Brazil's central government Februry budget surplus down

Brazil's property central government primary budget surplus fell sharply to 5.03 billion reals ($2.88 billion) in February from 15.35 billion reals in January, the National Treasury said on Friday.

Profits rose from 3.5 billion reals in February 2007.
Strong decline was due to seasonally higher tax revenues, and one of the dividend income in January, the Treasury said.
The central government in the primary budget surplus for the first two months of this year stood at 4.59 per cent of gross domestic product, compared to 3.83 per cent of GDP in the same period a year ago.
The primary surplus includes the costs the Treasury, the central bank and the social security system, but excludes interest payments on debt and transfers to state and local governments.

The central government surplus feeds into the consolidated public-sector primary surplus, which is closely tracked by investors as a measure of Brazil's property ability to pay its debts. The consolidated primary surplus, due out on Monday, also excludes interest payments. ($1=1.744 Brazilian property reals)

Investment in leisure

The Brazilian property developer of leisure real estate known as Invest Tur plans to develop projects with Starwood Hotels & Resorts Worldwide Inc., the third-biggest U.S. hotel company, Invest Tur said in a regulatory filing yesterday. Invest Tur rose 0.5 per cent to 774 reals.

Brazilian bank loans $5.8 mln to hydropower project

Brazil's property state-owned Social and Economic Development Bank (BNDES) is to pump one billion reals (580 million U.S. dollars) into the construction of the Simplicio hydropower plant in the country's southeast.

BNDES said in a statement that Simplicio will be the second largest hydropower plant in the state of Rio de Janeiro. With a capability of generating 333.7 megawatts, the plant will be able to answer the power demand of a city with 1.5 million inhabitants.

The agreement was signed between BNDES and Furnas Centrais Eletricas, a major Brazilian property power company Thursday.

By 2010, when the plant is expected to start operation in a position to supply hydroelectric power will be increased by 28 per cent. Rio de Janeiro now has 10 hydroelectric plants with a total capacity of1, 200 megawatts.

BNDES expects the project to create 4000 direct jobs and 10000 indirect jobs. The project will also include the construction of sewage purification stations and the creation of environmentally protected areas near the dam.

According to BNDES, the operation has been included in a package of infrastructure projects in the programme for the acceleration of economic growth, developed by the federal government to promote economic development in the country.

The Bank is currently engaged in 105 energy projects in the programme, the total investment amounting to 62.8 billion reals (36.3 billion dollars).

Brazil foresees 4.8% economic growth in 2008

Brazil's property Central Bank said Thursday that it has raised its expectation of the country's gross domestic product (GDP) growth rate this year from 4.5 percent to 4.8 percent.

In a statement, the Central Bank also added the inflation rate will reach 4.6 percent in 2008, up from the previously-estimated 4.3 percent.

It voiced concern over an misbalance between demand and supply, saying that if Brazil's property industrial sector fails to perform consumption demands, more pressure will be put on prices.

"The emphatic imbalance between the paces of expansion in domestic demand and supply ... presents a relevant risk to the inflationary overview, which requires attentive monitoring from the monetary authority," the statement said.

Meantime, the statement added that strengthened domestic demand creates an environment that favors an increase in investments, "even in a scenario of moderate deceleration in economic growth."

On March 12, authorities said Brazil's property GDP amounted to 2.6 trillion reals (1.5 trillion U.S. dollars) in 2007, up 5.4 percent from the previous year.

Growth was boosted mainly by an increase of 6.5 percent in family consumption and 13.4 percent in investments, which represented the biggest expansion since 1996.

Brascan buys MB Engenharia

The Brazilian real estate company controlled by Canada's Brookfield Asset Management Inc. approved the general terms and conditions of the proposal for the acquisition of 100% shares issued by MB Engenharia, the Rio de Janeiro-based company said in a regulatory filing.

The structure of the operation foresees immediate investments in MB Engenharia and sets the basis of payments to shareholders. The transaction should be concluded in April.

Brazil concerned by overheated credit deals

The Brazilian government is increasingly concerned by a boom in credit deals, which now amount to more than a third of the country's gross domestic product (GDP).

Personal, corporate and institutional credit now tops 957.6 billion reais (US$550 billion), which equals 34.9 percent of Brazil's property GDP, the Central Bank announced yesterday.

