Why invest in Bahia?

• ECONOMIC GROWTH ABOVE THE NATIONAL AVERAGE.
• BALANCED PUBLIC FINANCES.
• TRANSPARENT GOVERNANCE.
• STRATEGIC GEOGRAPHIC LOCATION.
• OFFER OF INFRASTRUCTURE AND RAW MATERIAL.
• EXISTENCE OF INCENTIVE PROGRAM
•OFFER OF QUALIFIED MAN POWER
•NATURAL, CULTURAL AND INFRASTRUCTURAL CONDITIONS APPROPRIATE TO TOURISM ACTIVITIES.
• MODERN AGRICULTURE IN EXPANSION IN THE WEST, EXTREME SOUTH AND SUBMEDIUM SAO FRANCISCO, WITH GREAT PRODUCTION OF SOYBEAN, COTTON, CANE SUGAR, COCOA, CORN, ETC.
• FOREIGN TRADE IN FULL EXPANSION.
• POLITICAL DISPOSITION AND CAPACITY OF RELATIONSHIP WITH OTHER GOVERNMENT SPHERES AIMING TO THE STRENGTHENING OF THE PRODUCTIVE SECTOR.
• HIGH QUALITY OF LIFE.
We cannot talk about investment without first assessing some crucial factors to the new entrepreneur who seeks on one hand to maximize results and on the other hand to ensure the economic-financial sustainability and, of course, the longevity of the enterprise.
The GDP (Gross Domestic Product) of Bahia is one of these important factors to be analyzed. In 2003/2004, the growth rate in the State was 12.8%, twice bigger than the national average. Also considering this same period, Bahia took the sixth place in the Country's economy, with 5% of national GDP and the biggest economy in the Northeast, accounting alone for 40% of all internal product of the region.

See the GDP data from Bahia represented in the chart and table below:

Bahia / Brazil GDP - 2004
Total GDP (in R$ million) 88.000
Bahia GDP 9.92%
Total GDP (in R$ billion) 1.769.000
Brazil GDP 4.89%
Source: SEI

In addition to that, other factors shall be taken into account, as for example, the great geographic localization of Bahia, with 1.200km of coast, important ports with international connections and large frequency of ships, which favor the export and acquisition of goods and raw material necessary to the entrepreneur.
Bahia also has a good fiscal and political stability achieved in the 90's, which put it in a prominent position before the other States, competitors in attraction of investments. It also has abundant and qualified workforce, extensive tax incentives and great agricultural and industrial potential.
Therefore, the opportunities of investment and additional conditions are excellent incentives for the new investor to achieve his/her wildest dreams. And we from Bahia-Investments will be pleased to participate and help in achieving these dreams. Welcome to Bahia and have you all Good Business!

STRATEGIC GEOGRAPHICAL LOCATION
• 5TH LARGEST STATE IN AREA, REPRESENTING 36% OF BRAZILIAN NORTHEAST TOTAL AREA.
• POSITIONED IN THE CENTER OF LATIN AMERICA, EQUALLY DISTANT OF ITS MAIN MARKETS.
• LOCATED BETWEEN THE SOUTH AND NORTH REGIONS OF THE COUNTRY, BORDER WITH EIGHT STATES; ENTRY GATE OF THE BRAZILIAN NORTHEAST.
• OF THE NORTHEAST STATES BAHIA IS THE ONE NEAREST TO THE SOUTH AND SOUTHEAST REGIONS, MAIN SUPPLIERS OF RAW MATERIALS AND GREATER CONSUMER CENTER OF THE COUNTRY.
• NATURAL BORDER WITH THE OUTSIDE, ESPECIALLY THE EU AND USA, THROUGH ITS 1.183 KM OF COAST, THE LARGEST OF BRAZIL.

OFFER OF INFRASTRUCTURE
• AVAILABLE INFRASTRUCTURE (PORTS, INTERNATIONAL AIRPORTS, EXTENSIVE ROAD, RAILWAYS).
• ALL SAINTS' BAY CONSIDERED ONE OF THE BEST AREAS FOR ANCHORING AND MOORING VESSELS IN THE SOUTHERN HEMISPHERE.
• CAPACITY OF 16 MILLION TONS/YEAR CARGO HANDLING IN THE PORTS OF SALVADOR, ARATU AND ILHEUS, BESIDES THE PRIVATE TERMINALS OF PETROBRAS, DOW QUIMICA AND USIBA, IN THE METROPOLITAN REGION OF SALVADOR.
• RICH SOURCE OF POWER SUPPLY (OIL, NATURAL GAS AND ELECTRICITY).
• INFRASTRUCTURE OF TELECOMMUNICATIONS AMONG THE BEST IN THE COUNTRY, WITH COMPETITIVE COSTS.
• INFRASTRUCTURE OF CONSOLIDATED INDUSTRIAL SERVICES.

