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BASIC GUIDE OF PARANÁ STATE
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BASIC GUIDE OF PARANÁ STATE
Brazil4Business | BASIC GUIDE OF PARANÁ STATE
1
INVESTOR SUPPORT SERVICE
BASIC GUIDE OF PARANÁ STATE
Service Category: Preliminar Studies
BASIC GUIDE OF PARANÁ STATE
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INTRODUCTION
1
EXECUTIVE SUMMARY
The Investor Basic Guide, made by Paraná International Business Center was developed in
order to provide clearly and objectively the competitive opportunities and advantages present in the
state of Paraná.
It shows socioeconomic information, geographic data and cultural issues enabling to foreign investor a
preliminary analysis of favorable conditions for international investment in the state.
The Paraná State stands out nationally, as one of the major economies, characterized as the
th
5 largest GDP in the country, beyond that, it has a capital benchmark in quality of life, sustainability
and innovation; Curitiba occupies the 2
th
nd
place in the ranking of best city to do business in Brazil and
the 5 to the Latin America, besides being the 2
nd
largest center for Technology and Innovation in
Brazil.
The infrastructure includes roads, railways, waterways and quality ports that allow easy
access to other Brazilian states of great economic relevance, as well as proximity to international
markets, particularly the Mercosur member countries.
The priority sectors are automotive, food and beverage, oil and gas, chemical, pulp and paper.
In addition to strongly act in the areas of electrical goods, communications and electronics, furniture
renewables and clothing, recently starting in the aerospace sector.
In addition to the numerous economic advantages, the state promotes the tax incentives
provided for Paraná Competitive Program including postponement the payment deadline of 2 to 8
years, 10% to 90% the tax on movement of goods and services (ICMS), as well postponement of
ICMS the Electric Power and Natural Gas, as assessing the socioeconomic impact generated by the
investment.
Paraná: A Land of Opportunities!
BASIC GUIDE OF PARANÁ STATE
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PROFILE OF BRAZIL
2
2.1. LOCATION AND BASIC DATA
Brazil is located in South America, and by being the fifth largest country in the world it borders with all
South American countries except Ecuador and Chile. It accounts for half of the region’s economy.
With an area of
8,5 million square kilometers and more than 7 thousand kilometers of
coastline extension located in the Atlantic Ocean, Brazil offers broad and diverse economic outlook. In
addition to the extensive coastline, the country presents relief dominated by vast plateaus, the
mountains being restricted to the coastal strip and its northern border. The tropical climate, coupled
with relief, favors the presence of large rivers basins, giving immense hydroelectric potential and
wealth in biodiversity. The Amazon and the Pantanal are two of the largest biological reserves in the
world.
Table 1 – Basic data of the Federative Republic of Brazil
Source: IBGE; PNUD
BASIC GUIDE OF PARANÁ STATE
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The government system is presidential, chosen
The Brazilian economy is the seventh in the
through
world by nominal GDP, according to World Bank
direct
government’s
elections.
have
The
exclusive
federal
authority
to
data. The global macroeconomic scenario in
legislate in the civil sphere, commercial, criminal,
Brazil is Strong and sustainable in long term,
procedural, electoral, land, maritime, aerospace,
when related to high levels of international
work, etc. The Brazilian Constitution is the basis
reserves, the favorable composition of external
of the Brazilian Legislative System.
debt and have a checking account fully covered
by foreign direct investment.
On the other hand, Brazilian states have selfmanagement and self-government, electing their
In 2014 the country hosted the World Cup and
political
and
will host the Olympics in 2016, requiring large
manage their public affairs without interference
investments in areas such as urban and social
from other municipalities, states or the Union.
development and transport infrastructure.
leaders
and
representatives,
2.2. Country Highlights
Brazil has notably exceeded the international
economic crisis and emerged as a stronger
global player and more attractive. It is one of the
fastest economies in the world, with greater
growth prospects further in the coming years. It
has a budget in the range of
US$ 110 billion
assigned to the railroad (US$
ports (US$
45 billion)
27 billion), roads (US$ 21
billion) e airports (US$17 billion).
Currently, it is estimated that
a total of US$50 billion it is
being invested in
infrastructure of all cities
involved in the nest major
sporting events, resulting in
the creation of about 3, 5
million jobs in the country.
With a high degree of diversification of economy, combined with a strong domestic consumer Market
and a wide selection of trading partners along with a well-regulated financial system, Brazil is now a
mature country and one of the most attractive markets for globally investment.
According to investment bank Goldman Sachs, the Brazilian economy should become the fourth largest in
the world by 2050. Brazil is one of the called emerging powers: the ‘’B’’ of the BRICS group .
A member of several economic organizations like Mercosur, UNASUR, the G8+5, the G20 and the
Cairns Group. Has hundreds of trading partners, and about 60% of the country’s exports refer to
produtcs manufactured and semi-manufactured. The main trade partners of Brazil in 2013 were: the
European Union (30% of trade), NAFTA (22%), Asia (16%) and others (22%). When compared to
other countries in the South America region, Brazil ranks first in gross domestic products, as shown in
the table below.
BASIC GUIDE OF PARANÁ STATE
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Table 2- Gross Domestic Product (GDP) (Billion US$) in 2013
Source: https://www.cia.gov/library/publications/the-world-factbook/
BASIC GUIDE OF PARANÁ STATE
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PARANÁ PROFILE
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This chapter contains socioeconomic information and presents the main benefits and
incentives for industrial activity in Paraná; state that is a national reference in urban planning, quality
of life, innovation and high levels of education, standing out as an attractive environment for opening
new businesses.
3.1. LOCALIZATION
The state of Paraná is located in southern Brazil,
occupying an area of about 200,000 square kilometers. Its
prime location makes it a gateway to the
Mercosur
(Argentina, Brazil, Paraguay e Uruguay). Moreover, it has limits
with São Paulo (north and east), Santa Catarina (southwest),
Paraguay (west) and Mata Grosso do Sul (north) and also
access to the Atlantic Ocean (east), centered on a market
where more than 220 million people lives.
