Getting your products into market
Many Brazilian farmers and some domestic manufacturers are not aware of electric fences manufactured in New Zealand. It is important to undertake joint work with retailers of agricultural products so new products are brought to these consumers more easily.
Since Brazil needs to increase productivity in cattle, there is an opportunity to create a service company that could be a joint venture from interested suppliers of New Zealand.
In order to succeed you need access to the network of cooperatives and dealers.
Regulations
It is useful to consult the services of a customs broker or freight forwarder.
Goods and services tax (ICMS) is applied to the cost, insurance and freight value of imported goods, plus corresponding duties, at a rate of between 17-19 percent.
- Electric Fencing imports are subject to concurrence of the Ministry of Development, Industry and Foreign Trade (MAPA) - Normative statement 64 – 12/18/2008.
- Electric fences are allowed, but must be designed, constructed, used and maintained so they cause just a slight discomfort when touched by animals.
- Animals must go through an adaptation period to get used to them.
Opportunities
The electric fencing market is expected to grow in the next five years. New cattle management techniques will influence this market growth.
Although a comparatively small market, it is in an open development phase and companies are not yet consolidated. It does not have big barriers to entry, and New Zealand companies can offer new services to customers, improving relationships.
There is an opportunity to sell electric fencing to breeders with a high level of diversification, and they can use the fencing in livestock and in agriculture.
Challenges
In the electric fencing market, there is still a cultural resistance from cattle breeders to choosing electric fencing, even though it is significantly cheaper. For this reason, selling it demands more effort and associated services to assist with the installation and maintenance of the fence.
