INVEST IN BRAZIL

MANAUSFREETRADEZONE:
Business and Investments in the Amazon
MAY,2012

THE MANAUS FREE TRADE ZONE

INDUSTRIAL SECTOR

The Manaus Free Trade Zone is a free import and export trade
The
area where special tax incentives apply, set up with the objecti
ve
objective
of creating in the interior of the Amazon Region an industrial,
commercial and agricultural center under economic conditions
that allow its development, given local factors and the great
distance separating it from its markets

markets

LEGAL FRAMEWORK

General Constitutional Provisions of Brazil Constitution &

Decree-Law no. 288/1967
INDUSTRIAL DISTRICT
AGRICULTURAL AND FOREST DISTRICT

Manaus

Manaus Cultural Agenda

Amazonas Film Festival
Opera Festival
Dance Festival
Jazz Festival
Outdoors Festivals

Manaus Main Colleges

Federal University Of Amazonas
Federal Institute of Education Science & Tech
Amazonas State University
Lutheran University
Uninorte Center University
Nilton Lins Collleges
La Salle Colleges
Dom Bosco Colleges

Medical & Health

Engineerings

Management

Human Resources

Manaus R & D
Center for Science,
Amazonian
Technology and
Biotechnology
Innovation
Center
Samsung Institute of Technology
Paulo Feitoza Foundation
FUCAPI

Nokia Institute of Technology

AMAZONIAN BIOTECHNOLOGY
CENTER
15 laboratories are operating
regularly, 3 in technical support
units and 2 technological support
units;
Projects are being developed in the
cosmetics, bioinsecticides and
repellent, biofuel
biofuel,, functional food,
bioprospecting for microorganisms
and Amazonian plant tissue culture
areas;
Preparation for the accreditation of laboratories to meet
the needs of the biodiversity product productive chain (ISO
17025).

CENTER FOR SCIENCE, TECHNOLOGY AND

INNOVATION OF THE MANAUS INDUSTRIAL
SECTOR

The technology park will be capable of bringing together 35 incubated

companies
in
the
integrated
circuit
(IC),
microsystems
and
technological base manufacturing areas in
the Business Development Unit. Others may
be installed in specific areas to attract
investments, which is expected to increase
the number of companies to 50.

SUFRAMA ACTIONS IN THE SCIENCE,

TECHNOLOGY AND INNOVATION AREA

TECHNOLOGICAL
CONVERGENCE

BIONANOTECHNOLOGY

Main Industries in JAPAN

Source: http://www.bumblehood.com/en/article/VlIHfosNQUmyiYXYvc-CRg

Main Industries in JAPAN

Automobile industry.
Electronics industry.
Shipbuilding.
Metal industry.
Aerospace industry.
Petrochemical.
Pharmaceutical industry.
Biotechnology.

POTENTIAL SECTORS FOR NEW INVESTMENTS

IN THE MANAUS INDUSTRIAL SECTOR

1.Shipbuilding
2.Electronic
3.Biotechnology
4. products from sustainable forest management
1. Lumber & Furniture

5.Pharmaceutical industry
6.Cosmetics
7.Biodiversity Related
Source: COGEC/ COISE/CGPRO/SAP SUFRAMA
* September 2011

SOME OF THE MORE THAN 600 COMPANIES

IN THE MANAUS INDUSTRIAL SECTOR PIM
Domestic Companies

SOME OF THE MORE THAN 600 COMPANIES

IN THE MANAUS INDUSTRIAL SECTOR PIM
Foreign Companies

TESTIMONIALS

SUFRAMA- SUPERINTENDENCE OF THE MANAUS

FREE TRADE ZONE
A Federal Public Administration Body connected to the Ministry of
Development, Industry and Foreign Trade (MDIC). Its objective is to
administer and control the tax incentives granted to companies that set up
in the Manaus Free Trade Zone, as well as to promote development
strategies for the Western Amazon, assuming in this way the role of an
investment stimulation agency.