It is the 4th largest urbanization in the country, where about
85% of the population lives in urban areas. It consists of
399
municipalities, with the main cities, in economic terms,
Curitiba, Araucaria, São José dos Pinhais, Londrina, Maringa,
Foz do Iguaçu Paranaguá, Ponta Grosssa and Cascavel.
Curitiba is the capital of the state and has been innovation model in sustainability and urban mobility.
3.2. BASIC DATA
The state’s GDP in 2013 was
R$ 332,84 billion, representing 5,8% of national GDP;
featuring an average annual growth of 4,9% between 2009 and 2012, higher than the national
average (3,7%) of Latin America (4,5%) and the world (4,15%). In 2013 Paraná
grew 5% (GDP),
featuring expanding more than twice the national 2,3%.
BASIC GUIDE OF PARANÁ STATE
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Graph 3 – Paraná GDP composition
Trade & Services
Industry
Agriculture
9%
27%
64%
Its main sectors: automotive, food and beverage, oil and gas, chemical, pulp and paper. In
addition to strongly act in the areas of electrical goods, communications and electronics, furniture
renewables and clothing.
Table 4 - Paraná Basic Information
Official Name
Paraná
Capital
Curitiba
Language
Portuguese
Political System
Fedarative Rebuplic
Governor
Roberto Richa
3.3. HIGHLIGHTS OF THE STATE
3.3.1. Attributes
The economic history of the State of Paraná begins with the industrialization of ‘Erva Mate’ in
the early nineteenth century and half century dominated the world market for this product (now the
country’s largest grain producer and has the second highest gross value of production industrial
‘Food’). From there the timber industry emerged to make the necessary barrels to pack the ‘Erva
Mate’ (the Paraná timber industry is now the largest in the country and the pulp and paper industry is
the second largest in the country) and the printing industry to label barrels ( the Paraná print jobs is
the third largest in the country).
The waves of implementation and expansion of the automotive sector began in the 70s with
the manufacture of trucks and buses (today is the third largest producer), cars in the 90’s (also third
hub of the country) and the third wave with the density the auto parts industry, components and
engines over the past decade, putting the Paraná with the second highest value added of this sector
in the country.
BASIC GUIDE OF PARANÁ STATE
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The state is known for its large amount of pine forests as Araucaria Angustfolia predominant
species in the vegetation. It is also marked by the multiculturalism arising from the strong immigration
from various countries like Poland, Ukraine, Italy, Germany, Japan, etc.
Curitiba is also recognized by the transport model with the bi-articuled buses that transit on
specific corridors for buses, enabling faster travel, in addition to boarding stations and high landing
with automatic doors and automated transport card. The city is a reference in urban mobility, quality of
life and education in addition to their environmental programs that pose as the greenest metropolis in
Latin America.
3.3.2. State Highlights
The Paraná, despite being one of the smallest states in the country in area, has the
fourth
largest Gross Domestic Product- GDP and the third largest value added Manufacturing
Industry, and the state’s fastest growing physical production and manufacturing employment in the
1
regions South and Southeast in the last twelve years.
The priority sectors are automotive, food and beverage, oil and gas, chemical, pulp and
paper. In addition to act strongly in the areas of electrical equipment, communications and
electronics, furniture and clothing, renewables energy, recently starting in the aerospace
sector.
Note that is a state of urban
innovations: the road
4th largest GDP in Brazil
Integration Ring which includes the major cities of the state
2
was conceived in the light of Central Place Theory , the
surface transportation system designed in the capital is
3rd GDP in value added
Manufacturing Industry
exported to over 80 countries on every continent, the first
hybrid electric bus ethanol was developed in Paraná, the first
electric taxi was launched in Curitiba, the first city to work only with biomass (Entre Rios) in Brazil are
some of the state’s innovations.
The human development index is equivalent to the UK, showing good
quality of life. Our
priority is to develop the industry by hand labor skills to increase productivity and improve the quality
of life related thereto. Also, there is availability of electricity in abundance (20% of national production),
quality and cheap. No wonder that proportion is the state with the largest volume of industrial
investments (R$ 30 billion over the last three years).
1
2
Official datas of Brazil: IBGE - PIB.
The theory of central locations, is a definite hierarchy simultaneously by the set of goods and services offered by the establishments in the
tertiary sector and the space operation thereof, which is characterized by the existence of stratified levels of central locations, in which the centers
of a same hierarchical level offer a similar set of goods and services and the like act on areas with regard to the spatial dimension and volume to
the populace as points Cooke (1988). In this sense, urban centers capable of exercising ‘’centrality’’ are called ‘’central places’’. While the
‘’centrality’’ that have comes from their roles as distribution centers for goods and services, that is, it is the result of the ‘’core functions’’ such
centers are able to play in its area of influence. (CHRISTALLER, 1966).
BASIC GUIDE OF PARANÁ STATE 10
INFRASTRUCTURE
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4.1. INFRASTRUCTURE
The state has a well-developed infrastructure, focused on the production and marketing. All
regions have facility to access national and international markets, as seen in Figure 5 – Infrastructure
Logistics of Paraná, through railways, highways and waterways of excellent standard, linking the
production regions with each other and to ports, airports and customs stations.
Figure 5 – Infrastructure Logistics of Paraná
BASIC GUIDE OF PARANÁ STATE 11

Airport Structure: 6 airports with regular
line, 2 International (Curitiba and Foz do Iguaçu); 33 airports
with non-regular lines, capacity 13 million passengers per
year.

