The Danish-Brazilian Chamber of Commerce
Transcription
The Danish-Brazilian Chamber of Commerce
October / December 2012 Danish-Brazilian Chamber of Commerce Former Prime Minister Lars Løkke Rasmussen in Rio de Janeiro 20 april/june 2006 20 april/june 2006 EDITORIAL Brazilian Review The Brazilian economy will have little growth in 2012... The European economy is still facing enormous challenges… Lars Løkke Rasmussen President Liberal Party 6 INTERVIEWS HRH Princess Benedikte 18 POLITICS Ole Sohn, Minister for Businness and Growth 26 INFORMATION Amazon Fund New Danish Fashion Gråsten Castle Søren Kierkegaard Hospital Albert Einstein 30 32 36 38 42 ECONOMICS European Economy - Svend Roed Nielsen Octavio de Barros, Bradesco Caio Megale, Banco Itaú Cristiano Souza, Santander 48 50 52 54 PROFILE FLSmidth CHR Hansen Scandinavian Designs Tivoli Pantomine Theatre Valdemar Castle Viking Life-Saving Equipment Ekornes Novozymes Alfa Laval Aalborg Oticon GN Resound Grundfos Lundbeck Danfoss 62 68 72 76 78 82 84 88 90 92 94 96 98 100 TRAVEL DFDS Seaways 124 12 Lars Rebien Sørensen CEO Novo Nordisk The Brazilian economy is going through a challenging period. Some predict that growth will only reach 1.3% for the year which is obviously a very low growth rate. The interest rates have been reduced to 7.5%, and interest rates for credit cards (Banco do Brasil and Caixa) have been reduced by 30% and 52% percent respectively. The inflation rate has reached 5.4% but unemployment is at the lowest level it has been for a long time at 5.5%. The government is trying to stimulate the economy by reducing the costs of light by 16.2% and the government has also cut taxes for more than 25 categories within the service sector and the industrial markets. Moreover, the government is pumping more than BRL 50 billions into the economy. The automobile industry and the white goods industry are paying no IPI taxes. Unfortunately, there are many strikes, for instance within the military police force and public services, which makes the situation very vulnerable. BNDES will invest up to a BRL 150 billion in projects, such as infrastructure and other service industries. The pressure is on the government to stimulate the economy and to move at a much faster growth pace in 2013. In Europe many financial packages has been introduced in Greece, Spain, Italy, Portugal, and Ireland but the European economy is still extremely vulnerable. Germany will only grow 0.8%, Denmark 0.8%, France -0.1% Greece -7.8%, Italy -0.7%, Spain -0.4%. Portugal is showing negative growth for 2012 at -1.2%. The next few months will show clearly if Europe is on the right track, I am still consciously optimistic. But it is very concerning that China will only grow around 7% which of course is affecting the European and Brazilian economies. The US is facing a presidential election in October. It’ll be Romney vs. Obama and there is not a clear winner in this much disputed election. The US economy will play a major role in who will become new president in January and the US economy is still going at a slow pace. The unemployment rate is still high and not a lot of new jobs are being created in the economy – a very difficult situation for president Obama. Brazil had a very successful visit from HRH Crown Prince Frederik and HRH Crown Princess Mary who visited Sao Paulo, Rio, Belo Horizonte and Lagoa Santa. The Peter Lund Museum was inagurated in Lagoa Santa. The Royal couple received great attention in the press and there is no doubt that the Danish image was greatly improved. The Danish trade delegations for tourism, water and petroleum and gas all participated in very productive fairs, seminars and workshops. More that 60 trade delegates came to Brazil. 2012 Chamber Activities... Oct 16th– Danish Investment Seminar Oct 30th– Business Council (Widex) Dec 7th – Christmas Lunch Feb 5th – Ambassador Svend Roed Nielsen 2012 has been a challenging year but also a year with a lot of business opportunities. I am sure all business members will have a successful 2012. We wish you a very merry Christmas. Jens Olesen President Lars Løkke Rasmussen in Rio de Janeiro Lars, could you tell us a bit about the current Danish economy? The Danish economy can be viewed from several angles. I’m happy about the fact that we managed to institute reform decisions that have persisted after the election. That combined with the fact that the newly elected government is actually carrying out economic policies that are somewhat different from the ones they promoted during the election campaign are positive aspects. Fundamentally sound economic policies have been implemented medium-term thanks to some of our decisions that support the democratic pressure; this is a step that other European countries still have to take. However, this does not change the fact that we stand before severe challenges. Our growth rate is much too low. This is due to the hard-pressed competition which has gradually grown worse over the years. We need to solve this issue which is not solely a Danish problem, but a European one. If I have memorized the numbers from my speech correctly, we presently export 70% of our production destined for foreign countries to EU countries. Therefore, when Europe is dragging along, Denmark cannot accelerate its pace. We need to undertake some initiatives, e.g. improve our 6 oct/dec 2012 competitiveness through a reduction in the rate of salary increases. This measure has actually been adopted in the recent collective agreements that were just approved but we can not solve the problem through one-time collective agreements, we need steeper measures. I am pleased that a tax reform has been agreed upon. It will lead to a significant decrease in taxation of a very large group on the labor market. More than a quarter of a million Danes will no longer be subject to the maximum taxation rate; this will be an incentive to enter the job market because the EITC will be increased. Public transfer benefits will be kept at a lower level than what has historically been done. So, there will be an increased gain to be had for people who go from being passively supported by the State to instead actively participating on the job market. I consider this measure Parliament’s contribution towards maintaining salaries at a reasonable level and it is surely one of the manners through which competitiveness might be improved, but there’s still a long road ahead of us. Besides this measure, we have to create more reform decisions and there will be a fundamental need for developing the public sector at a slower rate than the rate of the global economy, so that we are able to genuinely decrease the tax burden. I believe that we are currently ranked no. 132 in the World Economic Forum’s Global Competitiveness Report which measures the impact of taxes on competitiveness. While we will never rise to be among the top ten on the list, we do need to improve our ranking. Moreover, we also need to change the focus of our efforts. The facts that 70% of our exports go to EU countries and that Europe as a whole is in a stagnant situation without any immediate relief in sight mean that we need to direct our efforts outwards to the countries that present higher levels of growth than the ones presently seen within Europe. I appointed five export ambassa- Carsten Følbaek (Maersk Group), Ambassador Svend Roed Nielsen dors towards fulfilling this exact goal when I was Prime Minister. Five individuals cannot reverse the situation all by themselves but I thought that they could act as mental door openers for both Danish industry and for Danes in general. They could help businesses and people open their eyes for the potential markets where we might intensify our efforts and learn more about the challenges we are up against. I believe that Denmark has not yet fully comprehended just how dire the challenges before us are. We are a prosperous society and have occupied a rather unique position throughout the past 100 years. However, if you look at history long-term, a century is a mere parenthesis when compared to thousand-year reigns where other countries had their moment of greatness but ultimately were crushed by foreign nations, e.g. China, a country that is currently gaining importance once again. If we do not succeed in grasping the challenges posed by other nations, which have a ferocious appetite for the welfare within our society that we ourselves take for granted, then we risk being in for a brutal awakening like the one Greece is now experiencing. You are presently in the opposition. How is it trying to work with the new government? Well, there is not a clear-cut answer to that question because there is no doubt that our cooperation with the government is somewhat strained. I believe that the cooperation efforts are faring better now than under the previous government. This is largely due to the fact that we who constitute the present opposition are making an effort towards this objective. That is the quick answer to your question. During the years leading up to the elections last September, we had a Social Democratic Party whose slogan was ‘that they were going to work the government out of office’; however, they were rarely seen in offices themselves. When we presented a tax reform in 2009 which was fully financed down to the last nickel without affecting the dynamic effects, the Social Democrats labeled it a so-called ‘red wine reform’ and they refused to even consider negotiating it. Now that they are in government, their political profile has clearly changed. I think I can affirm this without being polemic. It is beneficial for Denmark that we have just approved a tax reform where the floor for the highest tax bracket has been raised by DKK 77,000; this is a significant increase. I would have liked to also change the marginal rate of tax for people earning higher salaries. What we are doing now is important and it is a great improvement for the people who thereby will not be subject to the maximum taxation rate, but we still have a big challenge before us to help the ones receiving salaries that place them within the highest taxation bracket. I have talked to several Danish companies which daily try to carve out a place for themselves on the international labor market. They are dependent on recruiting their employees internationally and definitely feel the effects of the brain-drain syndrome where workers move abroad. They are pointing out that their employees such as, for instance, chemical engineers, export sales Lars Løkke Rasmussen, Michael Bak, Hempel, Jens Olesen oct/dec 2012 7 people and laboratory staff members with PhD degrees earn annual salaries of perhaps DKK 750,000 which places them within tax brackets that are a hindrance to competitiveness. I would really have liked for us to take the reform even further but I have to acknowledge that we now have a government that is suddenly much more flexible in its policies than those same parties were when they constituted the opposition. So, the potential for cooperation is much bigger now than it previously was. Do you and Helle ThorningSchmidt talk? The tax reform negotiations entered into a critical phase while I was in Rio and I tried to get in touch with the Prime Minister, but to no avail. It is complicated to make such a meet-up a reality; the media has received this negatively. Instead, I chose to send a letter to the Minister of Economic Affairs and the Interior, Margrethe Vestager, while I was here. This letter - alongside the fact that I directly contacted the Minister of Finance - led to the Liberal Party showing up with a delegation ready for negotiations last Friday; a fact which ultimately led to the creation of the agreement. I certainly wish that the Prime Minister had had a higher level of involvement in the entire proceedings. “ The tax reform negotiations entered into a critical phase while “ I was in Rio 8 oct/dec 2012 70% of all Danish exports are destined for nearby markets. I have repeatedly called for urgent measures from institutions such as the Confederation of Danish Industry for improving Danish competitiveness and seeing beyond the immediate surroundings. One of the obviously interesting markets for Lars Løkke Rasmussen, President Liberal Party Denmark is the Brazilian one. The other BRIC countries are for their absence. Europe is obviously dragging itself along at the present moment. worth looking into as well. How Naturally, I wish the best for Europe but would you go about getting the hard times are ahead, not least due to debusiness sector to comprehend mographics. Its ‘lack of appetite’ is somethat things are actually not going thing else that is working against Europe. The two of us have previously talked about all that well? How would you get South Korea. When I visit a country such as the Confederation of Danish InKorea it’s clear that this is a country which dustry to act faster and to invest has actually gone from being the recipient in the proper markets? Finally, of aid destined for developing countries how would you make the governalongside African countries to being the host of the G20 summit a couple a years ment understand the urgency of ago, all within two or three generations. implementing such measures? Our political contribution towards these goals has been to strengthen the fundamental structure for providing support, i.e. expanding the network of embassies and consulates. Credit lines for export have also been improved in terms of several aspects. That is the contribution we can offer. I do believe that we have an obligation to help meet these objectives. I mentioned that there are mental hurdles to be faced; the business sector needs to become aware of this. That is why I appointed five export ambassadors. I do not believe that five people alone will make a tremendous difference in the big picture but five high-profile individuals like these who receive a lot of exposure within Danish society stand a better chance of raising awareness for this challenge than career diplomats do. Unfortunately, the current government pulled the plug on my initiative. On the other hand, I am pleased to see that the government has followed up on our work with developing a strategy for Danish efforts in the BRIC countries. I would have liked to see some well-known faces working on these tasks but the rest of us will have to increase our efforts to make up They are perhaps the 14th or 15th biggest business economy in the world and this feat has been accomplished without having access to any significant raw materials. The shift that has happened is due to the inhabitants’ mentality. They have chosen to completely focus on perfecting their skills, concentrating their efforts and working hard. I think this furthers a true sense of the past. I like to evoke an image of a family gathered around the dinner table in Seoul. The grandparents, parents and kids are able to firsthand tell the story of the country’s development from civil war to prosperity. When a Danish family gathers around the dinner table, all three generations present basically tell the same story of how we have always been doing well. Of course, there have been incidents throughout the years, such as the oil crisis in 1973 that led to car-free Sundays but by and large we have consistently fared well throughout recent history. I think this has led to the disappearance of our awareness of the fact that ‘from nothing springs nothing’. This is also something that poses a challenge for Danish businesses. We are here in Rio de Janeiro which is experiencing a boom due to activities in the Oil & Gas sector, and it reminds me of a visit I made to Esbjerg while I was the Prime Minister. Esbjerg was the hometown of a growth forum under my government, and it is actually interesting to see that Esbjerg is a town which has really developed within recent generations due to exceptional expertise within the maritime and off-shore sector. Rio is starting to amass the same level of know-how. Some of the companies over there need to realize that some of the aspects we have mentioned will pose a threat to the Danish economy, e.g. demographics and the fact that the North Sea deposits will be depleted at a point – exploration of the reserves might be prolonged due to new technologies but eventually they will be exhausted. The companies within the exploration sector will eventually fail unless they become active on the international or global market. Esbjerg and Rio might be said to be two sides of the same coin; the weather is certainly more pleasant here though! I have talked to several people from your party but I have not received a straight answer yet. What is your opinion about dual citizenship? My opinion is gradually softening. This is actually a dangerous thing for a politician to acknowledge; you might be perceived as a turncoat who doesn’t have a steadfast answer. Denmark has categorically always been against dual citizenship. However, you have to be realistic about the world we live in nowadays, not only in regard to this issue but also in terms of, for instance, the economy. Denmark has a tendency to believe that we have created a kind of utopia with our model of society; what has to be kept in mind is that aspects such as the size of our public sector and the tax burden have an impact on our overall competitiveness. It’s a fact that the rest of the world has organized itself in other ways; if we want to compete in an international scenario, we’ll have to abide by the universal rules, not our own national ones. This is true in terms of financial policies and this also holds true in regard to this issue. In spite of international conventions trying to ensure that everybody has a nationality and nobody is stateless, the world has become a far more complex place. Therefore, my stance on the issue is undergoing changes. I am not affirming here today that I am ready for dual citizenship. But I am aware of the drawbacks of situations such as the ones that arise when we naturalize foreigners by granting them Danish citizenship and these people go on to abuse the trust placed in them by committing crimes or likewise. It then constitutes a real challenge that these people are 100% Danish citizens. This is a negative example that illustrates the point that it might be interesting to allow some Danes to keep their original citizenship. There is of course also the positive spin which is basically the same story told the other way round. I am not ready to declare that I am in favor of dual citizenship, but I can say that I am being swayed by the ongoing discussion and I am analyzing all the aspects thereof. There are only three countries left within the European Union which do not permit dual citizenship, i.e. Denmark, the Netherlands and Austria. All the other oct/dec 2012 9 Curriculum Vitae “ Brasil is a fantastic country. I have wanted to visit Brazil for a long time “ EU nations permit dual citizenship. The reason I am insisting on talking about this subject is that it is very important for a lot of Danes abroad. I think I speak not only for Danes in Brazil but also on behalf of a lot of other Danes living abroad when I say that we might not live in Denmark but we are still Danes through and through and will always remain so. Some might even say that we identify increasingly as Danes the longer we live outside Denmark. However, it would be very beneficial to be able to become citizens of the countries we reside in without losing our Danish citizenship. That is the core aspect of this whole issue for us, and we would like you to keep that in mind when you ponder your stance on dual citizenship. Does it affect your opinion that Denmark is one of the few countries left that still prohibits dual citizenship? 10 oct/dec 2012 Yes, it does. That is exactly what I was trying to convey. We have had a point of view that was pretty rigid, but modern-day reality is influencing us. When a large number of countries go down a certain path, it is natural for others to take note of this fact. This is part of the process of forming an opinion and taking a stand when living in a truly globalized world. The drawback as I already mentioned is that we end up revoking the original citizenship from some people who might turn out to be undesirable as Danish citizens in the long run. A case that springs to mind involved a reallife gangster in a ghetto in Odense. In cases such as this, it would be nice to be able to simply strip the offenders of their newly acquired Danish citizenship and deport them to their country of origin. The other side is of course the one with Danes living abroad who would like to be able to integrate fully in the country they live in and at the same time remain whole-heartedly part of the country they belong to. The same thing actually happened in regard to the right to vote. The Danish constitution prohibits Danes living abroad from voting in Denmark. A commission was established under the leadership of Jens Peter Kristensen to examine whether the constitution could be interpreted differently in the light of the world having changed dramatically. For instance, I have conducted tax negotiations here from Rio; I have just watched the news; I can watch the Danish network’s evening news program whenever it pleases me, etc. The world we live in today is a completely different world from the one in which it was a given that you would lose virtually all contact with your home country once you crossed the national border in your horse carriage. A change was not possible though; the constitution and the interpretation of it are old-fashioned and rigid. We do need to consider all these issues carefully, though. What is your impression of Brazil? As far as I have been able to tell, it’s a fantastic country. I have wanted to visit Brazil for a long time due to a fact that goes back to when I was in 7th grade. We got a new classmate that year, namely a boy whose dad was a Danish businessman and whose mom came from Brazil. This half-Brazilian boy had two incredibly beautiful sisters, and ever since meeting them I have wanted to visit this country. Lars Løkke Rasmussen •Member of Parliament for the LiberalParty 1986 to 2012 Parliamentary career •Prime Minister from April 5th 2009 to October 3rd 2011. •Minister of Finance from November 23rd 2007 to April 7th 2009. •Minister for the Interior and Health from November 27th 2001 to November 23rd 2007. Chairman of the Liberal Party from 2009, vice-chairman 1998-2009. • Education and jobs •Master of Laws, University of Copenhagen, 1992. •Matriculated in social studies and mathematics, Helsinge Upper Secondary School, 1983. Leaving examination, Græsted School, 1980. • Contact us in Brazil Bombas Grundfos do Brasil Ltda Av. Humberto de Alencar Castelo Branco, 630 09850-300 São Bernardo do Campo - SP - Brazil Phone: +55 11 4393 55 33 E-mail: [email protected] www.grundfos.com.br oct/dec 2012 11 Lars Rebien Sørensen “the most respected business leader in Denmark” Tell me about your career at Novo Nordisk, and why you were attracted to this company? I was initially attracted to the company because I needed a job. During my time studying I had been working and I had taken loans, so I had to pay back those loans. I seriously needed a job. The reason why I joined the company was that I happened to know it because my cousin was working there and he was travelling all over the world, building companies, and he was enjoying himself tremendously. Therefore and even though I didn’t know the products or the character and the value of the company at all I thought it could be an interesting place for me to work, in spite of the fact that I have a major in forestry, which is a completely different educational background. We just saw in the press the other day that Novo Nordisk was valued at DKK 500 billion, which is absolutely incredible. It is the biggest Danish company, and the biggest Scandinavian company. The growth is also incredible for us at Novo Nordisk. I have been with the company for 30 years; when I started, the company was largely unknown in Denmark. It was not among the large industrial companies, it was a small or medium sized expanding company. Now, thirty years later, we have split off Novozymes, our sister company, which is also leading in its area of business. And because of the increasing number of people with diabetes all over the World, the business potential for Novo Nordisk is almost unlimited. I made a bold statement in connection with the announcement of the annual result of 2011 to the press. I said “You haven’t seen anything yet”. The reason being that we are leaders in our field and we have a very strong pipeline of new and interesting products. Amongst other we have one project, which is to treat people who are seriously overweight, because a number of people in the world are getting overweight. That leads to serious health problems and people find it difficult to lose weight, therefore if a logical intervention against obesity was found it would truely be an incredible product, and we may have such an opportunity also. So therefore I said to them: “you haven’t seen anything yet”, we are going to be the biggest pharmaceutical company in the world by value. Lars Rebien Sørensen 12 oct/dec 2012 How do you feel about the fact that Novo Nordisk has been elected the most sustainable company in the world? It came out in the press a couple of month ago. I thought it was quite a distinction to get this honour. Yes, it sure is. I think it’s a reflection of our origins. Being a Danish company. I think many Brazilians are aware of that fact since COP15 has held in Copenhagen, dealing with climate change. Denmark is focusing a lot on sustainability. In that sense, it’s similar to the orientation in Brazil. Brazil is also very much preoccupied with the environmental issues, protecting the Amazonas, the rain forest, because it is part of the whole climate circle to protect our environment. Being sustainable is a reflection of how we have been brought up in the Danish society. We’re not only growing our companies and values, financially. We also make sure that we do so in an as socially and environmentally sound way as possible. So it’s a great honor to get that recognition, because it means that the way we are working is being understood and recognized. You have been elected the most powerful dynamic business leader in Denmark. What does that mean for you? Actually, not really very much. I consider myself an ordinary individual. I ride my bicycle to work and I ride it back again, I mow my own lawn, I do as many things as I can and as I have tried to do myself. But what it does mean, is a recognition of the efforts by the people in the company. I have to, as a person, exemplify the company, so the fact that Novo Nordisk, over the last 10-12 years has been elected many times as the most highly respected company amongst business leaders in Denmark is a recognition to all the people at Novo Nordisk doing their job responsibly everyday. And I just get the pleasure of enjoying that being put on my person. Other times I have to take the shit, and the shit hits the fan, and something goes wrong, and I have to take the criticism. It all comes along with the job. that the values are well understood. If the company was a person, what type of characteristics should characterize the company? And then try to explain this to people, all over the world, people from completely different cultures. A person in Korea, a person in Northern Africa, a person in Brazil and a person in Norway should be able to understand the same things with our ambitions and values. That is a huge job. It’s a very exciting job too, and this is what I spend most of my time trying to do. Leadership is a big word. If somebody was to try to describe Lars Rebien Sørensen, what would you say your leadership style is? What is the mission and the vision of Novo Nordisk? Of course, it ought to be somebody else who should answer that question. What I would hope that they would say is that my leadership style is based on creating an exciting vision for the company. I hope that everybody feels that it is exciting to participate in and realize that it should be very ambitious, it should be bold. People should feel they are spending their time on something meaningful, and not just making money because money is interesting. Making changes, influencing the society, influencing peoples’ lives, or whatever you may want to aspire to do as a company, but doing something meaningful because after all, as you know yourself, having worked that many years in a company, we spend most of our living hours occupied with our work, so it should be something meaningful. So that is my biggest responsibility. As a manager and as a leader I have to set that ambition, create the story, make sure The mission of Novo Nordisk is to change diabetes. Diabetes is a dreadful disease, people are getting ulcers, which leads to amputations, they lose their eyesight, they lose their kidneys, they die prematurely. It’s a disease we are able to get rid of. Most of the people in the world with diabetes have what we call type two diabetes, which is adult-onset diabetes. 80% of that can be prevented by changing our lives, if we were not so busy doing what we are doing and instead try to live decent and not over-consuming lives. So, if we can change the situation - today,more than three hundred million people have diabetes - then that is the most important thing we can do as a company. Tell me more about that. I think our company was built on the discovery that you could treat diabetes with insulin. This was a discovery that was made in 1921. We were given that knowledge and recipe by the University of Toronto of how to manufacture insulin in Denmark, which was quite a gift. Later the company developed new technologies, new products, and obviously we have to try to sell those products, so that we can get money to make more research. At the end of the day, I think it is an obligation that goes back to the creation of the company. The problem that we set out to solve was to find a way to deal with diabetes and until we one day cure diabetes so as to eradicate this terrible disease, it will continue to be so. Novo Nordisk is in a market to do business. The company is doing a lot of things. One of the things I have read a little about is a campaign on how to prevent diabetes in the world. Is this something you do globally, regionally, locally, market by market? How do you go about it? Do you do it in cooperation with the United Nations or WHO? Tell me about the main values of Novo Nordisk, which are obviously linked to mission and vision, but the main value is obviously to cure diabetes in the best possible way and for as many people around the world as possible. Novo Nordisk headquarter in Bagsvaerd oct/dec 2012 13 One way of changing diabetes is to prevent it from occurring in the first place. That means, in societies all over the world, that we are trying to engage with politicians to have them understand that it has to do with the way we design our communities. The way the children are taught in school about nutrition, the way they are taught about physical training and activity, the way we move physically, to the possible extent that you can do urban planning that allows people exercise in a safe way, either in parks, or through bicycling, safe from the traffic, but also safe from violence and safe from a lot of things which are problematic in urban societies. So that’s one level of engagement. We got all the way up to having raised the issue at the UN to have a declaration assigned on diabetes. It’s only the second time that one particular disease has achieved a UN declaration. The first one was HIV/ AIDS, the second one in 2006 was a declaration against diabetes. It obliges all nations to insure that their populations are aware of the risks of developing diabetes and that they can get treatment if they get diabetes. With this declaration, we then go to each individual nation, and discuss with the Ministries of Health what policies they have and what strategies they have and obviously, that is different when you are in Tanzania and when you are in the United States. I mean, there are very different resources available, and therefore the plans cannot be the same. They need to be adapted to the local environment, to the local habits, the local food habits, the local cultural habits and financial and economical capabilities, so we always rally on behalf of people with diabetes. So we go there together with patient associations and say to the Ministries: Now we need some plans, we need some resources so that these poor people can get treatments. And that goes both for the United States and for Tanzania. You mentioned that there are around three hundred million people with diabetes in the World. How much does this number grow per year? How do you see the whole situation for the next five-ten years? We believe that there will be a growth of around 5% per year. It is likely that within the next 18-20 years, there will be more than half a billion people with diabetes. More and more people are moving from the countryside to the urban areas, the big cities, where there are jobs to find. But with that comes transportation by bus, by train, by car and less physical work. 14 oct/dec 2012 In reality, our customers are the health authorities. We will grow 5% per year It’s in a way an unhealthy lifestyle in the long run, so it means that more and more people are getting diabetes. It’s going to get worse, before it gets any better. But in certain societies, in the Danish society, for example, we can see that the higher levels of education and the higher social group you belong to, the less chronical diseases you find. In fact, in Denmark you can actually determine the average life-expectancy and the rate of chronical diseases by the postal code. If you take the southern part of Copenhagen and go to the Northern part of Copenhagen, the life expectancy difference may be as much as 10 years. Simply due to social knowledge. Novo Nordisk is a global company, a regional company and a local company. What are the growth markets and which region in the world is growing the most? In reality, our customers are the health authorities. In countries like Brazil that means that a big part of the health services and products are paid by the government. The same goes for all the countries in Europe. An increasing amount is also being paid by the government in the United States. But in the United States it’s mainly paid by private insurance, and insurances are paid by the employer, so the economic development determines the extent to which our governments can provide health services for the population. In current days, we see pressure on the economies in Japan, in New York, due to the financial crises. Nevertheless, when we look at the growth opportunities for the company, we see that the biggest growth opportunities that we have are in United States and what we call the emerging markets. These emerging markets include the BRIC countries, Brazil, India, Russia and China, but also increasingly in other Southeast Asian companies like Vietnam, like the Philippines, eventually also Indonesia where more than two hundred million people are living. So, that’s where we see growth of our business. In the United States, 20% per year, in the BRIC countries 15-20% per year, but our business in Europe is flat, maybe there’s a 1-5% growth, and in Japan it’s the same with about 0-5%. Brazil is a big country, it has it’s ups and downs, how do you see Brazil today? I think Brazil has largely escaped the financial crises, I see Brazil increasing it’s stepping into the world’s political and financial scene. Now the country is expressing political opinions on global issues such as the environment and trade and is increasingly becoming one of the top ten economies in the world. It has huge resources which are not all being extracted and shipped out of the country. They are increasingly being used for industrial production in Brazil, and that means more and more companies are moving from Europe and the United States in order to establish themselves in Brazil. The society is becoming more predictable. There used to be serious ups and downs in the Brazilian economy with hyperinflation which led to business conditions being largely unpredictable. That’s not good for investments. With the more stable political system and a more stable economy, the ability to make investments in Brazil has improved significantly and this is likely to accelerate the economic growth in Brazil. So I see Brazil as a very interesting country, also in the healthcare area. Brazil is in the forefront of trial to make sure that it’s general population has access to health care, in a relatively high and sophisticated level compared to the economic status of the country. This is something that other emerging economies are learning from. I participated in a meeting in China just very recently, where the Chinese government had collected 15 ministries to develop a new policy to deal with diabetes as well. They invited one from Brazil, to talk about how the Brazilian experience is, and they have been trying to do exactly the same, so there’s an increasing recognition and reputation amongst other countries in the world. During many years, you have participated in the government tenders once a year for the government business on how to treat diabetes. How important is it for Novo Nordisk to win this? What does it mean for your business? It’s correct, there is this annual tender where the public healthcare system in Brazil buys insulin for all the people who have access to public health services. Then, of course, there is the private health system, with private insurances as a separate system, but the tender for the public health system is the biggest in the world. They buy eighteen million vialsof insulin at the lowest possible cost from any country in the world. Because it is done as a tender. We have a big factory in Montes Claros, we have a big company in Sao Paulo, we see Brazil as the regional capital for Latin America. Therefore it is very important for us to have a strong business in Brazil, and we go a long way trying to bet as aggressively as we can, namely with lower and lower prices, in order to win that tender. We won the tender that was just recently issued and this only goes to show that Novo Nordisk is the most effective manufacturer of insulin in the world and we can deliver insulin at the cost of a cup of coffee anywhere in the world. And the price for a cup of coffee at Starbucks is of course higher than that of the Brazilian coffee, and that is only natural, so insulin is cheaper in Brazil than in the United States. The growth potential in Brazil you talked about, the future looks reasonably bright, things are changing, there is stability. What kind of growth potential do you see in Brazil? You men- tioned that all the BRIC countries grow 15-20%, do you think that this kind of growth is even bigger in Brazil? Yes, I would definitely think that Brazil should be growing more than it is at the moment. With increasing income, people will be able to move from what they get today, which is more basic medication, to more advanced types of medications. These more advanced types of medications are of course more expensive. That should lead to growth, because at the end of the day, once we have satisfied the need for shelter and food and clothes, the next items on the agenda, for any individual and family, is education and health. So you will see a lot of resources pouring into the health sector and into the educational sector in Brazil in the years to come. That’s the only thing that preoccupies us, it’s our health and the education of our children. So therefore I expect us to see growth rates for our business in Brazil of 20% per year in the years to come. Amongst the fastest in the world, much like we have seen it in China in recent years. There has been a major change in how Danish companies or even Global Danish companies have been run in Brazil. Ten years ago it was only run by Danes, and in the last five years, most of the major Danish companies are run by Brazilians. You are a global company today, you have an Argentinean running the company, are you looking into the possibility of having a Brazilian manager in the future? Brazil is a little bit different. I think that all countries in the world are different. You should aim at having locals managing your companies because after all, people have gone to high school together, have gone to university together. Some people end up in the government, some people end up in business, they do understand each other much better and can interact much better than foreigners can even get close to doing. So yes, definitely, we are aspiring to have our company being managed by Brazilians and our factories managed by Brazilians. Of course our companies should also be managed by a Brazilian at the time that we identify an individual that is capable and talented enough to do that. Lars Rebien Sørensen President - Global CEO oct/dec 2012 15 Brazilian Review INTERVIEW Do you have a lot of Brazilian talent in your international organization? This is an interesting area, because that is one area which I am looking at at the moment. I have to admit that the leadership of our company is largely Danish because we have Danish origins. This means that, for great many years, we have been able to attract the most talented people in Denmark. But Denmark is a small country, so in the past we were an unknown country in Brazil, we were unknown in the United States and therefore it was only natural that the people we could attract were not the brightest talents from the universities, I have to say, without wanting to offend my US and my Brazilian colleagues. We were truly an unknown company. The brightest talents from university want to go to the local star companies. Like people in Denmark want to work for Maersk and Novo Nordisk, in Brazil they want to work for Petrobras and other big engineering groups that are building airplanes or cars etc. It’s only now that we have gained scaled size , that we can hope to attract and develop talented people who have the capabilities of doing a career, not only in Brazil but also increasingly outside of Brazil. We are aiming at increasing the number of global talents we have, being of not Danish origin. I have an ambition that we should have more Americans in our international organization, we should have more Brazilians, like we are having more people with a Middle-Eastern background, they are quite talented, people from Iran, from Turkey, who have potential for working in an international organization, so it should be the same in Brazil. Does that mean that you have changed your Human Resource Management globally, so you have a mix of various nationalities? Yes, we have appointed each of our HR managers in all the regions. These people work together as a network to identify local talents and be sure that this local talent is being spotted and developed. Rotation jobs are being created, so people with the potential and with the willingness, have an opportunity to go and work somewhere else in the company. Maybe in our European headquarter or in our US headquarter or working in the International headquarter for the international business which is located in Switzerland. Do you work very closely with universities? 