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.