According to the bank, private borrowers are responsible for a total of US$189.5 billion, mostly fueled by an increase in car-leasing Brazil property agreements.

The head of the Central Bank Economic Department, Altamir Lopes, said yesterday that the total amount of loans is expected to increase by 20 per cent to 25 per cent in 2008 compared with last year, about 40 per cent of GDP in Brazil property. He said that growth was "reasonable" in comparison with similar economies.

However, Finance Minister Guido Mantega yesterday expressed concern over this issue and said that he will meet with the heads of the bank this week to discuss measures to slow consumption and prevent inflation.

The Central Bank monetary policy board said that was referring to raise a key interest rate now stands at 11.25 percent, to counter inflation. Bank aims at 4.5 percent inflation target this year.

Growing foreign appetite for land

It is a question of "national sovereignty, not xenophobia," said the president of Brazil’s land reform agency, INCRA, explaining the need to regulate foreign land ownership in Brazil.

The biofuel frenzy has driven growing purchases of land in Brazil property in the last few years, by local and foreign investors alike. Global financier George Soros, Microsoft chairman Bill Gates, the owners of Google and former U.S. president Bill Clinton (1993-2001) have all bought land or are partners in companies Brazil property dedicated to the development of biofuel in this country.

As a result, land prices have grown. The price per hectare rose by an average of 18 per cent in 2007, and much more than that in areas where cultivation of grains and sugar cane is widening, according to the Instituto FNP, an agribusiness consulting firm in Sao Paulo property.

Some measure of control must be reflected over rural property in the hands of foreign owners, in order for the country to be fully aware of the extent of Brazil Property of the phenomenon and to have power over how land is used, the head of INCRA, Rolf Hackbart, told.

"It’s not a question of interdictioning foreign investment," he clarified.

A Brazilian property law regulates sales of land to foreigners since 1971, restricting purchases to residents or companies operating in the country and setting size limits on the areas that can be acquired.

Brazil demonstrators against privatization of state-owned company

About 500 demonstrators opposed to the privatization of a large Brazilian property electricity producer yesterday blocked access to one of the company's dams, protesting over an auction of the majority stake in the state-owned company.

According to a statement released Energetica de Sao Paulo SA, or CESP, the protest yesterday did not affect us, exploitation and protesters occupied only public area before leaving.
Privatization of state companies, which generates about 60 percent of electricity used in the Sao Paulo state requires a minimum bid at 6.6 billion reals (3.8 billion dollars).

Activists from the Landless Workers Movement and the Movement of Dam-Affected people are strongly opposed to privatization of public companies, which they see as letting state property wealthy investors.

As in Brazil property, the federal government promised not to renew the license for two CESP in dams, many doubt that the auction will generate minimum rates and, consequently, CESP stock faced 10.7 percent loss yesterday in Sao Paulo Bovespa exchange.

Multiplan Announces EBITDA Growth in 2007 of 48% to R$212.2 Million

Multiplan Empreendimentos Imobiliarios S.A., the largest mall owner and manager in Brazil property by revenue, the most profitable company in the sector, with a portfolio of 13 owned malls (three under development and ten operational and consolidated, five of which are being expanded), publishes its results for the fourth quarter of 2007. Except where stated otherwise, the financial and operating data is based on consolidated data in Brazilian real, in accordance with generally accepted accounting principles in Brazil property.

-- Gross revenue was R$112.4 million in the quarter, up 24.8% versus the

R$90.1 million in 4Q06. In 2007, gross revenue totaled R$368.8 million,

growing 33.4% in relation to the R$276.5 million in 2006.

-- Adjusted EBITDA increased 26.8% to R$67.2 million, from R$53.0 million

in 4Q06. In the year, Adjusted EBITDA grew by 47.5% to R$212.2 million,

from R$143.8 million in 2006.

-- Adjusted Income in the quarter increased by 34.4% to R$61.4 million,

compared with R$45.7 million in 4Q06. In 2007, Adjusted Income was

R$176.5 million, 73.2% higher than R$176.5 million a year earlier.

-- Adjusted FFO was R$68.6 million in the quarter, 35.5% higher year on

year. In 2007, FFO grew by 67.7% to R$200.2 million, from R$119.4

million in 2006.

-- Acquisition of a 36,748 sq.m. land for future commercial development in

the Barra da Tijuca neighborhood of Rio de Janeiro, one of the cities

fastest-growing real estate markets.

