Deutsche Messe will complete the international expansion of the CeMAT Hannover intralogistics fair with the debut of CeMAT South America in 2011.
Brigitte Mahnken-Brandhorst, Deutsche Messe's spokeswoman, tells
Forkliftaction.com News that after CeMAT South America, the show organiser has no plans to launch any other CeMAT event in the near future.
"In addition to CeMAT Hannover, our flagship, we also have CeMAT Asia, CeMAT India, CeMAT Middle East and CeMAT Russia. We feel that these six events satisfy the demand in all emerging regions and thus there is no further need in the market."
Mahnken-Brandhorst says Deutsche Messe conducts extensive market research and continuous consultation with industry leaders before deciding on a trade show for a new region.
"Any region we consider must offer appropriate growth potential and also be capable of providing the necessary event facilities.
"We also consider if we can work with a suitable partner, as we did in Russia, or whether we will establish a subsidiary and become the sole organiser," she says.
CeMAT South America is slated to have its inaugural show on 4-7 April 2011 at Centro de Exposições Imigrantes in São Paulo, Brazil.
Andreas Gruchow, member of Deutsche Messe AG's executive board, says South America is a key component of the group's international strategy.
"Brazil is currently the largest market for our exhibiting customers. [It] has managed to avoid much of the impact of the worldwide financial crisis. Economic growth this year is projected at roughly 5%, and as the economy grows, so will demand for modern logistics solutions," Gruchow says.
He adds that many leading manufacturers have expressed strong interest in CeMAT South America.
Mahnken-Brandhorst says logistics costs in Brazil are currently estimated at 20% of its GDP, which is twice as much as in OECD countries.
"Logistics costs account for, on average, one-third of operating costs and for some companies, they increase to one-half. Modern logistics systems demonstrated at CeMAT offer considerable potential," she explains.
Deutsche Messe is organising CeMAT South America with the co-operation and support of Brazilian logistics association ABIMAQ and the German Machinery and Plant Manufacturing Association, VDMA.
According to Deutsche Messe, major growth industries in Brazil include oil and natural gas, infrastructure, construction, renewable energy, environmental technology, cosmetics and medical devices. Brazil will host the Football 2014 World Cup and the 2016 Olympic games, necessitating investments in airports, hotels, roads and stadiums.