Road Mesh: 19,000 km of paved network
(10% of total Brazilian network); 96,000 kilometers of
network deployed (in deed and/or unpaved)

Rail Network: 2000km network (8% of the total Brazilian network); 2 operators
(America Latina Logistical e Ferrovia Paraná)

Port Changes: 2 ports arranged in Paranaguá and Antonina representing 13% of the
cargo movement in Brazil; 1 terminal for private use (Catallini).
The airport infrastructure
3
4th best in Brazil and is recognized by the size and air transport
network quality, comprising 39 public airports and many private, of which five airports operate with
regular airlines: São José dos Pinhais, Foz do Iguaçu, Londrina, Maringa, Cascavel and the rest are
small with no regular lines. The airports of Londrina and Cascavel are for regional routes and three
international airports: Afonso Pena in São José dos Pinhais, Foz do Iguaçu, with more than 1 million
tourists a year and Maringa, with international cargo flights.
The road network is
4
the largest in Southern Brazil with 13,750 kilometers of highway
to ensure the interconnection of the main cities to the Port of Paranaguá and other national and
international economic centers.
The state has 36 points of entry and exit along borders with its neighbors: São Paulo, Mato
Grosso do Sul, Santa Catarina and the countries Argentina and Paraguay. About the administration,
17.5% of the roads are controlled by private system, through concessions granted by the Federal
Government and are called Integration
Ring situated along the Paraná territory.5
The Paraná waterway has length of 1023km starts on Lake Itaipu, on the border between
Brazil and Paraguay and passes through the states of Paraná, São Paulo, Mato Grosso do Sul, Minas
Gerais and Goiás; connecting even the Tietê waterway. This turnover in 2010, more than 3,7 million
tons of cargo and integrates the railways, highways and regional and federal pipelines, forming an
important multimodal system of transportation of local agricultural production for export.
3
Folder actions of Goverment. Paraná State, 2012
Folder actions of Goverment. Paraná State, 2012
5
PARANA GOVERMENT. Available in: www.infraestrutura.pr.gov.br, accessed December 16, 2014.
4
BASIC GUIDE OF PARANÁ STATE 12
In terms of Mercosur, it is noted that economically, much of this market is in the area of
influence of the Paraná River, which extends to the River Plate Basin. It is relevant even in the social
and tourist areas, considering the vast area of its coverage in the region Waterway.
In
Paranaguá Bay are two ports: Paranaguá and Antonina. The port of Paranaguá is
located at a distance of 91 km from Curitiba is the largest port in the south of the country; recently
underwent modernization process which is more competitive in the export of grain, automobiles,
chemicals and containers.
6
The port of Paranaguá location is characterized as a natural shelter for vessels, on the
tranquility of the bay waters, which makes it great on the security point of view. The total area of the
Organized Port is 424.50 km², while the land areas in range, plus marine and the expropriated or
acquired by purchase or assignment, currently comprise a total area of 2,350,00 m².
The network of influence of Porto
of Paranaguá it covers an area of more than
800.000 km², comprising the State of Paraná and
of the states of São Paulo, Santa Catarina, Rio
Grande do Sul, Mato Grosso e Mato Grosso do Sul
and Rondônia, and includes Paraguay, which have a
frank deposit warehouse.
Paraná
exports
through
the
port
of
Paranaguá which have as their main destination the
European Community, the United States, Puerto Rico and Mercosur. In this context, it is presented as
the best option for the movement of cargo to and from the Southern Common Market - MERCOSUR.
7
4.2. ENERGY
Generating companies located in the state have an installed capacity of 17,787,354
kW. Among the various plants located in Paraná, there is the Itaipu Binacional located on the Paraná
River,
considered the largest hydroelectric
plant in the world in power generation. The
plant supplies about 17% of the energy consumed in Brazil
and 75% of the Paraguayan consumption in 2013
exceeded the 98,5 terawatt hours of production level,
3rd largest GDP in value
added Manufacturing
Industry
setting a new world record for production.
6
7
FIEP. Productive Paraná Structure, 2012.
GOVERNO DO PARANÁ. Available in: www.infraestrutura.pr.gov.br, accessed December 16, 2014.
BASIC GUIDE OF PARANÁ STATE 13
In addition, the state has Companhia Paranaense de Energia
– Copel serving the whole of the state and is recognized as
the best distributor in Brazil. Their rates are the
lowest in the country, and in the industrial sector is 22% lower
than the second placed. This allows installation of any type of
industry in Paraná, independent of standards of quality,
security and reliability required.
8
In terms of telecommunications, all regions are served by fiber optic networks, which,
combined with the satellite systems, allow efficient transmission of data, voice, image, and Copel
responsible for the current network of optical fibers present in 399 municipalities in Paraná.
9
The Natural Gas, in the face of its economic advantages, environmental and safety is the input
that is more evolution in Brazilian energy matrix. With the Bolivia Brasil (GASBOL), this trend
intensified. In Paraná, the presence of natural gas occurred from March 2000 through GASBOL.
10
The layout of GASBOL only covers the municipalities region of Curitiba, but there are projects
underway to expand, for example, Compagás intends to expand the gas supply by compressed
natural gas CNG and liquefied natural gas LNG. In addition, Petrobrás companies, Cowan, Copel,
Bayar, Tucuman, and Petra Energia holds concessions for natural gas exploration in the state of
Paraná, with an estimated investment of R$ 174 million between the years 2014 to 2018 .
11
The main projects are: repressurization GASBOL- Bolivia gas pipeline, construction of LNG
terminal – Liquefied Natural Gas in Paranaguá construction of the pipeline – Araucaria, new line
construction of the pipeline North – West of Paraná.
12
Currently, in the city of Araucária can be found the City Gate which receives the natural gas
coming from GASBOL, being responsible for supplying the gas distribution network Naturally RDGN in
cities server by Compagás . This company serves seven conties: Araucária, Balsa Nova, Campo
Largo, Curitiba, Palmeira, Ponta Grossa and São José dos Pinhais, with a network of over 470 km
long.
13
8
FIEP. Productive Paraná Structure, 2012.
