FX Excursions

FX Excursions offers the chance for once-in-a-lifetime experiences in destinations around the world.

Sao Paulo: Sleeping Giant

by Gtrav

Aug 1, 2005
2005 / August 2005

Call it “the city that coffee built.”

It was coffee that transformed São Paulo from a tiny frontier outpost into the financial engine of South America, with more than 33,000 industries and an economy larger than Argentina’s. Coffee also made São Paulo one of the world’s most cosmopolitan cities: the German, Italian and Japanese immigrants who came to work in the coffee fields joined the Portuguese, African and native populations already here to produce a remarkable mix of cultures and cuisines. And one need only look at São Paulo’s skyline — acre after acre of skyscrapers, covering an area roughly twice the size of metropolitan Los Angeles — to see that a city of coffee growers has become the home of world-class achievers. This is where Brazil comes to work — and its inhabitants, Paulistas, believe it’s where the world will be doing business in the next decade.

Even if you’re used to living in a big city, the scale of São Paulo will take your breath away. Its endless rows of high-rises, stretching from the city center to the mountains, are home to 15 million people — more than the combined populations of New York, Los Angeles and Chicago — and all of them commute to work at the same time. So impenetrable is São Paulo’s traffic gridlock that each of its 4.6 million drivers is required to leave his car at home once a week (the assigned day depends on the license plate’s last number) or face a fine. It isn’t unusual to see men and women in business attire zipping along on motorbikes or scooters, although the wealthiest travel from meeting to meeting by private helicopter.

So many people come here because São Paulo is to Brazil — and to some extent, to all of Latin America — what the entire eastern seaboard is to the United States. Every major Brazilian corporation has its headquarters here, and the financial decisions that shape the destiny of a continent are made in São Paulo’s boardrooms. That might have seemed less significant to U.S. businesses in the 1980s, when Brazil was recovering from 20 years of military dictatorship, or in the ’90s, when the country was battling triple-digit inflation. Today, however, the “sleeping giant” of the Western Hemisphere is waking up. Brazil reported economic growth of 5.4 percent in 2004, enough for President Luiz Inácio Lula da Silva to finally shake off International Monetary Fund aid. Brazilians fully expect their country’s economy to become as dynamic as India’s or China’s in the next decade — but with much closer ties to the United States and Europe.

That’s if U.S. companies don’t ignore the opportunities available to them, says Luciano Montenegro de Menezes, managing director of the American Chamber of Commerce in São Paulo.

“The volume of U.S. investment in Brazil used to be more than it is today,” said Menezes. “But there’s definitely been more interest recently. Hotel rooms in São Paulo are filling up — most are running at 35 to 40 percent capacity now — and in terms of real estate, most big American developers are already here.”

Menezes should know. His 5,600-member organization helps U.S. businesses set up shop in Brazil, hire local personnel and find their way through the country’s Byzantine legal system. It also helps Brazilian companies connect with potential American investors — particularly important in a country where face-to-face transactions and an understanding of the local market are considered critical to business success.

The United States is Brazil’s top single trading partner, importing 23.1 percent of Brazil’s products — about $11.2 billion in 2003 — including telecommunications equipment, computer hardware and software, aircraft and agricultural machinery. The United States also provides 23.6 percent of Brazil’s imports, a relationship that has remained stable despite an erosion of trade between the United States and Latin America in recent years.

With government corruption declining, and improvements to infrastructure on the way — allowing Brazil to expand its exports — the country appears on track for continued economic growth and expanded trade. “There are still a lot of challenges,” Menezes said. “We need to decrease taxes — every developing nation in the world needs to decrease taxes to be more competitive. But communication between Brazil’s business community and government is much better than it used to be.”

Top opportunities for foreign investment include Brazil’s $5.2 billion pharmaceutical industry, as well as its $23.5 billion telecommunications industry and its computer hardware, software, Internet and ecommerce products. Brazil has the ninth largest Internet market in the world, the most advanced in Latin America. In fact, Brazil already wields a degree of cultural dominance in Latin America comparable to that of the United States in English-speaking countries. Millions of people worldwide watch the telenovelas, or soap operas, made by São Paulo’s Globo, the world’s fourth largest television network. Ask for a soda in a São Paulo restaurant, and you’re likely to get guaraná. Brazil is the only country in the world whose national soft drink — which tastes like bubble gum, but is strangely appealing — outsells Coca-Cola within its borders.

