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The Northeast: one of Brazil's richest regions in terms of culture, natural beauty and history.

Area 

98,311.62 km²

No. of Municipalities

185


Main Municipalities and Population, in July 2004*

Capital: Recife

1,486,869

Petrolina

247,322

Jaboatão dos Guararapes

630,008

Cabo de Santo Agostinho

166,286

Olinda

381,502

Camaragibe

143,732

Paulista

288,273

Garanhuns

125,141

Caruaru

274,124

Vitória de Santo Antão

123,130

(*)IBGE Estimate


Economic / Demographic Data

Gross Domestic Product – GDP (2001):

R$ 31.7 billion

GDP per capita (2001):

R$ 3,962.00

State population (Jul-2004*):

8.3 million inhabitants

Population Density (Jul-2004*):

84.6 inhabitants/km²

Economically Active Population (2001):

Men:
Women:
         Total:

2,161,101
1,540,066
3,701,167

(*)IBGE Estimate


Potential activities:

  • Agribusiness
  • Leather goods
  • Handicrafts and culture
  • Retail / Wholesale trade
  • Civil construction
  • Electro-electronics
  • Timber and furniture
  • Metal-mechanical
  • Fashion and clothing
  • Information Technology
  • Tourism

Integrated Development Cluster – Petrolina / Juazeiro

The Petrolina/Juazeiro Cluster is formed by the municipalities of Petrolina, Lagoa Grande, Santa Maria da Boa Vista, Orocó, in Pernambuco; Juazeiro, Sobradinho, Casa Nova and Curaçá, in Bahia. Located in the Northeastern semi-arid, in the mid- and lower São Francisco valley, the Petrolina/Juazeiro Cluster has shown accelerated growth in irrigated agricultural production. It is considered the largest and most productive irrigated fruit farming cluster in Brazil.

Private enterprise has shown special initiative in the Region, notably in cultivation of mango and grapes, largely geared towards exports. In addition to grapes and mangoes, the region's irrigated orchards are filled with another 45 different irrigation crops, especially banana, coconuts, guava and citrus fruits. The production of grains and crops with a short cycle is also exploited with a view to the domestic consumer market and agro-industrial processing. Examples include beans, industrial and domestic tomatoes, peppers, watermelon and pumpkin.

With advances in fruit production, agro-industrialization is expanding, especially in the production of concentrates and wine production. Large areas of vineyards are producing excellent quality grapes for wine production which is already competing with wines produced in the south of the Country.

The Cluster has regular air transport services, as well as highway and rail (reactivation of railways by the private sector) including a modern system of paved highways with access to several locations, offering ideal conditions for transport of produce.

There is also both a conventional and mobile telecommunications infrastructure, a good banking network and several industries, showing the dynamism of the local economy.

In the field of expansion of agribusinesses,  we highlight opportunities in the production and sales of machinery, equipment and implements, production and sales of inputs, packing houses, production and sales of cardboard and plastic boxes, juice, fruit and sweets agro-industries, transport and trading companies.

There is business for commercialization logistics, varied consultancies, project offices, accountancy, laboratories in general, mobile patrols, labor pools, trade and others.  

There are also opportunities in the services sector, such as project and technical support offices; specialized agricultural consulting firms; tourism; soil, water and plant analysis laboratories; garages; mobile patrols; courses specialized in rural, agro-industrial and agricultural trade activities and agribusiness logistics. 

Tourism Cluster – Costa dos Arrecifes

The Costa dos Arrecifes Cluster encompasses 15 municipalities and the Archipelago of Fernando de Noronha, with a resident population of about 3.1 million people.

The implementation of infrastructure opens the path for the structuring of the Costa dos Arrecifes Tourism Cluster. The Cluster structuring started with the implementation of the Tourism Council, and had as main objectives the integration of all the productive chain of the region, the exploitation of local vocations and the integrated and planning of sustainable tourism.

On the Cluster's Northern coast, which stretches for about 60 km, we find Itamaracá Island, which has several natural and cultural attractions, as well as supportive structure. On the South seaside, which is approximately 90 Km long, we find some famous landscapes such as Porto de Galinhas, in the municipality of Ipojuca and Praia dos Carneiros, in the municipality of Tamandaré, which received important investments from PRODETUR/NE I, such as highways, sanitation, environmental and institutional development works. Eco-tourism is also represented in the Costa dos Arrecifes Tourism Cluster by the charming Fernando de Noronha Archipelago, where the National Sea Park , which covers an area 112 km long, protects the fauna, flora and local history.

Infrastructure

Highways

There are 5,200 km of highways that cross the State in all directions. BR-101 crosses the State in a north-south direction. Other highways interlink the State to all the interior of the country, most notably the BRs 232 and 316.

Railways

The State has 900 km of railways linked to ports and other railways. Recife is the convergence point for three main lines of the Companhia Ferroviária do Nordeste – CFN, which serves the state's main productive regions, linking the ports to the state capitals situated to the North of the State of Pernambuco (northern line); to the cities in the interior of the state (western line); and to the cities of Maceió and Aracaju (southern line).

Airports

The State has an international airport in the metropolitan region, which is among the most modern ones in the country and which handles 1.5 million passengers per annum. It has domestic, international and charter flights.

Ports 

There are two sea ports, Suape and Recife, and a fluvial port in Petrolina. The ports are run by the State Government.  

Access is gained to the sea ports via internal highways and railways.

The Recife port is located on the east side of the city and encompasses the internal market of the country. The Suape Port, due to the geographical position of Pernambuco in the center of the Northeast and the modernity of its facilities, is a concentration center and a cargo distributor. The location also makes the Suape Port ideal as an international port with cargo destined for the whole of South America.

The Petrolina port is strategically located on the banks of the 1,300 Km long São Francisco Waterway, the main river access in the region.

Fiscal Incentives

The Pernambuco development Program – PRODEPE – an incentive policy which, among other activities, guarantees the reduction of up to 80% in Sales Tax – ICMS for 12 years, and can be renewed for another three for companies that set up in the State. The benefits of the program also include financial incentives, donation of land and construction of infrastructure and facilities.

DIGITAL PORT PROJECT – The structuring and sustainable management of a business environment capable of creating and consolidating world class enterprises in information and communication technology through interaction and cooperation among universities, companies, governmental non-governmental organizations in the State of Pernambuco.

Reduction in Sales Tax (ICMS).

The Pernambuco Government elaborated a bill for the reduction of ICMS for the software sector in Pernambuco. In some cases, the rate can drop from 17% to 1%.

The State Law nº 11.672 (and amendments), dated November 08th, 2000, allows the Pernambuco Government to invest in risk capital funds which are based on the State, ruled by Order CVM 209. The aim of these funds is to invest through shareholding in emerging companies with a technological base and potential for growth.

More Information:

www.pe.gov.br

www.chesf.gov.br

www.celpe.com.br

www.codevasf.gov.br/

www.telemar.gov.br

www.compesa.com.br

www.transportes.gov.br

www.transportes.gov.br/bit/aeroportos/gaerrec.html

www.transportes.gov.br/bit/aeroportos/gaerpnz.html

www.suape.pe.gov.br

www.portodorecife.pe.gov.br