Folder actions of Goverment. Paraná State, 2012
10
Ibidem, 2012.
11
GAZETA DO POVO. Available in: http://www.gazetadopovo.com.br/economia/conteudo.phtml?id=1429163&tit=Parana-teramaior-investimento-em-exploracao-de-gas-natural, accessed December 16, 2014.
12
Ibidem, 2012.
13
Ibidem, 2012.
9
BASIC GUIDE OF PARANÁ STATE 14
ECONOMY
5
5.1. STATE MACROECONOMIC ENVIRONMENT
The state is currently the
5th largest economy in the country, to GDP in 2012 was
US$ 147,675 billion, accounting for 5,8% of national GDP. It has an average annual growth of 4,9%,
higher than the national average (3,7%) Latin America (4,5%) and the world (4,15%). The composition
of GDP is 63.9% in trade and services, industry 26.6% and agriculture 9,4%.
Paraná is the
14
major national grain producer,
presenting a diversified agricultural agenda. The use of
advanced agronomic techniques puts the state highlighted in
terms of productivity. The sugarcane, corn, soybeans, cassava
and wheat stand out in the productive structure of local
agriculture, noting, in parallel, steady advance of other
5th economy of the
country with growth
above the national
average
activities, such as fruit production. In the cattle, there is the
poultry industry, with 27% of the country’s slaughter. In segments of cattle and pigs, the state share
reaches 4.1% and 19,7%, respectively.
15
The value of industrial transformation of Paraná reached R$67,4 billion in 2011. The state’s
industrial structure, dominated by segments of automotive vehicles, food and petroleum refining,
accounted for approximately 58% of the transformation of state industry.
16
The value added of Paraná services sector totaled R$ 130,833,000 billion in 2011, with great
17
participation of the trade branches, public administration and real estate activities.
It is worth noting that there are 23 Local Productive Arrangements distributed by the state in
the segments: metal fitting, derived from cassava, furniture and metal furniture, wood, caps,
information technology, textiles, lime and calcium, porcelain, software, aluminum, apparel, equipment
and agricultural implements, medical and dental instruments.
14
IPARDES, 2014.
Ibidem, 2014.
16
Ibidem, 2014.
17
Ibidem, 2014.
15
BASIC GUIDE OF PARANÁ STATE 15
5.2. FOREIGN TRADE
5.2.1. Trade Balance
The main destinations of the state’s exports are China, Argentina, Germany, Netherlands and
the United States. Imports are mainly of transport materials and components, chemicals, oil and oil
products and machinery, mechanical appliances and originate mainly from China, Argentina, Nigeria,
The United States and Germany.
5.2.2. Main trading partners
5.3. FDI FLOWS
5.3.1. Main investors
The state received about R$ 30 billion in investments over the last three years, in 2014 were
registered several investments both expansion units, as is the case of companies Klabin, Cargill
Agrícola, Tetra Pak, among others, as well as new industrial plant facilities, such as Daf Paccar,
Mars Brasil, Sumitomo Rubber Industries, among others. Notheworthy are also companies already
operating in the state as Vivo S/A, Renault do Brasil, Electrolux do Brasil, Siemens, Bosch, Kraft
and others, as well as multinational companies from Paraná internationally renowned as: O Boticário,
Positivo Informática, Brasil Foods, Angelus Ciência e Tecnologia, Bematech e Nutrimental.
BASIC GUIDE OF PARANÁ STATE 16
WORKFORCE
6
6.1. LABOR
6.1.1 Economically active population
It is understood by the amount of working-age people who are developing some activity on an
ongoing and regular basis or as they were
economically active population of the state is
5,587,968 people.
Regarding the working-age population (above 10 years) the figure is 8,962,587, and
7,657,960 in the urban area, rural area 1,304,622, which of them 4,376,260 are male and 5,586,330
are female.
Graph 6 – Population of working age (Gender)
Female
Male
4200000
4300000
4400000
4500000
4600000
4700000
The number of economically active people in Paraná represents 6% of Brazil’s total and of this
amount 46% are concentrated in the metropolitan region of Curitiba.
18
It is noteworthy that in a survey conducted by FIEP, one of the main factors of the state in
investment decisions related to the quality
18
of available labor.
IPARDES, 2014.
BASIC GUIDE OF PARANÁ STATE 17
6.2. EDUCATION
According to 2010 data, in relation to Manpower qualification, it turns out that the state has
more than 85,00 enrollments in vocational education, which puts the state
in fourth place
among the largest professional manpower bidders in Brazil, representing 6% of
Brazil’s total. With regard to higher education, there is a similar dynamics: the Paraná hold 6% of
enrollments in undergraduate courses and graduate courses of Brazil with 9,7% of the Paraná
population.
19
Note that in addition to higher education institutions, Paraná has several providers of
technological services, scientific and technological development, certification and metrology,
suitable and sufficient to meet the demands of most modern industries.
The state has
195 universities, four federal and 13
from the state, with more than 350,000 college students, and
20
about 12,000 doctors and 23,000 masters . It has a strong
presence in research and development, with more than 30
incubators and research institutes as Tecpar- Paraná Technology
21
Institute , Lactec institutes, which houses about 25 laboratories
that are carried out research, testing, qualified testing and
analysis
22
and the Itaipu Technological Park that operates in the
23
areas and entrepreneurships.
The Federal University of Paraná it is
Reference in scientific
and technological
development with
availability of suitable
and sufficient services
to meet the demands of
the modern industries.
the oldest in
Brazil, founded in 1912 and is a reference as one of the best higher education institutions in Brazil.
Similarly, the UTFPR – Paraná Technological University stands out since it was created to meet the
market demand form professional technical training, currently assisting secondary education,
undergraduate, graduate and continuing education.