Many North American visitors are surprised to discover not only that few people in Brazil speak English, but that very few speak or understand Spanish. Brazilians like to point out that even though their country is the only one in South America where Portuguese is the official language, there are still more Portuguese speakers than Spanish speakers in all of South America — due in large part to the fact that with a population of 184 million, Brazil is home to a whopping 51 percent of the entire continent’s population.

That’s not to say Brazilians are in any way isolated from the rest of the world. Like the United States, Brazil is a nation of immigrants, though Brazil’s waves of migration generally have been less turbulent and divisive than those in U.S. history. There never was a “Brazilian revolution” to rival the American Revolution. Brazil’s Portuguese ruler, Prince Dom Pedro, loved the country so much that he gave up his European throne and declared himself emperor of an independent Brazil.

São Paulo is justifiably proud of its cultural mix: Paulistas claim that the Liberdade neighborhood offers the best sushi outside Japan, and that the Brás district produces the best pizza in the world, period. Spend an hour in one of São Paulo’s many CD shops, and you’ll be astounded by the variety of Brazilian music: fast-paced, Afro-Caribbean-influenced axe, forro (the music of the northeast villages), música popular brasileira — which combines jazz, bossa nova and pop — and pagode, a riff on Brazil’s always popular samba.

But if São Paulo seems a model of ethnic harmony, it’s a city that is sharply divided between rich and poor. It’s difficult to marvel at the city’s towers of glass and steel without noticing the shanties of scrap wood and tin huddled together in their shadow. And where there’s economic inequality, there’s also crime: São Paulo’s murder rate is nearly four times that of New York. Every city has its list of precautions for travelers heading into out-of-theway areas, or walking alone at night: don’t wear expensive watches or jewelry, keep your backpack in front of you, don’t look up or do anything to attract attention to yourself. In São Paulo, it’s best to stick to those guidelines even while walking in a group, through the financial district, in broad daylight. Security is a big issue here — there are twice as many private security guards as there are police in Brazil — and elite Paulistas live in exclusive neighborhoods surrounded by armed guards and razor wire, keeping car windows closed even on the hottest tropical days.

Travelers who do the same are missing out on a city that — for one of the world’s great financial markets — has a heart and soul. Foreigners may come to São Paulo to do business, but Brazilians come for Fashion Week, or to wander among the trees and lakes of Ibirapuera Park, forged from a swamp by Oscar Niemeyer, Brazil’s greatest designer of public spaces. They come to explore the Victorian grandeur of Avenida Paulista, to shop for spices or devour barbecued beef “by the kilo” at the municipal market, or to worship at Catedral da Sé (Metropolitan Cathedral), the focal point of worship for the largest Catholic country in the world. Brazilians have always seen their home as “the country of the future,” and ideas that might have seemed like science fiction 10 years ago — such as Brazilian sugarcane as a practical alternative to gasoline — now seem almost inevitable. For millions of Brazilians — and soon, for people throughout the world — São Paulo has become the equivalent of a cup of coffee: strong, sometimes bitter, but filled with the power to make all things seem possible.


LODGING

FASANO, HOTEL E RESTAURANTE
Fasano resembles a finely crafted Italian suit – exquisite design, a remarkable combination of comfort and style, and exactly the thing you’d like to have around you, whether you’re closing a million-dollar deal or celebrating your anniversary. The hotel looks like an art deco castle, and its location near Paulista Avenue is surrounded by shops such as Armani, Louis Vuitton, Tiffany and Bulgari (hey, if you’re going for an Italian suit, you need to accessorize, right?). There’s a rooftop health spa and a business center with five meeting rooms, but what you’re likely to remember is what restaurateur Rogerio Fasano unabashedly declares is the best Italian cuisine in South America. Should you happen to disagree, drivers for the hotel’s fleet of limousines will be happy to ferry you to any of the other Fasano family restaurants. $$$$

