Focus Events and courses
This article is over 3 years old
HVAC-R market shall grow by 8% in 2013 and boost business at the 18th edition of Febrava
Trade fair brings together refrigeration, air-conditioning, ventilation, heating and air-treatment industries, which is predicting a turnover of R$ 29 billion.
The number of air-conditioning devices installed in Brazilian homes increases yearly. There a number of reasons for continuous optimism on the HVAC-R (refrigeration, heating, ventilation, and air conditioning) industry. The fact that civil construction is undergoing a boom in Brazil and population’s income increase all over the country are both key factors which are contributing to the a positive scenario, in addition to the fact that there are federal incentive policies announced by local government. Abrava – the Brazilian Refrigeration, Air-Conditioning, Ventilation and Heating Association estimates 8% growth for this year, which is much higher than the 3.5% that has been forecast for GDP. Although facing high tax burdens, the HVAC-R sector should post a turnover in excess of R$ 29 billion.
The favorable outlook should result in good business for the exhibitors at the 18th edition of FEBRAVA the International Refrigeration, Air Conditioning, Ventilation, Heating and Air Treatment Fair, which is promoted byReed Exhibitions Alcantara Machado, from September 17th to the 20th, in Sao Paulo. Roughly 250 domestic and internationalexhibiting brands will occupy an exhibition area of 29 thousand m², to receive 30 thousand visitors/buyers who represent important sectors such as supermarkets, shopping malls, industries, banks, offices, hotels and hospitals
The HVAC-R sector is undergoing changes, which can be seen in cities throughout Brazil. Window devices (WRAC – window room air conditioners) have been replaced by splits. According to Abrava, 10 years ago window devices represented 60% of the air-conditioning industry while splits accounted for the other 40%. Currently, 70% of undertakings utilize splits and 15% have window devices. Industrial refrigeration is another indicator as a trend for a range of segments in the Brazilian industry. If there is a considerable increase in “food and beverages” industries, for example, the demand for temperature control devices increases, because the productive chain of both sectors is linked to the processes of refrigeration and of transportation to retail outlets. According to ABRAVA, the ventilation segment is predicting a 4% increase for 2013. Surveys carried out by the IBGE (Brazilian Institute of Geography and Statistics) also reveal that a mere 11% of Brazilian homes use temperature control systems. Bearing this trend in mind, Abrava has answered requests from various foreign companies from Japan, the USA, Italy, Portugal and China that are interested in investing in the Brazilian market.
The HVAC-R businesses that operate in Brazil are for the most part domestic companies (72%, according to Abrava’s figures for 2012), which confirms the potential of the domestic market, and also showing a high percentage of employees who have formal employment contracts (95% of the employees in the sector are hired in accordance with the CLT – Consolidated labor Laws). According to a study carried out by this organization, 43% believe that sales showed an improvement during the first quarter of 2012 by comparison with the same period in 2011; 27% of the universe assessed said that the first three months did not show any change by comparison with the previous year. A mere 30% of those who were interviewed were pessimistic.