16 oct/dec 2012 Yes, we do. Of course, again, being a historically relatively small company, we have no hopes of being able to become globally known. So what we have done instead is that we have identified a number of universities, Saint Gallen, Stanford, Harvard and other universities, that we try to build a relationship to. From these universities we then try to attract business school students to come and join the company, and every year we recruit some 20 or 30 newly graduated student from leading business schools from all over the world. They enter our graduated program, where they are offered a job with 8 month srotation in three different places in the company, maybe three different functions in the company, to understand the complexity of our business, and they are quickly being absorbed into the organization. But we still have to work hard on becoming known. We are world famous in Denmark, but not outside of Denmark. How do you survive in this very stressful job you have, where you are under pressure day and night, and where it is often very hard to find time to relax. How do you do that? I have chosen not to engage myself in a lot of social activities and networks. On one end it can be important for creating contacts, it can be important for learning from other business people, but I simply don’t have the time, so I spend so much time working and traveling that the remaining time is something I keep for myself and my family. I don’t have the resources for anything else than that. I have to admit, and this can sometimes appear to be a bit arrogant, that I don’t engage myself. It’s not because I don’t think that I can learn from other people. Definitely I can learn from other people. But then I am also obliged to teach other people, and that’s going to take a lot of time from me. It’s not just a one-way street where you can engage, and then absorb knowledge, you then also have to provide your own experience, and then it becomes a time-consuming thing. So I have taken that decision that I want to do the job as well as possible, and I want to stay in shape, fit, physically, because I want to be a good example for the Curriculum Vitae Lars Rebien Sørensen •Lars Rebien Sørensen joined Novo Nordisk’s Enzymes Marketing in 1982. Over the years, he has completed several overseas postings, including in the Middle East and the US. Mr Sørensen was appointed a member of Corporate Management in May 1994, and in December 1994 he was given special responsibility within Corporate Management for Health Care. He was appointed president and chief executive officer in November 2000. •Lars Rebien Sørensen is a member of the board of Danmarks Nationalbank, Denmark, Thermo Fisher Scientific Inc., US, as well as a member of the Supervisory Board of Bertelsmann AG, Germany. •Lars Rebien Sørensen has an MSc in Forestry from the Royal Veterinary and Agricultural University, Denmark (now the Faculty of Sciences of the University of Copenhagen) from 1981 and a BSc in International Economics from the Copenhagen Business School from 1983. Mr Sørensen received the French award Chevalier de l’Ordre National de la Légion d’Honneur in 2005. In October 2007, Mr Sørensen became an adjunct professor at the Faculty of Life Sciences of the University of Copenhagen. kind of society we should be, especially since we deal with health products. And between that and the job, the little time I have left is for the family. And that’s it. Do you ride the motorcycle or the bicycle? I have done motorcycle racing, but I don’t do that so much anymore. Now I ride the bicycle every day. I ride about 200 or 300 km a week. JOL oct/dec 2012 17 HRH Princess Benedikte “The Elegant Princess” What does a regent do? The regent is the Queen’s deputy. When the Queen is abroad a deputy is appointed to ensure that the Queens function as Head of State can be ensured on a permanent basis. As an example, the documents to be signed by the Queen are signed by the regent as the Queens deputy. Are there any specific functions the regent does besides signing documents? If something had been scheduled for the Queen for instance a celebration or an event, then I would do it on her behalf. So you see, I act as the HM the Queen’s deputy in all respect. How many times a year are you the regent? We are three eligible regents. The first in line is the Crown Prince. But as he is in London as a member of the IOC he cannot take over these days. Her Majesty’s second son, Prince Joachim, has been home and acted as regent until the day before yesterday when I return from the Olympic Games to replace him and giving him the possibility to spend the last days of the games with his wife in London. Also the Queen together with the Prince Consort has been in London, and from there she went on her annual summer holiday to France where she is now. So, that’s the reason I am the regent at the moment. What are the daily responsibilities of a Princess? It’s looking after the organizations I am involved in, both nationally and internationally, and to promote their concept and ideas wherever I can. It also includes going to some functions. Tomorrow I will visit a home for elderly people runed by one of the organizations for which I am the Patron. This retirement home was inaugurated by my mother 40 years ago and bears my father’s name, King Frederik the IX’s home for elderly. So they’ve asked me to come and to celebrate their 40th anniversary together with them. Can you tell us about your daughter? My youngest, Nathalie, is an Olympian. She took up riding on a pony, when she was about 4 years old, and has loved horses ever since. She is a great lover of animals. It was definitely riding the horses that had her big interest, and after she finished school, she was still keen on continuing on that path, which my husband and I approved of as long as she agreed to be taught by a professional. 18 oct/dec 2012 HRH Princess Benedikte So, I found out who would be the best instructor and she actually finished a course. It was in the Southern part of Sweden, about an hour from Copenhagen. There she was trained for the first four years and she really learnt to ride technically. That is her base which she now builds upon. From there, after four years, she went to Klaus Balkenhol, a German trainer, where she spent seven years and learnt even more as she already had obtained the correct base. Now she is amongst the world’s top riders, I think she’s among the ten best riders. How old is she? She is 37. Tell us about the medals she won in Hong Kong. That was a big thing and rather a surprise actually. We hadn’t really expected it, but she was the best rider on the Danish team, and it ended up being the Americans - U.S. against the Danes competing for the bronze medal. It was a nerve braking experience. Our three riders were through when the last American – who actually also competed in London – started I watched him with great interest. He had very high scores, which you could follow on big screens. You see – Electronically, the judges registrants their scores so you could follow it. He started high, very high and I thought “Oh oh...” And then he started very slowly but rather steadily to drop. There were several people who during the test said to me, “Well, the Danes have got the bars very low”. I said: “I don’t believe anything before he is down the middle line where he has to stop and salute”, so when he turned around and went down the middle line, I said to myself, “Now he cannot catch her salute”. And there, my daughter was the best of the Danish riders and won an Olympic bronze medal for Denmark, I was very happy. And they got a fourth place in London, I understand. The team got a fourth place in London which is very good. We knew for a year that the British team would be impossible to beat. Second would be the Germans or the Dutch. The Germans would probably take second place which they did, comfortably. The third place would probably go to the Dutch, but we were not quite certain as they had some problems with one of the Dutch horses, so it came down to whether he was sound or if he got problems. He was sound and did a beautiful test, so this time, the Dutch team was impossible to beat. They were steady in their position, so it was important for us to keep our fourth place, and that was really good. Was Her Royal Highness present there? Of course. With Her Majesty? Yes. During the first test my younger sister – Queen Anne-Marie – was with me, and for the second test also HM the Queen was with me and I was seated between my two sisters. How many organizations is Your Royal Highness involved in? I think it is about 34 Danish, and about nine or so international organizations. I am Patron for most of the organizations, and I am chairman of some. This work keeps me busy and there is quite some traveling involved, which I always find fascinating. I always learn from the trips I take, I find traveling expands your horizon, which is good for human beings. You learn to get more tolerant. I find the concept of tolerance very important nowadays. You cannot think just about yourself, your own situation or your own country believing that this is the best or that the way you live is the best, you have to be aware of the fact that other people also have a place of their own and are proud of what they stand for and their cultural background. Tell us a little bit about your involvement with the girl scouts, because I know that this cause is very close to your heart. It certainly is an important international organization for me and the reason for me going to Brazil in October of 2005. This trip was a fantastic experience organized by Mr. Olesen and I will never forget it. It was hard work; I was quite tired, I must say, when I came back, because it was a matter of changing bed every night and going to new places. But it was an unbelievable experience. Basically the focus was to try to get more people involved in support of the International Girl Scouts. Does Her Royal Highness have plans to go to Brazil again? Well, I hope that I’ll be able to go in 2014 perhaps for the inauguration of the Princesa Benedikte Institute, which would be a fantastic experience. It would be my second visit to Brazil. Also I know that within the coming four years, we will be hearing a lot of Brazil, as they are hosting the next Olympic Games in Rio. Tonight is the closing ceremony of the present Olympic Games and the tradition of the closing ceremony is always that the coming host city has about ten minutes to present itself. So, I’ll sit in front of the television to watch that. What are Her Royal Highness impression of Brazil? It’s a beautiful country with great potential. There are some problems also, so it’s not only the sunny side of life, but your economy is going well, as far as I know. Hopefully that can be extended to other areas in the country by the authorities, something I think would be important. I don’t want to get political, but if you are going to become a rich country, I believe you must ensure the support of the base and not just have the top behind you. When you build a house, you must have a foundation to build on, and if that base is proper and well-built, then the house will stand. A good roof is still needed of course, but the house will stand soundly, won’t it? People are saying that the image of Brazil is changing. Yes, and that’s a good thing. Within the next four years, I know you are having the Soccer World Cup. I believe that it will be a big boost for the country, but I hope that the boost will come from underneath as well and that the people will really feel it; that’s partly what my institute will try to promote. It’s a small drop, I know that, but I don’t think you can start anything big, you have to start small and hopefully be very successful; and then the small drops dripping in the water will bring about the rings. So, the small drops of this institution could eventually grow to something bigger and spread throughout in Brazil. I think that’s really the idea of starting it all. I find it very exciting. Your Royal Highness, you had the opportunity to meet President Lula a couple of times, could you please tell us about it? He is a very charismatic person. Modest, but very charismatic, very impulsive, I don’t know him that well, but I got this impression also from his body language. I like watching people’s body language; this can often tell you a lot about the person. But he has done a lot of good for Brazil I think; this is my outsider impression at least. We know that your big passion is horses, tell us about how it started. I started riding when I was four or five years old. I started on a big horse, because there were no small ponies in Denmark in the late 1940s. And when my mother realized that I was quite passionate about it, she got me a pony. Soon, other people also got ponies and they sort of spread to Denmark. Now there are really a lot of ponies, and our pony riders in the Danish equestrian federation are doing very well on a European basis, where they compete. That’s really the background for Danish riding today, these ponies. Quite frankly, oct/dec 2012 19 Brazilian Review INTERVIEW a small child cannot have control of a big horse. A small child needs a small horse, because the child should feel to be in control. The ponies can certainly be naughty as well. But it’s the right way to do it; a small child starts on a small pony and then grows, and as she grows, she’ll move on to getting bigger horses. Then, when she is in her teens, she goes on to a big horse, but she has been able to cope with something small right from the start. Have you ever participated in a competition? Very little, just in the club that I belonged to, which had some minor competitions, but it wasn’t a big thing in my time at all. But nothing like what my daughter is doing. Your Royal Highness, the Danish people truly respect the very big job you are doing for Denmark. I know your heart is with Denmark all the way. What would you like to do more for Denmark if you could? When I travel, I always try also to include Danish things because it’s a good way of showing the flag, as we like to say in our family. I think it means a lot and it gives stability that unites the country. We also find other ways to promote Denmark very spontaneously. It’s not a show that we put on and we don’t act, but we were brought up to support Danish things, whether it is in the world of sports, e.g. during the Olympics games, or whether it is for public or private organizations in different parts of the world. We have some wonderful companies working in Barzil – and doing well I know. For example Novo Nordisk focused on diabetes, which is a big – and growing – disease all over the world. I would like to look at their work as well, as I am patron of the World Diabetes Foundation which gives money to projects and so forth. I know they have projects in Brazil as well so when I come, I would like to see that as well. In short, I like to combine a local, an international and a Danish perspective whenever I travel. I’m used to do these sorts of things while I am abroad; it seems the right thing to do. Your Royal Highness, how do you divide your time between Denmark and Berleburg? In Berlebrug, I am more private. That’s where I reload my batteries, as I said. When in Denmark it is work. It’s a nice combination, and I must say I am quite often horrified to see how fast the year has been going by. It was not long ago that I thought we were just starting out the year, and I thought that the twelve months ahead would give me plenty of time to do a lot of things and enjoy them. Now, we are already past the half-mark of the year and it mixes one up. It’s quite scary; the time really goes by fast. It’s not because I am getting older, well, it’s that as well, but it happens because I am pretty busy. Does Your Royal Highness receive any type of financial apanage from the Danish Government? Yes, I do receive a grant from the government. I take it as a token or as a little thank you for my duties, which I am grateful for. What is the hardest part of being a princess? Of course you are exposed in the public and the medias but you are brought up knowing it. It is harder for the ones who marry into the family, i.e. the ones who lived a total different life. I was brought up in these circles, but I do remember as a child and in my teens that I was terribly shy and I didn’t like it when people were looking at me or things like that. I was a bit scared. But I have learnt to get over that... Yes, we know we are exposed, and I try to behave in all circumstances. Even if nobody would see it I would not stand on the table and jumped about, but it’s not quite my nature to do that. Isn’t being a princess a dream of any child in the world? As my mother used to say; ”There are advantages and there are drawbacks”. And it’s 50-50. I am old enough to agree with that. We have a lot of advantages, e.g. being able to travel, meeting interesting people, learning from that. And then, there are drawbacks which I have learned to live with, so I don’t mind them. I wouldn’t go to a rock concert, it doesn’t appeal to me very much, but I can do things I like. We are able to walk around in the streets whenever we like. And of course one behaves one self, one is polite to people, which is an integral part of the way we are brought up. Politeness and good manners were paramount. 20 oct/dec 2012 HRH Princess Benedikte at Amalienborg Castle I find that not all the young people nowadays learn that properly at home. It’s important to say thank you and it is important in life to say “I am sorry, I made a mistake”. The media in the new globalized world is coming closer to the Royal family. How do you see that? That is the big difference which we did not have, thank goodness, when I was young. And I am very thankful that we three sisters were teens at a time where the press respected our private lives. Private lives are not respected in the same way today. This of course comes from these cell phones, which have a camera built into them, and therefore you never know if somebody is going to snap a photo... People like using tem, and then what do they do? They go ahead and sell the picture. I think that is pretty nasty but there are papers that encourage this. The papers encourage their readers, not in big letters but nonetheless, to send in any interesting pictures they might have and promise them payment for said pictures. And who wouldn’t like to get a little extra pocket money? I don’t say anything to that, but it’s a horrible thing in fact. The young generation of Amalienborg is exposed in a nasty way too, because you don’t know when you are being photographed. You used to know when it happened because you saw the photographers with their cameras that went “click, click”. Then you knew and you wouldn’t be doing something odd with your face or whatever. But today, you can never ever be sure if there isn’t somebody either standing straight in front of you or behind some bush or tree and click, they take a picture. You must just realize that’s the world today. Therefore if you go outside your own four walls you are exposed, and that is different from the way that we were brought up in the 1950s and early 1960s. We were not subject to this level of exposure. You have vast experience, and you are one of the most respected in the Royal family in Denmark. What is the advice you have to young people today? I would say certainly keep up with the times, but keep a certain distance which is a very difficult balance. The members of the younger generation are now in their forties, but they still keep a certain distance. I think it is important; that the respect which is for the Royal Family is kept. If you go out with your generation too much to parties, clubs, etc. you risk losing this. They are part of a certain generation, but a bit of a distance is needed, so that the respect is not lost I think. It is probably the biggest challenge. For you tolerance means a lot. What about the young people and tolerance? They must learn it. I was not the most tolerant when I was young. It’s when you start traveling and you start traveling to distant parts of the world whith different cultural backgrounds than your own, that you learn. Tolerance is also taught in the guide and scout movement, very much so. That’s probably where I really learned to appreciate it. Yes, you must have tolerance, and yes I think tolerance might perhaps be one of the key words today. So, tolerance and respect are key words today? Yes, you must have tolerance and respect for other people, the highest respect. I say so because I have experienced differences in my own country and beyond. I have the deepest respect for what’s happening in Brazil. I would love to go to Rio in four years’ time; there is no question about it. I am sure that you will put up a fantastic frame for the Games. I have the deepest respect for that, for all these people having worked for seven years to make the Games a fantastic success. It was actually here in Copenhagen Brazil was elected as the host for the Olympic Games. I remember it very clearly, I was just so happy because I thought that Brazil should be the host for the first proper Games in South America. I know it was once held many years ago in Mexico, but that’s not quite South America, is it? You don’t regard Mexico quite as South America. You say Latin America. When we say Latin America, we also mean South America. It will be a fantastic experience and I am quite sure it will give your country and the whole continent an enormous boost. Countries need something to fight for. You have to fight to get things ready on time in order to welcome all the athletes of the world. Because that’s what it is, and you can’t just say that we don’t want athletes from this or that country, because that won’t work. I am sure that President Lula was very much in the foreground of this opening, because you can’t give a bid for the games if you haven’t made the political requirements quite clear in your country and in Rio, because it is the city that hosts the Games, not the entire country. What about your Institute in Brazil? I am very happy, we are making a lot of progress and in the near future the institute will also move on to another city, most probably Porto Alegre. JOL oct/dec 2012 21 Gala dinner Jockey club in São Paulo HRH Crown Prince Frederik HRH Crown Princess Mary Pelikan chair by Finn Juhl 22 oct/dec 2012 apr/jun 2012 23 Businness Luncheon with Lego Christian Maxe Petersen, CEO Lego Education Robério Esteves, Operation Manager Lego Cassab Royal couple visits Lagoa Santa, MG Peter W. Lund Medal Cerimony in Lagoa Santa 24 oct/dec 2012 Peter Lund Museum, Lagoa Santa Mayor Lagoa Santa Rogério Avelar Memorial Peter W. Lund in Lagoa Santa apr/jun 2012 25 Ole Sohn Minister for Business and Growth How long have you been the Minister for Business and Growth? For ten months now. It has been an exciting period but also a very hard one because the government was formed in October of 2011. Our first task was to prepare for and then execute the Danish chairmanship of the European Union, which ended this July. This was an extraordinary task. Within my area, we managed to carry out several largescaled initiatives, e.g. a common EU patent reform which will enable European companies to acquire patents valid throughout all of Europe. This will greatly increase Danish and European companies’ competitiveness. 26 oct/dec 2012 We have also negotiated a deal on cheaper telephone and data transmission services for the European consumers. So, the Danish chairmanship has been very successful. The task that has occupied most of my time though is the development of a new business growth strategy for Denmark. This strategy is twofold: It has to ensure that we have sound general frame conditions for businesses and industries in terms of taxation, infrastructure, education and all the other aspects that are so important for companies. It also has to emphasize the areas where Denmark has strongholds matching the global demands, e.g. within green solutions, wind power, hydro power and the maritime field. We also have strongholds within sea transport and food stuffs. Some of these areas are being subject to what we call a service check; we verify what can be improved so as to make more Danish companies active on export markets. Moreover, we have crated an export strategy for the BRIC countries which will increase Denmark’s market share in the so-called BRIC countries. Insofar, Denmark has lagged behind other European countries on these markets but we intend to change that scenario now. Therefore, we will send big business delegations to the BRIC countries this year and during coming years. The government is making this undertaking a priority and I believe that this will help Danish companies gain foothold on these markets which in turn will strengthen growth and employment. Ole Sohn Minister for Business and Growth It is constantly repeated that our competitiveness and our longstanding core values have suffered setbacks in the past three to five years. What will be done to improve this scenario? It is indeed a fact that Danish competitiveness has weakened during the past ten years. Salary hikes have greatly surpassed increases in productivity. This means that growth has partially disappeared from Denmark, and also that some job functions have been moved abroad. Of course, this development is partly happening due to the globalization process and cannot be avoided. Whenever Danish companies do well abroad, they establish subsidiaries in the local markets. We have to improve our ability to pull the functions that could be executed in Denmark back here. In order to do this, we need competitiveness levels that make this possible. We are specifically working towards making companies see the entire picture, the total costs. A lot of the companies that have outsourced jobs to China, India and elsewhere ask themselves how much it costs to produce one unit of their product. The conclusion will always be that China is the cheapest location to manufacture in. However, if you look at the total costs which include transportation, logistics, traveling to oversee changes to an order in the middle of its execution, etc. and you consider all aspects and keep in mind that Denmark has employees that are very independent and competent, then you see that the answer is not all that simple. Several Danish companies have halted their production activities in Asia completely or partially, e.g. Lundbeck. Martin Group, which manufactures sound and light equipment, closed down their factory in China and their warehouse in Rotterdam, and has moved everything back to Frederikshavn. So, we are capable, but we need to focus Minister Ole Sohn in Singapore for trade negociations on improving the general framework conditions so that we become more competitive. We also have to acknowledge the efforts of the parties on the job market. Recent union negotiations have resulted in a diminished rate of increases in salaries and wages, so it is actually possible to affirm that the Danish competitiveness has improved within the past couple of years. We need to remain committed to stay on this course so that this development will continue. A lot of people say that Danish companies perform really well on the nearby foreign markets, e.g. Germany, the UK, Norway, and Sweden, but that they do not fare well when they stray far from home and out into the big wide world, including onto the Brazilian market. What specifically do you intend to do about this? I know that you have a BRIC strategy in place, but what effectively can be done? Danish companies will need an attitude adjustment in order to consider the BRIC countries. Some say that the BRIC countries will represent 30-40% of everything within the coming 10-20 years. How do we go about positioning Denmark within such a future possible scenario? Our BRIC strategy has come about as the result of us acknowledging that our mar- ket shares in these regions have been very insignificant. We want to strengthen trade with these countries. We intend to do so by following the steps in the strategy and also by strengthening our contacts through the embassies and through big companies acting as catalysts for small and medium-sized companies expanding onto these markets. As a matter of fact, these smaller Danish companies and subcontractors will hopefully end up getting piggyback rides onto the big foreign markets. This is one of the big challenges that we are starting to work on presently. There has been a lot of talk among the members of the Danish-Brazilian business community in Brazil about having a conference or workshop on Brazil here in Copenhagen so as to really promote the country to the broad public and the medium-sized and small companies. Would you be interested in participating in such an initiative? That does sound like a truly interesting idea. The more emphasis we place on mutual trade and the more knowledge Denmark gains of Brazil and vice versa, the bigger the likelihood of companies realizing that trade possibilities do exist and that there is a big potential for doing business and thus generate growth and jobs. Everybody is talking about the fact that Europe is undergoing a very rough time at the moment due to an extremely weak growth rate. What does the future hold for Denmark in the next couple of years? It’s hard times indeed. A large numbers of companies, especially the smaller and medium-sized ones, are encountering difficulties obtaining credit to launch new and healthy projects. This has led to the public sector actively offering supplementary financing possibilities during this period where the banks are still reeling from the crisis. We have done so by strengthening the export credit agency among other measures. We have actually just destined DKK 20 billion towards the agency’s credit lines and an additional DKK 20 billion to their export warranty programs. Likewise, we have strengthened the possibilities of obtaining credit through the Danish state investment fund, Vækstfonden, which is especially aimed at tiny companies. We are really making an effort in this area. We are also working towards making retirement funds more active so that the pension funds will invest more into the creation of Danish jobs and companies. So far our efforts have been successful; we have made agreements with PFA and PensionDanmark that entail that these funds make 2 times DKK 10 billion available for the loan funding of large-scaled Danish export projects. These projects could be within any area as long as they generate growth. We are certainly very aware that obtaining financing is paramount for developing new products and launching new initiatives which will lead to the creation oct/dec 2012 27 Brazilian Review INTERVIEW of jobs. Moreover, this has to be seen in the light of continuously needing to improve our competitiveness if we are to maintain and develop new jobs. A recurrent statement is that the small companies do not have the financial means to expand onto the distant foreign markets. There are certainly lots of niches abroad where niche-products from the Danish market would fit right in. How do you intend to help the small companies? Perhaps this is best illustrated through a concrete example. I traveled with the Crown Prince couple and a business delegation to Korea in May. This delegation was the largest of its kind visiting Korea since 1976; the participants spanned from huge companies right on down to a tiny manufacturer of eyeglasses. We were able to include both small and medium-sized companies in this large delegation, and we intend to repeat this experience when visiting other countries, such as the BRIC countries and other growth nations, e.g. Mexico, South Africa and Turkey. Have you had to travel a lot during the past ten months? I have been around in the EU due to the Danish chairmanship. I have also been to Korea and am on my way to London, and then China and Singapore. All of this traveling is motivated by the development of our business strategy. China and Singapore are important destinations in terms of the maritime field and tourism. Moreover, we work closely together with the Ministry of Foreign Affairs, which has founded a Ministry of Trade that is also very active abroad. As you can see, the government is making a lot of efforts towards securing Denmark and Danish companies a more central position on the new markets. Could you imagine the Ministry for Business and Growth appointing a dedicated employee for each country of special interest, e.g. one for Brazil, one for Korea, one for China, etc? Perhaps then Danish trade organizations and associations such as the Confederation of Danish Industries and the Danish Chamber of Commerce would act more swiftly? 28 oct/dec 2012 We work closely together with the Ministry of Foreign Affairs that maintains commercial departments within the embassies. The BRIC strategy that we have developed will contribute towards strengthening the embassies’ trade networks. This is a very important aspect of the strategy. If we do not improve our knowledge of the opportunities present in the BRIC countries and other countries as well, then we will end up losing out on chances for generating growth and creating jobs. Would you care to venture a guess as to the Danish growth rate in the next couple of years? We have a really low growth rate, not only in Denmark but in Europe as a whole. This is partly due to the financial crisis which we have barely overcome yet, but it has also been caused by the tremendous public debt burdens in Southern Europe which have led to these economies grinding to a halt. This has had an impact on Danish exports. We have been hit on the European market performance which in turn means that we need to increase our efforts on the markets where we have experienced growth, e.g. in the BRIC countries. So, we have to maintain the possibilities we already have in the bag while also investing in the present growth markets. When will you come to Brazil? As soon as possible. I have a very busy schedule though, and nothing has been set up yet. Brazil is one of the fastest growing countries at the moment. The country is successful in a lot of areas, there is political stability, there is economic stability, and the huge crises have not had a serious impact on Brazil. Do you have any specific suggestions for initiatives you would like to see undertaken in Brazil? Denmark has an incredibly talented and dynamic ambassador stationed in Brazil and there is lots of Danish interest in increased activities there; how could these factors be utilized to promote Danish business? Besides the BRIC strategy, a business delegation will visit the country together with the Crown Prince couple. I know that the Curriculum Vitae Ole Sohn Parliamentary career inister for Business and Growth from •MOctober 3rd 2011. ember of the Finance Committee, the •MEconomic and Political Affairs Committee and the Standing Orders Committee 2004-2011. Deputy member of the Cultural Affairs Committee 2006-2011 and the Labour Market Committee 2007-2009. Chairman of the parliamentary group of the Socialist People’s Party 2005-2011. Education and jobs igher Preparatory course, Gedved •HTeacher Training College, from 1972 to 1973. •Egebjerg School, from 1960 to 1970. •Publisher, from 2004 to 2011. •Author, lecturer, consultant, from 1991. •Builder’s labourer, from 1973 to 1976. labourer, ship’s cook, from 1970 •Btooy1972. standing Parliamentary Committee on Business, Growth and Export is planning a trip to Brazil in February. These measures are all proofs of the fact that we are very focused on exploring the enormous potential awaiting Denmark and Danish companies in Brazil. A common conference between Denmark and Brazil like the one you suggested could mean a big step towards reaching this objective. JOL oct/dec 2012 29 Situation after three years of operation According to the International Panel on Climate Change (IPPC) the emission of greenhouse gases from deforestation represents 17.4 per cent of total global emissions. This was part of the reason why the Norwegian government at the international climate conference in Bali in 2007 launched its Climate and Forest Initiative, where it promised to allocate an annual amount of NOK 3 billion (USD 500 million) over five years to combat the deforestation of tropical forests. The emissions linked to deforestation are not included in the Kyoto Protocol and it was stated as a clear objective of the Norwegian initiative to include these emissions into a new climate agreement. 