Investors snap up property for sale in Brazil

A growing amount of second home buyers from the UK are buying property for sale in Brazil, it has been discovered.

British newspaper the Times wrote that the north-east coast of the South American nation has become a major hotspot of activity for overseas buyers.

The publication said developers are creating brand new resorts along the coastline, which include attractions such as private pools, spas and golf courses.

This offers that authorities in the region are aiming to attract buyers to the top end of the market.

However, the newspaper wrote that it is not only overseas property buyers who are interested in buying property for sale in the region.

The Times remarked: "The emergence of an increasingly affluent Brazilian middle class means there is not too great a dependence on British and other foreign buyers."

North-east Brazil was recently recommended by NuWire Investor, which said its growing tourist trade and strong economy makes it a good location for investors to consider.

This comes after north-east Brazil was described as a "hidden gem" by NuWire Investor on the strength of its strong economy and growing tourist trade.

Brazilian Trade Surplus May Narrow by Half, Estado Reports

Brazil's trade excess this year may be half of the value registered in 2007 because of the increase in imports, O Estado de Sao Paulo reported on its Web site, citing revised estimates from banks and economic institutions.

Estimates for the trade surplus this year have been cut to about $20 billion from forecasts of about $30 billion some weeks ago, the Brazilian newspaper said. Brazil had a trade surplus of $40 billion last year, Estado reported.

New Brazilian regulations 'spur property growth'

Regulations introduced in 2005 have had a real impact on property for sale in Brazil, as well as the whole real estate market in country.

According to the Brazilian Association of Real Estate and Savings Institutions, the number of real estate loans has risen from 53,787 in 2004 to 195,900 in 2008.

Jose Carlos Oliveira, professor of economics at the University of Brasilia, told the Latin Business Chronicle that the changes related to real estate guarantees.

In 2005, the government allowed banks to 'own' a property until the borrower had repaid their loan in full.

"Although this option creates a highly risky situation for the borrower, it makes it possible for the person who provides the funds to have an additional motivation because it permits him to recover the property in case of non-payment," he commented.

Antonio Montes, professor at the Instituto de Empresa in Spain, said the regulations have democratized the real estate market, making it more realistic for low-income earners to enter into the property market.

According to Brazil's finance ministry, analysts are "unanimous" that Brazil is a place where things are "going well" and where companies and banks are "solid". The government expects that that this will reassure investors who are looking for property for sale in Brazil.

Brazil Pursues Crackdown on Loggers After Surge in Cutting

The Brazilian government has begun an invasive crackdown on logging in the Amazon, an operation that pits environmental regulators against people who say they depend on those protected resources to survive.

After three years of declining rates of deforestation, satellite images released in January showed that about 2,700 square miles of land in the Brazilian Amazon had been cleared in the final five months of 2007 -- a rate that would represent more than a 60 percent increase over the five-month average of the prior year.

The government quickly issued a moratorium on logging in the hardest-hit areas, including this town, which sits about four hours by car from the mouth of the Amazon River. Officials suppose that 70 percent of the population of about 65,000 here depends on the wood industry. Some work for big logging operations. Many more are like Ediline Natos, the wood industry's version of sustenance farmers.

Brazilian president defends national development program

Brazilian President Luiz Inacio Lula da Silva said Thursday that the government-sponsored national Growth Acceleration Program (PAC) is for the benefit of the country, not for "electoral" purposes as voiced by opponents.

Criticism that the government is using PAC as an electoral tool is "verbal stupidity that lacks logics," Lula said.

The program is aimed at bringing welfare to the country, said the president, adding that he has approved investments of 4.6 billion U.S. dollars in the state of Sao Paulo, and 635 million dollars in Sao Paulo's capital city, which are governed by members of the opposition parties.

"To me it does not matter which party the mayor belongs to, or which party the governor belongs to. What matters is that the state has needs, the city has needs, and we have the money and we will carry out the projects," he said.

The program, launched in 2007, is aimed at boosting social and economic development all over the country. Its projects are still in operation this year, when the municipal elections are

Rossi Residencial SA assured a 200 million real from a Banco Bradesco SA

Rossi Residencial SA, the third largest Brazilian developer, assured a 200 million real ($117 million) standby credit facility from a Banco Bradesco SA unit last week as demand for fixed- income is infirm, investor relations director Sergio Rossi said. The company may gauge ``meticulously'' whether conditions meet to sell as much as 300 million reals of local notes in coming weeks, he said.

