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INFRASTRUCTURE * Brazil - Poor infrastructure leads the challenge between local and foreign companies

The state of transport infrastructure is particularly acute ...

San Paulo, SP, Brazil - Latin Business Chronicle by Economist Intelligence Unit (EUdeNA ) -2 August 2010: - Automakers can rejoice, but are million drivers who have to worry about driving on unpaved roads, as dangerously prevalent everywhere except on the main routes, and even many of them are full of potholes or need rejuvenation. The lack of infrastructure is one of the main reasons for low scores Brazil in the ranking of The Economist Intelligence Unit, the business environment , (based on 12 key criteria in operation of business). That puts Brazil 40 on a total of 82 countries, despite the expectation of some slight improvements in the coming years ... In our survey, nearly half of local entrepreneurs with international ambitions (49%) point to the "low-level or expensive infrastructure, like telephones, transport networks and public services" as the obstacle main operations, much more than select corruption, poor government administration (34 percent) or lack of qualification (32 percent). The state of transport infrastructure is particularly acute ...

Despite some improvements in logistics, transportation of goods by road is expensive. There are few railroads. And the potential of waterways remains largely unexplored. Ports and airports are always congested ... And this can add a quarter or more in cost of products to market, investors say ... Paltry 1 percent of GDP propuesas investments in infrastructure, while waning investment in the transport sector will not offset the deficit. Just over 10 percent of the road network is paved Brazil, and even these are poorly maintained. The exceptions are the main toll roads operated by private operators since the late 1990s, as the main highway San Pablo, Rio de Janeiro ... Just as the increasing use of cars (with 25 million vehicles on the roads now) more than 60% of freight is carried by truck, although this method is slow and expensive. Many fleets include vehicle owners aged drivers, and this makes it difficult for a company to develop an overview of your logistics needs ... The problem is that nobody has "end to end" responsibility for the logistics in the entire trip ... (Photos: Google Images & Claus Bunks - Brazil's congested ports and airports are congested, adding even more transportation costs. Here Guarulhos Sao Paulo and Santos)