30 oct/dec 2012 At the same climate conference in Bali, Brazil presented its Amazon Fund as part of the country’s plans to fight the deforestation and alter the development pattern in the Amazon. Brazil had allocated own resources but was also inviting the international society to contribute in order to make the efforts more efficient. Contributions to the Fund were to be based on achieved results: only if Brazil was able to reduce the deforestation in the Amazon it would qualify for receiving additional support, which would be given to public authorities (at federal, state or municipal level), voluntary organizations or the private sector. Projects in the following areas could be supported: management of public forests and protected areas; environmental control, monitoring and inspection; sustainable forest management; economic activities from the sustainable use of forests; economic and ecological zoning, territorial planning and land ownership regulation; conservation and sustainable use of biodiversity; and recovery of deforested areas. Support to such activities are seen as vital to not only reduce deforestation and retaining it low, but also for making the development of the region more sustainable. The Norwegian Prime Minister announced in September 2008 that Norway would contribute up to USD one billion to the Amazon Fund by 2015 provided that Brazil succeeded in reducing the deforestation. An agreement was signed between Norway and BNDES in March 2009. So far Norway has allocated 2.55 billion Norwegian kroner (USD 425 million) to the Amazon Fund. The money is placed on a separate account in the Norwegian Central Bank, pending disbursement to projects by the Brazilian Development Bank - BNDES. So far NOK 554 million (or USD 92 million) has been transferred. The Amazon fund is so far also supported by Germany (21 million Euros) and Petrobras (7.3 million reais). Results The impressive reduction in deforestation seen in the Brazilian Amazon during the last years is the largest single climate measure the world has ever witnessed. From August 2010 to July 2011 6418 km2 were deforested, which is 61 per cent lower than the average for the years 2001 to 2010 - the reference level used by the Amazon Fund. Compared to 2008 - the year Norway announced its support to the Amazon Fund - the reduction is 50 per cent. The following figure is illustrating the development of deforestation in the Brazilian Amazon from 1988 to 2011. Up to 2007, the deforestation in the Amazon was heavily influenced by the price of soy and beef. Researchers at the nongovernmental organization Imazon in Belem have demonstrated a high degree of correlation between the price of soy and beef and the deforestation also the following year. But from 2009 and onwards this correlation seems to have been broken as a result of deliberate policy decisions taken by the Brazilian government. It is not possible to prove, but rather likely that the support to the Amazon Fund has been one inspiring factor behind such actions by the Brazilian government. Applications for support are handled by BNDES, following criteria set up by a special steering committee. By mid-2011 the Amazon Fund has approved support to 31 projects totalling 510 million reais or approximately USD 252 million. The majority of the funds have been given to non-governmental organizations and Amazonian states. So far federal institutions and the private sector have not been among the beneficiaries. It is yet too early to see any results at a project level. However, the projects approved so far should soon be able to present some inspiring outcomes, including: · More than 12 000 families benefiting from payment for environmental services · 4 700 individuals receiving training · 2 200 rural properties included in sustainable production projects · More than 100 000 properties registered for the Rural Environmental Register · 135 000 km2 of conservation units created ·Projects for science, technology and innovation supported with USD 8.4 million Norway is proud to support the Amazon Fund and is determined to fulfil its pledge of providing one billion USD by 2015. The experiences from Brazil can provide important lessons to other tropical countries in their fight against deforestation. One of the areas where Brazil has a lot to offer is in satellite based monitoring of forest destruction. The Amazon Fund has a window for granting support to improved forest monitoring in other countries and will soon be able to start offering such support. This way Brazilian technology and know-how will be made available to other developing countries. Inge Nordang oct/dec 2012 31 New Danish fashion Eva Kruse, CEO of Danish Fashion Institute and Moussa Mchangama, Editor of FashionForum.dk For decades, Denmark has been known internationally for its design. The clean and cool Scandinavian aesthetic has made sure that the craftsmen of Denmark have gained worldwide recognition, especially in fields like architecture and furniture design. For the past 15 years, Danish fashion has made its mark internationally with acclaimed designers and brands selling worldwide. But what’s so special about Danish fashion, and what does Denmark have to offer in terms of clothes? A lot, the answer seems to be. Although it’s a small country, Denmark has a wide variety of brands. From the avant-garde to sparkling evening gowns and commercial design houses, Denmark’s got it all—and Copenhagen Fashion Week is the scene where all these beautiful garments are showcased. 32 oct/dec 2012 The Danish DNA But what is it that characterizes the Danish fashion spirit, and why is Denmark growing in this field? For one thing, Danes are adept at producing the right garments at the right cost. But they’re also skilled at designing clothes with elegance and a personal touch while maintaining an overall functionalist approach to design. Danish design tradition has a strong DNA, and it’s one of the things the designers are internationally acclaimed for. This approach to design in large part emerges from democratic values, and aims to make the clothes accessible to a large number of people in terms of both design qualities and price range. The democratic dogma is one that resonates well with Danish society, which as one of the world’s first true democracies places great importance on values like equality and freedom of speech—and every man’s right to quality and aesthetics. Copenhagen Fashion Week — the gateway to Scandinavian fashion This point of view is evident at Copenhagen Fashion Week, which has grown into one of the most important events of its kind in Northern Europe, showcasing the best of Scandinavian design. Copenhagen’s latest fashion week, held August 8-12, presented the Spring/Summer collections of 2013 with 45 runway shows and more than 2,700 brands exhibiting at four major trade shows, for more than 50,000 visitors and international press from magazines like Brazilian, UK and German Vogue, V Man, V Magazine, GQ, LOVE, Dazed & Confused and Style.com, in addition to numerous bloggers. At the forefront of Copenhagen Fashion Week is a new generation of Danish designers with some approaches and values in common. It also has a high-end, tailored look to offer, and lots of sustainable design. The new Danish fashion One of the central concepts for the new Danish designers is quality at a fair price. In renewing the Danish aesthetic brands, Rützou, Bruuns Bazaar, Baum und Pferd- garten, Peter Jensen, Inwear, Stine Goya, Wood Wood, Soulland, Libertine-Libertine and Wackerhaus are making a distinct Scandinavian look available to a younger crowd, while maintaining a very modern sense of style. The embellished and shining designs of Stine Goya, Inwear and Wackerhaus provided some of the SS13 season’s highlights for women. It’s a feminine universe with fragile pastel colors, shimmering details and a cosmopolitan feel. Wood Wood, Soulland, Peter Jensen and Libertine-Libertine all design for a new type of man. He’s bolder and brighter than before, unafraid of wearing colors and prints—but most importantly, he’s having fun without trying too hard. Danish glamour On a more glamorous note, you’ll find brands like Designers Remix and By Malene Birger. The latter’s feminine silhouettes, bold colors, fondness for sequins and striking designs have made Malene Birger an international favorite with a dedicated and chic high-end following around the world. Designer Remix’s graphic silhouettes have inspired a generation and the tailored looks of Birger have sparked a trend taken up by tailor Ole Yde, whose striking use of silk crepe and organza has made buyers from Europe, China and Russia crave his gorgeous business attire and handcrafted evening gowns. oct/dec 2012 33 The sustainable agenda The fashion industry is one of the world’s most polluting industries. At the same time, it also exploits human labor in low-wage countries. The Danish fashion industry is currently leading a global movement towards sustainability and is taking up the challenge of pushing the agenda forward—on how we can develop a socially and environmentally responsible fashion industry—with a focus on people, planet and profit. The world needs innovators who can push for a more sustainable economy— i.e. green business practices. The fashion industry has the potential to be one such innovator, working proactively to address critical environmental, social, and ethical challenges on a global scale. And Danish fashion wants to lead the way: Companies are stepping up when it comes to sustainability, and designers are focusing ever more on sustainable materials, social issues, labor conditions, and reductions in the use of pesticides and chemicals. Denmark hosted the world’s largest conference on sustainable fashion for the second time: Copenhagen Fashion Summit in May of 2012. The conference featured speakers such as Her Royal Highness Crown Princess Mary and representatives from Gucci, Patagonia, H&M, PPR Group, and the United Nations. As s a result of the success, representatives of Danish fashion were invited to Brazil for the UN Rio +20 Conference in June of 2012 to present how the fashion industry can become part of the solution of a more sustainable future. Cool kids with permission to play Meanwhile, Danish kid’s wear has been garnering praise and recognition with numerous awards and prizes. The brand New Generals makes cool attire for the young ones with their ethically produced black, grey and white styles. Their ethi-cool approach and black styles have attracted international attention, just like Danefæ’s colorful children’s universe has helped put Danish kid’s wear on the map. In Danish society, children are regarded as important citizens. The social welfare system, kindergartens, and Danish approach to bringing up children are all about making space for development, play and outdoor activities. There’s a saying in Denmark that there’s no such thing as bad weather—only wrong clothing. Thus, Danish kid’s wear is very popular among those looking for outerwear that combines style with functionality—for all kinds of weather and temperatures—and goes hand-in-hand with other Danish exports like the toy company Lego or playgrounds from Kompan. HRH Crown Princess Mary at the Copenhagen Fashion Show 34 oct/dec 2012 A new avant-garde But Denmark isn’t only about functional and democratic designs. Some of Denmark’s younger designers represent a new wave of the avant-garde with a truly international perspective. Freya Dalsjö opened Copenhagen Fashion Week in August with her hard, sophisticated leather looks, while Asger Juul Larsen gave the Danish man a military-inspired makeover. First and foremost, though, the rising star of the Scandinavian design scene is Anne Sofie Madsen. Having worked for Alexander McQueen and John Galliano before starting her own label, she makes intricate and delicate clothing in sheer materials, with splashes of pale colors, Swarovski crystals and eerie prints. Getting fantastic international press coverage, she’s leading the way for a new chapter in Danish design. We can’t wait to show the world what’s next: With Denmark’s long history of delivering trendy, beautiful and well-crafted design, the future is open. And with the country’s designers upping their game, so are the worldwide markets. Eva Kruse Danish Fashion Institute oct/dec 2012 35 Gråsten A royal residence Gråsten Castle means a lot to Southern Jutland and the inhabitants of the region. The rights of usage to the castle were granted to Crown Prince Frederik and Crown Princess Ingrid at their wedding in 1935. They managed to bring the beautiful castle to national attention through their keen sense of community and heartiness. Queen Ingrid’s interest and dedication to the castle gardens have brought thousands of garden and flower lovers to Gråsten. HM Queen Margrethe II has given continuance to the tradition started The Royal family at Gråsten by her parents and vacations at the castle with her family every summer. Gråsten town greatly values its status as a seat of the Monarch. That HM Queen Margrethe keeps her parents’ traditions alive and that the royal family is able to experience such laidback holidays in the region are a testament to the hospitality of the local residents. The state of Denmark owns the castle, which is under the administration of the Agency for Palaces and Properties under the auspices of the Ministry of Finance. AMK/JOL Gråsten Castle 36 oct/dec 2012 oct/dec 2012 37 Søren Kierkegaard The global Dane celebrates 200 years The Danish theologian and philosopher Søren Kierkegaard (1813-1855) is from a time when the world seemed much smaller than today. His city was no doubt Copenhagen where he walked the narrow streets and talked to his contemporaries. Today it feels like the world has expanded but at the same time the ideas of this originally local Danish thinker have found their way into the global society. By now Søren Kierkegaard’s ideas about choosing oneself, his focus on the single individual and his ground-breaking analysis of anxiety, despair, love, life and passion are known worldwide. Søren Kierkegaard’s thoughts touch the very core of human existence and they possess a universal appeal that transcends cultural and religious divides. All of 38 oct/dec 2012 this combined with Kierkegaard’s literary skills and his paradoxical everlasting ability to renew and innovate what is en epoche makes him a topical and provocative thinker in a global world. At the Søren Kierkegaard Research Centre, an international, interdisciplinary research institution at the Faculty of Theology, University of Copenhagen, located in the heart of Copenhagen, we address, reinforce and develop this global interest in the thoughts and works of Søren Kierkegaard by welcoming Kierkegaard scholars from all over the world for shorter or longer research stays. The goal of the Centre is to promote national and international Kierkegaard studies and make The University of Copenhagen the natural Center of this interest. The Centre attempts to advance Kierkegaard studies by means of an ambitious number of diverse activities and publications. Each year in late August the Centre hosts a large international conference and during the year the Centre organizes a number of smaller conferences and seminars either on its own or in cooperation with its Danish and international partners. These events have had a number of different topics, sometimes focusing on specific works by Kierkegaard and sometimes focusing on larger themes surrounding his authorship or reception. Every year numerous students and scholars from around the world visit the Centre. Most come to do research on Kierkegaard in connection with a MA thesis, PhD dissertation or postdoctoral project or to translate one of Kierkegaard’s texts into their own language. The Centre has its own Colloquium Series, where guest scholars are invited to present their projects and get feedback from the Centre’s senior staff. The Centre also offers a number of courses each semester in both Danish and English on topics relevant for Kierkegaard studies; this also includes two summer courses offered every year. The Kierkegaard Library, which is housed at the Centre, is one of the main attractions for visiting scholars, who are also given access to the rich resources of the Royal Library. The Centre also organizes and supervises a series of projects that have as their goal to translate Søren Kierkegaards Skrifter into different languages. At present such group projects exist for Chinese, English, German, French, Spanish, Portuguese, and Hungarian; small projects with individual translators are also underway in languages such as Romanian, Finnish, Italian, and Russian. To help these projects and the translators, the Centre regularly organizes and hosts Translation Seminars, where translators are offered opportunity to present their work and discuss specific problems. At present the Centre is planning for the 200-year anniversary of Kierkegaard’s birth in 2013. See all the events planned to take place all over the world in the jubilee year at sk2013.ku.dk and read below. The jubilee in 2013 The celebration of Kierkegaard in 2013 will take many shapes and forms. The Kierkegaard Research Centre (SKC) is involved in a series of interesting events, though a lot of them still require additional funding. Copenhagen Museum has in collaboration with SKC now come a long way in the preparations of the exhibition “Works and Objects of Love”. The exhibition involves a series of highly personal and highly symbolic objects, which family-traditions places within Søren Kierkegaard’s life. The museum is creating a new interpretation of these objects which will place them in a context of Kierkegaard’s life and work. The exhibition will be personal and biographical, but simultaneously work with the much broader and specific themes of love as they emerge in his writings and philosophy. In the spring a seminar on Kierkegaard’s attack on the state church will be held in collaboration with Grundtvig-Akademiet and Søren Kierkegaard Selskabet. In Sædding in Jutland, where Kierkegaard’s father was born and raised, a fes- tive and informative day will be organized, including lectures and theatre plays. Also in the spring SKC will give interdisciplinary Kierkegaard courses in Danish and English on The Faculty of Theology, as well as organize and give a popular lecture series on Kierkegaard’s life and work in The Round Tower open to the public. On Kierkegaard’s birthday, sunday the 5th of may, a festive church service will be held in The Church of Our Lady after which the complete new edition of Søren Kierkegaards Skrifter will be handed over to the University. On monday SKC’s 3-day international Kierkegaard congress begins. It is entitled: “Kierkegaard, reconsidered in a global world” and will run from Monday through Wednesday with sessions in the University premises in the inner city. Several sessions will run simultaneously and be organized both by subject and nationality. In the fall a 5-day conference will be held in collaboration with Copenhagen Business School. The conference is entitled: ”To make do: Søren Kierkegaard and the use and abuse of philosophy in managerial practice”. It will focus on themes such as: Kierkegaard in leadership, in organizational theory, in sickness care; in pedagogy and psychology. SKC has also launched the project ”Kierkegaard Quotes” in collaboration with FA+ as part of ”The Universal Library”, also known for the Henrik Ibsen-quotes on the Karl Johan-street in Oslo. This involves a discrete implementation of a selection of famous Kierkegaard-quotes on specific locations with historical relevance to Kierkegaard in the centre of old Copenhagen. In Copenhagen it concerns a series of squares in the inner city, where the quotes are permanently installed in the pavement. The locations are: - Søren Kierkegaard Plads - Frue Plads (The University and the church) - Nytorv (SK’s place of birth) - Sankt Gjertruds Stræde (The street goes from Kultorvet to Rosenborggade, where SK lived) - Designmuseum Danmark (Formerly Frederiks Hospital, where SK died) Pia Søltoft | Director [email protected] www.skc.ku.dk | www.sk2013.ku.dk Curriculum Vitae Pia Søltoft • 2011 – present Head of Ph.D-studies, Faculty of Theology, University of Copenhagen • 2010 – present Director of the Kierkegaard Research Centre, University of Copenhagen • 1998 – March 2010 President of the Danish Kierkegaard Society •2002-2009 – Associate Professor in Ethics and Systematic Theology, Faculty of Theology, University of Copenhagen •1998-2009 – Director of the Søren Kierkegaard Library, at Søren Kierkegaard Research Centre •1999 – Awarded the Ph.D. degree for the thesis: Svimmelhedens Etik. Om forholdet mellem den enkelte og den anden hos Buber, Lévinas og især Kierkegaard. (Ethics of Dizziness - On the Relation Between the Single One and the Other in Buber, Lévinas and Especially in Kierkegaard) •1998-1999 – Research assistant in Ethics and Philosophy of Religion at the Faculty of Theology, University of Copenhagen •1996- February 1997 – Studies at Freie Universität Berlin, Germany •1995- February 1998 – Ph.D. fellowship at Søren Kierkegaard Research Centre •1993 - December 1994 – Teaching Assistant in Dogmatics and Ecumenical Theology at Department of Systematic Theology, University of Copenhagen •1993 –August 1993 Pastoral Seminary •1992 – Master of Divinity (Cand. Theol.), Faculty of Theology, University of Copenhagen Søren Kierkegaard oct/dec 2012 39 President Dilma’s Mercosul - 2012 Mercosul in a challenging time Founded in 1991 by the Treaty of Asunción, the Southern Common Market, known as Mercosul, is an economic and political agreement between Brazil, Argentina, Paraguay (currently suspended), Uruguay and most recently Venezuela. With the purpose of promoting the free movement of goods, services and people between member states, the block’s ultimate goal is to achieve a full South American economic integration. Mercosul originated in 1985, when both the Argentine and Brazilian presidents signed the Argentina-Brazil Integration and Economics Cooperation Program or the Declaration of Iguaçu. Both countries had just got out of a dictatorial period and faced the necessity and the challenge of reorienting their economies to the globalized world. Both countries had enormous 40 oct/dec 2012 foreign debts due to their previous military governments and no credit abroad. Urging for investments and facing the lack of funds, Brazil and Argentina realized their mutual necessity. After a series of meetings between both governments, the agreement was formalized with the objective of promoting economic development and the integration of both nations in the world. In 1990 Brazilian president Fernando Collor and Argentine president Carlos Menem signed the Buenos Aires Act of economic integration between both countries. This Act was later complemented by the signing of the Treaty of Asunción in 1991, with the inclusion of Paraguay and Uruguay. Three years later these four South American states signed the Treaty of Ouro Preto, which established that the Treaty of Asunción was to be recognized legally and internationally as an organization, the Mercosul. Both Treaties established the bloc’s basic institutional structures, creating the Common Market Council and the Common Market Group. The Council is the highest-level agency of the organization with authority to conduct its policy and responsibility for compliance with the objects and time frames set forth in the Treaty of Asunción. It is composed by the Ministers of Foreign Affairs and Economy of all five countries which preside over the Council in rotating alphabetical order, for a 6 months period. The Group is the executive body of Mercosul and is coordinated by the Ministers of Foreign Affairs only. Its basic goals are to cause compliance with the Treaty of Asunción and to take resolutions required for implementation of the decisions made by the Council. President Lula’s Mercosul - 2010 Another important cell of the organization is the Trade Commission. It assists the Mercosul executive body, always striving to apply the instruments of common trade policy agreed to by the member states for operation of the customs unification. The commission has five permanent members and four alternates, and should speak out regarding the issues raised by the member states concerning application and compliance with common offshore tariffs and other trade policy instruments. The head office of Mercosul is in Uruguay’s capital, Montevideo, where the Administrative Secretariat operates. It is responsible for the safekeeping of documents and communication activities hereof, which does not mean that all meetings have to take place there since meetings can take place in any city of the member states. Besides the 5 full members, the block also has some associate members such as Chile, Bolivia, Peru, Colombia and Ecuador and two countries that play the role of observers, Mexico and New Zealand. These states are allowed to participate in the block’s meetings as guests, with the possibility of signing agreements concerning common matters. In order to become full members these countries must have their adhesion granted by unanimous decision of the Common Market Council as well as making changes in some political and economical issues within their countries, such as tariffs adjustments and individual rights. Recently, two member states have brought more attention to the block: Paraguay and Venezuela. Paraguay has been temporarily suspended after the recent political turmoil which the country is facing. Former president Fernando Lugo was deposed in a split second decision by the Paraguayan Senate. The deposition was seen by Brazil, Argentina and Uruguay as an undemocratic decision and the member states justified the suspension saying that Paraguay did not respect the Ushuaia Protocol, which states that the full exercise of democracy is a prerequisite for integrating the bloc. On July 31st 2012, only three days after Paraguay’s suspension from the block, the admittance of Venezuela as a full member became effective, thus becoming the most recent Mercosul member state. Its admittance to the block is related to the Paraguay suspension, because Venezuela needed the permission of the Paraguayan Senate since the Brazilian, Argentine and Uruguayan Senates had already agreed to accept Venezuela as a full member state. An extraordinary meeting was summoned in Brasília without the Paraguayan government’s presence, where presidents Dilma Rousseff, José Mujica and Cristina Kirch- Mercosul headquarter in Montevideo, Uruguay ner officiated Venezuela’s adhesion to the block. A working group has been assembled to decide an adequacy schedule in order for Venezuela’s membership to be completed. Among the changes to be made is a series of tariff adjustments. Venezuela’s admittance has caused tension within the block and this move has been viewed by many observers as an institutional blow to the union. Analysts say it will primarily benefit Argentina and Brazil and further politicize the organization. The block has 3 official languages: Spanish, Portuguese and Guaraní (spoken throughout Paraguay and some regions of Brazil and Argentina). Portuguese is the continent’s most spoken language despite being spoken only in Brazil, whereas Spanish is the language spoken in all other South American States. Its full membership added up to more than 260 million people and had a collective GDP of USD 2.9 trillion in 2011, constituting the world’s fourth largest trading block after the European Union, NAFTA and ASEAN. In 2002 the block’s member states, together with Chile and Bolivia, signed the Agreement on Residence for Nationals of the Mercosul Member States, Bolivia and Chile. Such agreement established that this territory constitutes an area of residence with the right to work for all its citizens, without any other requirement beyond one’s own nationality. Its intention is to emphasize an exchange between countries for a real community integration, as seen in the European Union, expressed not only by the ease on entry, but also by the guarantee of fundamental rights to all of those who migrate from one country to another. Mercosul’s economic momentum has slowed in recent years particularly as trade disputes between Brazil and Argentina have flared. To protect its trade surplus, Argentina has blocked and delayed imports from other Mercosul nations, and Brazil has retaliated by imposing barriers on imports from Argentina. And even though the block’s internal trade has risen in absolute terms, it only represents a small percentage of the members’ total exports. Another issue is the clear protectionist position Mercosul has taken in the last years. For instance, in May 2012 the members agreed to increase the maximum common external tariff on imports to 35 percent. Such measures have made it difficult for free trade deals to be signed between the South American block and other countries and economic blocks. As a matter of fact, Mercosul has only negotiated two of these deals in the past decade: with Israel and the Palestinian Authority. A free trade deal with China, the block’s second largest buyer, is being discussed, but it would also complicate Mercosul’s protectionist policies, since some of these policies are aimed at decreasing the importation of cheap Chinese products. Mercosul is going through a challenging time with Paraguay being suspended due to the President Lugo being expelled as President due to corruption charges by the Paraguay government. The new President of Paraguay is Frederico Franco. It is very controversial that Venezuela has been voted as a full member of Mercosul and Paraguay is obviosly protesting. The future of Mercosul is in a very difficult situation. Only the future will tell the new path for Mercosul, many people have their doubts. AMK/JOL oct/dec 2012 41 Hospital Albert Einstein President Dr. Claudio Lottenberg When and by whom was the Hospital Albert Einstein founded? The society sustaining our institution was created about 60 years ago, but the institution took more than 15 years to become ready. The hospital has been functioning for the last 40 years. The founders of the hospital are members of the Jewish community. They could thrive freely in this country. As you know, just after the Second World War, times were hard for the Jewish community and for Brazil. Therefore the Jewish community decided to create something meaningful for our lives, because “life” is the most important value anybody can have. That was the idea behind Hospital Albert Einstein. Healthcare is strictly committed to life. The founders gave us strong values that could strengthen our commitment. The hospital that exists today is there because of these people and their values. 42 oct/dec 2012 Was it one particular person who lead this effort? In the very beginning, the founder was a doctor, Manuel Tabacow Hidal. It was a difficult time, because our community was not as powerful as it is today. On the other hand, it was much more integrated and the members of the community worked well together which was a strength. It made it possible to convince the members of the community of the fact that the hospital could become a reality. Today, the location of the hospital is quite central, but when it was built, there was only a small bridge that connected the city to this neighborhood. When I came to visit the hospital with my father as a child, the Morumbi Stadium was going to be built, a museum was going to be built, but nobody lived here. The land was bought here because it was cheap. Luckily the city has grown towards us, but at that time there was nothing here. How big is Hospital Albert Einstein today? We have almost one hundred and eighteen thousand square meters in this location. We also have our satellite units, one on Avenida Brasil, of almost 7-8000 m2, one on Perdizes, of almost 20.000 m2, and one on Avenida Ibirapuera, of about 4000 m2. In Vila Mariana we have 13000 m2. We are going to open a unit in Alphaville also. So it’s an amazing institution not only because of its size, but especially because of what we do. We have always been pioneers. When I started to discuss quality here, in the beginning of the 1990’s, we went to the joint commission, which is the main institution that gives quality accreditation, to be accredited, we were the first institution outside of the United States to be accredited. Now they have 500 accredited institutions all over the world. But the Joint Commission created the international branch because of us. So numbers can’t tell everything about the institution. We have almost 11.000 employees, 35 social initiatives, a big hospital that belongs to the municipality of Sao Paulo with almost 650 beds, this is our Albert Einstein. Albert Einstein is not only the hospital you can see here, it’s much more than that. Let’s start with the hospital here. How many rooms and how many patients do you have? We have 650 beds here that should be dedicated to high complexity cases, so that’s one of the reasons why we started to create satellite units. To put everything in the right place. If you need a diagnosis or emergency help, this is not necessarily the place to get it, so we started to look for other alternatives. Albert Einstein is a very strong interconnected institution. In terms of doctors, nurses and staff in general, how many people work in this hospital? We have 5000 doctors here. However, 80% of the movement of the hospital is related to almost 400 doctors. The clinical staff, that is not made of employees and that does not have a formal relationship but brings patients here, counts about 400 doctors. Besides that, we have almost 2000 nurses working here and the biggest part of our staff is made of women, not only nurses but also in the administrative area. We have an important area for research and development, and our people get almost 72 hours on average of training and coaching every year. have almost 300 dedicated people. We also have a neurologic area, a center dedicated to strokes, which is one of the most important problems of public health. We have an important area of oncology, we are a sister institution of M. D. Anderson Center in Houston, the most important cancer institution in the United States. We have an important program also in orthopedics, where our sister institution is the hospital for special surgery in New York and we also have a partnerships with Cleveland’s clinic for neurology and cardiology. Do you consider doing like a Mayo clinic which has a kind of hotel next to the hospital, because they feel it’s better for the patient to be with the relatives and where the relatives can be around. Do you have that same kind of concept? Yes, I’d wish we could do it, the problem is the price of the land in Brazil. We are financed as a non-profit organization, I need to follow many governances. I cannot create things in my position that may become problematic for those coming after me. I know we have to worry about the humanization of the hospital. If you come as a visitor, you will see that we have a Planetree platform. It is the first of South America. Some of the issues discussed there were the relationship with the arriving families, with religion, and in extreme situations even the relationship with pets. But it’s not so simple to find the best ways to do everything. Hospital Albert Einstein is known in Brazil, and I think in Latin America, maybe even in the world, to be very groundbreaking, very innovative with medical technologies available for patients in Brazil. Once, it used to be important to be the first on technology. Today people still think that technology can make a difference. I agree with that, partly. But rather than being the first, you must know how this technology can add value for the patient. You cannot be repeating exams that are not needed, you cannot waste money. If you look at the United States, you will see that a lot of money is unnecessarily spent. A terminal patient with a breast cancer, for instance. Offer her to spend the final part of her life in an intensive care unit, and, on the other hand, give her a palliative therapeutic approach. The first approach is going to cost three times more than giving her the palliative therapeutic approach, with the same outcome. We have to be very objective and see what adds a value when it come to technology. We have many areas where we invest. Albert Einstein is for many people a five stars hospital. What does this ranking mean to you? We have made many surveys on perceptions of quality. But who are you going to ask about perception? If you ask someone who does not understand anything about quality, they will not notice. If you are going to ask about the quality of healthcare, what is quality? Do you have a mini-university? Maybe we could call it a corporative university. Every time we are training, we are changing. We have a realistic simulation center that we bought from Chaim Sheba Medical Center in Israel. You’ll only find four of them all over the world. They simulate specific conditions in realistic situations, trying to take into consideration specific ways of thinking, side effects, mistakes etc. Everything that is done here. For example, if there is any adverse effect of a medication, we talk about it openly with our staff. We have to train these people in a way that problems don’t repeat themselves. Nobody can learn that in a college. You learn these things in real life, and our institution tries to teach that. The specialized area of treatment at the Hospital Albert Einstein, what is that? We have strategic areas. In cardiology, we Dr. Claudio Lottenberg, President Hospital Albert Einstein oct/dec 2012 43 From my point of view, quality is safety. If we need a road system or a good toilet system, we make sure that the hospital has that. But the way the public sees us is published in the newspapers and that is related to their opinion about Albert Einstein. The media has shown that we are the best hospital. That’s what patients used to say, even though we do have some problems. I had the same kind of simulations among doctors, even doctors that do not work with me, as Paulo Chapchap in charge of the Sírio Libanês hospital, and they also refer Albert Einstein as a top hospital. Paulo Chapchap is an employee at the Sírio-Libanês hospital. I am a volunteer. You don’t get a penny? No, I am a volunteer. You said that Albert Einstein had other units in Sao Paulo. Are you all over Brazil, in Rio etc.? No, not yet, because as you know, in order to be sustainable, the population has to have access to your system. The population that has access to Albert Einstein is concentrated in Sao Paulo. It’s not so simple for us to create an institution like ours in other parts of the country. The big centers in the United States were created within the standards of quality of their population. The Cleveland Clinic has one other branch. It’s a very specific market. People who can afford that in Brazil are much more disperse, if you leave Sao Paulo. Most other places have the Unimed health plan so it’s not sustainable for us. Who is financing Albert Einstein? At the very beginning it was through funding, with donations from the Jewish community. How does the Hospital Albert Einstein work in relation to health plans like Bradesco Saúde etc. The ones creating the payment conditions are the patients, not the payers. The payers need to offer better conditions for them. Once, the main concern in our country was about prices. Today, it’s believed that you cannot look on the expenditure based on a single event. If you come here, and tell me about a procedure you’ve had and how much money you spent on it. You are then told that there’s a chance you may need a re-intervention 44 oct/dec 2012 within three weeks and that you may get an infection after you leave the hospital. You would tell me: “Claudio, I would pay you much more, not to have these things”, not just because of the fact that you may suffer, but because in a long term, it could be cheaper. Everything is a process and the payers are starting to understand that. Sometimes it’s better to pay more so you avoid