The state has the Paranaense Network Technology & Innovation – REPARTE – civil non-profit
association, with administrative and financial autonomy in order to perform, promote, encourage and
support education activities, intuitional development, innovation and scientific and technological
development and immediate application in the creation and/or development companies and
technology-based enterprises, as well as management activities and technology transfer and
promotion of human capital, aiming at sustainable development ant the inclusion of state economy
more property in the global context.
19
Ibidem, 2014.
LATTES. Available in: estatico. cnpq.br/painelLattes/, accessed December 15, 2014.
TECPAR. Available in: www.tecpar.br accessed December 15, 201..
22
LACTEC, Institutes. Available in: www.institutoslactec.org.br/, accessed December 15, 2014.
23
PTI. Available in: www.pti.org.br accessed December 15, 2014.
20
21
BASIC GUIDE OF PARANÁ STATE 18
Senai it is one of the members of REPARTE and plays an essential role in Manpower
professionalization, since it has the largest complex of
Vocational and Technological
Education, Industrial Technology and Innovation of Paraná, which makes reference to support the
development of the industry state.
Education is a cornerstone of Senai, which offers professional apprenticeship, industrial
training, qualification and professional development, technical courses, technological undergraduate
and graduate. The institution also offer distance learning courses and in company, meeting the
specific needs of students and industry.
It also offers
technical and technological solutions and provides consulting
services, industrial laboratory testing and technological support. The institution has the largest private
network of integrated laboratories in the country and gives support to the development of innovation in
cooperation with industry. Senai PR has over 40 units distributed in Paraná and maintains National
Centers of Technology in several areas of industrial action.
24
24
SENAI. Available in: www.senaipr.org.br, accessed December 15, 2014.
BASIC GUIDE OF PARANÁ STATE 19
PRIORITY SECTORS
7
7. HISTORY OF PRIORITY SECTORS
Among the sectors focus of future carriers in Paraná we have those linked to the
characteristics and natural advantages and those for which the state has decided to invest and
develop.

Food – The favorable climate and fertile soil makes Paraná has a prominent
agribusiness in the country and the world. The whole industry dedicated to
agribusiness with links in the production chain as food processing and bioenergy, and
previous links in the chain as raw materials, machinery to the countryside, has ample
room for development.

Vehicle Industry – Whether a cargo or passenger vehicle, Paraná is highlighted
throughout this chain, thicken more and more to have higher productivity. Industries
with higher technological content can make use of labor – skilled and disciplined work
and training experience Senai -PR.

Electric Materials, communications and electronics – Paraná has extensive
experience in these sectors, the major production of electricity and its transmission
developed this sector. In communications and electronics, Paraná is also featured in
the production and universities and technological assets help in developing new
technologies.

Renewable energy – Paraná is the largest producer of renewable and clean energy
in its development project includes new technologies for the generation of this energy
projects using biomass, wind photovoltaic and others are included in this project.

Furniture & Design and Apparel & Fashion – The industrial park these traditional
sectors is very dynamic, increasingly using new technologies, continues with the
demands of the consumer market.
BASIC GUIDE OF PARANÁ STATE 20
7.1. FOOD AND DRINKS
The chain of food and beverages has important industrial representation in Paraná, and
tradition and respect internationally. Currently
has 3,877 companies generating about 175,00 jobs which
comprises R$3,12 billion in salaries and R$ 39,111billion in
sales. The main centers are in the cities of Maringá,
Londrina, Curitiba, Ponta Grossa, Cascavel and Toledo.
In animal foods segment the state acts in the chain of
swine, cattle, poultry and dairy, stands out as
1st place: grain, silk, mate;
2nd place: tapioca starch,
soy, wheat, corn;
the largest
3rd place: milk, sugar;
chicken producer nationally, and second largest
pork producer. Paraná also stands in agricultural
production.
Among the largest sector of the reference companies are: Companhia de Bebidas das
Américas - AMBEV F Curitibana; Vapza Alimentos S.A, Yoki Alimentos S.A; Coopavel Cooperativa
Agroindustrial; Spaipa S.A Indústria Brasileira de Bebidas - Coca-Cola; Seara Alimentos S.A; JBS S.A
- Friboi; Nutrimental S.A Indústria and Comércio de Alimentos; Cervejarias Kaiser Brasil S.A; Sadia
S.A; Cargill Agrícola S.A; Bunge Alimentos S.A; C. Vale Cooperativa Agroindustrial; among others.
7.2. AUTOMOTIVE
Polo automotive
2nd in national production
Paraná has
major automotive centers in
Brazil, featuring the 2
nd
largest production nationally. The
sector is the 2nd in productions, 3rd in job creation and 2
nd
largest exporter in the state; besides being responsible for
one third of the local industrial production.
The automotive sector began in the 70s in Paraná, now has 615 companies installed, 46,838
jobs resulting R$ 2,02 billion in wages and earns around R$ 30,93 billion in sales. The cities that
concentrate the companies are: Maringá, Sarandi, Londrina, Quatro Barras, São José dos Pinhais and
BASIC GUIDE OF PARANÁ STATE 21
Cascavel with production mainly of automotive parts and mechanical and electrical components for
light and heavy vehicles (buses and trucks).
Among the largest sector of the reference companies are: AGP - America Glass Products do
Brasil Ltda; Brose do Brasil; Faurecia; CNH Case - New Holland; Volvo; Renault; Volkswagem; Audi;
Nissan; Fiat - Powertrain- FTP; AAM do Brasil; Hubner Indústria Mecânica; Mascarello Carroceria de
ônibus; Robert Bosch Ltda; Yazaki do Brasil; among others.
7.3. ELECTRIC MATERIAL, AND ELETRONIC
COMMUNICATIONS.
Currently, there are in Paraná more than
companies
in
the
electrical
equipment
6.000
sector,
communications and electronics, which account for 10% of the
domestic sector, representing 97,81% for micro and small
companies,
1,90%
for
medium
and
0,28%
for
large
companies.