FASANO, HOTEL E RESTAURANTE
88 Rua Vittorio Fasano
tel 55 11 3896 4000, fax 55 11 3896 4155
http://www.lhw.com

HILTON SÃO PAULO MORUMBI
If one executive floor – with huge rooms boasting special desks, DVD players and other amenities – is a good thing, then five executive floors is a great thing. So goes the thinking at the Hilton São Paulo Morumbi, which blurs the line between business- and first-class travel. Rooms are stylishly modern, with all the comforts of home and office. The Canvas Bar & Grill is designed to look like an art studio, with a walk-in wine cellar. Fitness-minded folk will appreciate the “Living Well Lounge” and workout center. The hotel’s location within the CENU business complex puts it within a short walk from the São Paulo headquarters of Microsoft, Nokia, BMW and other industry leaders. $$$

HILTON SÃO PAULO MORUMBI
12901 Avenida das Nações Unidas
Morumbi
tel 55 11 6845 0000, fax 55 11 6845 0001
http://www.hilton.com

INTERCONTINENTAL SÃO PAULO
Avenida Paulista has been the center of São Paulo’s business activity since the days of its tea and coffee merchants — which means the InterContinental São Paulo is at the center of the center of the city. Like its striking red art deco lobby, the InterContinental is both beautiful and sophisticated: each of its 190 guestrooms has free high-speed Internet access, and the hotel staff speaks English, French, Japanese, Portuguese and Spanish. All rooms include coffeemakers and tea makers and individually controlled air conditioning; executive suites include valet service and access to a dedicated lounge. In addition to being near to São Paulo’s business district, the hotel is located just next door to the city’s art museum and Trianon Park. $$$

INTERCONTINENTAL SÃO PAULO
1123 Alameda Santos
tel 55 11 3179 2600, fax 55 11 3179 2666
http://www.ichotelsgroup.com/h/d/ic/1/en/hd/saoha

SONESTA SÃO PAULO IBIRAPUERA
One of the most recent additions to the São Paulo hotel scene is the Sonesta São Paulo Ibirapuera. Though it’s operated by Jamaican-based SuperClubs, the Ibirapuera features Sonesta’s trademark collection of art — there’s work by a different São Paulo artist displayed prominently on every floor, and a hanging mobile in the glassenclosed lobby gives the impression of cascading flowers. The comfortable rooms include bath items made from rain-forest products. Several meeting facilities are available, including the rooftop solarium, and the business center includes 24-hour Internet access. Those who bring their laptops can access the Net for free in their rooms. The upscale Tabu restaurant is both tasty and surprising (wasabi ice cream?) and the hotel’s location in the relatively safe Moema neighborhood, with a major shopping center across the street, makes it easy to get around. $$

SONESTA SÃO PAULO IBIRAPUERA
2534 Avenida Ibirapuera
Moema
tel 55 11 2164 6000, fax 55 11 2164 6032
http://www.sonesta.com/saopaulo


DINING

FIGUEIRA RUBAIYAT
You’ll never run out of things to see at Figueira Rubaiyat. There’s the enormous, hundred-year-old fig tree, around whose sprawling, rust-colored branches the restaurant is built. There’s the arrangements of birds-of-paradise and other tropical flowers scattered throughout the tables. There’s the kitchens, separated from the dining area by only a wall of glass. And then there’s the diners: members of São Paulo’s business elite, foreign visitors,mysterious men in suits and women in elegant but revealing clothing, whispering and laughing over caipirinhas (a potent beverage made from cachaca, or sugarcane liquor, and lime, best described as what happens when a mojito grows up). But Figueira Rubaiyat isn’t just a feast for the eyes. Try the rump-steak summus, served with heart of Spanish lettuce and Portuguese-style potatoes, and you’ll weep tears of joy with every bite; the Spanish crème brûlée isn’t quite as divine an experience, but it comes close. $$$$

