities of mounting such massive, coordinated projects involving both public and private funds and multiple levels of government have already kicked well in and are forcing the modification of many earlier plans, all during a Brazilian election year which has further complicated matters right across the board.

Following recent trips by Brazilian groups to South Africa to inspect 2010 Cup stadia, a number of journalists and commentators have pointed to the similarities and differences between the two countries in an attempt to create scenarios for the Brazilian tournament a couple of months out from the opening match. Amongst other things, one journo suggested Sao Paulo’s Morumbi Stadium will not be accepted by FIFA as the opening ceremony host simply because it will only be a refurbished venue and not a brand spanking new one, as is the case for Soccer City in Johannesburg, location of the 2010 Cup opener. Another commentator more sensibly went over some of the differences between Johannesburg’s two Cup host stadia, famed rugby shrine Ellis Park and the new Soccer City arena, pointing out that while the former, older and slightly shabby-looking venue will merely host some of the pool matches, the virgin Soccer City will be the stage for the tournament’s biggest matches; ie. not all 2014 stadia will be, or, more importantly, will need to be at the same ‘world’s best’ level, and some won´t even be in the same ballpark, so to speak. Others mentioned the fact that, even though many of the 2010 stadia are fantastic, modern venues, the host cities themselves have remained stuck with the same problems from before the Cup bid was won.

Again, it all comes down to circumstances, and it is more than likely that at least some of the 12 host cities for 2014 will find their particular circumstances have forced their grand initial vision to remain just that, and that, come 2014, significantly modified versions will be the reality; as mentioned above, this is already happening to some extent. With such major modifications a near certainty, the challenge then becomes how these changes unfold and what focus the altered projects take on, particularly in relation to urban and social development. In many ways, the focus should ideally shift away from the quality of the actual stadia and on to the associated improvements in the cities’ infrastructure and the well-being of its residents, areas which should be the last to suffer from whichever hiccups during the planning and development process.

Sure, some of the 2014 stadia may not end up as mind blowing, 2006 Cup-style pieces of design genius, but, as long as FIFA’s minimum requirements are met, the limited, circumstance-affected resources will be better put to use improving Brazil´s urban infrastructure and social dilemmas.

The deadlines that count

Two big deadlines are looming for organisers of the 2014 Brazil World Cup, making the next few months a critical period with serious repercussions for the rest of 2010 if things are not dealt with adequately. First, there is FIFA and the Local Organising Committee´s (LOC) already-extended deadline of May 3 for the commencement of works on all host stadia, a date that is unlikely to be met by at least a few of the cities, most of which are still yet to move any earth whatsoever. LOC head Ricardo Teixeira, himself no stranger to a bit of rule bending, last week sent a tough warning to all host cities, stating that they had better have very good, written explanations if the deadline is not met (seriously), and that stronger measures, such as losing their hosting rights, may be taken if things aren't looking good.

Just one month later comes an even more important date, with June 3 marking the final day for Brazilian governments to enter into any kinds of agreements or contracts involving public funds until after this year's election in November; so we are talking 2011. With all but three of the host stadia publically owned and the others reliant on significant government involvement, at least during the upgrading period, the six month lock-out could easily force a range of delays given all of the projects are already behind schedule, such that any prior planning to avoid key decisions during the second half of 2010 may have already been compromised.

This means either some serious work will be done over the coming months to ensure all contracts required for the first stages of work are in place by June, or some serious re-scheduling will start if the deadline is not met; what else will there be to do?

Finish line remains despite more delays

Further delays to two 2014 World Cup host stadia projects were revealed this week, with Porto Alegre's Beira Rio development continuing in a state of suspended animation as the stadium's managers, Brazilian Championship club Sport Club Internacional, await the sale of its old facility the 'Eucaliptos' as well as the clarification of special tax rules that would reduce the required investment by 30%. This all despite the fact that the project was at one time scheduled to begin at the end of 2008. Although some minor works have begun, FIFA's March 2010 deadline for the beginning of the main project is now looking a very tough ask.

The second delay occurred in Recife, the capital of President Lula's north-eastern home state Pernambuco, where the tender process for the primary construction contract for the Arena Capibaribe has been delayed by almost two months following a decision by the Federal Public Ministry to change parts of the tender requirements, allowing more groups to submit bids but forcing the submission date to be moved to late March. The start date for construction has also been put back by two months, from March to May, however the organising committee remains adamant that the completion deadline of December 2012 will still be met.

The same deadline for the Beira Rio project, December 2012, also remains, despite the ongoing impasse. The dates for the World Cup 2014 will certainly not change.

Sport The Winner As Cup Propels Investments All Around

While the 2014 World Cup requires the construction of three news stadia and nine major stadium refurbishments around Brazil by 2013, creating opportunities across a range of industries, a further benefit will be the improvement and development of many other non-2014 sport and stadia facilities throughout the country. Indeed, looking past the big, expensive and media-friendly projects for the 12 host stadia for 2014, there are a number of (sorely needed) developments under way.