Electrical equipment sector,
communications and
electronics corresponds to
10% of the national share.
The profit sector more than R$ 17 billion in sales of
products such as appliances, electronics, fiber optics of
dielectric material cables, bundles and optical fiber cables, sliding contact-making on air conductor
terminals for capacitors, fiber optic cables aluminum.
BASIC GUIDE OF PARANÁ STATE 22
Among the largest sector of the reference companies are: Acome do Brasil LTDA; Aker
Solution do Brasil S/A; Arcelormittal Gonvarri; Arotubi Indústria de Componentes LTDA; Atlas Indústria
de Eletrodomésticos; Brafer Construções Metálicas LTDA; Britânia Industria e Comercio – Philco;
CSN Companhia Siderúrgica Nacional; Eletrolux do Brasil S/A; Hubner Fundição; Jumbo Industria
Mecânica; Kadel Chicotes Elétricos; Komatsu Forest; Legrand - GL Eletroeletrônicos LTDA; Kabel
Industria e Comercio de Chicotes Eletrônicos LTDA; PK Cables do Brasil Industria e Comercio LTDA;
Furukawa Industrial S/A Produtos Elétricos; Conduspar Condutores Eletrônicos LTDA; GL
Eletroeletrônicos LTDA; Enerbras Materiais Elétricos LTDA; Fibracem Teleinformática LTDA; F&K
Group Tecnologia em Sistemas Automotivos LTDA; MZ Retrabalhos em Peças; Serralheria LTDA ME;
among others.
7.4. PAPER AND CELLULOSE
In Paraná, the paper and pulp sector raises more than R$ 7,3 billion in sales of pulp, paper,
cardboard, paperboard, paper packing, disposable diapers, sanitary napkins, and other products,
which is the total of 12,14% of the domestic industry. There are currently 469 companies in the sector
and generate 20,070 jobs and R$ 45,8 million in salary, corresponding to almost 10% of national
participation. According to data made by the Union of Industries of Paraná Paper and Pulp (Sinpacel),
paper sales grow, since 2009, an average of 20% every year, while the pulp area grow just over
8% in sales per year.
Among the largest sector of the reference companies are: Auto Adesivos Paraná – Colacril;
Cocelpa CIA Celulose e Papel do Paraná; Emblaplan Indústria e Comercio de Embalagem; HR
Guardanapos Leal; Ibema Companhia Brasileira de Papel; Iguaçu Celulose Papel S/A; Impressora
Paranaense S/A; Klabin S/A; among others.
BASIC GUIDE OF PARANÁ STATE 23
7.5. CHEMICAL
In Paraná, the chemical industry is the
4th segment in production values. The
chemical complex is formed by the economic activities of manufacture of chemicals and manufacture
of pharmaceuticals and currently has 1,215 chemical plants, these being 77,88% micro enterprises,
15.94% small and just over 6% up divided into medium and large companies. There are also, in
Paraná, 89 pharmaceutical chemistry and pharmaceutical industries that are divided into 69.23% for
micro enterprises, 19,23% large companies and the other 11% in medium and large companies.
The chemical chain raked in sales R$ 13 billion and generated 21,218 jobs. Already the chain
pharmochemical and pharmaceutical raised R$ 915,9 million in sales and generated 5,466 jobs
Together the two economic activities generated more than R$ 760 in wages.
The main products produced by the chemical industry are: chlorine, fertilizers, hydrogen
chloride (AC Hydrochloric); gas; liquefied hydrogen chloride (AC hydrochloric); in aqueous solution,
sodium hydroxide( caustic soda) solid sodium hydroxide sol. Aqueous ( Iye, caustic soda), potassium
hydroxide (caustic potash), anhydrous bargaining carbonate, sodium hypochlorite, sulfuric acid,
‘’oleum’’ (fuming sulfuric acid), etc.
Among the largest sector of the reference companies are: O Boticário - Botica Comercial
Farmacêutica LTDA, Fertipar - Fertilizantes do Paraná LTDA, Fertilizantes Heringer S/A, Fospar
(fertipar), IBQ Indústrias Químicas LTDA, Indústria de Fertilizantes Atlântico LTDA, Macrofertil
Indústria e Comércio de Fertilizantes LTDA, Milenia Agrociências S/A, Nortox S/A, Península
International S/A, Piratini (fertipar), Providência.
7.6. OIL AND GAS
Currently,
there are 28 centers of oil and gas in Paraná corresponding to a stake
of more than 7% on the national scene, generating 1,984 jobs comprising more than R$ 200 million in
wages and more than R$ 24 billion in sales of products like bitumen oil, aviation kerosene, ‘’Fuel oil’’,
other fuel oils, iso-paraffin; Normal paraffin, lubricating oils with additives, white mineral oils (petroleum
jelly or paraffin oil) shales and tar sands, other petrol; except for aviation, crude oils obtained from
bituminous minerals, among others, representing more than 13% in local participation.
BASIC GUIDE OF PARANÁ STATE 24
Paraná is the fourth state that most engaged in the oil and gas sector in 2014, according to the
Senai, is second only to Rio de Janeiro, São Paulo and Alagoas. In the region, some students are
doing high school along with technical course of oil, offered by the Federal University of Paraná.
Among the largest sector of the reference companies are: Viaplan Engenharia LTDA; Texsa
do Brasil LTDA; C B B Indústria e Comércio de Asfaltos e Engenharia LTDA; Coquepar - Companhia
de Coque Calcinado de Petroleo S.A.; TG Indústria e Comércio de Lubrificantes e Graxas LTDA;
among others.
7.7. FURNITURES
The sector comprises the economic activities related to the manufacture of furniture with a
predominance of wood, furniture manufacturing of metal and other materials than wood and metal and
manufacturing mattresses.