complications, both in terms of the quality of life and expenditure. We are trying to build on that understanding. The relationship is not exactly wonderful, but when we gather our team and the payers and put the patient in the center of the conversation, we may get very good alternatives. Albert Einstein, besides treating patients, has to look ahead and you obviously have research, agreements with universities and so on. Which universities in Brazil and Sao Paulo do you work with? We are related to the Escola Paulista de Medicina, Universidade de São Paulo, but I would say that our benchmark today is not these institutions. We make research with University of Tel Aviv, Bar Ilan University, M. D. Anderson (cancer treatment and cancer research) and the Cleveland Clinic. We are doing many things internationally. What is the biggest challenge for Hospital Albert Einstein today and in the near future? I usually say that it’s very easy to make an airplane fly, but it’s difficult to change the motor while flying. There are various levels of discussion of the future of a community and of an institution. I think that my main challenge is probably how to keep a strong leadership, and how to make it committed to the values of the institution. I would say that in the short term, we have to change a general hospital into an ambulatory system, I would say that we have to put money into research, and maybe have a medical college. Our mission is very well declared. It is to show with evidence the contribution of the Jewish community as a center of excellence and quality to our patients. Our vision is to be a reference on health care in the entire South-America. I would say that we have to rethink this. Because it is not a hospital anymore. It’s a healthcare system. A hospital is a place where people go to when there’s an emergency, and when they have an acute problem, but healthcare is much more than that. Healthcare is about quality of life. People are getting older, what are you going to do for the elderly people? Our research center has already defined that we are going to be working on aging and that’s something that’s important for us. And if we are not going to work on aging, what should our contribution be? What are the biggest opportunities for Albert Einstein in the future? Chronical diseases. Ambulatory procedures. And to focus on high complexity. I think that the main opportunity is to redesign the processes. You mentioned that you have to train your people. How are you going to look on that in the future? How are you going to train the future doctor. You say aging is very important, and it is very important because people are predicting that my grandchildren will be more than a hundred years. How are you going to go about that? How are you going to train your staff, as you said nurses are going to be a big problem, university levels have come down a little bit? Are you going to make an Albert Einstein Medical University next door? This is the idea. We already have a nurse school, we have post-graduation courses in many areas, more than two thousand students who are part of that. We have the realistic simulation center, we have a specific site just for training our people and right now, I was discussing that with my CEO, the coming ten years we are going to need 1000 more doctors. We have doctors that are employers, we have almost 1000 now, we are going to need twice as many. We talk a lot about new investments, expansions, can you reveal anything about what you are going to do the next 5 -10 years? During the last 5 years, we put an investment of more than BRL 1,2 billions in the institution. I would say that, for the coming 5 years, we are going to put at least 2 billions in investments. Why? Because I understand that we have many opportunities. “ Hospital Albert Einstein will invest at least R$ 2 billions on new projects over the next couple of years “ Any big organization, institution and hospital has a vision and a mission. What are Albert Einstein’s vision and mission? oct/dec 2012 45 Curriculum Vitae Claudio Luiz Lottenberg A lot of people talk about ethical medical boards in the hospitals. Patients complaining, doctors complaining about other doctors. How does this work in Albert Einstein? We have a governance, we have an ethical council, the conflicts of interests are treated openly here. But do you have a permanent ethical board where issues of all kinds are being discussed? Yes, we do. An example of the broad range of issues discussed is our concern with making sure that we do not have ‘stars’ among our doctors, i.e. doctors who stand out from the other members of staff. We offer all our doctors good work conditions, but they cannot cannot be more important than the patients. Does every department within the Hospital Albert Einstein have a distint organizational division of its own, e.g. a Board, a Council, etc? We have a governance. The hospital belongs to its shareholders that are mainly from the Jewish community. They elect a council that is composed by almost 200 people. This council elects a director board, where they elect the new president. How many people does that comprise? Nine people. And besides that, we have a “table of discussion” composed by a small group that belongs to this council. Is it called a table? The director table. It checks and balances. Underneath, we have a general director, who runs the hospital and the research and development department etc. So you are a volunteer, but obviously you have to make money. So the money you make is as a doctor in your specialty, is that correct? Why are you the presi- 46 oct/dec 2012 Dr. Claudio Lottenberg dent of the hospital on a voluntary base? As far as I know, it’s not common in hospitals. The history of our institution is like that. I think that the Jewish community is like that in our country and all over the world. We are very committed to all work. It’s a prestigious position, it’s a respected position, but it’s not a position where you make money. It’s not simple. I have to sacrifice a great part of my personal life. I have my wife, my children, and many times they complain. On the other hand, they do believe that in the long term, it may be a good example that I was not just in it for make money. I cannot complain about my financial situation. I have my clinics, my patients, I operate a lot, I have ten clinics that belong to me in ophthalmology, so I have no worries about money. But I think that of central importance, and bringing legitimacy to my demands, is the fact that I am a volunteer. I learned once in my life that when you want to raise money for a non-profit organization, you have to have somebody close to you with an executive. A professional. To have something very consistent to be offered. On the other hand, you need somebody who believes in the cause, and nobody has a stronger belief than a volunteer. If this volunteer can put his own money also in the program, it makes the project even stronger. So it’s not simple, but this is my life! Is this the only hospital you have worked in? Yes. I came here in 1988. I started as an employee, and after that, I finished my phD in the University and decided to stay here. I made my life here! JOL • Master’s degree and PhD in Ophthalmology. Graduated in medicine from the Escola Paulista de Medicina medical school. • Joint professor advisor of the graduate ophthalmology course at the Federal University of Sao Paulo and head professor in the MBA health program at the IBMEC institute in Sao Paulo. • Author of the book ‘Brazilian healthcare can work out’ published by Atheneu, currently in its 2nd edition. • Member of the clinical staff at the Albert Einstein Israeli hospital, where he is a consulting doctor in the field of refractive eye surgery. Member of the VISEX World Board for refractive eye surgery procedures and member of the International Association of Refractive Eye Surgery. • Member of the National Council of Social Assistance, elected by civil society under the Fernando Henrique Cardoso administration. • Member of the National Board of Food and Nutrition Safety CONSEA under the Luiz Inácio Lula da Silva administration. • Member of the Administrative Board of the NGO Associação dos Amigos da Estação Especial da Lapa – AAEEL under the Geraldo Alckmin administration. • Member of the Advisory Council of the FEBEM juvenile correctional system under the Geraldo Alckmin administration. • Member of the Committee for the Joint Commission’s Hospital of the Future. • Member of the Scientific Commission of the Brazilian Medical Association’s Continuing Medical Education Program. • Presented with the Análise de Medicina 2008 award for being one of the most respected individuals within the field of Ophthalmology – award granted by Análise Editorial. • Member of the Pan-American Ophthalmological Foundation, Arlington Texas- USA. • Member of the CONSOCIAL Higher Council of Social Responsibility – FIESP. • Chairman of the Brazilian Laser and Ophthalmology Surgery Association during the 2007-2009 administration. • Former Chairman of the Board of the Israeli Federation of Sao Paulo. • Deputy Chairman of the Deliberative Board of the Brazilian-Israeli Chamber of Commerce and Industry for the two-year period 2008-2010. • Member of the Board of Advisors of the Executive MBA Program for South America University of Pittsburg, 2009 • Chairman of the Israeli Confederation of Brazil, 2008-2010 administration. • Former municipal Secretary of Health in Sao Paulo city under the Jose Serra administration. • Currently the President of the Albert Einstein Israeli Hospital. oct/dec 2012 47 Brazilian Review ECONOMY The European economy Problems and prospects For months, Brazilian newspapers and the world press have focused on the economic crisis in Europe. It is a severe situation and the main task for the Danish EU presidency in the first half of 2012 was to assist in containing and solving the economic problems in parts of the banking sector and in some of the countries with a difficult economic situation, in particular Greece, Spain, Italy and Portugal. What are the measures taken and what is now the prospect for the EU economy, the euro and the European Cooperation? From the moment the euro was introduced, economists pointed to the need for not only a unified monetary policy under the European Central Bank, but also a more coordinated fiscal policy and a unified banking policy. At that time, member countries were not ready to agree on such wide ranging policies. This is however changing now, mostly because of the economic crisis. The measures taken by EU until now have focused on short term crisis management with the main aim of providing extra capital for parts of the banking sector and to those countries in particular need. The critics of the measures taken have argued that every time it was too little and too late. The supporters of this cautious policy – in particular Germany but also the Nordic EU-countries – have underlined the need for not only new capital (from Germany and other stronger economies, including the Nordic EU-countries) but also structural changes in the crisis economies lowering public expenditures, creating more competitive production and building up stronger reserves in the banking sector. During the Danish EU presidency, some more long term measures has been decided upon or proposed. Firstly, an EU growth policy has been introduced with increased investment from the EU structural funds and the European investment bank. Supplementing this are a number of decisions with the aim of making the EU internal market function even better. 48 oct/dec 2012 Secondly, the European Council also decided on the 28th -29th June this year to introduce “a single banking supervisory mechanism” for the euro area and other interesting countries in order to prevent that banks run into similar difficulties in the future. Thirdly, under the new so called “European semester”, the budget and fiscal policy of the EU countries has for the first time been scrutinized in Brussels and recommendations for countries have been given. Fourthly, the” European fiscal compact” is well on the way to be ratified and then turned into force 1st January 2013. This is a treaty where all EU countries – with the exception of the UK and the Czech Republic – commit themselves to work step by step towards economic stability. According to the treaty, public structural deficit must after a transition phase - not exceed 0,5% of GDP and governmental debt must not exceed 60% of GDP. All participating countries will include those regulations and goals in their national statutory law and commit themselves to follow EU agreed plans to reach the above target. If the plans are not followed, EU economic penalties will be implemented against countries in breach of the treaty. It is fully correct that EU is in economic crisis, but the outside world, including Brazil, also has to accept that EU has taken far reaching decisions to overcome the present crisis and to avoid similar developments in the future. EU has as a whole a more solid economy than both US and Japan; the problem is an uneven economic development inside the EU and the lack of central coordination and power needed for fully implementing the EURO monetary union. This however is now changing. In the final speech in the European Parliament, the Danish prime minister said: “During the past months, the EU has been forced to take critical decisions that will lay the foundation for the Europe of tomorrow, of next year and of decades to come.” The next steps are already outlined in the paper from the president of the European Council Herman Van Rompuy. In the paper ”Towards a genuine economic and monetary union” he proposes the following as a vision for a stable and prosperous EMU based on four essential building blocks: 1)An integrated financial framework to ensure financial stability in particular in the euro area and minimise the cost of bank failures to European citizens. Such a framework elevates responsibility for supervision to the European level, and provides for common mechanisms to resolve banks and guarantee customer deposits. 2)An integrated budgetary framework to ensure sound fiscal policy making at the national and European levels, encompassing coordination, joint decisionmaking, greater enforcement and commensurate steps towards common debt issuance. This framework could include also different forms of fiscal solidarity. 3)An integrated economic policy framework which has sufficient mechanisms to ensure that national and European policies are in place that promote sustainable growth, employment and competitiveness, and are compatible with the smooth functioning of EMU. 4)Ensuring the necessary democratic legitimacy and accountability of decisionmaking within the EMU, based on the joint exercise of sovereignty for common policies and solidarity.” In conclusion: Yes, some EU countries are in a severe economic crisis and the situation is not yet fully under control. However, the right type of measures are being taken and out of this process I am sure we will see a more integrated, united and competitive Europe. Svend Roed Nielsen Ambassador Danish Economy in a turbulent world There is an economic crisis in parts of EU, prolonged low growth rate in US and declining growth rates in the BRIC countries, not least in Brazil. Denmark has a very open economy and it is therefore extremely dependent on the global economic development. The June 2012-forecast made by the Economist Intelligence Unit gives a pretty gloomy picture of the world economy also for the coming years. The EIU forecast is the following: This is a framework for the Danish economy for the years to come. In particular the very low/ negative growth in the euro areas will continue to have a negative impact on Danish economic growth. The Danish Central Bank has in the second quarter of this year made the following forecast for Danish economy: Denmark clearly has one of the strongest economies in Europe. The Central Bank had to intervene in the market to avoid revaluation of the Danish kroner against the euro. The interest rate is at record low level and foreign investors are now ready to accept even negative interest rates when they buy Danish government bonds. Danish foreign reserves have never been bigger and the external balance is very positive. The challenge for the Danish government is in creating more economic growth. With that aim, it has just agreed on a tax reform together with the parties at the right side of the political spectrum of Denmark. The tax reform will make it more attractive for companies to invest and for individuals to be active in the labour market due to both reduced taxes and reduction in some social transfers. After many years of declining productivity in Denmark compared to our neighbouring countries, the Danish productivity is now on its way up. Recent agreements on salaries limit the increases to below 2% for the years to come, basically at the level of the expected inflation. Unemployment is stable at a relatively low level around 6% but with increased unemployment for young people. Overall the Danish economy is solid and doing relatively well under very difficult global economic conditions, but as an export dependent economy, we need to secure future export growth and that is difficult in a world of low growth. Our exports growth to Brazil has been very impressive in both 2010 and 2011 with increases of more 40% per year. However in the first five months of 2012 we have seen a totally different picture with an increase compared to the same period of last year of only 0,5% The low economic growth in Brazil, seems to continue, also this year, and this is bound to have a negative impact on Danish export. The Brazilian market will be even more challenging for Danish companies in the months to come. Svend Roed Nielsen Ambassador World economy: Forecast summary 2011 2012 2013 2014 Real GDP growth (%) World (market exchange rates) US Japan Euro area China Estern Euroupe Asia & Australasia (excl Japan) Latin America 2.5 1.7 -0.7 1.5 9.2 3.8 6.5 4.3 2.1 2.2 1.7 -0.7 8.2 2.5 6.0 3.0 2.6 2.1 1.2 0.3 8.4 3.3 6.5 3.9 2.8 2.1 1.6 1.2 8.1 3.7 6.5 4.2 Percentage growth compared to the year before 2011 2012 2013 2014 GDP 1,0 1,2 1,6 1,7 Private consumption -0,5 1,2 1,7 1,6 Public consumption -1,0 0,9 0,6 0,7 Property investments 8,7 -3,3 4,3 2,7 Public investments 3,8 6,2 -10,6 -0,4 Business investments -3,5 8,5 6,5 4,0 Export 6,8 1,7 3,5 3,6 Industry export 8,6 2,1 5,9 5,5 Import 5,2 3,2 3,8 3,9 oct/dec 2012 49 BRAZIL ... neither a darling, nor the ugly duckling Brazil is definitely neither the darling, nor the ugly duckling of international markets. Brazil has been severely affected by the global crisis just like all other countries. Nearly all countries in the world - except Japan and a few others - will grow less in 2012 than they did in 2011. Two symbolic examples according to the 2012 IMF forecast showcase that things are not running smoothly even in countries used to massive growth, i.e. Hong Kong (1.9%), and Taiwan (1.5%). Who could have guessed that this would happen right in the border regions of continental China? This reveals that China is no longer able to play the role of world locomotive as it did in 2008. While there is no risk of rupture in Europe, the European scenario still generates risk aversion and has a global effect on outlooks. Moreover, the American economy still presents signs of having weakened. The international crisis has affected the industrial sector in Brazil which has been the main reason for the deceleration in the activity level. In almost all countries around the globe the industrial sector has seen a remarkable pronounced idleness due to the decrease in demand, especially in mature economies. Brazil has come up against historical difficulties in terms of cost and competitiveness due to lack of public investments into infrastructure and a long stretch with a highly valued currency. However, it wouldn’t be correct to ignore some of the problems we could call idiosyncratic, which have made things worse for Brazil, especially in 2012, i.e. droughts in the South and Northeast, the crisis in the Annual Brazilian GDP growth 1984 -2013 9.0 7.8 Average for the last 20 years: 2,7% 7.5 Average for the last 9 years: 4,0% 7.5 7.0 5.4 5.0 4.7 3.5 3.0 4.4 5.2 4.3 4.0 3.4 3.2 1.3 1.0 4.0 3.2 2.7 2.1 1.0 6.1 5.7 5.3 2.7 1.6 1.1 0.0 0.3 -0.1 -1.0 -0.5 -0.3 -3.0 -4.3 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 -5.0 50 oct/dec 2012 National Department of Transportation and Infrastructure, implantation of EURO-5 for trucks hindering production, the residential construction sector crisis, ethanol production crisis, stagnation of production and oil refinery levels at Petrobras, small and middle-sized banks going through crises, and Argentinean protectionist measures affecting Brazilian export of manufactured products. These factors might have led to an up to 1% reduction in the national GDP this year, but are not likely to repeat themselves next year, at least not to the same degree. The low growth rate of 2012 does not express the dynamism and strength of a more disciplined economy despite the enormous challenges that call for more urgent attention to important decisions. There are no signs of insurmountable obstacles in the Brazilian development within the coming years. Short term, the enigma is precisely the fact that we are experiencing low growth levels even though we have an economy presenting full employment and consumption and salary levels internationally envied. That is to say, Brazil is a country operating at different paces which generates doubts and questions. In my opinion, there is not much to be done about the 2012 GDP. It is not worth implementing short-term measures aimed at improving this year’s GDP. The most relevant now is to look at 2013 and 2014, focusing on an agenda favoring more structuring steps such as public and private infrastructure investments and increases in productivity and efficiency. Octavio de Barros Chief Economist Bradesco Annual growth of Brazilian industrial protection 2002-2013 11,0% 10,47% 8,30% 7,0% 6,02% 3,09% 2,82% 2,73% 3,0% 3,50% 3,10% 0,35% 0,05% -1,0% -2,50% -5,0% 2013 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2012 -7,38% -9,0% Annual Foreign Direct Investment in Brazil USD Million 72.000 66.660 63.000 60.000 54.000 36.000 27.000 63.000 48.506 45.058 45.000 34.585 32.779 28.856 28.578 25.949 22.457 18.000 18.146 16.590 18.822 15.066 10.144 9.000 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 0 Brazilian exchange rate BRL per USD end of period R$ 3,80 3,53 3,20 2,89 2,65 2,14 2,00 1,96 1,77 1,74 1,88 2,00 2,00 2013 2,34 2,34 2,32 2012 2,60 1,67 Octavio de Barros 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 0,80 2001 1,40 2000 “ There are no signs of insurmoun table obstacles in the Brazilian development within the coming years oct/dec 2012 51 “ Low growth: here to stay? Economic growth in Brazil has been disappointing in 2012. A year ago, the median estimate for GDP growth this year in the Central Bank’s focus survey with market analysts was 4.1%. Now, the median stands at 1.9%. If confirmed, it will be the second year in a row of lower-than-expected GDP growth. Some analysts suggest this is evidence that Brazil’s capacity for growth has been compromised. They say that the country’s consumption cycle has worn out, that business confidence is declining and that after a particularly favorable period between 2004 and 2010, we are falling back to our old fate of growing only about 2% a year. This conclusion seems premature. There are cyclical issues weighing on economic growth, and there are reasons to believe they will gradually be overcome. However, it is also true that some factors which enabled faster growth in the past are no longer present. Even after short-term hurdles are surpassed, growth may not go back to pre-2011 levels. The cyclical component is related to the excesses of 2010, when the economy moved too fast. Household spending expanded too much, particularly on durable goods. Companies accelerated investments and output, believing that the Brazilian economy would sustain strong growth indefinitely. 52 jul/sep 2012 But with the slowdown in demand from 2011 onward — partly as a result of monetary and fiscal tightening measures —, sales turned out below expectation, and inventories accumulated in several industries. Some households got caught in debt, intensifying the reduction in aggregate demand. Deterioration in global growth has also exercised an influence. China and the U.S. lost vigor, and the risk of rupture in Europe is not negligible. External uncertainty has been weighing on business confidence in Brazil, contributing to delay the rebound of investments. Facing this scenario, the government proceeded to boost demand with lower interest-rate, tax cuts and higher spending. With expansionary measures — maintained for a sufficiently prolonged period —, the economy should prevail over short-term obstacles. The country can still rely on a vast consumer market, with repressed demand in many segments. The middle class continues to push forward, as the latest IBGE census shows. Infrastructure bottlenecks create investment opportunities, some of them related to the large sporting events to be hosted by the country. The real estate sector still has room to expand, considering the low volume of housing financing, even after it took off in recent years. In the coming quarters, domestic demand will continue to improve and reach more industries. Inventory levels in the industrial sector will be better adjusted, and output should bounce back. Itaú forecasts GDP will accelerate to 4.5% in 2013 from 1.9% in 2012, with growth in the final quarter of 2012 reaching about 5% in annualized terms. But even after the slowdown period is put behind us, the new cruising speed of the Brazilian economy should be lower than the one seen in the past decade. Between 2004 and 2010, Brazil grew 4.5% per year, but some situations that took place back then will hardly be repeated. First, outstanding loans as a share of GDP soared to 50% from 25%. The move is Economist Caio Megale not worrying, as 50% is still a comfortable level. But good judgment calls for more moderate advance from now on. Second, the unemployment rate fell to 5.5%, a level that is close to the so-called full employment. We no longer see the same leeway in the labor market as in the past. In order to grow at the same pace as before, Brazil needs to accelerate worker productivity, which is relatively low. Investments in automation and in worker qualification have been done, but not widely. Third, throughout the last decade, the world grew much faster than usual, partly because Europe and the U.S. were experiencing a debt bubble, and partly because China was going through a fast urbanization process. With the financial crisis and the advance in Chinese urbanization, growth in these regions tends to be lower, reducing demand for Brazilian exports. Finally, the world will grow less than in past decade. Between 2004 and 2010, global GDP grew on average 4% per year. The U.S. and some European countries grew above trend, propped up by the debt bubble. Chinese GDP was growing at double-digit rates to meet urbanization needs. With the financial crisis and China’s industrial advance, the global slowdown tends to be prolonged, hurting the volume of Brazilian exports. Furthermore, as a consequence of slower global growth, prices of commodities exported from Brazil should stabilize. It will be more difficult to sustain the pace of growth in imports — which doubled in real terms since 2004 due to the strong expansion in internal demand — without creating external imbalances. In short, very low growth in the first half of the year in Brazil had an important cyclical component, which has been surpassed as the excesses of the recent past are digested. It is legitimate to expect a rebound in the economy in the second half of the year and in 2013. But that does not mean we will resume the fast growth of the past decade. In order to grow that fast, we need more reforms to lift the capacity to invest and to drive productivity gains in the country. Banco Itaú jul/sep 2012 53 Investment is a must The weak performance of the Brazilian However, the same behavior is not ob- Such results stand opposite to the wide- economy since mid-2011 has fostered many served for capital and productivity. Invest- spread consensus that services tend to be debates. The main one deals with the de- ments are weak and decreasing for three a rather inefficient sector when compared celeration of productivity and the possible consecutive quarters since mid-2011. The to the industrial sector, since it employs decrease in potential output. That leads to decrease in the first quarter of 2012 was labor in a more intensive way rather than the conclusion that either the country em- even stronger: -1.8% in comparison to the capital. In Brazil, it is understandable that barks on an investment cycle that would three last months of 2011. services may have recently presented gains propel the economy or we will observe As for productivity, a quick way to esti- in productivity since many segments in that lower economic growth ahead. A detailed mate it is to divide total GDP by the amount sector have invested heavily in technol- analysis of recent data seems to confirm of employment in the economy, thus pro- ogy, such as credit card payment system in that interpretation. ducing a measure of output per worker. many retail establishments, navigation de- The deceleration of GDP growth to 2.7% Thinking about the recipe described above, vices in transportation or more automation in 2011 from 7.5% in 2010 took many by this measure is a combination of productiv- in banks. At the same time, industry saw surprise. One elected villain has been ity and capital, but could be understood as a weakening in its productivity as a result household indebtedness that, for some, only productivity as long as the amount of of lesser investment in the past years due has reached a limit, hence impeding con- capital used by each worker (or the capital- both to the international crisis and to do- sumption to lead to a recovery. A closer labor ratio) remains constant. mestic impediments. scrutiny of data, however, reveals that The breakdown of output per worker the debt burden of families has risen only by sectors shows some interesting behav- modestly. Default rates have shot up also ior, as seen in chart 1: between 2008 and as a result of the Central Bank’s prudency 2011 the output per worker rose 1.5% per with some lines of credit rather than due year, slightly less than the 1.6% observed to widespread reckless operations or un- between 2003 and 2007. Nevertheless, sustainable leverage, so one should look there is a significant difference in the per- elsewhere to understand the recent weaker formance of the sectors behind that appar- economic data. ently similar results for distinct periods. Economists see the amount of products The growth in output per worker in the as the result of a simple cooking recipe: industry slumped to 0.3% per year from you add capital (machines and equipment) 1.8%, while that measure in services and labor in fixed amounts, some produc- accelerated slightly to 1.6% tivity (i.e., the efficiency in combining capi- from 1.3%. In agriculture, tal and labor) to provide consistency and output per worker also in- voilá, you get the production of goods and creased its pace of growth services in a determined period of time, or a little bit, to 2.7% from the GDP. In Brazil, unemployment is not a 2.4% (chart 2). problem as it remains below its long term trend, or NAIRU (non-accelerating inflation rate of unemployment), estimated at 6%. 54 jul/sep 2012 However, the recent weaker behavior of the workers’ efficiency (which depends on reaucracy. In a recent survey conducted by productivity has shown some weakness. In education) are constant in the short term -, the Industry Federation of the State of São the first quarter of 2012, output per worker the support for growth in the coming years Paulo (FIESP), 65% of the companies that in the industrial sector decreased by 2% should come from capital (or investment). responded cited taxes (perhaps reflecting in comparison to the same period in 2011, To a certain extent, there are signs that the complicated tax system rather than the whereas services showed a strong decel- the government is more attentive to invest- tax burden) as the biggest obstacle to the eration in that measure to 0.8% from 2% in ment. The country’s investment rate, at 19% development of the sector, much more than the same period. Since both sectors add to of GDP, is among the lowest in Latin America, the 11% that pointed to interest rate and more than 90% of GDP, there was a strong where normally economies invest between credit, the 9% that blamed the cost of la- deceleration in the expansion of total out- 20% and 25% of GDP. However, there is bor or the 7% that suffered with a myriad put per worker in the economy to 0.3% much more to be done. One push in that di- of infrastructural problems. from more than 2% a year before. rection has been given by the Central Bank, In sum, it is not clear that the recent ar- Back to the output recipe described taking advantage of a window of opportu- rangement in the Brazilian economy, i.e., before, the combination of lower employ- nity to reduce the basic interest rate. That is better income distribution, more credit and ment, falling investment and a slowdown certainly of help, albeit insufficient by itself. household consumption, is exhausted. Em- in productivity point to a potential GDP Part of the problem is due to the low ployment and consumptions may continue growth (a long run trend of GDP, that does savings rate. At 17% of GDP, it needs to be to add to economic growth, albeit at de- not pressure inflation) now at 3% per year, increased, perhaps also with higher public creasing rates. The trick now is to kick-start below the 4% to 4.5% level observed until savings, or investment has to be comple- an investment cycle that should boost po- 2008, before the beginning of the financial mented with foreign savings, which would tential growth in the coming years. crisis (chart 3). Given the short-term lim- increase the current account deficit. There its to increase employment and productiv- are also structural questions depressing in- ity – basically, both the pool of labor and vestment, linked to infrastructure and bu- Cristiano Souza Senior economist Grupo Banco Santander jul/sep 2012 55 Brazilian Review ECONOMY Retail Investments in the Major Developing Countries Top 10 Most Innovative Countries 2011 RankingGrade 1st - Switzerland 68.2 2nd - Sweden 64.8 3rd - Singapore 63.5 4th - Finland 61.8 5th - UK 61.2 6th - Norway 60.5 7th - Denmark 59.9 8th - Hong Kong 9th - Ireland 10th - USA 58.7 58.7 57.7 58th - Brazil 36.6 1st Brazil 1stBrazil 2nd Chile 3rd Uruguay 4th India 5th China 6th Peru 7th United Arab Emirates 8th Georgia 9th Oman 10th Mongolia 2ndChile 3rdChina 4thUruguay 5thIndia 6thGeorgia 7th United Arab Emirates 8thOman 9thMongolia 10thPeru Source: O Estado de S. Paulo - July 2012 Source: O Estado de S. Paulo - July 2012 Top 20 Countries with the Highest Average Productivity Levels since 1950 1stJapan 2nd China 3rd USA 4th Spain 5th South Korea 6th Italy 7th France 8th Finland 9th Norway 10thCanada 2012 2.46% 2.27% 1.90% 1.72% 1.70% 1.67% 1.63% 1.41% 1.40% 1.38% 11thBrazil 12thAustralia 13thBelgium 14thUK 15th The Netherlands 16thAustria 17th Germany 18thIreland 19thIndia Europe’s Top 10 Shopping Cities 1.33% 1.32% 1.30% 1.30% 1.29% 1.28% 1.27% 1.18% 1.17% 1 2 3 4 5 6 7 8 9 London Madrid & Barcelona Paris Rome Berlin Lisbon Amsterdam Prague Budapest Source: Visitors - Issue 6, 2012 Source: O Estado de S. Paulo - June 2012 Expenditures in Media in 2012 Sector Global Growth Latin America Growth Global Share 5,3% 0,9% Television10.1% 15.4% Newspapers1.1% 18,0% Television Magazines2,0% 11.9% Newspapers 8,8% Radio9.7% 10.5% Magazines Internet24,0% 70.1% Radio 20% Cinema2.3% -21,0% Others 65% Outdoor7.7% 6.2% 56 jul/sep jul/sep 2009 2012 56 jul/sep 2012 Source: Jornal Propaganda & Marketing - April 2012 Top 7 Largest Automobile Manufacturers RankAutomobiles Produced 1st China 18.4 million 2nd USA 8.6 million 3rd Japan 8.4 million 4th Germany 6.3 million 5th South Korea 4.6 million 6th India 3.9 million 7th Brazil 3.4 million Source: O Estado de S. Paulo - June 2012 Unemployment in Brazil YearUnemployment Rate 200311.2% 200411.7% 200510.2% 20069.3% 20079.3% 20088.0% 20098.2% 20107.2% 20116.1% 20125.5% Source: Folha de S. Paulo - February 2012 Unemployment Rate in the USA and Euro Zone Month USA January 2011 9.1% March 2011 8.9% May 2011 9.0% July 2011 9.1% September 2011 9.0% November 2011 8.7% January20128.3% March 2012 8.2% April 2012 8.2% May 2012 8.2% Euro Zone 10.0% 9.9% 10.0% 10.1% 10.3% 10.6% 10.8% 11.0% 11.0% Source: Folha de S. Paulo - June 2012 Brazilians’ Travels in 2011 Top 10 Retirement Spots Most Visited Number Countries of Travelers 1stUSA 1,101,573 2ndArgentina 869,517 3rdFrance 383,215 4thPortugal 282,048 5thItaly 274,894 6thSpain 249,285 7thUruguay 217,511 8thChile 214,069 9thEngland 187,758 10thGermany 174,146 Ranking 1stPanama 1stEcuador 1stMexico 4thMalaysia 5thColombia 6th New Zealand 7thNicaragua 8thSpain 9thThailand 10thHonduras Source: Bangkok Post - January 2012 Source: Época - March 2012 Investments in the Advertising Market in Brazil Year Investments (in billion BRL) 201137.20 201240.26 201343.44 201456.47 201560.99 201672.00 Sao Paulo - Violence Data Crimes Murders Murder Victims Robberies Car Robberies Car Thefts from January to April of 2011 SP State SP City 1,362 315 1,437 330 75,53835,183 24,745 12,218 34,621 13,913 from January to April of 2012 SP State SP City 1,420349 1,487 365 78,93237,157 29,711 15,334 36,401 15,043 Source: Folha de S. Paulo - June 2012 Source: Folha de S. Paulo - July 2012 jul/sep jul/sep 2009 2012 57 Brazilian Review ECONOMY The Most Admired Companies in Brazil GDP in South America in 2011 Ranking 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th GDP in 2011 Ecuador Argentina Peru Chile Colombia Uruguay Guiana Bolivia Venezuela Paraguay Suriname 12th Brazil Social Segment A B C 1st Place Nestlé Coca-Cola Coca-Cola 2nd Place Louis Vuitton Nestlé Nestlé 3rd Place Brastemp O Boticário Nike Source: 9,0% 8,8% 6,9% 6,0% 5,8% 5,5% 4,8% 4,5% 4,2% 4,0% 3,0% 2,7% Source: O Folha de S. Paulo - May 2012 Top 10 Wealthiest People in Brazil 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th Eike Batista Jorge Paulo Lemann Joseph Safra Antônio E. de Moraes Marcel Telle Roberto Irineu Marinho Carlos Alberto Sicupira Norberto Odebrecht Francisco Ivens de Sá Dias Branco Abilio Diniz BRL 30.26 billion BRL 29.30 billion BRL 25.97 billion BRL 21.0 billion BRL 13.43 billion BRL 12.86 billion BRL 11.87 billion BRL 9.10 billion BRL 7.32 billion BRL 6.8 billion Source: Folha de S. Paulo - July 2012 Most Admired by Business Sectors Sectors 1st Place Sporting Goods Nike Automobiles Hyundai Banks Bradesco Purses Victor Hugo Footwear Ramarim Cell Phones Nokia Beers Skol AirlinesTAM Computers HP Household Appliances Brastemp Electronics Sony HypermarketsExtra Department Stores Marisa Landline Phone Services Vivo Mobile Phone Services Vivo Perfumes Natura Food Products Nestlé Beauty Products O Boticário Soft Drinks Coca-Cola Car Insurances Porto Seguro SupermarketsGuanabara TV Subscription Services NET 2nd Place 3rd Place Adidas Olympikus VolkswagenGM/Chevrolet Itaú Unibanco Caixa Econômica Chanel Louis Vuitton Via Marte Arezzo Samsung Motorola BrahmaBohemia GOL Azul SamsungSony Arno Electrolux Samsung Semp Toshiba Zaffari Carrefour Renner Riachuelo Oi Embratel TIM Nextel O Boticário Dolce & Gabbana Sadia Perdigão Natura Avon Guaraná Antártica Fanta Bradesco Seguros SulAmérica Seguros Sonda Prexunic Sky TVA Source: Jornal Propaganda & Marketing - May 2012 58 jul/sep jul/sep 2009 2012 10 Richest People in the World Rank Name Net Worth Age