Loans ``certainly offer an advantage at this moment of turbulence,'' Rossi said in a Sao Paulo interview.

Business Monitor International’s Brazilian Infrastructure Report 2008 Summary

Brazil is the 9th largest economy in the world and owns well-developed agricultural, mining, manufacturing and service sectors. Development in infrastructure is being driven by public-private partnerships (PPP), when the Brazilian construction industry is being backed by strong government investments.

Brazil can capitalize on its rising trade with the Arab world and expand it on numerous fronts, including the construction industry. The leading 10 construction companies are all long-established and significant players in Brazil. Moreover, the Programa de Acelera¸ão do Crescimento (PAC) – the federal government's growth acceleration plan that was unveiled in January 2007 – is expected to stanch faster completion of the construction projects that are in the pipeline. The program is also aimed at projects in the oil and gas, transportation and sanitation sectors, pointing to boost BRL500 billion (US$235 billion) of infrastructure development during 2007-2010.

Besides, private investment generated through PPP has been beneficial only at the state level. There is inadequate public investment in the nation's transport infrastructure, leading to slackened progress in the development of roadways and port terminals. The laws do not spur foreign companies, which stipulate that the latter need to either be stated in Brazil or have a Brazilian partner in order to provide construction services.

In spite of the risks, BMI forecasts an average construction-industry growth rate of 6.24% during 2007- 2011. The government's enterprise to perform the PPP model in infrastructure-connected projects is anticipated to drive foreign investments in construction and boost the industry growth rate. Brazil can insure long-term financing in spite of opportunities of lead time in infrastructure developments due to regulatory and environmental licensing problems.

According to the BMI Business Environment Rankings, Brazil ranks the nation 4th out of the seven states included from Latin America.

Brazil may create a record 1.8 million formal jobs this year

Brazil will create a record number of formal jobs this year as the pace of economic growth accelerates on rising domestic demand, the labor minister said.

Brazil property, Latin America's biggest economy, is forecast to create more than 1.8 million government-registered jobs this year up from the previous record of 1.62 million last year, Labor Minister Carlos Lupi told reporters today in Brasilia.

``Brazil's industry is growing and the agricultural sector too,'' Lupi said. ``There has been an increase in output in response to demand, without sparking inflation.''

Employers in Brazil do not want to create formal jobs - positions that provide all benefits, including insurance, pension and severance - because the cost of the wage bill is about twice by taxes. The growth in the more-desirable formal jobs is further evidence of economic strength in real estate of Brazil.

The number of government-registered jobs rose 39 per cent in February from a year earlier, the Labor Ministry said today. The economy created 204,963 formal jobs last month compared with 148,019 in February 2007, the ministry announced in a statement distributed from Brasilia.

The government-registered job creation number is a balance of posts created minus job dismissals. Registered jobs, the so-called formal work, assure employees a range of benefits such as unemployment insurance, bonuses and retirement payments by the government.

Brazil investment grade `more difficult,' Fitch says

Brazil's path to an investment grade rating is ``more difficult'' as a global credit crisis threatens to reduce liquidity and economic growth, Fitch Inc.'s Peter Shaw said.

``It's hard to make any comments on timing, but the recent events weren't in our considerations six or nine months ago,'' Shaw, managing director of Fitch's Latin America Bank Group, said in a Bloomberg Television interview today. ``It's a little more difficult.''

The wreck of the U.S. subprime mortgage market forced 45 of the world's biggest banks and securities firms to write off more than $195 billion. The losses may lead banks to reduce credit and oppose economic growth.

``Brazil's property biggest challenge is to show it can sustain the economic growth,'' Shaw said. ``The perspective for global growth is less optimistic, and this won't help.''

The Federal Reserve has cut its benchmark rate 3 percentage points since September to help reduce the impact of the crisis that has infected financial markets around the world.

Fitch increased Brazil's credit rating to BB+ from BB in May. The rating is one level below investment grade.

Brazil's gross domestic product increased 5.4 per cent in 2007, the fastest pace since 2004, the government stated last week. Growth in Latin America's biggest economy has been supported by record low interest rates and wage increases, which are fueling demand for goods such as cars, homes and electronics.