Paraná occupies
the 2nd place
in
employment
generation and
4th in number of
establishments compared to the industry nationwide, allowing companies to meet the domestic
and international market. According to data from the Ministry of Labor and Employment, in 2013, the
furniture sector generated 2,978 new jobs, one ahead participation Manufacturing Industry of 3,72% in
the creation of employment.
There are about 2,575 companies that generate R$ 4,07 billion in sales and US$ 564,64 million in
wages annually.
The main furniture manufacturers hubs in Panraná are Curitiba, Londrina, Arapongas,
Francisco Beltrão and Ponta Grossa and among the leading companies are: A.J Rorato & Cia Ltda;
Ametista Estofados Ltda - Estofados Gralha Azul; Anjos do Brasil Indústria e Comércio de Móveis
BASIC GUIDE OF PARANÁ STATE 25
Ltda; Aramóveis Indústria Reunidas de Móveis e Estofados; Demobile Indústria de Móveis Ltda;
Indústria de Móveis Cequipel Paraná Ltda; Moval Móveis Arapongas; Ronconi Indústria e Comércio
de Móveis e Colchões Ltda; Simbal - Sociedade Industrial de Móveis Banrom Ltda; Vamol Indústria
Moveleira Ltda, among others.
7.8. TEXTILE AND CLOTHING
Paraná is the
fifth largest domestic producer
with approximately 6000 companies located and generating
approximately 90,000 jobs. The textiles and clothing account
for about 19% of the total number of manufacturing
establishments, and 13,7% in the number of jobs.
5th economy of the country with
growth above the national
average
Only in the clothing segment Paraná accounts for 8,8%
of the sector’s GDP, has 2,483 companies located corresponding to 9,0% to the national total and
6,3% in relation to direct and indirect jobs. Industries are mainly micro (5-19 employees) and small
(20-99 employees), representing 90% of the projects, with the remainder split between medium (100249 employees) and large companies (over 250 employees).
The sector’s industrial hub lies mainly in the north and northwest regions, however the
distribution also permeates other regions, the main cities, Apucarana and Londrina in the northern
region, Maringá and Cianorte in the northwest, Terra Roxa, Altônia, Francisco Beltrão, Ampere and
Cascavel in the Southwest, the Greater south Central of Curitiba and finally, Siqueira Campos in the
northeastern state.
Among the main companies on this production chain are: Dudalina S.A, Bratac, Fiasul
Indústria de Fios, G Baby Indústria e Comércio de Confecções e Acessórios, Krindges Industrial Ltda,
Kurashiki, Morena Rosa indústria de Confecções, Procópio, Recco Confecções, Sonhart Confecções,
Café Cacique- Embalagens, Companhia Providência e Comércio, Cocamar, Cotan, among others.
BASIC GUIDE OF PARANÁ STATE 26
ENCOURAGING INVESTORS
7
8.1. TAX INCENTIVE POLICY
The state program known as Competitive Paraná is an important tool within the new phase of
state industrialization was developed to attract investment. It benefits all regions of the state and
already has the creation of more than 100,000 direct and indirect jobs. Was established in early 2011
to reinsert Paraná on the agenda of local investments, national and international, covering a series of
measures through of ICMS, investments to improve infrastructure, foreign trade, bureaucracy and
professional training to make the state attractive for new productive for new productive
The benefits are defined technically and take into account the State’s priorities as the type of
investment, job creation, economic impact, environment and degree on innovation. The more poor and
25
needy for a region, the greater the incentives granted by the State of Paraná :
Decree nº 630/2011 – New Fiscal Policy of the State: Changes the percentage of the ICMS
to be deferred. The benefit ranges from 10% to 90%, and is defined by committees formed by
technicians and secretaries of state. In addition, there is an advisory council made up of organizations
representing the industry, trade, agriculture, transport and cooperatives. The extension term of ICMS
is flexible and ranges from two to eight years for payment. The tax on electricity follows the same
logic. In addition, the same benefit may be granted for tax on the use of natural gas. Another
innovative change is the ability to benefit from ICMS postponement industries that are bankruptcy
protection.
Decree nº 631/2011: Establishing the creation of committees that will examine applications of
entrepreneurs. The decree allows the state to analyze case by case the benefits required by the
productive sector. In addition to representatives of the Government, the committees will rely on
technical advice from federations and associations such as FIEP, FAEP, and other Fecomércio.
Decree nº 1.190/2007: Regulates the provisions of Law 15,562/2007, which deals with the
exemption and/or reduction of ICMS in the operations of micro and small companies classified in the
National Simple. It maintained the ICMS exemption for micro companies with annual gross sales R$
360 thousand, and create up 16 rate reduction ranges for micro and small businesses with annual
gross revenues of over R$ 360 thousand and below R$ 2,4 million per year. The Decree also
facilitates and regulates the tax regularization of debt in companies with tax obligations, providing
conditions for installment late, thereby allowing to access the benefits of Unified Special Regime
Collection of Taxes and Contributions payable by micro and small businesses.
Decree nº 949/2003: Differs six percentage points of ICMS on commercial operations within
Paraná. The rate went from 18% to 12%, except for the final consumer. This decree increased the
competiveness in the state, reducing purchases from wholesalers in other states. In the industrial
sector, the purchase of inputs in Paraná market increased from 43% to 48% as a result of this Decree.
25
GOVERNO PARANÁ. Available in: www.agencia.curitiba.pr.gov.br, accessed in December 15, 2014.
BASIC GUIDE OF PARANÁ STATE 27
Decree nº 950/2003: Comes to the ICMS on the import of capital goods and raw materials,
components, parts, when performed through ports of airports Paraná. Is exempted payment of VAT at
the time of customs clearance of goods. The tax will be released in graphic account at the rate of fortyeight cents (1/48) per month, compensable in the form of tax regulation.
Decree nº 279/2007: Establishes deferral, the vendor option for the ICMS on purchase of
machinery and equipment manufacturers Paraná operations and intended for the fixed assets of the
establishment, regardless if any, in expansion and/or deployment. The release of the tax in graphic
account is similar to that recommended in Decree 950/2003.