PRESIDENCY OF THE REPUBLIC

Ministry of Development,
Industry and Foreign Trade

SUFRAMA

TAX INCENTIVES OF PIM MANAUS

INDUSTRIAL SECTOR
FEDERAL TAXES
IMPORT DUTY (II) - 88% reduction for the inputs to be used in industrialization
processes, or proportional to the domestic added value, when dealing with information
technology goods
EXCISE TAX (IPI) Exempt
SOCIAL INTEGRATION PROGRAM (PIS) and CONTRIBUTION FOR SOCIAL
SECURITY FINANCING (COFINS) Zero rated for incoming materials and inter-industry
internal sales and 3.65% for sales of finished goods to the rest of the country.
INCOME TAX (IR) - 75% reduction in taxes on income and nonrefundable additional fees,
exclusively for reinvestment. Common to all the Legal Amazon Region.
STATE TAXES
STATE VALUE ADDED TAX (ICMS) Credit Incentives of between 55% and 100%. In all
cases, the companies are obliged to contribute to funds which finance higher education,
tourism, R&D, and small and micro-companies

COUNTERPARTS REQUIRED OF THE

COMPANIES FOR INCENTIVES GRANTED
Compliance with the Basic Production Process (BPP);
Creating Jobs in the Region;
Granting social benefits to the workforce;
Incorporating state-of-the art product and production process technologies;
Increasing productivity and competitiveness levels;
Investing in the training and qualification of human resources for scientific and
technological development; and
Approval of the industrial project within the annual inputs importation limits;

MACROECONOMIC INDICATORS
Indicators

2003

2004

2005

2006

2007

2008

2009

2010

Billing (USD billion)

10,62

14,19

18,91

22,75

25,71

30,1

25,8

35,1

Exports (USD billion)

1,30

1,16

2,15

1,53

1,10

1,27

0,883

1.119

Jobs (monthly average)

at the PIM

64.971

98.720

106.893

92.670

Total Investments Made

(USD billion)

2,76

6,7

7,9

7,8

79.448 89.969 98.666

3,45

4,56

5,55

2011
41,1
0,914

103.444 119.198

9,38

10,7

2012
5.621
0,205
117.690

10,7

Nationalization Index

47,04% 50,37% 51,96% 50,40% 51,16%

48,06% 46,37%

41,54% 44,51%

44,5%

Regionalization Index

27,75% 29,24% 32,38% 31,98% 29,49%

25,81% 25,54%

22,24% 25,66%

27,44%

Federal Taxes Collected

(BRL billion)

3,72

5,72

5,79

6,85

7,86

9,85

8,9

10,6

Total Taxes Collected

(BRL billion)

6,28

8,76

9,32

10,85

12,31

15,32

15,3

18,5

Source: Indicator systems february of 2012

*Alice Web february 2012

12,35
21,10

1.936

4.141

TURNOVER BY MARKET SEGMENT

MAIN SEGMENTS IN 2011*
MECHANICAL
GOODS
THERMOPLASTICS
3.69%
5.23%
METALLURGY
5.47%

INFORMATION
TECHNOLOGY
GOODS
9.04%

DISPOSABLE 2.16%
WATCH-MAKING
1.14%

OTHERS
3.67%

CONSUMER ELECTRONICS
31.89%

CHEMICALS
12.88%
TWO WHEELS
24.83%
Source: Indicator systems february of 2012

JAPANESE CORPORATE PERCENTAGE

BUSINESS PIM
Between 100% and 90%
participation
Less than 40%
participation

14

15
5

Between50%and70%
participation

LARGESTS JAPANESE COMPANIES TO

PARTICIPATE IN PIM - U $ - 2009 2011
2012
MOTO HONDA DA

1 AMAZONIA LTDA.

9.555.191.286

MOTO HONDA DA
AMAZONIA LTDA.

8.148.900.211

MOTO HONDA DA
AMAZONIA LTDA.

7.043.530.521

257.325.675

YAMAHA MOTOR DA
AMAZONIA LTDA.

1.848.788.200

YAMAHA MOTOR DA
AMAZONIA LTDA.

1.715.404.573

YAMAHA MOTOR
DA AMAZONIA LTDA.

1.437.431.742

251.799.690

SEMP TOSHIBA
AMAZONAS S.A.

1.157.886.872

SEMP TOSHIBA
AMAZONAS S.A.

1.480.414.159

SEMP TOSHIBA
AMAZONAS S.A.

1.158.834.015

156.666.128

HONDA
COMPONENTES DA
AMAZONIA LTDA.

961.773.005

HONDA
COMPONENTES DA
AMAZONIA LTDA.

901.031.895

HONDA
COMPONENTES DA
AMAZONIA LTDA.