State and non-state bank lending in Brazil property increased 28 per cent in the 12 months through January to a record 944.2 billion reals ($559 billion), according to the central bank figures.

Shaw expects lending to increase more than 20 per cent this year. ``Banks are financing this growth of credit with their own resources or funds from the domestic market, and they can continue to do so,'' he said.

Merrill Lynch hires Brazilian bankers from UBS

Merrill Lynch & Co said on Tuesday it hired nine bankers to build up its Brazilian banking operations on property, including seven from rival UBS.

"Brazil is a critical growth property market for Merrill Lynch and the appointments confirm its importance," Chief Operating Officer Greg Fleming said in a statement.

The bankers hired from UBS include Alexandre Bettamio, who was co-head of investment banking in Brazil for UBS unit UBS Pactual. He will head investment banking for Brazil property at Merrill Lynch.

Other UBS bankers joining Merrill Lynch are Roderick Greenlees, Hans Lin, Ricardo Moura, Andre Azevedo, Leonardo Mota, and Pedro Garcia.

Merrill Lynch also hired Sebastien Chatel as co-head of Latin America equity capital markets from Credit Suisse and David Panico from Itau/BBA.

Net income for the PDG grows 202.6% in 2007

The PDG Realty Empreedimentos Inmobiliarios reported adjusted net income (excluding the expenses relating to the initial public offering of shares) of $ 129.5 million last year, representing an increase in Brazil property of 202.6% over 2006. In the period, net income amounted $ 552 million, increased of 178.3%, while the EBITDA (profit before interest, taxes, depreciation and depreciation) reached $ 161.1 million, growth of 214%. In statement to the Brazil property market, the company also announced data from the fourth quarter of 2007, when the adjusted net income totaled $ 50.66 million, high of 126.3% compared to same period in 2006. In the same comparison, the net income reached $ 190.7 million, 86.3% of high, and EBITDA $ reached $ 60.4 million, advancement of 117.3%.

San Paolo prepares measures against transit chaos

The Mayor of Sao Paulo preparing a series of measures to improve the transit of Sao Paulo. The municipal secretary for Transport, Alexandre de Moraes, said yesterday that among the proposals, are to prohibit parking on the streets of big movement in times of peak morning and evening.

The synchronization with intelligent traffic lights - that self-regulate the opening and closing as a cargo transit, increased restrictions on the transport of cargo during the rush, and increasing surveillance Brazil property, with more cameras and men are among the proposals being studied, as well as installation of the panels to inform alternative routes.

Moraes said that measures must be taken in April, when complete a study on the chaotic traffic.

The objective of the measures will prioritize public transport rather than the individual Brazil property. With emplacamento of up to one thousand cars per day, Sao Paulo is breaking records of congestion in recent days. Pollution also grows, even in days of rain, where there are conditions for dispersal.

Velcan Energy Acquires the Quebra Dedo Hydroelectric Project in Brazil

Velcan Energy announced that it has acquired the Quebra Dedo 16 Megawatts hydroelectric projection in Brazil. Depending on the different authorizations still coming, construction of the Quebra Dedo should start in the first semester of 2009 and the start-up of production in 2010-2011. The Quebra Dedo Hydroelectric project is located on the Suaci Grande River, in the state of Minas Gerais, South-East region of Brazil. Financial terms of the transaction were not disclosed.

Mitsui, Petrobras to form bioethanol venture in Brazil

Petroleo Brasileiro S.A., or Petrobras, said Thursday it and Mitsui & Co have signed documents to set up a joint venture in Brazil to implement bioethanol-related projects, including one to export bioethanol to Japan. The venture, Participacoes Nippo Brasileira em Complexos Bioenergeticos S.A., will be owned evenly by the two partners, according to the Brazilian state-owned oil and gas company. Brazil property is the world's largest bioethanol exporter. Bioethanol can be produced from sugarcanes. The two partners will seek to ship the biofuel to Japan, where demand for the environmentally-friendly fuel is expected to rise due to the need to take measures to limit global warming.

Groups White Eagle and Caprioli negotiate purchase of jets from Embraer for Trip

The entrepreneur David Neeleman should not be the only one to operate regional jets from Embraer in Brazil property. A Trip, greater regional enterprise in the country, is also negotiating the purchase of jets with the Brazilian manufacturer, show sources of the market.