Amongst others, Brazil’s southern-most state capital Porto Alegre will be home to a second top class venue by 2014, with the upgrade of Internacional’s Beira Rio Stadium, the official World Cup venue, to be matched by a brand new, 50,000 capacity arena developed by cross-town rival club Gremio (which has not yet given up hope of stealing the Cup hosting rights); Minas Gerais state capital Belo Horizonte will gain a significantly upgraded secondary stadium, with the Independencia venue to receive a major overhaul during 2010, moving from 10,000 to 25,000 capacity; Rio de Janeiro will obviously be the centre of major sport facility development over the coming years thanks to the 2014 Cup and 2016 Olympics double-whammy; while countless private football and sports clubs around Brazil are busy planning extensive facility upgrades and developments, either with views to hosting one of the 31 travelling World Cup squads during the 2014 tournament or simply to hitch a ride on the new wave of interest in sport in the country.

Such infrastructural development is more than overdue if Brazil is to ramp up its sport participation levels and international performances (beyond football and volleyball) over the coming years, as has been mooted in various circles and is suggested by the country’s move to host the world’s two biggest sporting events back-to-back. Although understandable given its recent history of social and economic problems, the plain fact is that most Brazilian cities have very little in the way of high quality sporting facilities and stadia, with the former generally restricted to expensive, private clubs and the latter consisting of just two or three large stadia per city (and all of which still require significant upgrading to reach current international standards).


Furthermore, as has been seen in many other major event host countries in recent years, the development of new sporting infrastructure can and should bring with it significant social, urban and environmental improvements, providing fresh opportunities for Brazil and its people.

Pelé's Africa warning draws sound advice from SA football boss

The little saga this week involving comments by Brazilian football god Pelé about issues with security in Africa ahead of the 2010 World Cup is worth noting not only for the obvious parallels with Brazil’s own issues for the 2014 Cup but also for the response by South African Football Association (SAFA) President Kirsten Nematandani (for a marginally less diplomatic response check out this). The comments related to the serious incident involving an attack on the Togo national team in Angola during the ongoing Africa Cup of Nations tournament, with Pelé’s quite simple assertion that the episode would have repercussions for South Africa 2010 security drawing a rapid reply from Nemetandani that “Angola is a far way from South Africa” and that “people must remember that Africa has 52 countries.”

Brazilian Football Confederation bosses take note, as a similar concept applies to the 2014 Cup: just as South Africa has distanced itself from troubled nations in the same neighbourhood to avoid being caught up in negative incidents and stereotypess, so too should Brazilian host cities distance themselves from the country’s chief source of negative images: drugs and violence in the favelas of Rio de Janeiro. Despite Rio’s obvious position as the centrepiece of 2014, which will include a second World Cup final on the hallowed turf of Maracanã, the other 11 host cities and hundreds of tourist destinations far away from the infamous slums will, combined, play a far greater role than Rio alone. Indeed, with 90% of the matches to be played in cities other than Rio, a good portion of visitors and certainly many locals will not go anywhere near the city during the event.

That’s certainly not to say that the other host cities do not have problems of their own, however there is nothing really rivalling Rio’s dilemmas in terms of open violence, and the likes of Curitiba, Natal, Belo Horizonte and Porto Alegre boast some of the highest standards of living in Latin America. As such, convincing worried potential visitors that Rio's problems are a long way from their tranquil, tourist-friendly settings should certainly be on the agendas of host city and state governments as the 2014 Cup approaches.

Events driving big improvements for tourists

Beyond the construction delays, political disputes and miscellaneous problems currently affecting many World Cup 2014 infrastructure projects, there is at least one aspect of the hosting equation that looks well on track: tourism. It is no secret that Brazil has all the makings of a global superpower in this area and the key decision makers seem to be well aware of the need and opportunity to use the Cup and Olympics to harness this often raw potential and improve the country’s ability to cater for all shapes, sizes and budgets.

There have been plenty of smart moves made already, such as the ‘Olá, Turista!’ program offering English and Spanish language courses for hospitality workers in host cities (145,000 pre-enrolments to this point significantly exceeding initial expectations), the launch of various information portals and online resources focused on Cup tourism, the ‘Aquarela 2020’ federal government study to define international marketing aims, objectives and strategies over the next decade, and the freeing up of BNDES (National Bank of Economic Development) credit specifically for tourism and hotel developments.

All in all, Brazil looks well placed to turn itself into a much more tourist friendly destination over the coming years, great for the Cup and Olympics but, more importantly, priceless in terms of the country’s international standing long after the two events have moved on.

Electoral politics force cuts to Cup budget

R$1.8 billion earmarked for spending on the 2014 World Cup has been stripped from Brazil's 2010 Budget in line with demands by the Democrat party, which maintains that only projects with political interests will be affected by the move. Democrat leader Ronaldo Caiado said that only amendments made by the government at the final hour have been declined, mainly because they involved political point-scoring, and that all other spending previously laid out will be maintained, such that the 2014 Cup will not suffer any delays.

Federal Deputy Geraldo Magela, instigator of the rejected amendments, said the decision will affect non-core projects that should already be underway, such as training centre developments and security upgrades, but will not have an impact on the realisation of the event.