Kiwi Companies Achieve Big Results in Brazil

Hon Phil Goff
Minister of Trade

28 September 2007
Media statement

Kiwi Companies Achieve Big Results in Brazil

Innovative, high tech New Zealand companies are starting to achieve big results in the Brazilian market, says Trade Minister Phil Goff.

Mr Goff is leading a trade mission to Argentina, Uruguay, Brazil and Chile.

“Brazil with its 190 million people and huge land area and resources offers enormous opportunities for creative and innovative New Zealand firms”, Mr Goff said from Sao Paulo today.

“Brazil poses a different and sometimes difficult market for New Zealand exporters, but those prepared to face up to the risks and persevere to meet the challenges can achieve big returns.

“Last night I participated in the signing of an agreement between Eyemagnet, a Wellington based high tech company and its Brazilian partners which has the potential to realise a multi-million dollar return.

“The deal is to supply software for interactive television on Sao Paulo bus services, starting with 500 buses this year and building up to 5000 by the end of 2008.

“It has the potential to extend to the full fleet of 30,000 thereafter and beyond that to other parts of Brazil and South America. It’s the case of a small company with a big product getting the edge over competing multinational companies through innovation and excellence.

“But it is not an isolated case in this market. Last month, another small New Zealand company Mobile Mentor won a five-year contract worth $50 million with a mobile telecom operator in Brazil to provide on-site consulting expertise and IP transfer with the initial implementation.

“This company developed out of the Icehouse business incubator in Auckland in 2005, was successful in the New Zealand market and is now realising its potential in a market many times the size of New Zealand.

“These companies are an inspiration to other companies focused on agritechnology and food production currently on the trade mission to South America which I am leading.

“From big companies like Fonterra which has a $50 million investment in marketing dairy produce from Brazil to smaller companies like Abacus Bio, a biotechnology company, and Waste Solutions which turns agriculture waste into energy, New Zealand firms are exploring opportunities in a country which will become one of the most powerful economies in the world in coming decades”, Mr Goff said.

ENDS