Source Country of Citizenship 1 Carlos Slim Helu & family $69 B 72 telecom Mexico 2 Bill Gates $61 B 56 Microsoft United States 3 Warren Buffett $44 B 81 Berkshire Hathaway United States 4 Bernard Arnault $41 B 63 LVMH France 5 Amancio Ortega $37.5 B 75 Zara Spain 6 Larry Ellison $36 B 67 Oracle United States 7 Eike Batista $30 B 55 mining, oil Brazil 8 Stefan Persson $26 B 64 H&M Sweden 9 Li Ka-shing $25.5 B 83 diversified Hong Kong 10 Karl Albrecht $25.4 B 92 Aldi Germany Source: Forbes, Wednesday 8th of March 2012 10 Most Powerful Women in the World Rank 1 2 3 4 5 6 7 8 9 10 Name AgeCountry Category Angela Merkel Chancellor, Germany 58 Germany Politics Hillary Clinton Secretary of State, United States 64 United States Politics Dilma Rousseff President, Brazil 64 Brazil Politics Melinda Gates Co-Chair, Bill & Melinda Gates Foundation 48 United States Humanitarian Jill Abramson Executive Editor, New York Times Co. 58 United States Media Sonia Gandhi President, Indian National Congress, India 65 India Michelle Obama First Lady, United States 48 United States Politics Christine Lagarde Managing Director, IMF 56 France Politics Humanitarian Janet Napolitano Secretary, Department of Homeland Security 54 United States Politics Sheryl Sandberg COO, Facebook 43 United States Technology Source: Forbes Magazine, Wednesday 19th of September 2012 jul/sep jul/sep 2009 2012 59 The icms (state vat) and new investments: tax incentives that provide an alternative to the so-called “Guerra Fiscal” (“The race to the bottom”) As has been widely discussed in the press, the controversial Tax on the Circulation of Merchandise and Services (Imposto sobre Circulação de Mercadorias e Serviços), or ICMS tax incentives are being broadly reviewed by both the legislature and the courts. The reason for this is a strong effort to end the so-called “Guerra Fiscal” (“Tax War” or “race to the bottom”) which is the name given to some states’ concession of illegal ICMS tax incentives that have not been approved by other states. These illegal incentives have caused competition to become unfair and have led to lost tax revenue. They have also led other states to retaliate by unfairly charging taxpayers amounts they allegedly failed to receive as tax revenue (plus large fines). Although it is still uncertain how this issue will be resolved – a committee in the Brazilian Congress is studying the best way to settle the issue and a binding precedent (“Súmula Vinculante”) has been proposed on the matter at the Federal Supreme Court –, it is certain that taking these incentives into account when planning a new investment is not currently very safe. This uncertainty, however, does not mean that the doors are completely closed on ICMS tax incentives for new investments. This is because the most attractive incentives are currently being offered by municipalities, which have been offering generous packages to companies planning to open facilities, or even expand existing ones. This statement may seem strange since the ICMS tax is collected by states and not municipalities. However, we must remember that the Brazilian Constitution allocates 25% of the total ICMS tax received to the municipalities. The states collect this amount and pass it on to the municipalities according to certain criteria established by law that are used to calculate the Municipality Participation Index (Índice de Participação do Município), or IPM, in which the main component is the so-called “municipal value added.” It is precisely this that opens the possibility for companies to receive tax benefits. This happens because, in theory, new investments will lead to an increased “municipal value added”, which in turn will increase the IPM amount. As the IPM increases, the municipality receives more ICMS tax 60 jul/sep 2012 transfer revenue from the state. Using this increased transfer revenue that was caused by the investor, the municipality “returns” part of the ICMS tax that the company paid, following criteria established in municipal law. In general, the reimbursement is limited to the amount invested in the new facility. In some cases, however, municipal law also imposes a time limit, depending on the situation. In any case, the reimbursement calculation formulas encourage companies to add value locally, since the more local value is added, the larger the reimbursement will be and the more quickly the investment will be recovered. In many cases, the ICMS tax incentive is part of a package that includes other tax benefits. These can include a property tax exemption (Imposto sobre a Propriedade Territorial Urbana or IPTU), municipal fees exemptions (taxas), reduced or no property purchase excise tax (Imposto sobre Transmissão de Bens Imóveis or ITBI) and a reduction of the Service Tax (Imposto sobre Serviços or ISS) charged on any construction work (for example, building or expanding a factory). However, before taking advantage of these tax incentives, a company must first carefully study the law of the municipality in question. It must do this both to determine whether the incentives are really valuable (especially in regard to percentages and reimbursement periods) and to evaluate the legality and constitutionality of the municipal legislation granting the tax incentive. This analysis is particularly important in light of the Fiscal Responsibility Law. Among the items to be considered, we strongly recommend that the company carefully read the terms of the law in the municipality in question. This is because certain issues are frequently not sufficiently clear and this can lead to problems when the tax incentive is actually applied (especially the reimbursement). If there are doubts, the company must use all available means to see that they are officially resolved, either through a formal request for a ruling from the appropriate municipal bodies (“Resposta a Consulta”) or by presenting suggestions for changes to the wording in particular laws. It is worth remembering that these tax incentives are usually intended to last for a number of years and during this time new local officeholders will probably be elected. Because of this, it is absolutely essential that everything is made as clear as possible before the company joins the program, so that possible misunderstandings do not lead to future losses. Additionally, since the reimbursement will result in a municipal disbursement in favor of the taxpayer, there must be a budget appropriation for the payment, which must be made the year immediately before the payments begin. Therefore, when a company sees that it has already met all the requirements to receive its reimbursement, but the municipality has not included the proper budget appropriation the previous year, the taxpayer will have to wait another year before receiving the money it expects. Also in relation to this point, the taxpayer must carefully check what the conditions for beginning to take advantage of the tax incentive are. This applies both to the event itself that will lead to the reimbursement (the fiscal year in which the IPM increases, the year in which the ICMS transfer increases, etc.) and to the consideration generally required by the municipality (minimum number of locally resident employees, vehicle fleet licensed in the municipality, environmental requirements, etc.). Another point to verify is whether municipal law complies with requirements in the Brazilian Constitution regarding minimum amounts spent on education and health. In this regard, one must evaluate whether the incentive will threaten mandatory expenditures the municipalities are required to make, either through the reimbursement calculation formula itself or through the inclusion of the reimbursement in the annual budget. If these tax incentives are properly managed, they will not result in legal violations like those that occur in the context of the so-called “Guerra Fiscal” or “race to the bottom.” This makes them a good alternative for businesses seeking to expand. Maurício Barros Manager of Gaia, Silva, Gaede & Associados in Sao Paulo jul/sep 2012 61 Francisco Davos President of FLSmidth Brasil How is FLSmidth doing in 2012? We are doing well. As a group, we recently reported first half results for 2012 that include increases in order intake, backlog, and revenue. Our situation in Brazil is also very favorable. Could you describe the activities you have? This past February, FLSmidth announced a new Group strategy which organized our company into four divisions; Cement, Non Ferrous, Bulk Materials and Customer Service. This structure allows our “customer facing” personnel to specialize in select industries. At the same time, because some administrative resources and back office support are shared among the divisions, this gives us flexibility. As Brazil is a large and diverse country, our office mirrors our global organization with 62 oct/dec 2012 a few exceptions. We do have sales and customer service representation to support all of our technologies, and we also have local specialists in many areas. For example, our office in Sorocaba has a staff of over 150 people with capabiltieis including project management, electrical engineering, automation, air pollution control, process engineering, procurement, QA/QC, and logistics. In recent years, FLSmidth has acquired many companies who have representation in Brazil. For example, ESSA, a company involved in sampling and minerals laboratory materials, had a presence in Belo Horizonte which will continue. FLSmidth is traditionally a major Cement Plant provider. There have always been around three major companies, Camargo Cor- rea, Votorantim and lately Ricardo Brennand group and others. It’s said that China is really a tough competitor; they cut prices and deliver. Can you tell us about how you are doing in the cement business environment? Several years ago, the Chinese entered select markets globally. Their earliest, and perhaps still largest market have been in the Middle East. They accomplished this by offeing very competitive pricing by sourcing not only equipment from China, but also providing Chinese labor to build cement plants. In Brazil, this is a more challenging business model to pursue, therefore their market share has been more limitted. In contrast, FLSmdith has a 100 year long and proud history in serving the Brazilian cement industry, and recent years have only reinforced our position. For example, our mill for cement grinding is the clear market leader in the country having sold 18 OK mills to date. Regarding new plants, we have major ongoing contracts with companies such as Votorantim, Cimpor, Margem, and Brennand. With the high demand for cement, most of our customers have placed a strong value on efficient project execution. We believe this has helped us to compete. As mentioned, we have extensive local capabilities, and they are supported by both the US Project Office as well as our global organization. We have an excellent track record in delivering our plants according to schedule that perform well right from the start. Also, our experience has been that cement producers in Brazil consider the long-term costs of owning and operating a plant, and compare the benefits from the competing technologies. We see that as another area of our strength. At the same time, we fully appreciate that Francisco Davos President we must continuously find ways to be competitive with regard to costs. How much does this demand represent in terms of the total business? With high activity in most of our major industries, Brazil is a critical region for FLSmidth. And, in recent years, it has been the largest single market for capital projects in cement and one of the larger markets for minerals. Don’t you build cement factories any more as you used to? The large contracts which we are currently executing in Brazil typically include equipment and services such as engineering, project management, and commissioning. Globally, we do have turnkey capabilities, but that has not been the approach to projects in Brazil in recent years, but if the customers want it we can do it. . But is it still FLSmidth? Yes, whether we procure from a third party or subcontract some assistance, we are the ones with a direct relationship with the customer. And, therefore we demand the same level of quality as if we performed the work ourselves. How about innovation and business? I understand there is a growing business for FLSmidth in Brazil and worldwide. How is your relationship with Vale, what is the situation? Yes, aside from product innovation, we are also pursuing ways to innovate our offerings with new services and forms of contracts. A new contract with Vale S.A. is an excellent example of this. Earlier this year, we signed a long-term service contract with Vale S.A. at their Onca Puma FerroNickel facility in Para Brazil. Vale is a Brazilian multinational, that is diversified in metals and mining corporation. Back in 2006, FLSmidth began a large project with Vale for a Ferro-Nickel facility. As the project for the supply of this equipment was coming to a close, Vale approached us to extend many of our services and support. As a result, we entered into a new contract that includes support for Vale’s operations and maintenance teams, optimization of equipment, various training programs, and even assistance with a preventative maintenance program. Years ago, once a site was successfully commissioned, we would leave and the relationship would then continue on a transactional basis whenever they requested parts or services. But, this was not in anyone’s best interest. Through the course of a large project, our people gain tremendous site specific knowledge that, in the past, is virtually lost. A contract like this keeps a large FLSmidth presence on site and shares, and even grows, this expertise to continue to benefit the client. We are very excited about this contract, and we are also very pleased it is with Vale who has been such an important customer to FLSmidth in both Brazil but also globally. “ With the high demand for cement, most of our customers have placed a strong value on efficient project execution “ FLSmidth headquarter in Votorantim oct/dec 2012 63 Brazilian Review INTERVIEW Are there no problems getting visas and all that? No, there are certainly many regulations and procedures to follow. We find the Brazilian authorities to be very reasonable and cooperative. In the case such as this new contract for Vale, we are not using foreign personnel to save costs or because we don’t want to work with the local work force. That is not it at all. Rather, when we use foreign nationals, it is largely for unique expertise that is not available locally. We are global company whenever we do a contract anywhere, there is always some transferring in and out of personnel. We believe this not only enriches our capabilities and experiences, but also transfers much knowledge to the local site. You said you have four divisions. How does your business split itself among these divisions? In Brazil, the cement division is still responsible for the largest numbers in terms of both invoicing and staff. Within NonFerrous, we have a lot of activity with FLSmidth Krebs. Our air pollution control group, part of Bulk, is very active in our office here and actually serves both minerals and cement customers. 64 oct/dec 2012 You have been now 6 months in this position at FL Smidth. What is your background? My entire career has been with process equipment and technology products. My background is in mechanical engineering, but I also have master degrees in both industrial administration and in business management. For the past 20 years I have held management positions at companies including Baker Hugues, Usiminas Mecânica, and Dedini, which is a huge company in Brazil in the bio-fuel technology, i.e. sugar and ethanol. What about FLSmidth attracted you? For the past 15 years, I have been working in companies and markets that have experienced very aggressive growth. I derived a lot of enjoyment from that kind of environment, and I believe that is what life will be like for me at FLSmidth. My first few months on the job are proving this theory. There are many challenges and it can be very fast paced. But, it is rewarding. I get to be creative, I get to do things no one has tried before. It is not only a matter of selling more, it is a matter of designing the operations and support that is needed so that you can sell. You need to have a special vision when you try to grow. You need to have the right individuals in the right place. It is something very important for the company. We have many markets, and diverse capabilities to serve these. There are just many possibilities. I am personally fascinated by the amount of new equipment related to the mining industry that FLSmidth is putting into the market. Which cities and states have you lived in previously? Most recently I’ve lived in Piracicaba in São Paulo state. Prior to that, I lived in Belo Horizonte in Minas Gerais state. You are now taking over FLSmidth Brazil. What will be your focus in terms of business in the coming years? Where do you want to take FLSmidth Brazil within the next 3-5 years? We plan to roughly double our size. I expect it to be very dynamic and I am sure there will be some anticipated circumstances and changing priorities. But, I see my focus and my role to concentrate on a few areas. First, we have many different technologies What do you think will be the biggest challenge for FLSmidth Brazil in order to double the business by 2015? As a group, FLSmidth intends to grow, and grow aggressively. But, we do not intend to double our business globally by 2015. Rather, that is a specific objective of our office here in Brazil. First, we need to win business and grow market share. But, we can leverage our global organization to support this. We use the same business systems and established procedures and design standards everywhere in the world. Therefore, even the doubling of our intake locally would not exhaust our ability to execute the projects. We have the flexibility to direct resources to the market with the highest activity, like Brazil. At the same time, there are limits and we will need to attract and retain talented staff here that are Brazilian. In both cases, langauge skills are key. We need local poeple to have competence in English to collaborate with our global organizaiton, and we also need to have some Portuguese speaking members on our staff globally. What do you think are the greatest opportunities in Brazil the next couple of years? When you look at the mining business, Vale “ The mining sector will continue to represent the greatest opportunities “ and many of them are the result of fairly recent acquisitions. Therefore, we do not necessarily have a team with years of experience working together who know each other and have a deep understanding of all the various capabiltities. For that, I believe I can act as a liason, helping to bring everyone together. In other areas, we have some capabiltites that are not currently well represented in Brazil. For example, this summer we finalized an acquisition of Ludowici, the world’s leading provider of coal centrifuges, vibrating screens and other similar products and services for the minerals industries. I will be working to find the best ways in which we can leverage these capabilities here. Also, customer service will absolutely be a main focus area. If we intend to double our business, we certainly cannot afford to lose customers to the competition! We need customers to be happy so they continue to buy from us. doesn’t seem to be investing as much money as some think they were supposed to do. Vale has cut down the investments for the next couple of years. How do you see that? The mining sector will continue to represent the greatest opportunities. Regardless of any market cycles, the mining sector is Brazil is large and long term it will only grow. Regarding Vale, they still represent a very large account for us. It is not just big projects, but we also support their ongoing operations and maintenance. FLSmidth has had a presence in Brazil for more than 50 years, and for most of those, we were primarily focused on cement. I have spoken much about the minerals business, but the cement industry remains critical. In fact, Brazil has now more cement production than any other country in the Americas. We have some opportunities in not only new plants, but we are working to increase our share of smaller projects and upgrades too. FLSmidth China has set up a business model. How do you see it? Do you see any problems with it in the medium-long term for Brazil? Your product is made 70% abroad and then servicing and the technical parts are done here. Is it a problem at all? FLSmidth China is to serve the Chinese market. We do source some components from China and have some manufacturing capabilities there. But, whatever we do is according to our global standards for quality. When you think as a global company, you cannot have boundaries and frontiers. In cement and minerals, markets fluctuate and you cannot very quickly build up huge domestic capabilities to coincide with an upturn. It is not practical for us to have large scale, redundant capabilities all over the world. The strategy of FLSmidth is similar to that of many other global companies; centralize appropriate resources that support local hubs. Brazil is a huge market, so although it is not exactly a project office with a global role, it has deep resources. Obviously, we are Brazilians, so we are pushing and investing to make what we have here in Brazil even better. You are not afraid in any way that the Brazilian government will change the rules? I have been very close to the Oil & Gas segment through Petrobrás and have seen how they have settled the contract with local content, which is very tough. You are not afraid that Brazil, for some technical or political reason, in the near or long-range future will change that? This possibility always exists. If something is efficiently procured in Brazil, our strong preference is to procure it in Brazil. If there is a need to solely supply local content, we are, in many cases, at no disadvantage to our competitors. If we are challenged to source something suitable locally, it will be very challenging for everyone else too. I believe that the Brazilian industry is very well-established and that the government will do its best to help. How does your company attract the best talents - both Brazilian and foreign? Attracting and retaining talent is viewed with extreme importance. I cannot emphasize that enough. In essence, we are a specialized engineering, technology firm oct/dec 2012 65 Brazilian Review INTERVIEW that sells equipment and services. But, we do not really manufacture anything. Rather, what we sell is ourselves. If our people cannot add value, then we have nothing to sell. Consequently, talent management is something that transcends our human resource organization and the responsibility is shared throughout the leadership of the company. Most importantly, we are a growing and successful company. This is essential for providing opportunity for individuals. We work to ensure that employees have access to information, we want them to know what we are doing and what we are about, even if it may not impact their daily work. Similarly, we want to make sure all have access to opportunities for advancement and enrichment. Legally, we are officially a Danish company, but we consider ourselves a global company. For example, all jobs are posted globally, and may transfer abroad. Many of our training initiatives are global. Recently, we hosted a sales training workshop in our Sorocabo office that will soon be replicated in the United States and then in Denmark in 2013. How you see the Brazilian business environment today? Lula had a kind of emotional political strategy for Brazil while Dilma has more of a kind of strategic and rational approach to politics. How do you see the future? Regardless of who is in office, I believe that among most foreign companies, Brazil has a reputation for being a difficult place to do business. But, I counter that, and suggest they exchange the word “difficult” with “complex”. Complexity is something you need to learn to deal with, something that may have some challenges but also some benefits. For example, why is the money market here not so free? I have seen that viewed with criticism, but today we are thanking God, because if you have huge companies with dollar accounts, euro accounts and so, can you imagine the disaster on our hands? I think that our complexity has provided some insulation from the crisis that is happening in the world. We have a bank system that is extremely controlled, which can be a negative factor, but 66 oct/dec 2012 thank God we have it, otherwise we would be in the same trouble as other countries are now. Brazil has so much to offer. Yes, there is a lot of poverty but at the same time there is a lot of richness. To understand this there is a saying in Brazil that there used to be many Brazils. In the past, people talked about “Brasindia”, “Brasilindia”, “Belgium Brazil” and things like that. There is not a big market, but there is a market, and everybody wants to stay here. And those who are not here are looking forward to coming here and building a factory. The largest industries and most prominent multinational companies are all well represented here. In mining, we have one of the biggest mining companies. In oil, I don’t even need to mention it, but Petrobrás is one of the top companies within this segment in the world and will probably become, within the next 5-10 years, the biggest resource with a big investment. In Pulp and Paper and you see that we are one of the biggest producers, we have the biggest factory and right now the biggest factory in the world is being implemented in Brazil. When you start to look at Brazil for a potential future, you have signs that are very interesting. I have always been an optimist about Brazil, I believe we will always remain the country of the future. There is an optimist-optimist, there is an optimist-realistic and there is an optimist-cautious. Which one are you? I am an optimist-realistic. I value data. You need to have the data to support your decisions and whatever you intend to do in your life. You are a very busy man, what do you do in your free time, if you have any? This is a top secret thing, so to speak! I am a family guy; I love to be with my children. My daughter is 24 and studies in England. It’s the first time she is away from her parents. I also have a boy who is 21 and is studying business administration in São Paulo. Also, I am a Boy Scout leader. I appreciate the perspective of young people and their Curriculum Vitae Francisco Davos Experience 5 years experience in executive posi•2tions as CEO, and Vice-president in several industry areas as il&Gas, Biofuels, Process Equipment, •OMinerals. He worked in companies all around Brazil such as: siminas Mecanica, Praj Jaragua , •UDedini and Baker Hughes Inc. tart his career as Project Engineer •Sand Project Management at General Motors, Confab Industrial and Cotia Trading, Vice President of ABIMAQ – (2010/2013); Guest Speaker in international Workshops and Seminars like: (2008) – Universidad of Illinois at UrbanaChampaign – USA – The future of Biomass; (2007) – Johannesburg – RSA – Ethanol as a energy provider; (2006) – Orlando – FL – USA – Farm to Fuel Seminar – Brazilian Model for Ethanol; (2006) – California State University – CA – Ethanol of the Future • • • • Education - Mechanical Engineer•Bing,S Technology with MBA in Industrial Administration and Operations dreaming, “let us take on the world, let’s change it”. It is something very motivating. In Piracicaba, a city 100km from here, I made some very good friends and still visit at least once a month. Once a Boy Scout, a Scout for life. JOL oct/dec 2012 67 Eduardo Grecco Regional Vice-President How is Christian Hansen doing at the moment on the Brazilian market? Christian Hansen is doing very well; we are not only growing along with the market, but also in terms of market share. We are today present in three of the most important food markets, namely cultures and enzymes for dairy products and natural colors for the entire food industry. Within cultures, we are growing quite a lot and gaining market share as well as expanding as the Brazilian consumption is increasing, especially in products like yoghurts where the penetration and the per capita consumption is still very small, when compared to developed countries or even to some of the emerging markets. What is the growth rate for Christian Hansen this year compared to the one in 2011? Worldwide, it’s 9%, and our region is actually growing at a 20% level. So it’s quite a significant growth for the reasons I mentioned before. Your biggest clients are obviously big companies like Unilever, Nestlé, Danone, etc. How many clients do you work with? Is it very concentrated or do you work with a lot of clients? If you pick the dairy customers in the area of yoghurts, they are very concentrated. I’d say that five clients retain almost 85% of the market, but when you look at the cheese segment I believe that it is not different inform the scenario seen in Europe; there are lots of big, medium-sized and small clients. Within the color segment, you do have a lot of medium and small clients, but the big ones are very big. Among them are the ones you mentioned, i.e. Unilever, Kraft, Danone; they are really big, so it depends Eduardo Greco Regional VicePresident 68 oct/dec 2012 on the market, but I would say that our 80/20 customer is pretty much focused on some big international key-accounts as they are the ones that count the most. You have around a hundred employees, and you have one factory, right? Yes, we have one factory in Brazil. How many distribution centers do you have in Brazil? We don’t have distribution centers. Our products are very light. We sell more value than volume. In some cases, our product will go out by air, so it’s a highly value-added product; it’s not a heavy volume, so we don’t need distribution centers. Who is your competitor on this market? In the cheese and yoghurt market, the most important would be Daniwhich is a German compansco, the ex-Danish company that now belongs to Dupont, and Sacco, the Italian company. Then you have enzymes, where DSM, the Dutch company, is pretty strong and active here. Moreover, you also have some local companies that would play against us in this market as well. In the color market, it is mostly Sensient, which is an American company, GNT which is a German company and Naturex, which is a French company. It’s very specific on each market. These would be our most important competitors. Depending on each market you look at, you have a different set of competitors. I do see this trend, not only because people will keep eating, but especially in the case of Brazil, where some of the good things that Lula did were to increase the average wages and also give a lot of subsidies to the poorer classes, so it’s something that we see very clearly. People are eating more and better. The better aspect is very important because you know that we go for the healthy food. So, if you talk about food itself, yes, the food segment should grow more than the economy as a whole, because there are lots of categories that still have to be penetrated and an increase in the average consumption on a per capita basis still has to happen. The other factor is because we deal with healthy food and the healthy food segment will grow much more than the average food segment. So, when you talk about probiotics, you talk about good yogurt, you talk about good cheese, you talk about good food with natural ingredients; this food segment will grow much more than the average segment. So I really believe that we are on the right side of the equation. What are the vision and the mission of Christian Hansen? What we want is to improve the food intake and the health of people, and when we talk about vision, we want to be the number one of course in our areas of expertise, but in a very sustainable way by respecting the environment and everything but also in a very profitable way. We are a public company and our shareholders deserve the very best. How many Danes do you have in your organization in Brazil? In Brazil, there is just this one that you can see at this table. I was told that we used to be a little bit more, but it varies. Sometimes we have more, sometimes we have fewer. At this very moment, we only have Gorm working for us. “ What we want is to improve the food intake and the health “ A lot of people think that the food industry is an industry that will continue to grow. I have spoken to the leaders of the major food companies and they predicted a very strong growth rate even in times of economic difficulties, simply because people want to eat. Sometimes, in times of crises they eat more than they should and they drink more than they should, that’s normally the way it goes... Do you see it the same way? of people The Brazilian economy is very concerning for a lot of people; some people even predict that Brazil will have a really rough CHR Hansen headquarter in Valinhos oct/dec 2012 69 Brazilian Review INTERVIEW time for the coming eighteen months. Do you think in any way that this will reflect on your business? Of course it will. When I told you that the food segment will grow because consumption is growing, that’s a fact. But the acceleration of the growth will change a little bit. That’s on the top light side. I would say liquidity is also a point of concern, because our consumers will face some trouble and then they will pass these troubles backwards, so that might be another one. We have to be prepared for this tough time. I fully agree with you that the next eighteen months to two years maybe are going to be a bit tough. We have to be very clear here, Brazil is pretty much dependent on the prices of the commodities, the export that we have to China and also to the European community and to USA. You see that USA is doing a little bit better now, but better means not really great. So yes, it is going to affect us, especially in the top line growth, and in terms of liquidity and the way we operate with our customers, I would say. Do you have any major investments in mind for Christian Hansen in Brazil? Not at this point. Our investments would be minor and in the area of improving, increasing a little bit and in maintenance, but we do not have a master investment so to speak. Because of the characteristics of our products, we don’t have many plants or many distribution centers. We have some centers of expertise. Here in Brazil, we are experts in production of some colors such as annatto; it’s called Urucum in the local language. In Peru, we produce other colors like carmine. In Denmark and France, we produce some other colors yet. We don’t want to radically change these centers of expertise, because we want to keep the leverage and the cost as low as possible. So, we have investments in Brazil right now, but not master ones. When is Lars coming to visit you? That’s a good question... When he visits us, he visits the entire region, not only Brazil. He comes to Argentina; he would probably go to Peru where we have important investments. I believe it would be his next place to visit. I don’t have the dates though. Is it this year or next year? No, I don’t see Lars coming here this year. Next year maybe. There are meetings that we have during the budget set-up, so there will be a possibility of Lars coming to join us around May of 2013. If he comes, we would very much like him to be a speaker at the Chamber and invite the whole community to hear him. You can extend an invitation to him. JOL 70 oct/dec 2012 Curriculum Vitae Eduardo Grecco Lemos •2011 - Chr. Hansen - Central & South America Vice-President •2005 - 2010 Pactiv / Reynolds •Packaging - CEO Mexico •2000 - 2005 Reckitt Benckiser Latam Sales Director •1996 - 1999 Colgate, Kolynos - Sales Director •1989 - 1996 Unilever - Trade Marketing Manager Education •BA - Fundação Getulio Vargas - SP •Law - USP São Francisco - SP oct/dec 2012 71 Scandinavia Designs Pelikan chair by Finn Juhl 72 oct/dec 2012 In the “Brazilian Review October/December 2007” issue there was an introductory article about the newly established Scandinavia Designs. The article described our initial ideas about distributing a few Danish brands to selected Brazilian clients. At the end of the article, we talked about our thoughts and ideas of maybe opening our own showroom with a combined store in order to display both brands and products in the right surroundings. “Our business model is flexible but let’s see what the future brings” the article ended. Right now you are reading the October/December 2012 issue of the same magazine. It’s been 5 years, but it seems like yesterday. What has happened? Scandinavia Designs is today located in the heart of Jardins. We followed the showroom idea and after some intensive search, we found an old fitness center that was left overnight by the tenant. It took 4 months to transform it into the 300 m2 white “cube” that is our platform, showroom & retail store. Cocoon by Eilersen Today we are representing more than 25 brands. The majority is Danish but new arrivals from Norway, Sweden and Finland have been added. We target 4 different segments: Architects, Consumers, Wholesale/ other shops and B2B/Corporate clients. As “Scandinavian Originals” – we only select objects that we love and see a potential in – that being furniture, lamps, objects and gift articles. The mix of products we offer, and the layout or our store (with elements of a gallery, museum, a normal store and a showroom) makes our difference. Our customers are buying into the Scandinavian lifestyle, we are not only selling them products. Brazilians like design from Scandinavia. Maybe that’s not that surprising as some of the most renowned Brazilian designers were clearly influenced by some of the famous designers from our region such as Finn Juhl, Hans Wegner just to name a few. Naturally it has helped that Brazilian media has used Scandinavia Designs as a reference more than 800 times since we started doing PR activities in 2008. Business unusual In addition to PR we have been hosting events with different partners. One of the unusual ones was a 60 minute panel discussion with HRH Prince Joachim talking about Danes and Denmark. Another was Volvo’s Chief of Design, Peter Horbury, sharing his insights on Volvo’s design strategy. The recent COOL DENMARK event was unique not only because of HRH Crown Prince Frederik and HRH Crown Princess Mary participating, but the idea of integrating gourmet, design, architecture, music and fashion into just one event was special. Being “local Danish Brazilians” we are often approached by Danish companies that would like to do business here. Brazil has been portrayed as one of the bailouts of the current crisis in Europe. We normally tell them the following. Yes, the potential is here. Yes, the market is increasing. Yes, the economy is as stable as ever. BUT, if you are not prepared for the long haul with bumps on the road including one or two budget overruns it’s better to go back and reassess. You have to prepare for issues that normally for Danes are unintelligible. It took us a couple of years to really understand the term “Custo Brasil”. Just look a couple of months back when the “customs department” went on strike which paralyzed both import and export businesses. Actually McDonalds almost ran out of French fries because they were short of imported potatoes. Grasshopper from GUBI Back to the future There are many new upcoming and innovative designers entering the Nordic design scene – and it makes it even more interesting to follow but also hard to choose new brands or new products. Lately we’ve introduced 4 new brands. Finn Juhl – by OneCollection. Recognized as the father of Danish Design, Finn Juhl became world famous for designing the United Nations Trusteesship Council. Among his most famous furniture is the Pelican chair, the Poet Sofa and the Chieftains chair. If you are in Copenhagen it’s worth visiting “House of Finn Juhl” at the Ordrupgaard Museum. Northern Lighting is a very innovative lamp manufacturer from Norway – inspired by the Nordic light. They have a unique way of being both warm, humorous and beautiful at the same time. Lightyears from Denmark is also new in our showroom. Functional lighting, but at the same time offer an aesthetic experience, whether lamps are on or off. Eilersen sofas. A competitive Danish alternative to the Italian manufacturers that are dominating the market for imported sofas in Brazil. Nosy table lamp by Lightyears Trash Me by & Tradition made out of egg-boxes apr/jun 2012 73 AJ Floorlamp - Poet sofa - Eye table Pendant by Verpan - Chieftans chair by Finn Juhl Last year we introduced our corporate catalog which showed a wide selection of corporate gifts that makes a difference. Giving companies a good opportunity to differentiate themselves in front of their most valued clients. Our clients include both Brazilian and Scandinavian companies. Importing directly from manufacture, enables us to pass on sizable discounts at larger volumes. The challenge is getting companies to accept that importing takes 74 oct/dec 2012 Caravaggio pendants from Lightyears TIO chair from Massproductions time why they have to place orders in advance. Our 2012 corporate catalog is available directly from our website. New store just opened We have just launched a brand new online store that opens our doors to new clients in all regions of Brazil. Not surprisingly it was a bumpy road getting the new site launched, but at the end we believe it was worth the journey. www.scandinaviadesigns.com.br. Who knows what the future will bring? Many new ideas will be nurtured, but in 5 years the “Brazilian Review October / December 2017” issue will give us some of the answers. Scandinavian Designs www.scandinavia-designs.com.br apr/jun 2012 75 Tivoli’s old and cherished Pantomime Theatre has seen an exciting development over the past few years. Challenging premieres, international ballet corps, a new ballet school and a spectacular Nutcracker production have been milestones throughout the change, which also reveres the old pantomime tradition. At the head of the company is Artistic Director Peter Bo Bendixen. 