Building an innovation culture in Brazil: a quick overview

Evando Mirra de Paula e Silva Agência Brasileira de Desenvolvimento

Industrial

Rio de Janeiro, 04/12/2007

ST&I in Brazil: partners for innovative tropical agriculture

Natural resources ; Genetic resources;Cereals; Vegetables; Animal breeding;Raw materials; Agroforestry / forestry production; Family farming; Post-harvest/Agribusiness; Environmental protection; Farming automation; Rural and regional development; Fruits

Equator

Trop. Cancer

Trop. Capricorn

Biological nitrogen fixation and the Biological nitrogen fixation and the soybean industry in Brazilsoybean industry in Brazil

After early failures (since 1909), research (in biological nitrogen fixation, soil, …) made soy one of the most important crops (planted area, production and exports) in Brazil.Soy contributes around 6 % of the Brazilian gross national product (GNP) Around 1 million people are employed in the soy sector in Brazil.

Science, Technology and Innovation in Brazil

R&D transformed Petrolina from a desert into a garden, responsible for almost the whole exportation of grapes and mangoes.

R&D made Brazil a leader in energy from biomass

R&D made the cerrado ideal for soy culture.

R&D created in Brazil R&D created in Brazil a competitive tropical agriculturea competitive tropical agriculture

GRAINS: cotton, oats, peanuts, rice, wheat, beans, corn, barley, sunflower...

90

100

110

120

130

140

150

160

170

180

190

200

210

220

90/91 92/93 94/95 96/97 98/99 00/01 02/03 04/05*

Í N

D I

C E

production

area

Renewable Energy: Bio-fuelsRenewable Energy: Bio-fuels• 1921 USGA: Usina Serra Grande, Alagoas1921 USGA: Usina Serra Grande, Alagoas

First usage of bioethanol as a substitute for First usage of bioethanol as a substitute for gasolinegasoline

• 1923 Instituto Nacional de Tecnologia (INT) , RJ

• 1931 Decree 19.717 – blend 5-10% ethanol – gasoline (until 1945)

Experiments with ethanol in 1925

Industrial enterprisesIndustrial enterprises NNrr

Innovate and differentiate in product *

1.199 (1,7%)

Specialized in standard products

 15.311 (21,3%)

Do not differentiate and show lower productivity

55.486 (77,1%)

TotalTotal  71.996

Innovation in Industry: Ipea

72.000 industrial firms5.600.000 workers95% of added value Range of data: 1996–2002

32 groups: IPEA/ USP, UFMG, UFRJ, UnB, Unicamp, Economy, engineering, regional development, sociology, statistics

Inovações, padrões tecnológicos e desempenho das firmas industriais brasileiras. Brasília, Ipea, 2005.

* Contribute 25% Industrial PIB

R&D and Innovation: main areas in R&D and Innovation: main areas in BrazilBrazil

Others

Fuel(23)

Electronics and Communications

(32)

Automotive(34)

Food(15)

Aircraft and ships(35)

Electrical Machinery and Comp.

(31)

Chemicals and Pharmaceuticals

(24)

Machinery and Equipment

(29)

Brazil / Nucleus- 8 sectors- 78% R&D Expenditures- U$S 1,875 million in 2000

From Lenita Turchi & J A De Negri, IPEA

Petrobras: world's top producer of oil in deep

waters

1983Piraúna293 m

1992Marlim781 m

2001Roncador

1.886

Science, Technology and Innovation in Brazil

Cooperation Petrobras / Universities in Cooperation Petrobras / Universities in BrazilBrazil

[Portal Lattes 2002][Portal Lattes 2002]

RegionRegion State Research State Research GroupsGroups

NorthNorth AmazonasAmazonas0101

NortheastNortheast BahiaBahia0707

CearáCeará0101

ParaíbaParaíba0202

SergipeSergipe0303

PernambucoPernambuco0606

Rio Grande do NorteRio Grande do Norte0404

Centre West Centre West Distrito FederalDistrito Federal0202

SoutheastSoutheast São PauloSão Paulo1010

Minas GeraisMinas Gerais0303

Espírito SantoEspírito Santo0101Rio de JaneiroRio de Janeiro5858

SouthSouth ParanáParaná1212

Santa CatarinaSanta Catarina0606Rio Grande do SulRio Grande do Sul

1313

Total Research GroupsTotal Research Groups 129129

Computational Fluid Dynamics (CFD)

Prize CNI 2005

• 8 Institutions: Embraer, CTA, USP – Poli & São Carlos, UNICAMP, UFSC, UFU, PUC-Rio

• 3 enterprises: ESSS, CITS & DELTACORE.