FIGUEIRA RUBAIYAT
1738 Rua Haddock Lobo
Jardim Paulista
tel 55 11 3063 3888, fax 55 11 3063 4813
http://www.rubaiyat.com.br

CASA DA FAZENDA DO MORUMBI
So much of São Paulo is covered by concrete and glass that it’s hard to believe it was ever farm country. That may be why the Brazilian Academy of Arts, Culture and History restored Casa da Fazenda do Morumbi, an early 19th century tea plantation that’s now a celebration of São Paulo history and cuisine. Whether you’re wandering among the gardens of mango, avocado and jacaranda trees; exploring the senzala (former slave quarters, now a collection of art galleries and boutiques); or dining on the veranda, the city seems very far away at Casa da Fazenda. The restaurant serves a different traditional dish at lunch and dinner from Tuesday through Friday, and a feijoda — a feast of beans and meat — on Saturday. Come on Sunday, however, for a buffet that might include turtle eggs, cod and such specialties as bocadinhos de vitola ao molha de mostada (spicy beef with mustard), arroz con amendoas e uva passa (rice with raisins) and farofa de banana (bananas in manioc). $$

CASA DA FAZENDA DO MORUMBI
5594 Avenida Morumbi
Morumbi
tel/fax 55 11 3742 2810
http://www.casadafazenda.com.br

HOCCA BAR
São Paulo’s Mercado Municipal (Municipal Market) is a cook’s paradise. Beneath the German-made stained-glass windows, imported in 1933 and recently restored, are 319 stalls selling Portuguese olive oil; fresh Chinese dragon fruit, locally made coffee, chocolates and sausages; and a selection of sauces and spices that will leave you gasping — where else can you find 3.5 ounces of saffron for about 30 cents? When you’re ready for a break, head upstairs to the brand-new food court and hunker down at the Hocca Bar. Paulistas pride themselves on their mortadella sandwiches — made from a thin, fatty bologna, they’re as good as anything at a New York deli — and they go down well with a glass of loranja (orange) or abacaxi (watermelon) juice. If you’d like something stronger, try a Bohemia or an Original beer: Germans have been brewing in Brazil for a long time, and they never let a silly thing like Prohibition get in the way. $

HOCCA BAR
Mercado Municipal
071 Rua G Mezanino
tel 55 11 3227 0839
http://www.hoccabar.com.br


Just the Facts
Time Zone: GMT -3 hours. São Paulo does not use daylight-saving time.
Phone Code: +55 (Brazil), 11 (São Paulo)
Currency: Real
Entry/Exit Requirements: U.S. citizens require a passport and visa for entry. Those conducting business in Brazil need a business visa; most others may obtain a less expensive tourist visa. Check http://www.consulatebrazil.org/consulado-geral/cgbos/jurisd.htm to find the Brazilian consulate with jurisdiction over the area in which you live. Upon arrival, U.S. citizens may be fingerprinted.
Official Language: Portuguese
Key Industries: Textiles, mechanical and electrical appliances, furniture, foodstuffs, chemical and pharmaceutical products


INFO TO GO
São Paulo-Guarulhos International Airport (GRU) (tel 55 11 6445 2945, fax 55 11 6445 3173 or 6412 3335, http://www.infraero.gov.br) is the main gateway to the city. It’s also a major hub for Brazil and, for that matter,much of South America. The airport is located 18 miles from the city center — a drive that can take from half an hour to more than an hour, depending on traffic conditions, so plan accordingly. A bus connects the airport every 30 minutes with the city center and Congonhas Airport (CGH); tickets are available within the arrivals area for $12. Taxis are also available; a ride to the city center should cost about $25.

Congonhas Airport (tel 55 11 536 3555) connects São Paulo with other Brazilian cities; it’s a good bet if you’d like to work in a weekend jaunt to Rio de Janeiro during your stay. The airport is located nine miles from the city center and is on the airport bus route; it’s also a $25 taxi ride. São Paulo has four major bus terminals and an extensive subway system that’s cheap and easy to use. Tickets are 55 cents one way, 90 cents for a round trip. An interactive map is available at http://www.metro.sp.gov.br/ingles/index.asp

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