76 oct/dec 2012 News from an old theatre Keeping traditions alive At the core of The Pantomime Theatre repertoire are 16 classic pantomimes starring Pierrot, Harlequin and Columbine. Several of the shows date from before Tivoli was founded, and were first seen on the bill for performances at the Court Theatre in Christiansborg by the families Price and Casorti in 1800. The sixteen shows all have the same plot: Columbine is in love with Harlequin, but her father Cassander thinks him an unsuitable match and asks the family servant Pierrot to make sure that the lovers do not meet. Pierrot is easily tricked and Harlequin has magic powers, so every show ends with the fairy godmother blessing the union of the two lovers. Each performance runs for about 30 minutes and is a mix of Columbine’s pretty tutu and pointed shoes and Pierrot the clown’s basic humor. Peter Bo Bendixen explains: “This is not only a Tivoli Gardens tradition, which is important in itself. It is also a part of Danish and European theatre history which is only preserved in Tivoli; you will not see these shows anywhere else, even though they were popular throughout Europe 200 years ago. Many of Tivoli’s guests have a long history with the pantomime having seen them since childhood and have a great love for them. So, it is very important that we take care of our heritage and make sure that even children and youths today are amused by the pantomimes. Ever since I have been appointed artistic director, we have taken a couple of the old shows every year and looked at them afresh. We make sure that the story is clear and that the steps, gestures, costumes and makeup are all aiding the storytelling. Since the world is changing and people are chang- ing, the pantomimes have to change with the times, but in a subtle way, to remain relevant to a modern day audience.” And it would seem that this approach works. Hundreds of people gather for each performance, and many who pass the theatre on their way somewhere else stop to enjoy this charming cocktail of graceful ballet and good old slapstick fun”. Staying fresh However, to stay fresh Peter Bo Bendixen also makes sure that his dancers are challenged with new works by internationally acclaimed choreographers. Tim Rushton (originally from the UK) and Marie BrolinTani (originally from Sweden) have choreographed two of the 2012 premieres which also include a new ballet by English choreographer Michael Corder. Renowned hip-hop choreographer Steen Koerner has created four works for the Pantomime Theatre over the years using the old characters and traditions in fresh and contemporary ways. “It is of vital importance that we as a ballet company keep challenging ourselves. If the work is not interesting, I will not be able to attract the best dancers, and if the dancers are not good, we will lose interest from the public. We are lucky in that many dancers from all over the world want to dance with us, and that’s because we bring something interesting to the table,” says Peter Bo Bendixen. The dancers are picked at auditions in Copenhagen and London or sometimes hand-picked by Bendixen who visits with many ballet schools during the year. In 2012 there are dancers from Denmark, Finland, Norway, Latvia, France and the UK in the Company. They have all had to learn to deal with the special conditions at the Pantomime Theatre: “We have an old theatre with a rake, a slope, like in the old days. So, a dancer has to learn how to find his balance. Also, we perform outdoors in daylight. If it rains, people leave, and you can see everything that is going on in the audience: People talking to each other, eating ice creams or leaving in the middle of the performance to keep an appointment,” Bendixen explains. The Nutcracker The dancers in the 2012 Tivoli Ballet Company have a big assignment ahead of them. After four half-hour ballets at the Pantomime Theatre, HM Queen Margrethe has agreed to design the sets and costumes for a new splendid production of The Nutcracker choreographed by Peter Bo Bendixen. “We have moved the plot to Copenhagen in the 1870s. I have wanted to stage the Nutcracker in Tivoli for a long time. The music and the story have such great appeal, and many of us will remember the feeling of becoming enveloped in the fairy tale as the performance progresses. For me it seems natural for this fairytale to take place in Tivoli.” Bendixen says. “I want to present the Nutcracker as a show for the whole family that will thrill children and adults alike and allow them to share an experience with each other.” Children will be cast as the many mice of the Mouse King’s army. Most of the kids will come from Tivoli’s very own new ballet school which opened with two summer camps in July and August and has its first full class in September. “2012 is a busy year for us, but also a very exciting year. I feel we now have the company I have been working towards, and we are ready for anything,” Peter Bo Bendixen concludes. Tivoli The Peacock Theatre Curriculum Vitae Peter Bo Bendixen Bo Bendixen, born 1965, became •Peter artistic director at Tivoli’s Pantomime Theatre in 2006. He is also in charge of international ballet performances in Tivoli such as the Alvin Ailey American Dance Theater in September of 2012 and Pilobolus’ Shadowland in April of 2013. In November of 2012 Bendixen’s first full length ballet as a choreographer opens: The Nutcracker with set designs by HM Queen Margrethe. Bendixen trained as a dancer at the Royal Danish Ballet School from 1974 and was employed as a dancer at the Royal Danish Ballet in 1983. His breakthrough came in 1985 when John Neumeier created the title role of Amleth for him. In 1986 he was hired for John Neumeier’s ballet company, Hamburg Ballet. In 1989 Peter Bo Bendixen returned to the Royal Danish Ballet, where he was appointed Soloist in 1991 and Solo Dancer in 1993. For a number of years Bendixen was artistic director for Principals and Soloists of the Royal Danish Ballet, a touring division of that ballet company. Peter Bo Bendixen has also been an expert judge in talent shows on Danish TV networks. • • • Tivoli’s oldest existing building is the Peacock Theatre from 1874. It is designed in the Chinese style with dragons and other characteristic symbols. The architect was Vilhelm Dahlerup, who at the same time worked on The Royal Theatre in Kongens Nytorv. The theatre works in the old-fashioned way, where backdrops and wing flats are operated by hand. Just to lower the peacock curtain five stagehands are put to work. Above the stage are four Mandarin letters saying ‘Joy Together With People’, which is taken to mean that you find true happiness by sharing it with someone.oct/dec 2012 77 Valdemar Castle Valdemar Castle was built by King Christian IV and stood completed in the year 1644. It was built for his son Valdemar who however never moved in as he was killed in battle in Poland in 1657. The estate reverted to Valdemar’s mother, Kirstine Munk, the king’s mistress. After the death of Prince Valdemar the castle was never inhabited and slowly started decaying until the property was sold to a wrecker from Copenhagen. In 1677 admiral Niels Juel, who commanded the Danish navy, won a significant victory over the Swedish fleet close to the Bay of Køge south of Copenhagen. A considerable number of Swedish ships of the line and smaller vessels were captured and the admiral received 10% of the value of the captured vessels and provisions as prize money. But at that time the King’s coffers were empty after a yearlong campaign and he was not 78 oct/dec 2012 able to pay Niels Juel in cash. Instead the admiral received a title of the crown land on the island of Taasinge (the estate without the castle) as all the buildings had been sold to a wrecker. Consequently Juel had to buy the castle and all the buildings from the new owner who had luckily not commenced demolishing King Christian IV’s edifices – hence the estate ended with our family in 1678 and has remained in the family Juel since then. Incidentally building materials as opposed to labour were so expensive that a Copenhagen wrecker could earn money by buying houses and castles, tearing them down and shipping the materials to Copenhagen by sailing ship. The castle has been through three significant building and rebuilding periods. First of all the construction of king’s initial castle and further buildings where we unfortunately have no records except a print from the period in an atlas over Danish cas- tles, manor houses and listed buildings by a gentleman named Resen. Upon receiving ownership admiral Juel had to completely rebuild the castle, domestic buildings etc. for the second time. And in the 1750’ies my great, great etc. grandfather rebuilt everything to how it stands today including the two gate lodges, tea pavilion and mirror lake and the two stable blocks. The contents of the castle has been collected over the centuries following Juel’s take over where the most important objects on view are the paintings and several pieces of furniture and porcelain where the most important pieces are included in the picture gallery. Valdemar Castle has always been important in the history of our country not least because it is the only royal palace on private hands. We have been open to the public since 1974. Apart from the private apartment in the north wing the whole castle is open where around 8.000 square meters can be viewed including the chapel in the south wing, the former private bed and bathrooms, the ballroom, drawing rooms etc. all furnished with historic pieces of art and furniture. We have about 30.000 guests, not including our concert and fairs, where we have about 50/60.000 further visitors. The fairs include an exhibition of jewelry, furniture and household decorative objects, and at Christmas time we have a fair targeting the Yuletide traditions. Annually we have an open air opera and in the summer a modern music concert. The family coat of armes, the traditional and oldest, consists of a shield with a blue background a gold star above three waves with two human arms above holding a golden star. The family Juel – now spelt Iuel – has been on record in Denmark since the 1350’ies. Where we originated is an unknown question. Some believe we arrived from England after Thomas Becket was murdered, but all this remains unanswered. Later, when one of my ancestors married a lady with the surname Steglitz von Brockdorff, our surname was changed to IuelBrockdorff with a more elaborate central European type coat of arms. However in our family we prefer the more primordial original coat of arms with his motto ‘Nec temere - nec timide’ translated to: ‘Not rash – not timorous’. Being the admiral in command, Juel had to stem his possible temper but at the same time never show weakness or cowardice. On the estate we grow cereals, some grass seed and rapeseed, and from the forests mostly beech wood, ash, maple and some Norway spruce and some Christmas trees are harvested. Unfortunately we have no livestock – a farm without livestock is sadly not a ‘real’ farm. However, we do some shooting. We have fallow deer and roe deer where the surplus is shot, always shooting the weaker animals thus developing the stock. Pheasants are also shot. Shooting driven pheasants flying high is great sport. Usually with eight guests the gentlemen spend the day in the fields and forests, and the wives always join the men for a black tie dinner in the evening. Although being old and quite famous there are no confirmed ghost stories attributed to the house although we have a true story – time making it more and more romantic. The story from the late 19th century about a very beautiful ‘circus princess’ and a Swedish army officer, incidentally married in Sweden. They fell terribly much in love. But as the future was futile for them they decid- ed to commit suicide in one of our forests. They were found by one of the foresters who placed a stone where he found the couple. And today this spot is visited by hundreds, maybe thousands each year and we often find wreaths and flowers by the stone. The castle, it is said, was visited by Hans Christian Andersen but none of his authorship bears witness to this. But a poet, Ambrosius Stub, well known in Denmark, was a tutor to the children of the time at Valdemars Slot. We have some of his original manuscripts and our oldest oak tree, five or six hundred years old, bears his name The Stub Oak. Niels Juel oct/dec 2012 79 Baron Niels Iuel-Brockdorff and his wife Baroness Molise Iuel-Brockdorff Running an estate is quite difficult in Denmark of today. With a huge castle and numerous listed buildings the cost of maintenance is exorbitant. This being the fact we chose to open the house for paying guests to help generate monies for the upkeep. Although a great part of the world’s population is starving there is no possible way of getting enough foreign aid for our produce to be purchased and sent to the needing. Most of our products are sold domestically or go to the EU. With wages at our present level the profit margins are quite small. My father remembered when 100 kilos of wheat could pay for a farmworker’s daily wages, while now the same 100 kilos will not even cover an hour’s wages for the ‘same’ employee. Farming and forestry is not a good business but I think having an estate is probably the most rewarding way to spend one’s life. You ask if we have a certain business model by which we run Valdemar’s Castle. Probably the same model as most present owners of historic estates live by, ‘making ends meet’, and trying to maintain the beautiful places that we love and that represent a great part of our country’s history. Ensuring that the next generation can take over is an ongoing consideration we all daily spend time pondering over. It is not easy bearing in mind the costs involved with taxes, death duties or capital transfer taxes and so on. You ask if it always is the first born son who is destined to take over as the next generation. It is very common but once in a while the first born son does not want to take on the responsibil- ity, sometimes a generation is skipped so a grandchild takes over instead. Sometimes there are no sons and a daughter becomes the next generation. And if the owner is childless the estate will probably go to a close family member. In my case I have no sons but two daughters Caroline and Louise, 36 and 32 years of age, and at present we are working on passing the place over to my grandson, Alexander, Caroline’s eldest son. And I am looking so much forward to seeing the thirteenth generation of our family at Valdemar Castle ‘coming of age’ and thriving in his job. My grandson is at present being educated in the UK followed by university somewhere relevant to his future active life. He is completely bilingual and shall be prepared to take over his father’s estate in England while also running his Danish property. He is a lovely young man and I have great expectations regarding him as my successor at this historic place. I am glad and proud that you mention Valdemar Castle as one of the most beautiful castles in our country which in fact has many lovely stately homes. And you ask how we manage to keep it in such good condition. So far we have been lucky and have managed to get donations which help a lot. It has never been easy – but remember – it is a way of life, a wonderful way of life. I would never have been without. Taking care of the culture and history of our estate shall in the future also give my grandson the same feeling of achieving something meaningful and important for the coming generations and the history of our country. Baron Niels Iuel-Brockdorff 80 oct/dec 2012 oct/dec 2012 81 Brazilian Review INFORMATION VIKING Life-Saving Equipment expands presence in Brazil VIKING Life-Saving Equipment is the global market leader in offshore and maritime safety equipment. Founded in 1960 in Esbjerg, Denmark, the company has more than 50 years of experience and today operates in every corner of the world. VIKING provides the full range of safety gear, including liferafts, individually fitted and standard evacuation systems, immersion suits and lifejackets, fire-fighting gear and life-saving equipment. Brazil expansion In recent years, VIKING has expanded its business into Brazil in order to strengthen its global network of safety solutions and its position as the global marine safety experts. The company opened its first subsidiary office in Rio de Janeiro in 2009 with an aim to offer even better service to its expanding portfolio of customers operating 82 apr/jun 2012 in the region. The VIKING service station in Mage commenced its liferaft servicing in November of that year, and the company’s presence has continued to grow in size and level of productivity ever since. In September 2011, VIKING opened a second service station in the Sao Paulo seaport of Santos. With a daily capacity up to 15 units of 25-man liferafts, the Santos facility has been hailed as the largest liferaft servicing station in Brazil – and maybe in all of South America. Two more service stations, one in Recife and one in São Luis, will open for business in the third quarter of 2012 and a third station is set to open in the fourth quarter of 2012. “Brazil’s highly developed offshore and commercial shipping markets make it a strategically important location for VIKING,” explains Sales Director Mette Line Pedersen. “The additional premises will enable our company to be more cost effective while focusing on reliable sales efforts and top-notch servicing of safety equipment. We are excited to be able to bring our unique safety solutions for offshore platforms – including evacuation systems, protective clothing and lifesaving appliances – to even more customers around the world.” The Sugarloaf crew Located in the company’s head office near Rio de Janeiro’s famed Sugarloaf Mountain, Sales Director Mette Line Pedersen and her staff of 21 administrative and technical professionals are dedicated to serving VIKING customers throughout Brazil. “At VIKING, our global stock points ensure customers get fast delivery times at competitive prices,” says Mette Line. “And establishing a sales base in Brazil has given us even better representation and coverage in the region.” Mette Line has been with VIKING Brazil since July 2011, and she has worked hard to strengthen the company’s commitment to superior customer service. She has an extensive offshore background that includes six years with VIKING in Singapore and three years in Aberdeen. “All of us in the Brazil head office are focused on our customers,” says Mette Line. “We make an effort to understand their core business and their needs, so that we can best assist them. Our Brazil branch offers everything from routine and emergency servicing of safety equipment on board to VIKING’s range of total concept service packages – all at competitive prices.” The benefits of a global network VIKING has manufacturing facilities in Denmark, Norway, Thailand and the US, giving the company full control over the value chain and worldwide access to product experts. VIKING’s flexible service offerings include multi-year agreements at fixed prices for predictable budgeting and full transparency, or attractive day rates that are available with or without an agreement. Viking Life-Saving Equipment For more information about VIKING Life-Saving Equipment and its products and services, visit http://www.viking-life.com apr/jun 2012 83 Ekorne’s sales office in South America “Dream Team” in Brazil From an office in Sao Paulo this group is responsible for Ekornes’s sales activities throughout South America. Ekornes’ Stressless® brand is positioned at the high end of the Brazilian market. This is a segment dominated by Italian-inspired furniture, where both interior architects and designers have a great deal of influence. The challenge for Ekornes has been to create a niche for our recliners, focusing the attention on the brand’s promise of superior comfort combined with attractive Scandinavian design. Efforts are currently being made to develop alternative distribution channels outside the traditional furniture shops in order to reach more consumers. After a great deal of hard work we have been successful in launching our product line at FNAC, a major French retail chain, whose parent company PPR also owns the Gucci and Yves Saint Laurent brands. FNAC has 11 stores across Brazil. For further expansion outside the Brazilian market, we are also looking towards Chile and Argentina as potential markets. This will be a next step in our South American strategy. 84 jul/sep 2012 Development in Operationg Revenues the last ten years Development in Pre-tax result (EBT) and Operating result (EBIT) Ekornes Managing Director César Garrubo Ekornes aims to be one of the world’s most attractive suppliers of furniture for home furnishings jul/sep 2012 85 This is Ekornes Ekornes ASA is the largest furniture manufacturer in Norway and owns such brand names as Ekornes*, Stressless* an Svane*. Stressless* is one of the world’s most well-known furniture brands, while Ekornes*, Stressless* and Svane* are the best known brands in the Norwegian furniture market. Manufacturing is handled by Group’s three production companies at seven factories, six of which are located in Norway. Ekornes also has a sofa assembly plant, located in Morganton, North Caroline, USA. The Group’s production are sold in large parts of the world through its own sales companies or importsnts in selected markets. Ekorne’s business its to offer products that, in terms of both price and design, appeal to a broad audience In addition, the Group aims to develop and manufacture products offering excellent comfort and functionality. Ekornes selss its products through specially selected distributors markets all over the world, and to parts of the contract market in the Nordic region (maritime and hotel). Ekornes ASA’s head office is located alongside the Group’s main Stressless* manufacturing facility at Ikornnes in Sykkylven, on the west coast of Norway. Ekornes ASA is the parent company of the Ekornes Group. The Group’s production facilities are organised according to product area: Stressless, Ekornes* Collection (sofas) and Svane* (matstress). Ekornes ASA provides all shared services, including group management, marketing, purchasing, accounting and finance, as well as product development for the Stressless* and Ekornes* Collection segments. The Ekornes story began in 1934 when company founder, Jens E. Ekornes, started manufacturing furniture aprings at the J.E. Ekornes Fjaerfabrikk in Sykkylven. The first Stressless* recliners were launched in the Norwegian market in 1971. Ekornes 86 jul/sep 2012 Malin Håkansson Teles, César Garrubo, na Flávia Barbosa Almeida and Hay Wernick jul/sep 2012 87 Novozymes to expand activities in Brazil Cellulosic Ethanol is becoming a reality in Brazil with Novozymes’ enzyme technology. The regional branch from the Danish company, settled in Araucaria at Parana State, works together with customers across a broad array of industries to create tomorrow’s industrial biosolutions, improving business and the sustainable use of our planet’s resources. As the world leader in bioinnovation, Novozymes is determined to become a worldwide reference in innovation for providing solutions to convert biomass into chemicals and advanced biofuels[i]. Moving along the path to full-scale commercialization and the Brazil toward a more affordable clean fuel for our cars, buses, and trucks, enzymes enables cost-efficient conversion of biomass to ethanol. The cutting-edge enzyme from Novozymes, Cellic CTec3, decreases costs and increases yields in production of advanced biofuels from sugarcane bagasse and other agricultural residues and waste. By 2013, the Brazilian bioenergy company GraalBio will be among the first companies in the world to produce commercial volumes of cellulosic ethanol when they open their new facility in Alagoas State. 88 oct/dec 2012 The plant will produce 82 million liters of ethanol per year from sugarcane bagasse and straw and Novozymes will supply the plant with enzymes. As the advanced biofuels industry in Brazil scales up over the coming years, demand for enzymes is expected to follow and Novozymes, that began its operations in Brazil in 1975, has therefore begun searching for locations for new enzyme manufacturing plants in the country. “Novozymes is proud to supply our customers in Brazil and Latin America with the most advanced generation of enzymes world-wide. Enabling cellulosic ethanol commercial availability defines a new age for the industry with more focus in sustainability and energy efficiency”, says Novozymes’ Regional President for Latin America, Pedro Luiz Fernandes. The advanced biofuels industry is taking off in Brazil and Novozymes remain confident that cellulosic ethanol will play a significant role in Brazil’s energy matrix. “To support this, we are looking to establish new enzyme production facilities in Brazil, dedicated to making enzymes for the biofuels industry. The location of new plants will, among other things, depend on where the industry is expected to scale up, where Novozymes’ partners are located, and where the best framework conditions exist”, says Pedro. Global production capacity of ethanol from cellulose is estimated, under planned construction, to reach about 57 million liters in 2012 and 945 million liters in 2014. A recent study by Bloomberg New Energy Finance estimates that the advanced biofuels industry has the potential to create millions of jobs, economic growth, and energy security worldwide. Looking at Brazil alone, the study shows that the country could produce more than 170 billion liters of ethanol every year, replacing 83% of its gasoline consumption by 2030. This would create 1.25 million jobs and reduce CO2 emissions from gasolinebased transportation by 67%. Novozymes [i] Advanced biofuels are produced from cellulose in biomass such as wheat straw, corn stalks, sugarcane bagasse, household waste, or energy crops such as switchgrass. The biomass is first broken down into a pulp. Enzymes are then added, turning the pulp into sugar that can be fermented into fuels, feed, and chemicals. Alfa Laval Aalborg Rua Divino Espírito Santo 1100 Carangola, Petrópolis - RJ CEP 25715-410 - Brasil Ph: 55 24 2233-9963 Fax: 55 24 2237-6603 [email protected] Market leader to Brazilian Industry in oil & gas fired boilers www.aalborg-industries.com.br www.alfalaval.com oct/dec 2012 89 Brazilian Review PROFILE Alfa Laval Aalborg Brazil wins Large Boiler Project from Rolls Royce Energy 32 WHRU’s For Rolls Royce / Petrobras FPSO’s Alfa Laval Aalborg finally had the contract signed with Rolls Royce. The first purchase order was received on the 21st of March. The order is very important. 32 large Waste Heat Recovery (WHR) boilers for Rolls Royce gas turbines to be installed on 8 Petrobras FPSO´s. The total contract will be around DKK 220 million. It has been a long process, running over 1 ½ years, with lengthily contract negotiations in Brazil and USA. The company was inspected and evaluated by Rolls Royce’s auditor team twice before the green light. The 8 FPSO hulls are currently under construction in Rio Grande do Sul. Rolls Royce has plans to build a new factory at Santa Cruz on the western fringes of Rio de Janeiro city. Rolls Royce won the 90 oct/dec 2012 energy modules in a heavy competition with other international gas turbine suppliers as GE, Siemens and Dresser-Rand. we delivered a similar, but smaller project for the Mexilhão gas platform. This gave us a strong reference. About 80% of Brazil’s oil is produced offshore of Macaé. Local Content Requirement Brazilian local content requirements have reached new heights for this sector. In our case the requirement was 65%. This will be verified by international inspection companies as DNV. Aalborg Industries in offshore in Brazil We have for several years been focusing on offshore and have built up engineering expertise in this area. We have carried out a few projects for Petrobras from our set up in Macaé, from where we are supplying both service and repair to the oil & gas platforms. In 2009 AI-RIO WHR Boilers The 8 FPSO’s will be used for the first phase of Santos Basin Pre Salt Project. The FPSOs will produce oil and gas off the coast of Brazil in the Lula and Guará oil fields, which lie beneath more than 2000 metres of ocean and a further 2000 metre thick layer of salt. The purpose of WHR boilers is to deliver process heat (hot water) to the FPSO, where pre-processing is taking place by separating gas and oil and discharging water, in this process steam is very important. Our WHR boilers are placed after the gas turbines, from where they recover the heat from the exhaust gas. Alfa Laval Aalborg - Brazil Main Features Service:.............................Process Water Heating Nominal Duty:...................................... 26,8 MW Operating Temp. (Water/Exhaust Gas):.... 130/493oC Heating Surface:...................................... 2172m2 Total Length:........................................ 6,510mm Total Width:.......................................... 5.700mm Total Height:........................................19.477mm Total Weght (Dry):................................... 72,2ton Design and Manufacturing Alfa Laval Aalborg We had to follow strict Petrobras and Rolls Royce specifications, and to participate in many technical meetings to get project approval. A very comprehensive inspection plan is being set up. It will include inspection by end user Petrobras, the project owner Rolls Royce, ABS- American Bureau of Shipping, and ASME code adherence controlled by Lloyds. Alfa Laval Aalborg Brazil is a boiler and energy company, with approximately 400 employees. We are since December 2010 a member of Alfa Laval Group. With more than 11.700 boilers delivered, the company is market leader in the industrial oil & gas fired boiler sector in Brazil. Knud Bach, Managing Director Future / Prospects We see a very promising FPSO WHR market here in Brazil, where Alfa Laval Aalborg Rio is very well positioned. But our main market is the Brazilian industry, where we remain confident of Brazil’s continued development. You cannot be global without being in Brazil! Knud B. Bach Managing Director Alfa Laval Aalborg Brazil www.aalborg-industries.com.br Business Luncheon Octavio de Barros Chief economist from Banco Bradesco Octavio de Barros gave a presentation to a full house at the Danish-Brazilian Chamber of Commerce with the title: GLOBAL BAD MOOD AND IMPACTS ON THE BRAZILIAN ECONOMY. It was greatly appreciated. JOL oct/dec 2012 91 Oticon (William Demant) in Brazil Curriculum Vitae Morten Helberg Innovation, advanced technology, and excellence in service. These are the fundamental standards for the William Demant group in Brazil, a multinational holding from Denmark that has been operating on the Brazilian market for more than 60 years. With experience and tradition in the hearing aid industry, the company holds the leadership position within this business segment. William Demant Brazil is active in three different business areas, namely hearing aids, diagnostic instruments and bone anchored hearing devices. Oticon is active in wholesale of hearing aids, and the company works with Brazilian public institutions, besides multibrand dispensers. Through Telex Soluções Auditivas, this company owns more than 70 shops throughout the country where the hearing impaired can acquire hearing instruments with advanced technology that assist all levels of hearing losses. Due to its well-trained audiologists and employees, hundred of thousands of Brazilians have recovered the joy of hearing, together with self-esteem, communication skills, and social life. Among the most modern hearing solutions sold by Telex is the instrument Claris K 220, a complete premium hearing instrument line, almost invisible to the eye that enables anyone who has a hearing difficulty – from the smallest to the severest degree - to feel confident to participate actively in conversations, even in difficult situations. Kids receive special attention by Telex. The company has created an exclusive pediatric department named “Cuidado Auditivo Amigo da Criança” (Child Friendly Hearing Care). Its purpose is to help children with hearing loss to reach their maximum potential. For that they count on this program coupled together with counseling and fitting of hearing instruments and accessories. Being connected is essential in today’s world. To help the hearing impaired, “ConnectLine” is a product line that ensures greater freedom and confidence in communication. This system connects itself wirelessly to hearing instruments as well as to TVs, radios, telephones and cell phones, computers, MP3 players, videogames, and even the car’s GPS system, ensuring that •Born in Sæby - Denmark •Education: MBA IMD Work Experience •KPMG •Arla Foods •Clarke Modet •Oticon since 2003 the user experiences life the same way as a normal hearing individual does. Besides the hearing solutions customized for every kind of need, the company also performs in another relevant field: audiologic and otoneurologic diagnostic. It distributes iInteracoustics in Brazil – selling a complete line of equipment with advanced technology, for the proper diagnostic of pathologies related to hearing and balance, such as audiometers, impedanciometry, otoacoustic emissions, hearing aid analyzers and VNG, an equipment that offers an advanced technology to diagnose balance disorders. The group has created “Viva o Som” Foundation, that promotes social deeds in needy areas. The first project is in the Amazon where it has a clinic for audiologic assistance, donates hearing aids, promotes lectures on hearing loss for parents, teachers and hearing care professionals. The clinic depends on volunteers from many different countries. Oticon Oticon laboratory in Rio de Janeiro 92 oct/dec 2012 Introducing the new high tech hearing aid with wireless connectivity! Control your hearing aids from a discreet distance with RESOUND UNITE™ REMOTE CONTROL Get ultimate portable voice and sound streamer with Hear TVs, computers and many other audio sources effortlessly with RESOUND UNITE™ MINI MICROPHONE RESOUND UNITE™ TV oct/dec 2012 93 GN ReSound The GN ReSound Group is one of the world’s largest providers of hearing instruments and diagnostic audiological instrumentation. The company’s primary goal is to improve the quality of life for people with hearing loss. Years of experience in the field of hearing health care combined with intense and comprehensive R&D has given GN ReSound deep insight into both technology and human behavior. This is why, they believe, they’re uniquely positioned to make a real difference and have been able to provide innovative solutions. Now part of the GN ReSound Group, the company ReSound was founded in 1943. ReSound is known for providing excellent sound by offering innovative hearing solutions that combine original thinking and design with solid technology - all based on deep audiological insight and understanding of hearing aid users. ReSound constantly strives to develop better solutions that help people rediscover hearing - so they can live rich, active and fulfilling lives. An impressive heritage: With roots that reach all the way back to the start of the company, ReSound has been responsible for a number of hearing industry firsts: 94 oct/dec 2012 WDRC (Wide Dynamic Range Compression) broke new ground for sound processing, DFS (Digital Feedback Suppression) was the first system to effectively eliminate feedback squealing and sound distortion, and the world’s first open-standard digital chip set a new standard for flexibility in programming. Also, the introduction of ReSound AIR signaled the creation of an entirely new type of hearing instrument: it provided more natural sound and did away with the discomfort associated with plugging the ear canal. ReSound is represented in more than 80 countries and the Brazilian subsidiary is located in Sao Paulo. The company operates 17 own shops in the main cities of Brazil, has more than 100 distributors and also attends the Governmental Health Policy. http://www.gnresound-group.com/Recently available in Brazil is the breakthrough technology of ReSound Alera®, considered the best-selling hearing aid in 2011 around the world. Using the pioneering sound processing technology of Surround Sound by ReSound, ReSound Alera offers high quality hearing in several segments. ReSound Alera automatically adjusts to the noise level around the users and lets them focus on what’s important. This is one of the greatest challenges of aided hearing but ReSound Alera allows the users to focus on the main conversation – without losing the sense of what’s going on around them or being disturbed by it. So hearing aid users will notice they can hear things like a child whispering a secret – even in a noisy, crowded place. ReSound Alera has received great feedback from markets, for example from the US. CEO Lars Viksmoen said: “In the US, one of our early launch markets, the feedback on ReSound Alera® is very positive and we can see that reflected in our results. Our current customers are excited, and in addition we are not only winning back lost customers, but also getting new ones. And, on top of that, we are seeing the top segments take off driven by customer preference and the focus of our promotional efforts.” ReSound Alera offers a range of different styles so users can choose the instrument that’s exactly right for them. One of these styles is the ReSound Alera Custom Remote Microphone, which is a unique ReSound innovation. Remote microphone technology takes advantage of the ear’s