Decree nº 1.102/2003: Discipline the transfer of ICMS credits accumulated in escrow account
as a result of operations or services intended for export, or output operations covered by deferral. This
decree is of great benefit to exporters avoid the formation of large ICMS credit stocks.
Decree nº 6.144/2006: Regulates the provisions of State Law 14.985 of 06/01/2006 amending
the ICMS on the import of goods or merchandise for Paraná airport or port. It is also recommended to
consult the text of Law 15.467/2007. The portion payable in clearance was reduced to up to 3%,
differing with the remainder for export of the goods or to release graphic account. The decree applies
to import raw materials, intermediate materials and goods or fixed assets. The interpretation must be
done in conjunction with Decree 950/2003, as well as the text of the said Law. It is recommended to
consult the Paraná ICMS Regulations, Article 629 and following.
Law nº 16.016/2008: Of great importance for strengthening the industry of Paraná and of
broad social reach, Law 16,016/2008 reduced the VAT rate from about 95,000 products called salary
consumption of 25% and 18% to just 12%. This measure was given impetus to consumption,
stimulating the local economy, especially in the financial contraction phase of global market.
Other tax benefits: Other tax benefits are aimed at specific sectors, such as information technology,
oil and natural gas, biodiesel, agribusiness and food chain, etc.
Learn more: to consult
state law go
www.legislacao.pr.gov.br
BASIC GUIDE OF PARANÁ STATE 28
8.2. FINANCING LINES
In addition to the tax benefits worth mentioning the institutions responsible for the lines of crdit
available to investors:
BNDES: support through the financing of investment projects, acquisition of goods and
services. In addition, the Bank operates in strengthening the capital structure of private companies and
provides non- reimbursable financing to projects that contribute to social, cultural and technological
26
development.
BRDE: supports investment projects in a wide range of activities aimed at promoting economic
development of the region where it operates. Thus aims at contributing to the rise in income levels and
employment and improve the population’s well-being, using as main tool the long-term credit.
27
SICREDI: Sicredi operates several rural finance programs of BNDES, with different investment
options, attractive interest rates and deadlines, providing the associated development opportunities
and increase the profitability of their farming activities.
28
PROMOTION PARANÁ: The Paraná Development is a financial institution mixed economy
organized in the form of privately held corporation with registered capital mostly belonging to the State
Government. Working in line with the state policy of regional development, Paraná Development aims
to provide financial support for modernization initiatives and medium enterprises and micro and small
entrepreneurs, the field or the city in order to stimulate generating jobs and income in the state. The
company also seeks to boost the development of business in the area of innovation and technology by
29
extending credit to technology-based companies, including those that pass through incubators.
26
BNDES. Available in: www.bndes.gov.br, accessed December 15, 2014.
BRDE. Available in: www.brde.com.br, accessed December 15, 2014.
28
SICREDI. Available in:www.sicredi.com.br, accessed December 15, 2014.
29
FOMENTO PARANÁ. Available in: www.fomento.pr.gov.br, accessed December 15, 2014.
27
BASIC GUIDE OF PARANÁ STATE 29
Why invest in Paraná?
SOLID ECONOMIC GROWTH AND NATIONAL AVERAGE ABOVE:
The state since 2010 has shown growth rates above the national
average, which places it among the leading economies of Brazil,
CIN Network
being the 5th largest Gross Domestic Product – GDP and the 3rd
largest in values added Manufacturing Industry.
STRATEGIC LOCATION FOR NATIONAL AND INTERNATIONAL
TRADE;
The state’s localization in addition to a well-developed
infrastructure ensures easier access to the South, Southeast and
West regions of Brazil beyond the countries of South America
and Mercosur.
ONE OF THE LARGEST INDUSTRIAL HUB OF BRAZIL;
The two major state industrial areas are concentrated in the
metropolitan region of Curitiba, the state capital, and the cities
of Londrina and Maringa, but are also distributed in various
Coordinated nationally by the National Confederation of Industry
( CNI) , and created with the support of the Brazilian Export
Promotion Agency ( APEX ) , the Brazilian Network of
International Business Centers (CIN Network ) supports foreign
investors in several ways:





regions of the state, totaling 46,000 industries that generate
820,000 jobs and are accounted for 30% of the state GDP.


Providing general information on Brazil adn
Brazilian Industry
Provision of information on administrative
procedures to settle in Brazil
Support in obtaining licenses and
documents required
Contact Facilitation to define incentives
Availability of contact partners (suppliers,
service providers, potential partners)
Support in supplier selection
Others
RENEWABLE ENERGY IN ABUNDANCE;
Paraná has the largest hydroelectric plant in the world in power
generation in addition to your development project includes
new technologies for generating renewable and clean energy,
such as projects that use biomass, wind, photovoltaic and
others.
QUALIFIED HAND WORK;
4th largest professional manpower offered in Brazil,
highlighting the qualifications made possible by the various
higher education institutions (195 universities), national
Contact
CNI - Confederação Nacional da Indústria SBN
SBN - Quadra 01 - Bloco C - Ed. Roberto Simonsen
Brasília - DF - CEP 70040-903
+55 (61) 3317-9000
www.cni.org.br/brazil4business
CIN-Paraná - Centro Internacional de Negócios do Estado do Paraná
Rua Cândido de Abreu, 200.
Curitiba- PR – CEP 80530-902
+55 (41) 3271-9100
http://www.portaldaindustria.com.br/brazil4business/pt/pr/why/
http://www.fiepr.org.br/cinpr/
E-mail: [email protected]
reference research institutes, as well as strong performances
in technical training offered by institutions such as the
Technological University of Paraná and Senai.
BASIC GUIDE OF PARANÁ STATE 30
BASIC GUIDE OF PARANÁ STATE 31