BioFach América Latina: Brazil wants to reach the billion mark by the end of the year

The parallel exhibitions BioFach América Latina and ExpoSustentat got off to a great start at the new exhibition venue in São Paulo from 25-27 October 2006. The fourth exhibition of organic food and natural personal care and the second exhibition of products from sustainable and fairtrade projects closed with a record number of exhibitors and visitors.

Picture: BioFach América Latina at the Transamerica Expo Center

Compared with the previous year, the organizers, Nürnberg Global Fairs and the Brazilian partner Planeta Orgânico, registered approximately twice as many exhibitors – some 300 (2005: 156) – and trade visitors – 6200 (2005: 3200). The acceptance of the new location in the Transamerica Expo Center in Brazil’s largest and most powerful business city São Paulo was outstanding. The growing importance of the organic sector for Brazil is underlined by the fact that the billion dollar mark is expected to be reached by the end of the year. The German companies in the Federal Republic’s official pavilion were very satisfied with the visiting professionals and the lively interest in their products.

Many exhibitors rated the move of BioFach América Latina and ExpoSustentat from Rio de Janeiro to São Paulo favourably: The exhibition centre has the right capacities and the city offers a suitable environment for further successful development of the organic sector, was the tenor. “This is the business location in South America, where everything is controlled from all over the world,” said Ming Liu, co-ordinator of the marketing project OrganicsBrazil, praising the location.

On the platform at the official opening ceremony were 15 top personalities from politics and industry. The German ambassador Prot von Kunow also welcomed the guests. He stressed the traditionally close economic relationships between Brazil and Germany and hoped this would also be the case for organic trade in the future. The Vice-President of the Agribusiness Department of Banco do Brasil, Ricardo Alves da Conceição, said Brazil’s biggest bank has been an exhibitor since the start of BioFach América Latina because the bank has an intensive interest in supporting small farmers and small and medium enterprises. Banco do Brasil has set up an Organic Agriculture Programme.

Mario Mugnaini, the General Secretary of the Chamber of Foreign Trade Camex, had good news about the economic success of the organic sector. He estimated the export volume for organic products to date at 770 million US Dollars. “We want to reach the billion mark by the end of the year,” he said at the opening ceremony. The possibility of now recording the figures separately allows a precise evaluation, which is a further step towards professionalism in trade, marketing and quality assurance. A directive issued by the Ministry of Economic Affairs in the summer enables reliable figures for organic exports to be recorded for the first time. Although the above-average growth of the organic sector has already been shown by expert assessments for some years, the Camex figures are distinctly higher. The system is also to be implemented for the import market in the coming year.

In his detailed opening speech, Minister of Agriculture Luis Carlos Guedes Pinto emphasized the eminent importance of the agricultural sector for Brazil. He defined sustainability and environmental compatibility as two of the most important guidelines for agricultural policy. These aims fit in exceptionally well with the organic industry, whose philosophy is based on achieving a balance between ecology, social aspects and economic targets.

The context also provided a suitable setting for the 1st Sustainability Leadership Forum, an initiative of corporate consultant Ingo Plöger in co-operation with leading international companies. The forum took place for the first time as part of BioFach América Latina and ExpoSustentat. Also interested in sustainability are a growing number of classic producers, who wish to make a contribution to the environment and the fight against poverty on the one hand, and on the other have recognized that the organic sector  has developed into a lucrative market that allows both aspects. One of the world’s largest cocoa producers, the Swiss company Barry Callebaut (picture), has already converted over 2000 hectares of land to certified organic management. The company’s own technicians advise the over 100 farmers. The organic cocoa crop is growing by 20-30 % every year, reports Dieter Schriefer, General Manager for Latin America. The farms are associated with social projects with schools, allotments and small livestock production for self-sufficiency. Schriefer thinks companies must increasingly accept their social responsibility.

The German pavilion, the Federal Republic of Germany’s official participation at BioFach América Latina, impressed as one of the largest stands with its attractive architecture and inviting MeetingPoint in a highly frequented position. The nine German companies were extremely satisfied with the response from the visitors at the exhibition. The exhibitors, half of them newcomers to BioFach América Latina, had very different motives: Their objectives ranged from sounding out the market, making initial contact and determining export prospects to customer care and advice. The product spectrum ranged from corn mills, honey and soya products to cosmetics, food supplements and services such as consulting and certification. Everyone praised the good organization and the service in the pavilion. Bernd Drosihn, manager at Tofutown in the Eifel: “The stand is excellently organized. The committed environment and the uncomplicated manner of the South American businessmen make exhibiting a pleasure.” Ralf and Jutta Pigge of Hawos Kornmühlen particularly appreciate the support provided by the interpreter service. They were amazed by the unexpectedly large interest and the specific inquiries from importers. Other newcomers were Peter Tuchel from honey importer Tuchel & Sohn of Hamburg and Salvita-Kompass, Consulting, Import-Export of Sulzbach in Bavaria.

Dr. Achim Viereck from the German Consulate in Brasilia, who was present as a guest in the German pavilion, encouraged the exhibitors to use the great experience of the Chamber of Trade. He also emphasized the excellent prospects for the organic sector in Brazil, which have been boosted by relocating BioFach América Latina to South America’s strongest economic region São Paulo. He described the South Americans as open, uncomplicated and friendly business partners.

The success of BioFach América Latina speaks for itself. The exhibitors’ statements confirm the very positive climate for the organic industry in Latin America. Reason enough for organic food and natural product companies interested in export to think about exhibiting in the German pavilion. The date of the next BioFach América Latina is already fixed and the event takes place in São Paulo from 16-18 October 2007.