ability to provide natural directionality and wind noise protection. The unique design makes it possible to make significantly smaller and more open custom devices. With these models in the ReSound Alera family, approximately 90% of all hearing losses can benefit with the advanced hearing instrument technology. Simultaneously with the introduction of ReSound Alera, ReSound Unite® was introduced. ReSound Unite is a series of easyto-use wireless accessories that transmit sound and commands directly to the hearing aids. ReSound Unite extends the range of hearing aids, helping hearing impaired people to hear even more when they’re on the phone, watching TV, listening to music or out with friends. Built on a 2.4 GHz technology platform, ReSound offers users a truly wireless solu- GN Resound “Hearing Center” in Joinville tion, which is unique to the hearing industry. ReSound Unite users have no need for bulky devices around their necks and they also avoid echoes and issues related to the lack of synchronization between images and sound. It’s just plug-and-play. ReSound Unite currently offers three different easy-to-use accessories in Brazil: The ReSound Unite TV™, where users can hear crystal clear stereo sound from TVs, computers and many other audio sources - streamed directly to their hearing instruments from up to 7 meters away. Users can hear both the streamed sound and people around them. The ReSound Unite Mini Microphone™, a portable audio and sound streamer, which users can clip onto clothing or plug into an electronic device to hear voice or sound streamed directly to their hearing instruments. It can be used in the car, at home, at work or social events. And finally, the ReSound Unite Remote Control™, which gives users discreet visual control, making it easy to change programs and adjust volume. Just like users of ReSound Alera and ReSound Unite, professionals also enjoy the benefits of the 2.4 GHz wireless technology: the introduction of the Airlink™ with ReSound Aventa 3® fitting software allows for truly wireless fittings. With the Airlink there are no uncomfortable cables or intermediate devices for patients to wear. The market – both professionals and end users – agree: They love the easy wireless fitting and the sound quality is perceived as superior. GN Resound RS Alera 4 Full line up oct/dec 2012 95 Grundfos offices in São Bernardo do Campo Grundfos strengthens its presence in Brazil According fundamentals and consistent indicators of the economy, Brazil is one of the most important areas of business strategy within the overall advancement of the Danish multinational Grundfos, one of the players in the industry for pumping solutions. With revenues of US$ 3.6 billion being managed annually, the organization invests in the country’s potential; it’s a competitive market around 20 national and international groups. Operating a unit in the municipality of São Bernardo do Campo and with two subsidiaries, in Recife and Rio de Janeiro, the Grundfos Pumps subsidiary in Brazil has been pushing for a major offensive focused on strengthening the brand and in the search for results. Objective: to increase the client base and consequent turnover, aiming to double revenue within three years. This action plan pillars are to raise the company’s participation in the market, exploring new niches, expanding the supply of the product line and to strengthen the structure of customer service. “We’ve always been a company focused on product and technology development. Now, we are improving the quality standard of customer service through a continuous improvement of service delivery and an active trade policy,” said Sandro Sandanelli, the newly appointed General Director of the Brazilian subsidiary. Sandro Sandanelli General Director 96 oct/dec 2012 Potential Market It is no wonder that Grundfos choose Brazil as a priority because it is a market that moves around U$ 1 billion per year and has great sales representative in Latin America. Just to give you an idea of the real potential expansion of the Brazilian market, the sector of pumping solutions moves, worldwide, no less than € 30 billion annually and approximately 10% of all the electricity produced in the world is used to drive pumps in several applications. Here, the main targets are the segments of sanitation and water supply, dealers, industry processes, air conditioning and pressurization, food, mining, petrochemical, etc. Sandro Sandanelli highlights the great opportunities that are opening especially for the availability of pumping solutions in the areas of water treatment and supply, given the investments made in the infrastructure sector. To serve its more than 2000 active customers, the company has 120 employees, and as part of the portfolio are names like Sabesp, Sanepar, Casan, Corsan, Petrobras, Vale do Rio Doce, Odebrech, Walmart, Carrefour, Extra, Albert Einstein, among others. Focused in the path of growth, Grundfos aims to advance the average rate of 25% per year until 2014. “Our main focus is growth, which are not discarded, for the next five years, plans for acquisitions and a new plant,” as the General Director appointed. Infrastructure In order to provide a personalized customer service and strengthen the brand, Grundfos comes to equipping on products and services and also geographic coverage. In June, this year, the company completed a major investment with the implementation of SAP in all areas including production. Internally, the company is restructuring and increasing the scope of activities of the Service Division. Among the measures put in place is the expansion of the workshop area - the idea is to turn it into an extension of the customer’s premises. This new work profile aims to increase the productivity and reliability of the products supplied, and to accelerate the market response. Even more modernized, the workshop will host an industry parts inventory with over 100 pump wear model kits, not to mention that, by the end of the year, 20 trainings are already scheduled. Regarding the external measures, Grundfos has aligned its activities with the growth potential of the Brazilian market, to put into operation its first two branches in the country, located in Recife and Rio de Janeiro. The two new bases are allowing business to further consolidate the brand in the Southeast and Northeast of the country, strengthening contacts with customers and establishing new market strategies. By expanding the coverage area and further qualifying the range of services and solutions available in two strategic points in the country, Grundfos makes the approach with the customer as a great competitive edge. Releases ahead - Grundfos action plan also contemplates the continuous presentation of news to the market. The latter is the S-tube impeller equipped with a new hydraulic concept. Newly released on the world market, the product equips submersible S and SL line pumps. Among its differentials, the product has one of the best hydraulic efficiency indexes in the market reaching up to 84%, without compromising the free passage of solids with diameters up to 160 mm. This means greater pumping capacity without blockages. Another good news is regarding the expansion of the pumps portfolio for the industrial sector, thanks to the release of stainless steel (Stainless Steel, SS) NK/NKG sleeve model and the NB/NBG monoblock. They are indicated for the water treatment and general industries: textiles, sugar and alcohol, chemical, pulp and paper, marine, biofuel plants, etc., and are applied primarily in pumping operations of industrial and sea water , solvents, acids, chemicals, various oils, oil and water at high temperatures. The group Grundfos was founded in 1945 in Bjerringbro, Denmark. With over 18,000 employees, the company has over 80 offices in 45 countries and more than 5000 products and solutions offered. Considered one of the most innovative organizations in the international arena, the company invests 5% of its revenue in activities related to R&D (Research and development). Grundfos http://br.grundfos.com S-Tube 2 Glaspump v3 Norwegian Ambassador Norwegian Ambassador Eusebio Turid Bertelsen Rodrigues decorated with the “Grand Cross of Cruzeiro do Sul” in a ceremony at Itamaraty on 22nd of August. JOL The exhibition “Three Norwegian Photographers” has great success in Natal The Exhibition ‘Three Norwegian Photographers’ - Rune Johansen, Per Berntsen and Verona Vinkelmann - was seen by more than 300 people on the opening night at the Natal Municipal Culture Center. The exhibition had an excellent coverage in the press and the Norwegian Consul Gutemberg did a wonderful job. JOL oct/dec 2012 97 Lundbeck Lundbeck is a Danish multinational pharmaceutical company committed to enhancing the quality of life of people suffering from mental health diseases. 98 oct/dec 2012 Mental Health Diseases Past & Present According to the World Health Organization (WHO), over 700 million cases of mental health are registered each year. Mental health diseases are severe and life threatening conditions that affect the quality of life not only of patients but also of caregivers. The company was founded by Hans Lundbeck in 1915 and since the early days it has been experiencing outstanding growth, becoming one of the most important enterprises from Denmark nowadays. We employ more than 5,000 employees across the Globe. Based on Latin America’s growing importance in the global pharmaceutical market, Lundbeck started up its operation in Brazil in mid 2001. At first, products were introduced for the treatment of depression followed by others for Alzheimer Disease (AD), schizophrenia, bipolar disorder and other debilitating diseases. In Brazil, we count on close to 100 employees and a leadership position in the therapeutic areas of depression and AD which should be expanded by the launches of new products in the years to come. Research & Development (R&D) Lundbeck is a global leader in R&D with nearly 1.200 well-trained scientists working in this area. The company invests around 20% of its revenues ex clusively in the development of innovative medication, aiming to bring new treatment options to millions of people suffering from mental health diseases worldwide. Lundbeck offices in Rio de Janeiro Curriculum Vitae Future Lundbeck is prepared and confident to face the future challenges in the short and longer terms. In the short term, the company is strengthening its financial prospects by milking mature products while in the long run the plan is to more than double the size of the business by launching potential blockbuster products from 2015 onwards. The pipeline displays 7 compounds in late stage of clinical development which is a privilege to any phar- maceutical company regardless of its size. We will continue to strive to bring significant innovation to patients and families dealing with mental health diseases, always following our values: passionate, responsible and imaginative. I am honored to be part of the Lundbeck family. Fábio Augusto Deleuse General Manager Lundbeck Brazil www.lundbeck.com.br Fábio Augusto Deleuse • General Manager of Lundbeck Brazil since July/2012 • Brazilian native, married with two daughters • MBA, post-graduation in marketing and graduation as attorney at law • 18 years of experience in the pharmaceutical industry with 7 of them spent abroad • Leadership roles in global, regional and local organizations oct/dec 2012 99 Luiz Fernando Zanutto Vice President Latin America How is Danfoss doing in Brazil? We are doing very well, we double sized the company in the last 2 years. Was that Brazil or Latinamerica? Latin America also did very well but certainly Brazil gave the extra mile. Did all the Danfoss divisions in Brazil do well? Some divisions are doing better than others, but all are gaining important market share. What was exactly the growth from 2010 to 2011 in market share and in volume? It’s difficult to consolidate in just one answer, since we are in different markets and we have different positions. In the refrigeration and air conditioning Danfoss is a clear market leader while in others we have been gaining positions very fast. You run a very important division; are you going to launch new projects and products in the Brazilian Market, which will make it easier and offer a new portfolio for your clients? We are launching new products and solutions regularly with strong focus on climate and energy. This is our main value proposition and contribution to the market. Our last big hit was the One Gear Drive, which is a permanent magnet motor dedicated to conveyors mainly used in Food & Beverage industries. This is more than a new product it is a new concept that among other benefits reduces energy consumption by 30%. Tell us what are the divisions of Danfoss? In Brazil we have 3 main divisions: Power Electronics (frequency Converters), Refrigeration Components, and Commercial Compressors. We have also starting business like Heating Systems which are solid in other regions like Europe. What is the business outlook for 2012? 2012 started with some uncertainty and low activity level. I could not say precisely in which level, but we believe it will recover after Q3. ERC Refrigeration Controller 100 oct/dec 2012 Frequency converter FC302 How many employees do you have in Brazil? Around 200. When is Niels B. Christiansen (President and CEO of Danfoss) coming? All people that take these kinds of jobs have to travel a lot, they have to be global players. How are they divided between sales, technicians etc? Niels was supposed to come in June for the Rio +20 conference, but we recently have been informed that it will not happen. The only way is travelling, business is not behind our desk, but at the customers sites and offices. We need to be on the road all the time. Around 40% in Sales & Administration and 60% in production. Are all of your employees Brazilians? No, we have foreigners, we have people from Chile, Denmark, Argentina, Venezuela etc… . Danfoss as a global company promotes this rotation. Was 2011 a successful year globally for Danfoss? How long have you been with Danfoss? Last December I completed 10 years. How much of your time do you have to travel? Last year, I travelled 21 weeks out of Brazil. I also travelled inside Brazil, but I don’t know exactly how much. Are you married, and do you have children? Yes, I am married with an engineer, and I have an 11 year old son. What is your background? I am an electrical engineer post-graduated in business. Yes, it was one of the best years in the history. It was very good in terms of organic growth and profitability. How much does Brazil represent on the Latin-American business in terms of sales and profits? Latin America represents about 5% of the total global business. Brazil is half of Latin America and is the 8th most important market for Danfoss. We can say we are growing profitably. Who is the second market? Mexico is the second market representing around 20% of LAM. How many people do you have working totally in Latin-America? Around 1500. Danfoss Global has been very involved in Brazilian operations, when do you expect a visit from Jørgen Clausen? Jørgen Clausen has been here in some opportunities, the last one was in 2009. I don’t know when he will be back, but I hope soon, his presence always inspires us. Luiz Fernando Zanutto Vice President Latin America Drives Division, Danfoss do Brasil oct/dec 2012 101 The focus on climate and energy is our main contribution to the market New industrial automation steam valves Have you lived and work for other companies out of Brazil? Yes, I worked for a German company , an equipment manufacturer for breweries and general beverages industries, during 8 years. I lived late in the 90´s between Dortmund and São Paulo for 2 years. Danfoss is a global company, a regional company, a local company. How will Danfoss move forward in this region which, in my opinion, will grow faster in the next decade? How will Danfoss prepare themselves for that? What are the vision and the mission for the future? EFIT 550 thermostat intelligence 102 oct/dec 2012 Danfoss plans to grow double faster in Latin America than in developed regions like Europe. It is obviously a consequence of different markets growth levels, which we want to support by offering high quality products and services portfolio in climate & energy. Benefitting from our strong reputation in traditional markets like Food & Beverage and Air Conditioning we are moving to new markets like Oil & Gas, Biofuels and Mining, where we believe we can create strong value to the market. Tell us about Green Energy, I know you are particularly involved in it; it is the future and big concern of the world. How are you going to tackle that, which roles will you be playing? We discuss climate and energy everyday. This is in our DNA, we are not only discussing it recently, we are not “in the wave” of energy. Since Danfoss exists it is somehow connected to climate & energy. It’s our main business proposition and our main reason to exist. Our contributions are very strong on the product design and construction permeating the total supply chain. We estimate that our products saved globally more than 350 mi tons Co2 in 2011 and we clearly see opportunities to achieve more ambitious targets within the next years. What do you think is going to be Danfoss greatest challenges in Brazil and in Latin-America? Our main challenges are related to the well known macro problems of Brazil like high operational costs, qualified resources, bureaucracy, complex and endless tax system etc… Danfoss is present in Brazil since 1968 and never gave up, never returned to Denmark. Our company trusted in Brazil for the last 44 years, despite of tough challenges. The confidence in the country is much higher now, what make us believe in the long term continuation here. Curriculum Vitae Luiz Fernando Zanutto Education How many Brazilians do you have training at Danfoss in Denmark and in Danfoss’ international organizations? We normally have people coming and going to Denmark and other countries. How many do you have out for training right now? I don’t know exactly, but I would say between 10 and 15 people trained in Denmark this year. Do they stay for a year or two or less? It depends on the situation, but normally people stay there only for days or few weeks. We have more short training education programs. for Power Electronics in USA or Ricardo Schneider which is President of a Danfoss joint venture. I believe Danfoss will have more and more Brazilians and Latin Americans in top positions. Would you like yourself to go abroad for Danfoss? It is possible but needs to make sense. I do not plan my carrier on where, but on what, any change has to be meaningful for me. Opportunities of learning and contributing are in everywhere, restricting ourselves to a country or region sometimes means losing good or perhaps unique opportunities in our lives. I am available to be in any part of the world since the project is good. JOL Development Program – •Advanced INSEAD (2011) Management - USP Vanzoline •Project (1999 - 2000) Engineer - UNESP •Electrical (1988 - 1992) Experience President of Sales & Marketing •Vice in Danfoss LAM - since beginning of 2010. Sales & Marketing Manager •Regional for Latin America in the Food & Beverage segment at Danfoss Drives - since 2004. Project Manager of ADSL implementation at Ericsson do Brasil - in 2001. • •Manager at KHS Industria de Maquinas How many do you get from Danfoss in Denmark to work here? We have in the moment one person in Brazil and 4 in Mexico. I believe it will increase in the next years due to the growing importance of our region. The Brazilians who work for Danfoss, like Sven Ruder (CEO of Danfoss-Sauer World), he is the good example of a Brazilian who went all the way up. I am sure there are others, because Brazilians are very good in many areas. Can you comment? Mr. Sven Ruder had a successful career in an important global position. It certainly contributed to the Brazilians Executives reputation and opened new opportunities of international careers inside the group, like Mr. Arnaldo Ricca who is President Variable speed compressor oct/dec 2012 103 Christian Wolthers has success in Santos How did you come to Brazil? I have a Danish traditional family in Brazil, but it all started up in 2006. I went to Brazil to do an internship at my family’s company Wolthers and associate. Wotlhers is run by my cousin Rasmus who is the current CEO. It’s an international coffee trader. I worked as a trainee for one year in the coffee business, mostly within trading, but I fell in love with the actual coffee part. The taste and the whole romantic story of coffee, i.e. from seed to cup as we call it. One year later I went back to Denmark where I did some lectures for Estate Coffee which is Claus Meyers’ coffee brand in Denmark, and I started doing some consultancy jobs by myself and ended up with a small company with my associate Mikkel Pilgaard Madsen, who was one of the top baristas in Denmark at the current time. When was this? This was in 2007-2008. It all started because of my grandfather who came to Brazil to buy coffee for a Danish supermarket chain and ended up falling in love with a beautiful Norwegian woman, who was my grandmother and they ended up having four kids, John, Christian, Susie and Anne Kristin. These four kids were raised in Brazil by Danish and Norwegian parents, always with contact to Denmark and Scandinavia, so their holidays were almost always spent in Denmark and they were raised with Scandinavian values and traditions. My mom took me to Denmark when I was four years old after divorcing and she raised me in Denmark in Ry, more specifically in “lille Ry”, where I lived most of my childhood. I later went on to study at the business school in Silkeborg and ended up at the University of Aarhus, taking a bachelor in 104 oct/dec 2012 Brazilian Studies. So I am here because of my family, because of everything they created and all the opportunities they gave me down here to grow as a professional and at a personal level in order to get to know my roots, my country and the cultural mix. Fortunately, they were able to give me a job and introduced me to a whole new world, namely that of coffee. Then my cousin Rasmus had an idea for his new office, he bought a new office. Herman Frille, the Norwegian coffee king, bought a building in Santos, and Rasmus opened the Wolthers office in this building. But the building was pretty big, so Rasmus gave me a call in late 2008 asking me to come down and give him a hand as he was building a concept for a coffee shop, and I said ok. I talked to the university because at that time I was studying, I had my little band in Denmark, we were playing gigs here and there, and I was doing coffee consultancy. I thought that three months sounded interesting. So I came down, and the idea was actually not “ Yes, Rasmus owned the name, he had bought the rights for the “Bikkini Barista” name six years earlier, because maybe one day... He had something telling him that this was a good idea, a good name. You can say it’s a universal name, Bikkini Barista, you can say it in Portuguese, you can say it in Danish, you can say it in English. It sounds the same everywhere in the world, so it has a universal appeal. A cosmopolitan appeal is what I actually call it. This cosmopolitan appeal makes it what it is. It’s funny that the logo of Bikkini Barista contains a surf board. What is the Wolthers family’s connection with surfing? only opening a coffee shop. Because of the size of the building which was a multiplex, a coffee house or a restaurant would be opened and then later on, they put in the “balada”, and they had this great idea of using the space for three distinct spaces, i.e. for a coffee shop, a restaurant and a night club. So, this was how Bikkini Barista was born? Yes It actually has a part of a long board, and then a coffee bean inside. My mother and my two uncles were all great surfers; my two uncles are legends in Brazil, pioneers on the Santos surfing scene. My uncle John is currently one of the top three legacies in the country in longboarding while Christian was one of the great radical surfers and still is, although he is a little older now. Christian started up Viking Surfboards, shaping boards, and now has Viking Surfboards which is a company based in Rio that sells surfboards in the U.S. in Southern Florida, in Brazil and in Denmark as well. They are two pioneers within the surfing and that’s why we have surf boards inside Bikkini, our family has a lot of surfing in the genes. My uncle John saw some guy surfing on Discovery Channel or some other network on TV, so he went into his mom’s laundry room and took the ironing board, cut up the bot- “ Was Rasmus the one that came up with the basic idea? My life has been entrepenuership and focusing to create new ideas in all kinds of areas tom part and went to the beach in Santos and started surfing with that. With an ironing board! That’s how it started. That’s a great story. Yes, it is, it is very romantic, and then he and Christian got hooked on surfing. They were the Danish surfers in Brazil. Everyone knew these two Danish blond surfers and they are very respected on the surfing scene today, so this is how surfing got involved both physically in Bikkini with the appearance of the board in our logo and in the concept of the whole idea with the laidback attitude. In Denmark we live in a society where we don’t have much inequality, it’s a very equal society. For Danes it can be boring sometimes, but it is actually a great thing, because here in Brazil, unfortunately we see a huge difference in people’s lives and in their economic capacity and so on. But what Bikkini really is, is a place that you can go, no matter who you are, you will get well treated and this is the Scandinavian concept of our line of thought. We have all types of crowds and I love the guy that is the owner of all the buildings, as much as I love the costumer who worked all month to be able to come in once a month. oct/dec 2012 105 Brazilian Review INTERVIEW “ It is great to be young and have a lot of energy... to create new ideas and concepts... Brazil gives you all the opportunities So, have you been able to dissolve the otherwise very radical social differences among classes in Brazil inside the night club? Not inside the night club because actually, you see it a lot in the night and in the event industry. You have an event and you see a difference from high scale events to low scale events, but what we do is pretty much all about respect. I think if somebody has someone to look up to, they see me in the house, they see my family, my cousins, my friends and I think they see that we don’t care. We care about people being nice to each other, people having fun. It reflects on our guests, so somebody who started out being someone who wanted to show off and tell a lot about how this person is or how much money I have, well, that attitude doesn’t exist anymore. Now it’s just about having a great connection. We have this great vibe at Bikkini that means that people respect each other very much and they feel at home. “ So Bikkini and the Brazilian branch of the Wolthers family have defi- nitely changed your life? Yes, in a remarkable way because the essence of my life has been entrepreneurship. Most of all my undertakings have been product development even if the product was a human or a package; it has all been about creating a product, creating things in all kinds of areas. I have been doing lectures on coffee Coffee... Coffee was the initial idea, because I was actually brought here to confer the Scandinavian coffee appeal to the coffee shop. But we saw that it was so much more than just coffee. We were working on this concept and we decided that we were going to put in some Scandinavian elements, so we have Arne Jacobsen chairs, art by my aunt Maibritt, in short these kinds of Danish elements in the house, some colors that represent what we could find in Denmark in a nice lounge. We have the second floor that is kind of a cool bar like in Copenhagen, then we have the coffee shop. These things gave us the opportunity to mix everything we love, all the concepts, not only mine but our family concept into a product. They gave me the opportunity to mix it all together and blend it in some innovative way. Bikkini Barista, the main concept, we have the “casca” which is the platform, a multiplex, and the concept is called coffee and clubbing. Coffee here represents everything from business, friendship, education, etc. I am who I am because of coffee. Could you talk about these other opportunities that have been a sort of spin-off from Bikkini? It started out through a friend of mine, a soccer player, who one night said to me “Crica, do you think you can get me a job playing in a Danish soccer club?” And I said HRH Prince Joachim 106 oct/dec 2012 Curriculum Vitae Christian Wolthers Education •Mølleskolen - Ry, Denmark. HX - Silkeborg Business School, •HDenmark. reen Bean Classifier and Coffee •GCupper - Associação Comercial, Santos, Brazil. razilian Studies - unfinished •BBachelor, Aarhus University, Denmark. Professional Background “Maybe if you can find six other players that want to do the same thing and send me their videos and material. Then I have a small portfolio and I can see what can become of it. The next day I had six phone calls from six players, some in São Paulo State, some here, i.e. some players from Santos, and they sent me their material. This led to YouPlay Management, which is run nowadays by Sean, my friend who used to be a DJ at Bikkini, but who’s now back in Copenhagen working within the soccer business. YouPlay Management is management of foorballplayers? What we really do is handling. We try to create opportunities for Brazilian players to go to Scandinavia and play soccer there. We have an on-going dialogue with the Scandinavian clubs, Sean has a past in Danish soccer, and so he has technical knowledge and lives in the country whereas I handle the more cultural aspects... Actually I analyzed the players’ mind, because this is the biggest problem with what they call tropical players in Scandinavia. 90% of all players that come from Brazil, Africa or whatever, they might be great players, but they might not have the necessary education, know-how or sufficiently strong mentality to get through all of these things that you have to go through to play in the Danish second division or first division. Have you already sent players to Denmark? Yes we had two soccer players come to Denmark already. This first guy we had do a try-out in Denmark. Bruno Agnello, who was my friend, he went to try out in a reserve match with A.B. versus F.C. Copenhagen, but he unfortunately distorted his knee and had to go back for surgery in Brazil. Secondly, we had the former Brazilian national team player, Edmilson ... Edmilson was in Denmark testing with three teams and came back to Brazil testing with two and ended up signing with União Imperial and he is now a player here in Brazil playing in the Brazilian league, but Edmilson came to Denmark in late December. He called me after a match he played for the team, and he said “I couldn’t feel my legs, I couldn’t feel my feet.” The players were actually running on the field, crying asking the judge to stop the game because the cold was too brutal, it was snowing and raining. So, we haven’t seen the last new project from Christian Wolthers? Hopefully not! I can say that we now have six ongoing projects which are consuming a lot of time and energy but you know, the more products you have and the more things you have to take care of, the better you get at being in charge. You become a good leader. When you have more, you know how to get more and to take care of more. You know how to juggle with more balls... Exactly. And I am learning that step by step. I’m learning thanks to the help and support of my family and friends, and well, this is it. But people like Neymar, Ganso and Rubinho, do they come to Bikkini Barista? Yes, they have been there various times. They are clients and they have to be treated with the same respect conferred to all our clients. We are lucky enough to have had Rubinho visiting us and Neymar as well. The failure is not trying. At least in my point of view it is. It is allright to believe differently but I think Brazilians could learn a lot from entrepreneurs. LSH •Sales - McPhone, Silkeborg, Denmark. ales - Hans of Grethe, Kaffe og The, •SAarhus Denmark. rading Assistant, Wolthers & Associ•Tates, Santos, Brazil. arista - Sigfred’s Kaffe Bar, Aarhus •BDenmark. offee Consultant - Estate Coffee, •CCopenhagen Coffee Roasters, Copenhagen, Denmark. offee Consultant - Compass Coffee, •CArrhus, Denmark. Position 2009 – Present: Co-owner, •MPRarch and CMO, Bikkini Barista Barista, Multiplex Club with Bikkini Café, Restaurant and Nightclub in Santos, Brazil. 011 – Present (1 year): Co-founder, •2Co-owner and CMO, Avant Imóveis Avant Imóveis, online based real estate business, operating in the metropolitan area ‘Baixada Santista’ on the coast of the São Paulo state, Brazil. Now also operating in Florida, USA, and in the Bahamas. anuary 2012 – Present: Co-owner and •JOnline Strategist, Morre Que Passa Morre Que Passa is humor website with comical images and videos launched in 2012. eptember 2012 – Present: Founder, •SCo-owner and Online Strategist, Lindizzima Lindizzima is a Brazilian fashion, beauty and health blog launched in 2012. 010 – Present: Co-founder and •2CEO, Youplay Management Youplay Management is a football management agency, located in Santos, Brazil and Copenhagen, Denmark. oct/dec 2012 107 Copenhagen is cooking Copenhagen has become a gastronomic hotspot in recent years, and New Nordic Kitchen is creating a buzz all over the world – and with good reason! 108 oct/dec 2012 If someone had predicted ten years ago that Copenhagen and Nordic cuisine would become the next ‘it’ kitchen, not many would have believed it. Today it’s a different story. The city is home to restaurant Noma, voted the best restaurant in the world in 2010, 2011 and 2012, and Rasmus Kofoed, from Michelin restaurant Geranium, has been voted the world’s best chef. Innovative and green There is no question that restaurant Noma has had a huge impact on the success that the Nordic kitchen enjoys today. When the restaurant started in 2003 not many believed in the concept of local and often unusual produce used in innovative ways. The Danish chef Claus Meyer, founder of Noma, is the man behind the concept ‘New Nordic Kitchen’ which became more concrete as a concept in 2004, when some of the greatest chefs in Scandinavia formulated the ‘New Kitchen Manifesto’. The New Nordic kitchen is characterized by using local and seasonal produce in new and often never thought of combinations - where else would you find musk ox from Greenland, fish, lambs and wild berries from Iceland and herbs from forests beaches in Denmark on the menu? To add to that the city’s restaurant scene is largely green, carbon neutral and organic, and Nordic cuisine has also proved to be a healthy diet both on the subject of weight loss and preventing cancer. Northern Europe’s largest food festival If you are visiting in February or August you can enjoy Copenhagen’s very own food festival – Copenhagen Cooking – which treats you to tasty experiences. The festival, which began in 2005, has a multitude of events on offer. From Michelin dining, oyster cruising, ecological produce markets and gastronomic street parties. Many of the events in the August edition of the festival are on city squares and streets, and Copenhagen is buzzing with gastronomic events – in 2012 more than 130 culinary experiences during 10 days in late August. A Michelin star city Copenhagen’s restaurant scene is considered one of the best and most innovative in Europe. The 2012 edition of the Michelin Guide has awarded Copenhagen’s restaurants a total of 14 stars. Not only is that more than any other Scandinavian city, it is also more than other European cities such as Hamburg, Amsterdam and Vienna and Rome. The restaurant scene in Copenhagen is – considering the city’s size – large and diverse. But a good indicator of quality is the Michelin restaurants which should be booked beforehand: Noma: based in a converted 19th century warehouse beside the harbour in Christianshavn, the restaurant was voted the world’s best three times in a row in 2010, 2011 and 2012 by Restaurant Magazine. Nomas chef, René Redzepi blends the most exciting contemporary techniques with the finest Nordic ingredients. The ingredients are sourced from as far away as Iceland, the Faroe Islands and Greenland. In 2005 Noma achieved it first star, and in 2007 a second star was added. Geranium: A lucid, light and dynamic kitchen. The chef at Geranium, Rasmus Kofoed, won the world championships in cooking - better known as the Bocuse d’Or - in January 2011. Thus you are guaranteed the highest possible quality. Restaurant Herman: Received its first star in 2009. Radical interpretation of traditional Danish cuisine in the restaurant in Tivoli. Relæ: The head chef, Christian Puglisi, is a former chef at Noma and secures a creative kitchen free from the cultural heritage pushed upon the traditional Michelin-star driven restaurant, without being labeled as one of the usual, fine-dining, brasserie, or bistro restaurants. Kokkeriet: A charming place located near the yellow row houses of Nyboder from the 1600’s. The kitchen can be defined as modern European, flavored with Danish finesse and old traditions. KiinKiin: The only thai restaurant in the world with a Michelin star is in Copenhagen! Beautiful and innovative thai kitchen. Søllerød Kro: A historic coaching inn to the north of Copenhagen - this restaurant is known for the unfussy, peerless quality cooking of chef Jakob de Neergaard. In 2007 Søllerød Kro was bestowed its first star. AOC: The sensory gastronomy is an up to date modern food style within the “New Nordic Kitchen” based on innovation and playfulness to create clean, tasteful, surprising and elegant dishes using fine Nordic product from earth to sea. Den Røde Cottage: Offers culinary treats a little north of Copenhagen close by the water in idyllic settings. Here you can enjoy a cosy evening in the company of modern gourmet food, created by the restaurant’s experienced and reputable chefs. Grønbech & Churchill: The kitchen is a combination of the classic and the subtle with vegetables as the key part prepared by one of the best chefs in Denmark, Rasmus Grønbech. Hot restaurant scene and cool classics Copenhagen is also home to a number of great eating places serving innovative Nordic cuisine as well as international. Bistros, brasseries and restaurants with unique décor and a relaxed atmosphere have popped up in the city making it one of the most exciting culinary destinations to visit. A couple of these are situated in the trendy Meatpacking district on Vesterbro. Here you will find Fiskebaren (The Fish Bar), a trendy eating spot serving delicious food with an emphasis on seafood, and the unpretentious PatéPaté, which is also a great late-night spot for drinking wine while hanging out with the boho in-crowd. On BioMio you can try organic food while watching the chefs at work. Inner city also boasts a number of great restaurants. Situated on King’s Square is hot spot Geist, one of the most talked restaurants in the city serving high quality food in great designer surroundings, and Marv & Ben serving Nordic cuisine in a beautiful old apartment. Another trend is to try ‘Smørrebrød’ (open sandwich) - a daily staple for many Danes, and a truly classic taste of the nation’s traditional cuisine. Invariably based on rye bread, smørrebrød can have an almost limitless number of different toppings, from herring, to raw beef, seafood and egg. Smørrebrød has become very popular in the recent years, especially among young people. Some of the great smørrebrød restaurants are Schønnemann and Aamanns which have reinvented this Danish lunch classic. With an informal