The president of the Trip, José Mário Caprioli limited itself to confirm that the company is in fact considering the addition of regional jets to its fleet, now composed only by aircraft.
"We are doing a very thorough analysis and we believe that in a not so distant horizon property should have regional jets into our fleet," said the executive. He did not want to specify when, but said that "the decision will come soon."

Company of the group and the White Eagle capixaba group Caprioli, both of the road transport industry, Trip has a fleet of 18 turboélices. They are models of aircraft ATR 42 (of 40 seats), ATR 72 (66 seats) and Brasilia (30 seats), Embraer property in Brazil.

Despite having only 1.05% of domestic market share, Trip is present in 64 cities, higher than the number of destinations served by Gol (50) or by TAM (45).

Brazil Posts Again a Trade Deficit

Brazilian exports totaled US$ 3,228 billion and imports, US$ 3,387 billion, resulting in a trade deficit of US$ 159 million in the first week of March. The data were supplied, today, March 10, by Brazil's Ministry of Development, Industry and Foreign Trade, which discloses the weekly trade balance results every Monday.
A negative take of US$ 81 million was registered property in the fourth week of February as well. This was the first trade deficit recorded ever since the third week of May 2002 (US$ 35 million).
In the accumulated result for the year, totaling 46 business days, the balance of trade maintained a surplus of US$ 1.667 billion (daily average of US$ 36.2 million), lower than recorded in the same period property of 2007 (US$ 5.634 billion).
Exports totaled US$ 29.305 billion, at a daily average of US$ 637.1 million, and imports stood at US$ 27.638 billion, resulting in a daily average of US$ 677.4 million.
In 2007, up until the first week of March, imports did not follow the same pace and reached US$ 16.701 billion, when foreign Brazil property sales faced at US$ 22.335 billion.
As imports are growing at a stronger rate than exports, market analysts have decreased their projection for the balance of trade from US$ 30 billion down to US$ 29 billion, according to the Focus bulletin, published this Monday, March 10, by the Brazilian Central Bank.

In Tourism Brazil Ranks 49 to Switzerland's 1st Place

Brazil, in 49th place, is the Mercosur (Argentina, Brazil, Uruguay, Paraguay) country best ranked in the second annual Travel & Tourism Competitiveness Report 2008, released by the World Economic Forum. Top of the list figure Switzerland, Austria, Germany, Australia, Spain and the UK.
Mercosur countries do not figure among the most attractive environments for developing the travel and tourism industry, pursuant to the report. Costa Rica is Latin America's top ranking country followed by Chile, 51, Mexico, 55, Argentina, 58 and Uruguay, 61.
"The dependence of tourism on the quality of the natural environment leads national governments and the tourism industry to focus increasingly on environmental protection," said Thea Chiesa, head of Aviation, Travel and Tourism at the World Economic Forum.
In this scope, this year's Report, under the theme Balancing Economic Development and Environmental Sustainability, places a specific focus on the issue, both through a reinforced environmental component of the Index used to measure travel & tourism (T&T) competitiveness and through topics covered by the analytical chapters.
Improvements have been made to the Travel & Tourism Competitiveness Index (TTCI) this year. The "environmental regulation" pillar has been revised and improved as well as being re-named the "environmental sustainability" pillar to better reflect its components and to capture the increasingly recognized importance of sustainability in the sector's development.

Industrial employment in Brazil falls

Industrial employment in Brazil fell by 0.4% between December 2007 and January 2008, the Brazilian Census Bureau informed on Wednesday. However, there was a 2.8% rise against January 2007.
In the year ending January 2008 industrial employment rose 2.3%.
Meanwhile, the sector's real wages rose by 2.9% between December 2007 and January 2008, and by 7.2% in the comparison with January 2007 - the highest result since December 2004 (10.7%).

Activists block Brazil railway

Hundreds of Brazilian farmers have blocked a railway owned by mining firm Vale in protest against the construction of a hydroelectric dam which they say will displace thousands of people.

The occupation of the railway facility was carried out by 600 protesters from several activist groups, including Via Campesina and the Landless Rural Workers Movement, known in Brazil as the MST, Companhia Vale do Rio Doce SA said in a statement.

Vale said the action, in Brazil's southern Minas Gerais state, halted transportation of 2,500 passengers a day and 300,000 tonnes of ore.

Vale condemned the action in a statement, saying it "repudiates violence and the constant threats to its patrimony and life of its workers by the MST".

