MarketAark - The Brazilian Defense Industry: Market Opportunities and Entry Strategies, Analyses

July 13, 2012 - PRLog -- The Brazilian Defense Industry: Market Opportunities and Entry Strategies, Analyses and Forecasts to 2017

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Product Synopsis
This report is the result of ICD Research / Strategic Defence Intelligence’s extensive market and company research covering the Brazilian defense industry. It provides detailed analysis of both historic and forecast defense industry values including key growth stimulators, analysis of the leading companies in the industry, and key news.

Introduction and Landscape
Why was the report written?
The Brazilian defense Industry Market Opportunities and Entry Strategies, Analyses and Forecasts to 2017 offers the reader an insight into the market opportunities and entry strategies adopted by foreign original equipment manufacturers (OEMs) to gain market share in the Brazilian defense industry.

What is the current market landscape and what is changing?
The Brazilian defense market valued US$38.27 billion in 2012, with US$2.87 billion spent on the procurement of military hardware and a considerable amount spent on training, pension payments, maintenance, repair, and overhaul. The country’s modernization of its outdated defense systems, and simultaneous focus on the development of its domestic defense capabilities to reduce dependence on foreign suppliers, has resulted in Brazil’s pursuing technology transfer agreements. During the review period, the country allocated an average of 1.5% of its GDP to defense, a figure which is among the lowest in the region, and it also spent the smallest per capita defense spending in the region of US$195 in 2012.

What are the key drivers behind recent market changes?
During the forecast period, Brazil’s defense expenditure will be driven by factors such as the modernization of Brazil’s defense systems, development of domestic defense capabilities, and efforts to protect the Amazon region. The country procured 12 second-hand Mirage 2000Cs, and is currently negotiating the procurement of 36 fourth-generation fighter jets from Dassault, SAAB, and Boeing. The country is developing a 19-ton air transport and aerial refueling aircraft along with a ship building and naval yard. The System for the Vigilance of the Amazon (SIVAM) program, which the government executed in partnership with Raytheon, involves the patrol and protection of the dense Amazon region against deforestation, land invasion, drug trafficking, and illegal mining.
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