759.204.889

YAMAHA MOTOR
LTDA.
SEMP TOSHIBA

4 AMAZONAS S.A.
PANASONIC DO

5 BRASIL LIMITADA
SHOWA DO BRASIL
LTDA.

NISSIN BRAKE DO

7 BRASIL LTDA.

126.715.237
89.441.509

KAWASAKI
MOTORES DO
BRASIL LTDA

1
CALOI NORTE S.A.
0

779.052.016
423.659.464

PANASONIC DO
BRASIL LIMITADA
SHOWA DO BRASIL
LTDA.

733.384.096
402.717.134

PANASONIC DO
BRASIL LIMITADA
SHOWA DO BRASIL
LTDA.

593.120.729
320.269.618

NISSIN BRAKE DO
BRASIL LTDA.

249.523.017

NISSIN BRAKE DO
BRASIL LTDA.

232.185.214

NISSIN BRAKE DO
BRASIL LTDA.

202.901.138

33.521.138

KAWASAKI MOTORES
DO BRASIL LTDA

241.711.713

DENSO INDUSTRIAL
DA AMAZONIA LTDA.

207.184.926

DENSO INDUSTRIAL
DA AMAZONIA LTDA.

187.280.074

32.286.108

DENSO INDUSTRIAL
DA AMAZONIA LTDA.

204.555.329

KAWASAKI
MOTORES DO
BRASIL LTDA

157.862.628

KEIHIN
TECNOLOGIA DO
BRASIL LTDA.

115.568.720

27.108.039

CALOI NORTE S.A.

190.070.179

KEIHIN TECNOLOGIA
DO BRASIL LTDA.

140.189.814

MITSUBA DO
BRASIL LTDA

114.552.535

LTDA.

PANASONIC DO
BRASIL LIMITADA
SHOWA DO BRASIL
LTDA.

39.529.718

DENSO INDUSTRIAL

8 DA AMAZONIA

2009

MOTO HONDA DA
AMAZONIA LTDA.

AMAZONIA LTDA.

3 DA AMAZONIA

2010

2.313.616.649

HONDA

2COMPONENTES DA

2011

8.000.000.000

2009

3.53
0

9.000.000.000

7 .0 4

10.000.000.000

.5 21
88..1144
8
8..9900
00..2211
11
9 .5 5
5.19
1 .2 8
6

7 LARGEST JAPANESE COMPANIES TO

PARTICIPATE IN PIM- U $ - 2009 2011
2010

2011

7.000.000.000

3.000.000.000
2.000.000.000
1.000.000.000

1 .7 1

4.000.000.000

1 .4 3

5.000.000.000

7.43
1 .7 4
2
5.40
4 .5 7
1 .8 4
3
8.78
8 .2 0
0
1 .1 5
8.83
1 .4 8 4 . 0 1 5
0.41
4 .1 5
1 .1 5
9
7.88
6 .8 7
2
759
.204
901 .889
.031
.895
961
.773
.005
593
.120
.72
733
.384 9
779 .096
.052
.016
320
.26
402 9.618
.717
.13
423
.659 4
.464
202
.901
232 .138
.185
.21
249
.523 4
.017

6.000.000.000

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EVOLUTION IN IMPORTS TO THE AMAZON

Growth highlights
2002 a 2011: 313,01%
2010 a 2011: 15,14%

BILHES U$D

12.729

11.000

11.055
10.023

9.000
7.000
6.258

5.000

6.939

6.840

5.219

3.000 3.082

3.456

4.333

3.169

1.000
2002

2003

Source: Sistema Alice / MDIC

* March of 2012

2004

2005

2006

2007

2008

2009

2010

2011

2012*

MAIN DESTINATIONS AND ORIGINS

OF THE PRODUCTS FROM THE AMAZON
EXPORTS

IMPORTS

ARGENTINA

24,03%

CHINA

35,89%

COLOMBIA

12,95%

SOUTH KOREA

14,71%

VENEZUELA

12,50%

JAPAN

11,63%

GERMANY

7,63%

UNITED STATES

8,02%

MEXICO

4,92%

TAIWAN (FORMOSA)