On Saturday, MST activists invaded a Vale-owned forestry and charcoal unit near the company's plant in Carajas - the Amazon area where Vale's biggest iron ore mine is located.

Last October the group, along with Via Campesina, also blocked a railroad near the Carajas plant for couple days, shortly leaving the plant without raw materials.

In Brazil, land considered unproductive can be expropriated by the government for redistribution to the country's poor people.

About 3.5 percent of landowners hold 56 percent of arable land in Brazil, while the poorest 40 percent own only one percent.

In recent years the groups have also turned their attention to targeting large companies and multi-nationals, invading land they consider unproductive in order to pressure the government.

Brazil's largest private bank acquires top home stock broker

Bradesco, Brazil's largest private bank, announced Thursday that it has acquired Agora Holdings, owner of Brazil's leading home stock broker Agora Corretora, for about 830 million reais (494 million U.S. dollars).
This will allow the bank to get the top position in the home broker sector, which has been receiving high rates of economic growth. Nevertheless, the transaction remains approval by the Brazilian authorities, according to a press release issued by the bank.
After the acquisition, Agora Corretora will be run in the "Independent", and will continue to rely on its current operations and service structures, the bank said.
Of the acquisition deal, 500 million reals (298 million U.S. dollars) correspond to the value of the business, and the remaining 330 million reals (196 million U.S. dollars) represent the market value of the stocks held by Agora Holdings in the Sao Paulo Stock Exchange and the Brazilian Mercantile and Futures Exchange, Bradesco said.
Agora Corretora, which has been operating in the market for over 15 years and has about 29,000 active clients, is the largest broker in Brazil's home broker sector, according to Bradesco

Pele joins Brazil's 2014 organising committee

Pele, who was conspicuously absent from the ceremony when Brazil were awarded the 2014 World Cup last year, is now joining the tournament's organising committee.
"I want to be part of a World Cup which will be worthy of Brazil," he told Globo television in an interview on Thursday, standing next to Brazilian Football Confederation (CBF) president Ricardo Teixeira.
"I hope that Brazil can put on a World Cup which will serve as an example to FIFA and the world.
"I believe I can make a big contribution to the success of the World Cup in our country."
Brazil, the only candidate to stage the tournament, were confirmed as hosts by FIFA last October.
At that time, Teixeira dismissed the absence of a player who symbolizes for most people in the South American country of football.
"I do not know where he is, but we have invited two players here, which is great generation of players during my presidency," he said, referring to the former captain Dunga, currently coach of the national team, and the larva Romario.
Teixeira the CBF has been president since 1989, and its relations with Pele often frosty.

Rice to visit Brazil and Chile next week

Secretary of State Condoleezza Rice will visit Brazil and Chile next week, an aide said on Thursday, making a trip that could be overshadowed by a dispute over Colombia's bombing of rebels on Ecuadorean soil.
State Department spokesman Tom Casey said Rice's March 13-15 journey would include two stops in Brazil -- the capital, Brasilia, and the city of Salvador, the former slave port that is now capital of the Brazilian state of Bahia.
She will also visit the Chilean capital, Santiago.
Casey said Rice would focus on regional and bilateral issues, including biofuels cooperation with Brazil and trade with Chile. He said he did not expect the Ecuador-Colombia dispute to dominate the trip, which was previously scheduled.
The crisis erupted on Saturday, when Colombia held a bombing raid in Ecuador, which killed a senior rebel from the Revolutionary Armed Forces of Colombia and the FARC, a Marxist guerrilla group, leading four decades ago, a war against the Colombia.
Ecuador, Venezuela and Nicaragua broken diplomatic relations with Colombia over the incident and Venezuela on Wednesday moved tanks, as well as air and sea forces in the direction of the Colombian border.
The United States called for the settlement of the crisis, which pits OPEC members Venezuela and Ecuador to Colombia, which receives billions of dollars in military assistance to the United States.