• 100 specialists.

MarcopoloMarcopolo: : technology, improvement and technology, improvement and outdoingoutdoing

Marcopolo has grown along with its initiatives for Marcopolo has grown along with its initiatives for education, citizenship and environmental management. education, citizenship and environmental management. Throughout it has created innovating projects, and Throughout it has created innovating projects, and today it is present in its own manufacturing companies today it is present in its own manufacturing companies in Brazil, Portugal, Argentina, Mexico, Colombia, South in Brazil, Portugal, Argentina, Mexico, Colombia, South Africa and in China. It has recently begun to operate in Africa and in China. It has recently begun to operate in the segment of LCV (Light Commercial Vehicles), parts the segment of LCV (Light Commercial Vehicles), parts and components, and plastic products.and components, and plastic products.

“friendly robust”

A bus for the pilgrimsA bus for the pilgrims

SETORES DAS EMPRESAS ENTREVISTADASTotal = 48 empresas

87

65

33

33

2

21

11

3

Automotivo

Tecnologia da Informação

Química

Farmacêutica

Metalúrgico

Energia Elétrica

Eletrônico e Telecom

Alimentos

Higiene

Bens de Capital

Eletro-eletrônica

Semicondutores

Alumínio/ Metal

Outros

P&D de Transnacionais no Brasil

TENDÊNCIA DAS EMPRESASINVESTIMENTOS EM P&D

61%

30%

9%

Aumentar Manter Diminuir

ARGUMENTOS QUE AS FILIAIS BRASILEIRAS UTILIZAM PARA TRAZER P&D

• Mercado em expansão• Custo competitivo• Competência dos profissionais• Competência científica comprovada• Histórico de sucesso em P&D• Excelência das universidades e dos centros de pesquisa• Excelente relacionamento U-E • Fuso horário• Infra-estrutura em P&D

Santa Rita do Sapucaí: a community Santa Rita do Sapucaí: a community innovatesinnovates(Minas Gerais, 35 000 inhabitants)

• Electronics, informatics, telecommunications, textile

• 7 000 jobs

• Revenue in 2006:

US $ 380 millions130 technology-based MSE

Gabriela, Clove and CinnamonGabriela, Clove and Cinnamon… … and and InformaticsInformatics

• 57 MSE57 MSE

• 8 000 jobs8 000 jobs

• 1 500 000 computers 1 500 000 computers produced in 2006produced in 2006

• Revenue US $ 1 Revenue US $ 1 billion in 2006billion in 2006

Ilhéus Ilhéus Informatics PoleInformatics Pole

Jorge Amado

[Ilhéus, Bahia, 220 000 inhabitants][Ilhéus, Bahia, 220 000 inhabitants]

Freezing Food - the “pão-de-queijo” Freezing Food - the “pão-de-queijo”

experience:experience: problem in the cooling operation: problem in the cooling operation:

natural yeast that didn't resist cooling!natural yeast that didn't resist cooling!Biotechnology & Food Technology

• Universidade Federal de Minas Gerais• Universidade Federal de Lavras• Universidade Federal de Viçosa

• Centro Tecnológico de Minas Gerais

•Brazil ~ 500 MSME “pão de queijo” enterprises • Local Market ~ 8 000 clients• External Market: USA, Canada, Mexico, Argentina, Venezuela, Japan,

UK, Italy, Germany, Portugal, Spain, France, Israel, Singapore ...

• Market annual growth ~ 100% (in 2005)

Innovation in the KitchenInnovation in the Kitchen

“cheese rolls”

Brazil: Mobilizing Knowledge for Development

•Not only high tech or information and communication technologies: making effective use of knowledge across economy and society

• Improving interaction between policies, institutions, technology, people, and government

•Diffusing knowledge to laymen, farmers, workers, enterprises, and government to improve lives

•Success cases and a spreading culture of innovation show that the country has the potential to fully develop its innovative capability

from Remembrance of Things Past to Great Expectations