5,39%

UNITED STATES

4,17%

MALAYSIA

4,09%

CHILE

4,03%

TAYLAND

3,56%

PERU

2,13%

GERMANY

1,97%

ECUADOR

1,94%

RUSSIA

1,47%

10

PANAMA

1,92%

10

MEXICO

1,23%

Source: SUFRAMA - MDIC/ALICE SYSTEM

Data until March 2012

REGIONAL DEVELOPMENT

tion of aa
a
z
li
ia
tr
s
u
d
n
Agro-i
mazonas)

Furniture Sector

(Codajs/A

Fishing and
pisciculture
center
(Rolim de M
ou

ra/Rondnia
)

(Xapuri/Acre)

soft drink
a
n
a
r
a
u
g
re of
Manufactu
a)
/Roraim
(Boa Vista

AGREEMENTS IN R&D AND HUMAN

RESOURCES QUALIFICATION AREAS
TOTAL INVESTED BETWEEN 2002 AND 2010 IN R&D AND HR: BRL 112.035 MILLION
No agreements for specialization, master's or doctorate courses were signed in 2010.

Courses

Areas

DOCTORATE
(09)

Production Engineering, Biotechnology, Tropical and Infectious Diseases, Transport

Engineering and Sustainable Development; Ecology and Handling of Natural
Resources; Information Technology; Administration.

MASTERS
(15)

Regional Development, Automation, Telecommunications, Information Technology,

Biotechnology, Tropical and Infectious Diseases, Mechanical and Micro-Electronics;
Chemistry of Forestry Products; Ecology and Handling of Natural Resources;
Environment; Information Technology.

UNDERGRADUATE
AND
SPECIALIZATION
COURSES AND HR
QUALIFICATION (46)

TOTAL

Undergraduate degrees in Mechanical Engineering and the Acquisition of

Equipment. Specializations: Microelectronics, Mechanical Engineering, Monitoring,
Competitive Intelligence, Mechanical Manufacturing Process, Dynamics and Control
of Robotic Systems, Digital Television and HDTV, Foreign Trade; Technology and
Distribution of Natural Gas. HR Qualification: Training of Public Agents;
Qualification in Foreign Languages; Tourism; Entrepreneurialism; Secretary;
Information Technology; Regional Development; Qualification of PIM; Software
Development for Digital TV Systems; Fish Leather Technology; Mathematics;
Metrology; Logistics.
70 Courses between Undergraduate, Specialization, Masters, Doctorate and human
resources qualification.

INTERNATIONAL INSERTION OF THE

MANAUS FREE TRADE ZONE MODEL
MERCOSUR/ISRAEL
MERCOSUR/INDIA
MERCOSUR/CUBA (ACE 62)
MERCOSUR/CHILE (ACE 35)
MERCOSUR/CAN (ACE 59)
MERCOSUR/PERU (ACE 58) II PROT.
ADDITIONAL WITH NMF CLAUSE.

MERCOSUR/EGYPT
BRAZIL/MEXICO (ACE 53)
BRAZIL/GUYANA (ACE 38)

MERCOSUR/EU (EUROPEAN UNION)

MERCOSUR/MOROCCO
MERCOSUR/TURKEY
MERCOSUR/JORDAN
MERCOSUR/BOLIVIA (ACE 36)
INTRA-MERCOSUR
MERCOSUR/SACU(SOUTHERN
AFRICA CUSTOMS UNION)

Dissemination of ISDBT standard

GT in Brazil for
Dissemination:
Ministry of Foreign
Affairs-Ministry of
TelecomunicationsSUFRAMA

PasC

Padro

Mxico

ATSC

Brasil

ISDB-T

Uruguai

DVB-T e DVBH

Colmbia

DVB-T

Peru

ISDB-T

Argentina

ISDB-T

Chile

ISDB-T

Venezuela

ISDB-T

Equador

ISDB-T

Costa Rica

ISDB-T

Paraguai

ISDB-T

Cuba

Bolvia

THANK YOU.
THOMAZ AFONSO QUEIROZ NOGUEIRA
Superintendent of SUFRAMA
super@suframa.gov.br
+55 (92) 3321-7002 / 3321-7032

Muito Obrigado!

Contatos para mais informaes

Superintendncia da Zona Franca de

Manaus SUFRAMA
Telefone : 55 92 3321-7020/ 55 92
3321-7002
E-mail : gabin@suframa.gov.br
Consulado Geral do Japo em Manaus

Telefone : 55 92 3232-2000
E-mail : politico@na.mofa.go.jp
CONHEA A AMAZNIA!