Lula participates in ceremony of the beginning of work of the PAC in Rio Slums

The President Luiz Inacio Lula da Silva participates on Friday (7) the ceremony of signing of the orders to start the works of the CAP (the Growth Acceleration Program) of the complex of German and Manguinhos (north of Rio) and Rocinha ( south side of the River). The spokesman of the Presidency, Marcelo Baumbach, said the federal and state governments go invest about $ 1 billion in these communities through social programs, construction of houses, schools, kindergartens, units of health, area of recreation, water treated, network treatment of sewage, drainage and paving of streets.
"In the German Complex in area estimated at 1.8 million square meters, will be held investment of about $ 493 million, which benefit about 95 thousand people," said Baumbach yesterday.
According to him, Manguinhos will be invested $ 232 million in an area of 490 thousand square meters. The works should benefit 45 thousand inhabitants of the community.
In Rocinha, investment to reach $ 175 million. "The projects are long-term and aim to ensure sensitive advance in several sectors, in the philosophy of the physical improvements should be accompanied by work, health and decent housing," said Baumbach.
On Saturday, President Lula part of the launch of the project Scholarship Training of formation to police. The project was created in the framework of Pronasci (Programa Nacional de Seguranca with Citizenship).

Manufacturers of capital goods should invest more in 2008

The industry of machinery and equipment installed in Brazil estimated 19.94% increase in investment this year to $ 9.39 billion compared to $ 7.83 billion applied in 2007, when rose 13.7% the year before Previous as lifting the Interstate Union of Machinery Industry (Sindimaq) and the Brazilian Association of Machinery and Equipment Industry (Abimaq). The authorities yesterday also released the figures for January this year, when the nominal turnover of the industry grew 38.8%, compared to same month of 2007, reaching $ 5.16 billion.

Apparent consumption (production plus imports with, minus exports) Brazil, meanwhile, gave greater leap of 46%, and was the $ 6.7 billion in the month, pull, in particular, the increase of 60.4% on imports of capital goods in the period, which totaled $ 1.76 billion (FOB). Already exports rose 29% and totaled $ 886 million. The trade deficit grew 112% in the month, to US $ 880 million. Last year, the deficit reached $ 4.8 billion.

As the vice president of Abimaq / Sindimaq, Carlos Nogueira, performance January, although expressive, should be examined with caution, since the same month of last year the results were very low and grew only 5% compared to R $ 3.54 billion in January 2006. In relation to December last, when the industry faturou $ 5.93 billion, a drop of 13%.

Brazil's central bank holds auction to buy dollars

Brazil's central bank said on Tuesday it would hold an auction to buy dollars on the spot foreign exchange market as part of an ongoing effort to boost international reserves.

The Brazilian real was 0.12 percent stronger at 1.67 per dollar shortly after the announcement, near its strongest level since May 1999.

The central bank has been buying dollars almost daily since October, helping lift Brazil's reserves to rise of more than $190 billion.

RECORD - PUBLIC TITLES

The Andima (National Association of Financial Markets Institutions) will advertise, from now on their website, more information on the values of the negotiations of securities held by the federal public BM & F.
The entity already discloses the average prices of institutions. Now, it will also register possible intentions of offers. "Improved quality of information should bring more liquidity to the market of electronic paper longer," says the superintendent of Andima, Paulo Sampaio.

Bovespa Beats Biggest Stock Markets on Brazil Consumers, Steel

Brazil's Bovespa Index is beating the biggest stock markets this year on the fastest retail sales growth since at least 2001 and rising global demand for the country's metals, oil and sugar.
The 64-member index overtook the Dow average, the best performer in January, led by gains in Gerdau SA, Brazil's biggest steelmaker, and Cia. de Bebidas das Americas, the country's largest brewer. The Bovespa trades at 14.8 times its members' reported profit, compared with 15.9 for the MSCI Emerging Markets Index, data compiled by Bloomberg show.
``We still see plenty of upside for these stocks,'' said William Landers, a fund manager at BlackRock Inc. in Plainsboro, New Jersey, who invests about 70 percent of the $7.8 billion in Latin American assets he manages in Brazil. ``Brazil still looks very attractive from a valuations perspective.''
In 64 – member index of the Dow average, the best performer in January, led by gains in Gerdau SA, Brazil's largest steelmaker and Cia. de Bebidas das Americas, the country's largest brewer. In Bovespa bidding 14.8 times its members have reported earnings, compared to 15.9 in the MSCI Emerging Markets Index, data collected by Bloomberg show.
``We continue to see a lot up for these stocks,''said William Landers, a fund manager at BlackRock Inc., in Plainsboro, New Jersey, which invests about 70 percent of the 7.8 billion dollars in the Latin American assets it manages in Brazil.`` Brazil still looks very attractive in terms of price.''