attitude and an innovative kitchen, the gastronomic scene of Copenhagen is definitely worth a visit! Wonderful Copenhagen is the official convention, event and tourism organization for the Capital Region of Copenhagen. Wonderful Copenhagen deals with all aspects of tourism: Leisure, business, convention, events, cruise and airline accessibility. Wonderful Copenhagen More on gastronomy and eating www.visitcopenhagen.com/eat-and-drink More on Food festival Copenhagen Cooking www.copenhagencooking.com Formel B: A highly acclaimed Modern Scandinavian restaurant was the city’s third restaurant to win a new star in 2006. The restaurant re-opened with a completely new concept in January 2011. Less polish and more authenticity, with focus on the raw materials. Kong Hans: a modern Franco-Danish cellar restaurant housed in one of the city’s oldest buildings. Era Ora: Multi-course feasts, and me- ticulous attention to detail in this Italian kitchen (they fly in ingredients fresh from Umbria weekly) are legendary on the Copenhagen culinary scene. oct/dec 2012 109 Danish Pavilion at Rio Oil & Gas The biggest ever! In 2008 we had 16 companies at the Danish Pavilion. A new record was made in 2010 with 22 participating companies. In 2012 we are happy to present 28 participating companies making it the biggest ever Danish oil & gas pavilion in the Americas. Based on the interest we see from the Danish companies we were expecting quite a big group of exhibitors. Still, with 28 companies, we quickly sold out the extra space we had acquired for this year’s pavilion, and we have been forced to change the design of the pavilion to provide space for even more companies. The pavilion is divided into two sections. We have one section for the companies wishing for their own stand. This is typically the bigger Danish companies with several activities in the Brazilian market. We also provide a common area for the smaller Danish companies, or companies strong in other sectors, and entering the Brazilian oil & gas sector. It is important for us – and in line with the government’s BRIC strategy - to provide a platform for the large percentage of Danish companies that falls into the group of small and medium sized enterprises (SME’s). H.R.H. Crown Prince Frederik at Rio Oil & Gas 2012 We are very happy that HRH Crown Prince Frederik will be heading the Danish delegation at Rio Oil & Gas 2012. HRH The Crown Prince has visited Brazil on several occasions and knows the country well, and Rio Oil & Gas numbers 2010 2008 •Visitors: 53.000 • Exhibitors: 1.300 • Countries represented: 51 • International pavilions: 12 • Area commercialized: 37.000m² • Visitors: 39.000 • Exhibitors: 1.200 • Countries represented: 22 • International pavilions: 8 • Area commercialized: 35.593m² 110oct/dec 2012 we are sure that having such a prominent head of delegation will be invaluable in opening the doors to the central actors in the Brazilian oil and gas industry. In 2010, we were lucky to have HRH Prince Joachim heading the Danish business delegation at Rio Oil & Gas, resulting in several top level meetings for the exhibitors at the Danish Pavilion. The feedback from these meetings has been great, and we are now looking forward to Rio Oil & Gas 2012. The Brazilian Oil & Gas sector in impressive growth The Brazilian oil & gas as well as the marine and offshore sectors are all in amazing development. Indeed, these sectors are expected to be key growth areas in the future development of the Brazilian economic growth. Denmark is not the only country to have discovered this opportunity, which makes it all the more important that we focus our efforts to best help Danish companies take advantage of the opportunities presented. Basically, the oil and gas reserves found in Brazil are among the biggest in the world found in the last 30 years. Based on these discoveries, the oil and gas output in Brazil is expected to double by 2020. On a broad scale this means a doubling of everything HRH Crown Prince Frederik and Michael Bak, Hempel necessary for producing oil at the ultradeep offshore levels found in Brazil, from oil wells, platforms, and tankers down to supply ships and all products and services needed along the production chain. This boom in expectations for the oil & gas sector has spread to related sectors and the amount of new shipyards now being built in Brazil is impressive. The Danish Consulate in Rio de Janeiro expands with new Danish Marine & Offshore club With decades of experience from the North Sea, Danish companies are well positioned to help Brazil take on these new opportunities. The ultra-deep oil levels in Brazil require high quality and cutting edge technology - and here Danish companies have a great advantage, being world leaders in quality and efficiency. To help assist Danish companies entering Brazil, the Consulate in Rio de Janeiro has expanded and moved into bigger offices. At the same time we have expanded our incubator services in Rio de Janeiro and we are inaugurating a new Marine & Offshore Club. Basically, we wish to create a platform where we take Danish companies by the hand and help them into Brazil, by assisting them with the services needed to set up and run a local office. This ranges from providing an address needed to set up an office, to basic office assistance and sales support. Peter Efland, Vice-Consul, Consulate Sub-Office, Rio de Janeiro 28 Members of the Danish delegation at Rio Oil & Gas 2012 1- Accoat A/S 2- Blue Water Shipping A/S 3- Cubic Modulsystem A/S 4- Danfoss VLT Drives Brazil 5-Danbor 6- Desmi Ro-Clean 7-EKF 8- Ellehammer A/S 9- Esvagt A/S 10- Falck Nutec 11- First Purple Publishing 12- Flsmidth Inc. 13- Grundfos do Brasil Ltda. 14- Haldor Topsoe América Latina S.A. 15- Hempel A/S 16- Johnson Controls - Building Efficiency, Brazil 17- J. Lauritzen Offshore 18- Maersk Oil Brasil Ltda 19- Maersk Supply Service A.M.Ltda. 20- Maersk Training Brasil 21- Maersk Drilling 22- Man Diesel and Turbo 23- National Oilwell Varco Denmark (former NKT Flexibles) 24- Oreco A/S 25- QualiWare Inc 26- Ramboll Oil & Gas A/S 27- Terma A/S 28- Viking Life-Saving Equipment oct/dec 2012 111 The Rising C-Class of Brazil Brazil has for most of its history represented some of the world’s starkest economic divides. There where the super-rich and super-poor, but as Brazil in the last decade or so has experienced a solid economic growth, it is estimated in this period that over 40 million people has joined the ranks of the middle class, or the Class C as it is known in Brazil. According to the economic think-tank Fundação Getulio Vargas the middle class, is defined as households with monthly incomes of $600 to $2,590. In 2011 Brazil’s middle class was the largest of the five ‘official’ social classes in Brazil, comprising 54 percent of the population. The middle class of Brazil has grown so big that it has come to be called the ‘Belly of the Market’. In the last year alone 2.7 million Brazilians moved up into the middle class. In 2011, the middle class had swollen to more than 105 million, accounting for 46 percent of the country’s buying power. Now there are as many upper and middle class Brazilians as there are people in Britain and France combined. This metamorphosis is largely the product of a solid economic growth and record low levels of unemployment, among other factors, but also social programs, such as the one that pay Brazilians for keeping their kids in school has contributed greatly to this change. Before this economic change, businesses would focus solely on selling the most basic items to the lower income classes, or they would concentrate on selling luxury goods to the upper segments. Now however, businesses are racing to tap into this new lucrative segment of the Brazilian population. Tapping The bulging pyramid % of Brazilians in each social class 1992 2010 20301 A/B (more than USD 50k/year) 5.4 11.0 20.0 C (USD 12-50k/year) 32.4 50.8 D-E (until USD 12k/year) 62.1 Estimated SOURCE:: FGV, MCM, McKinsey 1 112oct/dec 2012 and ... 60.0 38.2 20.0 into these new markets doesn’t just require businesses to treat these newcomers to the consumerism as their higher income counterparts. According to the Indian scholar C.K Prahalad, the author of the book ‘The Fortune at the Bottom of the Pyramid’, businesses should be proactive in fulfilling specific needs and wants of the low-income consumers. They should specially design and develop quality products and services, or they must alter them and make them available at lower cost. In other words businesses needs to innovate and rethink their strategies in order to serve this market. Companies such as the Brazilian retail chain Casas Bahia and the fastfood chain Habibs are well known examples of these new innovative strategies. Casas Bahias has had great success in making goods available for lower income segments via installment plans, and today make a good business charging interest rates. Most retailers offer credit through partnerships with banks or simply through credit card issuers, and some retailers make more money offering credit to C-class consumers than with their own retail sales. The fastfood chain Habibs is another example of company that made their products available to low income segments by selling cheap, and made good earnings on the sheer number of sales made. But building a profitable business for Brazil’s middle class requires more than low prices because the middle class is a demanding group of consumers with their own unique needs and wants. To succeed, retailers and consumer-products companies need to understand these consumers’ desires. The belly of the market is hungry, but it will not eat just anything. AMK INTERNATIONAL MOVINGS TEAMWORK INTERNATIONAL MOVING is an agile and modern company, that counts with professionals with wide experience on international moving. Our philosophy is 100% based on Client Service. - Multi-language staff (Portuguese, English, Spanish, Japanese, Danish, German). Our services go beyond the moving day, they are based on the services and informations that we provide during all stages, from the initial visit to your residence until the arrival at the final destination. Our moving coordinators have the most updated informations about all the aspects of a move, which guaranties that all necessary documents will be requested. We help with all paperwork and with the notary services (cartório). We also offer consular support. Our packing material follows the highest international standard. The packing material counts with specific boxes for: - - - - - - - - Clothes China Paintings Books Cd’s Shoes and Suit pockets Comforter pockets Dissecants (to avoid mould and humidity) SÃO PAULO: R. Adherbal Stresser, 454 A – São Paulo, SP, Brasil – CEP 05566-000 Tel. (55 11) 3785-3425 RIO DE JANEIRO: R. São Félix, 830 – Rio de Janeiro, RJ, Brasil – CEP 21235-610 Tel. (55 21) 2481-2531 [email protected] www.teamworkintl.com.br oct/dec 2012 113 Christmas in Denmark Danish Christmas Traditions Christmas is richer in traditions than any other annual holiday. A genuine Danish Christmas is the old-fashioned kind when the Christmas tree is beautifully decorated, carols are sung, and the dishes served are like the ones we remember from our childhood. Advent wreath Danish Christmas begins with the lighting of the first candle on the Advent wreath on the first Sunday of the four Sundays preceding Christmas Eve, i.e. December 24. Adventus is a Latin term that means ‘coming’, and the Advent is of course the countdown for the coming of what the Christmas holiday celebrates, namely the birth of Baby Jesus. The Advent wreath tradition is upheld in nearly all Danish households. Around the turn of the last century, the Advent tradition - which originally consisted of lighting a single candle – was replaced by a new fashion from Austria and Germany, namely using a wreath that could display the four candles commonly used towards Christmas in an orderly manner. Over time, the wreaths gained various kinds of decorations, being that churches often chose to display them with purple ribbons. It was 114oct/dec 2012 not until the 1930s though, that the tradition became firmly rooted in all Danish homes. The Advent wreath is traditionally made of spruce twigs. It might be decorated with pinecones and red berries, and it is adorned with white candles and hung from the ceiling by red ribbons. The four candles are lit one at a time on Sundays preceding Christmas; all four candles will thus be burning on the last Sunday before Christmas Eve. Christmas Luncheon Beer is very popular at the annual Christmas luncheons that are hosted by most Danish companies for their employees. A lot of hotels, inns and restaurants offer traditional Danish Christmas luncheons throughout the entire month of December and each and every canteen from Skagen in the north to Gedser in the south are focused on the important theme of what they should serve for their Christmas luncheon. A traditional Danish Christmas luncheon requires certain food, such as different types of salmon and herring, warm dishes such as fish filets, Cumberland sausage, Danish meatballs, roast pork, bacon & apples, ten- derloin steaks, black pudding, liver pâté with bacon, minced beef patties with fried eggs and roasted duck, as well as cold cuts, chicken salad, fruit salad and cheeses with fruit and almond rice pudding with cherry sauce. All in all, the selection is so sumptuous that it takes a strong constitution and a determined mind to survive the initial proceedings of Christmas every December. Advent calendar The Christmas tree Danish children have one or several Advent calendars which count down the days before Christmas and are tied in to the Christmasthemed series running daily in December on the national TV networks. A lot of children also have a gift calendar through which they receive a small present every day in December. An alternative is a gift Advent calendar where the recipient gets a slightly more costly present on each of the four Advent Sundays preceding Christmas Eve. Just like all other Christmas preparations their function is to help heighten the level of anticipation and excitement leading up to Christmas Eve. If things had to be exactly according to tradition, the Danish Christmas tree should be a Common Spruce. However, the tradition with having a Christmas tree indoors dates back a couple of hundred years; there was no such thing as central heating back then. All homes were cold and damp, and therefore a perfect environment for the Common Spruce that loses all its needles once it’s placed in a warmer setting. Homes nowadays are of course heated and therefore most presentday Christmas trees are of the Normann variety. This kind of pine has a bluish hue to it; the needles are soft and withstand an entire Christmas without shedding. For a lot of people it has become a delightful tradition to pick out and cut down their own Christmas tree, but others have to buy their tree at one of the thousands of sales points throughout the country. It is often the Danish scouts who are behind the sale of Christmas trees. This way, they combine doing good deeds with making money for their organization. Christmas crafts and baked goods As Christmas approaches, the Christmas preparations are notably stepped up in most Danish homes because everybody has had the rituals for ensuring a genuine oldfashioned Christmas imprinted in them from an early age on. Christmas might be much more commercial nowadays, but the big majority of Danes still prefer the free, cozy Christmas preparations when it comes to planning for the year’s biggest celebration. During the two weeks immediately before Christmas people bake traditional Christmas goods such as ginger snaps, crullers, vanilla wreath cookies and pepper nuts. Naturally, children are at the very heart of these activities. While the oven is working to its fullest capacity, Christmas hearts are being cut out and braided, and other kinds of decoration are being made out of silver and gold foil and silk paper. The entire family pitches in to make everyone’s favorite confectionary chocolates out of indispensible ingredients such as marzipan, nougat, nuts, almonds, dates, candied fruit, and chocolate covering. Luckily, the demand for clean nails and hands is at its highest at exactly this time of year! The Christmas tree is decorated The Christmas tree is chosen as late as possible and is then decorated when the children are not able to wait any longer. This typically takes place a couple of days before Christmas Eve. Anything goes in terms of decoration, as long as it stays within certain parameters. There should be a star in the top of the tree and the lights have to be candles. If old-time traditions are honored, the tree should be adorned with festoons of the Danish flag, Dannebrog, cornets filled with cakes and candies, small toy musical instruments and tinsel. Danish design, though, has long exercised its influence on this area as well as on many others, and several internationally known Danish companies, e.g. Georg Jensen, launch innovative, elegant Christmas deco- rations and ornaments every year. These are treasured items, not only by the Christmas–loving Danes but also by connoisseurs throughout the world. Even though the puritans demand candles on the Christmas tree, electric light strings are also becoming increasingly popular in Denmark. It has to be the clear bulb ones though; nobody wants to display the colorful ones! It used to be the head of the family that was solely responsible for the decoration of the Christmas tree. It was then solemnly presented to the rest of the family when dinner had been eaten and the children were so worn out and exhausted that they no longer were able to fully enjoy the occasion. Nowadays, children actively participate in the decoration of the tree. It is first and foremost a celebration for their benefit, so why not let them join in the fun of decorating the tree? The same is true for the time Christmas dinner is served; today, most families eat early so as to ensure that the children present will have as much fun as possible on Christmas Eve. oct/dec 2012 115 Christmas in Copenhagen at night Christmas Eve day and Christmas Eve In Denmark, the highlight of Christmas is Christmas Eve on December 24. Just like any other major holiday, it is actually the evening preceding the day itself that is the most exciting, e.g. New Year’s, Midsummer, etc. Most families make do with a light lunch and try to put their children down for a nap in the afternoon. This always proves to be impossible as they are much too excited to be able to fall asleep. In the old days, people used to give their pets and farm animals some extra food or treats because legend had it that animals gained the ability to speak on Christmas Eve and nobody wanted to risk that the animals talked badly about their owners! A great number of people then attend the Christmas service at their local church. Not so much for the Christian message as for maintaining a nice and solemn atmosphere. Generally, dinner will be ready at about 6 pm. Most Danes eat roast duck, but goose and roast pork are also very popular main courses. Danish Christmas dinner does not usually include a first course. The duck or goose is served with a prune/apple stuffing and with side dishes consisting of red cabbage, boiled potatoes, beetroots, and caramelized potatoes. The dessert is always rice pudding if the family is very traditional. If not, then 116oct/dec 2012 almond rice pudding with warm cherry sauce is typically served for dessert. Either way, the dessert contains a hidden whole almond. The person who finds this almond receives the traditional ‘almond present’ bought for this occasion. If children or childish individuals are present –and they often are – it is not unheard of that the hostess provides up to three presents, one for the person who wins this little game and one for each of the people sitting to his left and his right. ‘Dancing’ around the Christmas tree When dinner has been duly eaten and the candles in the Christmas tree are lit, people join hands forming a circle around the tree and then walk around it while singing carols and hymns. It is not always possible though, to actually ‘dance’ around the Christmas tree due to spatial limitations, but it is also perfectly fine to simply sit peacefully on a chair and enjoy the cozy Christmas atmosphere. If snow starts falling outside at this point, well, then Christmas is about as idyllic as it possibly gets! There is a multitude of Danish Christmas hymns. It varies from family to family which ones are always sung, and thus end up being passed down from generation to generation as part of the individual treasure chest of family Christmas traditions. The order in which the hymns are sung is also an important aspect of a traditional Christmas celebration. It is only about half the hymns that are sung on Christmas Eve though, that are actually solemn. The rest are cheerful carols that lend themselves to repetitions and chain dancing. When the children cannot stand singing any more hymns and carols, the time has come to open the gifts in the presence of everybody. Often a person is chosen to hand out the presents – he or she might be dressed up as Santa Claus or not. It is polite to wait for the recipient to open his or her present and express their appreciation before the next gift is handed out. In this manner, the general excitement gives way to a calmer atmosphere. Later in the evening when all the presents have been opened, it is common to serve fresh fruit, confectionary chocolates, baked goods, coffee and perhaps a glass of brandy or liqueur. Rarely does anyone consume a lot of alcoholic beverages on this evening; Danes generally go to bed before midnight on Christmas Eve. Christmas Day is a day for sleeping in and resting, while the children have time to enjoy their new toys and other presents. The next day, i.e. Boxing Day, duty calls again for the Danes: It’s then time to go and eat a huge Christmas luncheon with their immediate family and perhaps some very close friends. JOL oct/dec 2012 117 Jens Olesen, Lord Mayor Frank Jensen, and Jens Kramer Mikkelsen, CEO City & Harbour Goodwill Ambassador meeting Copenhagen 26th – 28th of August KBA Dental Care Dr. Karen Bygdal Andreasen English, Danish and Portuguese spoken!! General Practice – Adults and Children: Functional Jaw Orthopedics Specialist R. Vieira de Moraes, 420 - cj. 32 - Campo Belo - São Paulo Tel (11)5531-4698 • Emergencies: (11) 9.9811-6172 [email protected] 118oct/dec 2012 More than 60 Goodwill ambassadors for Copenhagen and their wives attended a three day meeting at hotel Marriott where the Goodwill Ambassadors were acquainted with the latest activities/events of Wonderful Copenhagen and Copenhagen Capacity, which we all know have record numbers in tourist visitors to Copenhagen this year. The goodwill ambassadors prepared a white paper on how to be number one in Copenhagen again in “Competitiveness” with full recommendations to the government, business leaders, and also to the Confederation of Danish Industries, etc. The white paper was extremely well received by the audience and the press. At the same time special events took place at Kronborg castle with HRH prince Joachim with a magnificent performance by a Shakespearean actor. The next evening lord mayor Frank Jensen invited 150 people to the city hall with exciting speeches and electrifying entertainment. The goodwill ambassador meeting was a great success and a lot of activities will be followed up on the next couple of months headed up by our chairman Jens Kramer Mikkelsen. JOL Isabel Allende wins the H.C. Andersen Literature Award 2012 in Odense Yu Wenxia, China The 62nd edition of the Miss World pageant was held on August 18, 2012 in Ordos City, Inner Mongolia, China. 116 contestants from all over the world competed for the crown, marking the biggest turnout in the pageant’s history. Ivian Sarcos of Venezuela crowned her successor Yu Wenxia of China at the end of the event. oct/dec 2012 119 Denmark has great success at the Olympic Fie Udby Erichsen wins the silver medal in Women’s Single Sculls Rowing Games in London Lasse Norman Hansen wins the gold medal in Men's Omnium - Cycling Track Mathias Boe & Carsten Mogensen won the silver medal in Men's Doubles - Badminton Allan Nørregaard & Peter Lang won the bronze medal in Men's 49er - Sailing Joachim Fischer Nielsen & Christinna Pedersen won the bronze medal in Mixed Doubles - Badminton Jonas Høgh-Christensen wins the silver medal in Men's Finn - Sailing Jacob Barsøe - Morten Jørgensen - Kasper Jørgensen - Eskilde Ebbesen won the bronze medal in Men's Lightweight Four - Rowing Rasmus Quist Hansen & Mads Rasmussen won the gold medal in lightweight double sculls - Rowing. 96 oct/dec 2012 Anders Golding wins the silver medal in Men's Skeet - Shooting Michael Phelps Michael Phelps is the most winning athlete to compete in the olympics - winning his 22nd gold medal. Bolt the fastest man in the world wins three gold medals Usain Bolt wins three gold medals at the Olympic Games in london. Bolt wins 100m, 200m and a new world record in 4x100m Relay 36,84 seconds. Serena William wins Wimbledon for Federer wins Wimbledon for the seventh time the fifth time Serena Williams beats Victoria Azarenka 6-3, 7-6 Roger Federer beats Andy Murray in the final 4-6 7-5 6-3 6-4 oct/dec 2012 97 SPORTS Brazilian Review Spain defeats Italy to win the European Championship Fernando Alonso leads the Formula 1 Pos Pilot 1 Fernando Alonso 2 Sebastian Vettel 3 Kimi Raikonen 4 Lewis Hamilton 5 Mark Webber Equip RBR-RENAULT 297 Mclaren-Mercedes 261 Ferrari 245 Lotus-Renault 231 Mercedes 136 98 oct/dec 2012 The European Championship final was won by Spain 3-0 Pts Tour de France won by Bradley Wiggins the first englishman ever Bradley Wiggins (GRB) Jurgen Van Den Broeck (BEL) Tejay van Garderen (USA) Team Sky 87:34.47 Chris Froome (GRB) Team Sky + 3.21 Vincenzo Nibali (ITA) Liquigas-Cannondale + 6.19 Lotto-Belisol + 10.15 BMC Racing Team + 11.04 Serena Williams wins U.S. Open for the fourth time Andy Murray wins US Open for the first time Andy Murray won a five sets victory in a fantastic final that had a duration of almost five Serena Willians beats Victoria Azarenka hours 7-6, 7-5, 2-6, 3-6, 6-3. This was one of the best finals ever played at the US Open. 6-2, 2-6, 7-5 in a very disputed match. Alberto Contador wins Vuelta a España 1 201 CONTADOR, Alberto STB 84h 59’ 2 9 VALVERDE, Alejandro MOV + 1’16’’ 3 101 RODRIGUEZ, Joaquin KAT + 1’37’’ Olympic Games Results London 2012 Rank Country 1 Gold SilverBronze Medals United States 46 29 29 104 38 27 23 88 3 Russia 24 26 32 82 4 29 17 19 65 2 China Great Britain 5 Germany 11 19 14 44 6 Japan 7 14 17 38 7 Australia 7 16 12 35 8 France 11 11 12 34 9 13 8 7 28 9 Italy South Korea 8 9 11 28 14 27 3 2 5 4 9 3 17 9 Brazil Denmark oct/dec 2012 99 The Sea Route to the Major Cities of Northern Europe Sail with DFDS Seaways to Copenhagen, Oslo, Amsterdam, and Newcastle 124 oct/dec 2012 Why spend your holidays and vacation on long bus rides and boring flights if you can sail to Northern Europe’s major cities with luxurious passenger ships, packed with adventures? On board DFDS Seaways’ ships you will find everything your heart desires within gastronomy, entertainment and comfort. So why not relax by the pool, enjoy a nice dinner and sleep in a newly made bed while moving from A to B? You avoid airport queues, save a hotel stay and get plenty of ocean views in the bargain. For 145 years DFDS Seaways, the Danish shipping company, has transported passengers back and forth between the world’s major cities. Today, the tradition-rich company has 6 modern passenger ships sailing on 3 different routes in Northern Europe: Copenhagen-Oslo, Amsterdam-Newcastle and Esbjerg-Harwich/London. All ships have recently been refurbished and offer attractive facilities such as restaurants, bars, café, nightclub, children activities and much more. Most ships also have a pool, jacuzzi, sauna, wine bar and a cinema and some even a casino and a tax-free shop. World-class service and quality is available on DFDS Seaways’ passenger routes. This is illustrated, among other things, by DFDS Seaways being awarded with the prestigious World Travel Award for “Europe’s Leading Long Sea Ferry Operator” no less than four years in a row from 2006 to 2011. The award, based on votes from consumers and professionals worldwide, is regarded as the tourist industry’s most prominent recognition. DFDS Seaways’ two flagships, MS PEARL SEAWAYS and MS CROWN SEAWAYS, sail between Copenhagen, the Danish capital, and Oslo, the Norwegian capital. The ships are among the most luxurious passenger ships in Scandinavia, and they each have a cabin capacity of about 2100 passengers. On board there is an abundance of leisure activities. In the pool area, passengers may indulge in jacuzzi and sauna, among other things. On the sundeck, soft deck chairs, cool cocktails and a unique view await the passengers. And in the wine bar, the ship’s wine waiter offers rare wines, select cognacs and exquisite tapas. The service on board is of a very high standard. The same applies to the food. In the last few years, DFDS Seaways has upgraded the food concepts on all ships in order to offer passengers a wider selection and even higher quality. The restaurant 7 Seas offers a buffet adapted to modern food culture. It consists of a wide selection of dishes, including lots of freshly caught fish and shellfish. And in the Explorer’s Steakhouse, meat of the very finest quality is served. Passengers may also, at selected times of the year, experience special food events and theme cruises. This applies to the WineCruise with focus on wine tasting and gastronomy, or the Master Brewer Cruise with a tempting beer menu and beer tasting in collaboration with Skands, the Danish microbrewery. Last, but not least the gourmet restaurant Marco Polo serves sublime a la carte menus all year round. The activities on the ships between Copenhagen and Oslo also comprise bars with exclusive drinks cards and a large selection of beers from Scandinavia and the rest of the world. Maritime decor and quiet piano music create a relaxed and pleasant atmosphere in the Navigators’ Bar, while professional live bands strike up for dancing in the nightclub Columbus Club. The discotheque offers new hits and good classics from the DJ’s mixing desk. On board MS CROWN SEAWAYS the discotheque is located on the upper deck from where the sky is vis- ible through a large glass dome above the dance floor. You can try your luck in the casino on board MS PEARL SEAWAYS. Let yourself be drawn into the thrill of the spinning wheel at the grand roulette table at the exclusive Compass Casino or try your hand with a game of Blackjack or have fun at the slot machines. On board DFDS Seaways’ ships between oct/dec 2012 125 Brazilian Review TRAVEL Oslo and Copenhagen there are tax-free shops with Danish design, including utensils, jewellery and accessories. The tax-free shops also sell handbags, perfume, candy, chocolate, wine, beer and spirits and branded clothes such as Gant, Lacoste and Timberland. Prices are between 25 and 70% below Scandinavian shop prices, and for most European and overseas passengers much money can be saved. The access and the exit are some of the specific highlights of the cruise. On the cruise between Copenhagen and Oslo the ship passes several sights, including Kronborg, the Danish castle known from Shakespeare’s Hamlet. The ship also passes through Oslo Fiord – a very unique and beautiful experience of nature. 126 oct/dec 2012 The well-appointed cabins of the ships, available in different categories and price ranges, offer the passengers comfortable accommodation. All cabins are provided with air conditioning, bath and toilet. The Commodore Owner Suite, the largest cabin type, comprises a large living room with seating arrangement, TV and a separate bedroom. Commodore Balcony, covering an area of 25-27 m2, comprises own balcony and a settee arrangement with TV. Both the ships from Copenhagen and Oslo depart every day at 4.45 pm and arrive on the following morning at 9.45 am. After a good night’s sleep in the ship’s cabins, the passengers can go ashore in Copenhagen or Oslo, respectively – full of energy and ready for sightseeing in the Scandinavian capitals. More information about the ships and cruises of DFDS Seaways is available at www.dfdsseaways.us Visit Denmark For further information - please contact: International Sales Manager, Tommy Brink, DFDS Seaways, Sundkrogsgade 11, DK-2100 Copenhagen E-mail [email protected], tel. +45 33 42 31 92. oct/dec 2012 127 Christmas in Tivoli 2012 Once again, Tivoli in the heart of Copenhagen turns on the full Christmas spirit with activities to thrill you, scenery to enchant you, shopping to tickle your fancy, and eating to tickle your taste buds. A newly designed Nordic area shows you both Father Christmas and live reindeer, and a lavish production of the Christmas classic The Nutcracker opens in the Tivoli Concert Hall. 16 November – 31 December. (Closed 24 and 25 December). Opens every day at 11 a.m. Closes at midnight Fridays and Saturdays and 10 p.m. on other days. New Nordic Area and the Return of the Pixies This Christmas at Tivoli, guests are welcomed by a new Nordic setting with Father Christmas residing in the Pantomime Theater, built 1874. The stalls and decorations take inspiration from Danish and Scandinavian tradition and live reindeer add to the Christmas feel. The little pixies or gnomes (in Danish: the nisse) are back by popular demand. In last 128 oct/dec 2012 year’s Russian theme, the pixies had been omitted. This became one of the most commented on issues in 2011, and Tivoli designers therefore began working on a plan to bring back the little Christmas ‘nisse’. Russian Basilica and Nutcracker Theme The spectacular Russian basilica from 2011 remains the focal point of the central Tivoli square with its nine onion shaped domes and impressive Christmas tree. Surrounding the basilica are shops and food outlets as well as the Siberian Lantern ride, one of Tivoli’s 28 Christmas rides. A new addition to the scenery will be Nutcracker decorations linking the gardens to the new splendid production of the Nutcracker which opens in the Tivoli Concert Hall 22 November choreographed by Tivoli’s Peter Bo Bendixen with set designs and costumes by Queen Margrethe of Denmark. Facts Opening hours Copenhagen Nutcracker in royal setting Christmas Eve at the Nimb Across the world, The Nutcracker is performed at Christmas time, and for many, Christmas is not perfect without it. This lavish new production moves the plot to Copenhagen in the eighteen seventies. Clara’s Christmas Eve includes guests such as Hans Christian Andersen, August Bournonville and Tivoli director Bernhard Olsen. Naturally, Clara’s Dreamland is the Tivoli Gardens where all sorts of magic happen. This you will see for yourself when stepping out into Tivoli after the performance. The Nutcracker is Queen Margrethe’s fifth production as a set designer for Tivoli. The previous four have been for the Pantomime Theatre. This is her biggest production yet, with costumes for 36 dancers in however many roles. The Queen’s designs are always very colourful and she has a special love of fun and surprising gimmicks, such as sets or props that change into something else. If you happen to be in Copenhagen on Christmas Eve you can book a table at the Nimb Brasserie. The Tivoli Gardens are closed, but the excellent chefs and waiters at the Nimb Brasserie will make sure you have a festive evening in the elegant yet cosy atmosphere at the Nimb. New Year’s Eve For the first time in over ten years, Tivoli will be open on New Year’s Eve. Tivoli’s restaurants will take bookings for New Year’s parties and there will be grand fireworks at midnight. •16 November – 31 December. (Closed 24 and 25 December). Opens every day at 11 a.m. • •Closes at midnight Fridays and Saturdays and 10 p.m. on other days. Admission •DKK 95. •Free for 0 – 7 years of age. •Copenhagen Card also valid. Information •www. tivoligardens.com and www.nimb.dk •Tickets for The Nutcracker: www.billetlugen.dk Figures •70 shops •28 rides •Over 50 places to eat •1,000 spruce decorate Tivoli together • • with 7 tons of spruce branches and 3 kilometres of spruce garlands. 2,500,000 fairy lights form part of the Christmas illumination One single outlet sold 13,450 litres of glögg (mulled wine) and 56,350 aebleskiver (apple dumplings) in 2010. oct/dec 2012 129 New CEOs of Danish companies Thomas Jürgen Weidauer LEO Pharma Brazilian-Review Fábio Augusto Deleuse Lundbeck Sandro Sandanelli Grundfos The Board: Oct/Dec 2012 President Jens Olesen Editor Jens Olesen First Vice-President Jesper Rhode Andersen (Ericsson Telecomunicações) Rua General Almerio de Moura, 780 05690-080, São Paulo-SP Tel.: (+55 11) 3758-2101 Fax: (+55 11) 3758-5986 Website: http://www.danchamb.com.br E-mail: [email protected] Second Vice-President Peter Grangaard Gyde (Maersk) 1946-2012 20 april/june 2006 Finance Director Per Lerdrup Olsen (DI) Executive Secretary Anders Munroe Kjersem Directors Francisco Davos (FLSmidth), Kjeld Roslyng Jensen (Widex), Zacarias Karacristo (Danisco), Knud Bach (Alfa Laval Aalborg), Willy Lehmann Andersen Jr. (Danflow), Gustavo Mizraje (Novo Nordisk), Eduardo Grecco Lemos (Chr. Hansen), Pedro Luiz Fernandes (Novozymes) Miguel dos Santos (Danfoss), Luiz Antonio Guimarães (Cheminova), Marcelo Hutschinski (Vestas), Erik Christensen (Graber), Finn Egholm (ISS), Fábio Augusto Deleuse (Lundbeck), Alejandro Giangaspero (GN Resound), Thiomas Jürgen Weidauer (Leo Pharma), Christian Maxe Petersen (LEGO Educations), Michael Kristensen (Lauritzen Offshore), Vitor Pacheco Muniz Junior (Coloplast), Kjeld Aabo (MAN-Diesel), Sandro Sandanelli (Grundfos), Michael Bak (Hempel). Washington Botelho de Souza ISS Facility Services Chamber Representatives Rio de Janeiro Knud Bach, Alfa-Laval Aalborg Paraná Pedro Luiz Fernandes, Novozymes Rio Grande do Sul, Frank Woodhead) Assistant Marcelo Cançado Passarelli Scott Translations between Danish, English and Portuguese Brasseriet, Lisbeth Jarl Jørgensen & Anita H. Thomsen Luciano Graphic Production and Desktop Publishing Nobreart Comunicação Ltda. (+55 11) 3739-4947 Print Editora Referência (+55 11) 2065-0763 Brazilian Review is a quarterly publication of the Danish-Brazilian Chamber of Commerce. The opinions expressed in this publication are those of the authors or persons interviewed and do not necessarily reflect the views of the editors or the Chamber. Reproduction of any kind of material from this magazine is not allowed without written permission from the Danish-Brazilian Chamber of Commerce. Como instrutor físico, Jonathan sabe que para mudar é preciso estabelecer objetivos, ter um método para atingi-los, assim como receber todo apoio para superar os desafios que possam surgir. Nós, da Novo Nordisk, adotamos uma abordagem semelhante para conduzir mudanças nas sociedades em que atuamos. Seguindo o princípio do Triple Botton Line, consideramos o impacto econômico, social e ambiental em cada ação que realizamos para alcançar nosso objetivo de um futuro mais saudável para as pessoas. A filosofia do Triple Botton Line direciona nossos esforços em combater as mudanças climáticas, que, de certa forma, está relacionada com a pandemia do diabetes quando relacionamos isso ao consumo excessivo e a um estilo de vida pouco saudável. Desde 2004, nossa emissão de CO2 foi reduzida pela metade, atividade realizada em parceria com a World Wildlife Foundation. E conseguimos isso, sem nunca perder nosso foco principal que é promover mudanças positivas na vida de pessoas com diabetes. Saiba mais sobre a Novo Nordisk: www.novonordisk.com.br mudando o diabetes 20 april/june 2006 ® Mudando o Diabetes e o logo do Boi Apis são marcas registradas da Novo Nordisk A/S. NNK-002-06/2012 mudando o diabetes. mais que um objetivo, essa é nossa missão. JONATHAN CHARLESWORTH Treinando para mudar o diabetes, África do Sul Jonathan é portador do diabetes tipo 1