OFFER OF RAW MATERIAL
• RAW MATERIAL OF EXCELLENT QUALITY AND LOW COST FOR CHEMICAL AND PETROCHEMICAL, FURNITURE, PLASTIC PROCESSING AND SHOES INDUSTRIES.
• EUCALYPTUS FOR PAPER AND CELLULOSE INDUSTRY.
• SUBSOIL RICH IN CLAY, FELDSPAR AND KAOLIN FOR THE CERAMIC INDUSTRY.
• RICH IN MEERSCHAUM, LIME, KAOLIN, ANORTHOSITE, CLAY, ARGILITE, TALC, QUARTZITE AND FELDSPAR, WHICH PROMOTE THE DEVELOPMENT OF THE MINING SECTOR.
PROGRAM OF TAX INCENTIVES
IN FORCE
• MAIN ENCOURAGED SECTORS: SHOES AND LEATHER; COMPUTING AND ELECTRO ELECTRONICS; PLASTIC PROCESSING; AUTOMOTIVE; AGROINDUSTRIES; MINING; FURNITURE, TEXTILE AND WHOLESALE.
• MAIN PROGRAM – DEVELOPS
- AIMS THE DIVERSIFICATION OF THE INDUSTRIAL AND AGROINDUSTRIAL MATRIX OF THE STATE, THE FORMATION OF INDUSTRIAL THICKENING AND INTEGRATION OF PRODUCTIVE CHAINS;
- INCENTIVE GRANTED BASED ON THE USE OF ADHERENCE MATRIX, BASED ON THE FOLLOWING VARIABLES: GENERATION OF EMPLOYMENT AND INCOME; CAPACITY OF SPACE DECENTRALIZATION; INTEGRATION OF PRODUCTIVE CHAINS; VOCATION FOR THE REGIONAL DEVELOPMENT; DEGREE OF TECHNOLOGICAL DEVELOPMENT AND ENVIRONMENTAL IMPACT.

PROGRAM OF TAX INCENTIVES
NEW STRATEGIES
• WARRANTY OF INCENTIVES ALREADY GRANTED.
• CONSOLIDATION OF NEW DEVELOPMENT CYCLE CENTERED ON THE CREATION OF AN INDUSTRY OF FINAL COMMODITIES.
• PRIORITY TO PROJECTS WITH PROFILE FOR THE SEMI-ARID REGION AND WITH INTENSIVE USE OF LOCAL MAN POWER (E.G.: BIODISEL AND ORNAMENTAL STONES).
• ENCOURAGEMENT TO ACTIVITIES RELATED TO THE TOURISTIC INDUSTRY AND AGRICULTURE.
• STRENGTHENING OF THE SERVICES SECTOR (E.G.: CALL CENTER).
• FUNDING FOR SMALL AND MEDIUM-SIZED BUSINESSES COMPANIES AND FOR SUSTAINABLE AGRICULTURE.

BAHIA INSERTED IN THE CAP
ENJOY THE SYNERGY WITH THE FEDERAL GOVERNMENT

INVESTMENTS IN INFRASTRUCTURE (LOGISTICS (2007 - 2010)
• BR 101 - DUPLICATION AND ADAPTATION OF THE CAPACITY IN THE STRETCH FROM NATAL UP TO FEIRA DE SANTANA.
• BR 135 - CONSTRUCTION OF STRETCHES BETWEEN THE BA/PI AND BA/MG BORDER; BESIDES PAVING THE BA/MG BORDER.
• BR 116 - IMPLEMENTATION OF BRIDGE ON THE SAO FRANCISCO RIVER, IN BA/PE BORDER.
• BR 116 AND BR 324 - STRETCH BETWEEN SALVADOR AND FEIRA DE SANTANA, FOLLOWING UP TO THE BA/MG BORDER (THROUGH PPP).
• SAO FELIX / CACHOEIRA - CONSTRUCTION OF ACCESS OUTLINE.
• CAMAÇARI / ARATU - CONSTRUCTION OF RAILWAY DEVIATION.
• PORT OF SALVADOR - CONSTRUCTION OF PORT EXPRESS VIA.
• SAO FRANCISCO RIVER - DREDGING AND ROCK REMOVAL IN THE RIVER WATERWAY AND CONSTRUCTION OF RAILWAY ACCESS TO PORT OF JUAZEIRO/BA.
• SALVADOR AIRPORT - READAPTATION OF THE ACCESS TO THE AIRPORT.

INVESTMENTS IN INFRASTRUCTURE (ENERGETICS (2007 - 2010)
GENERATION AND TRANSMISSION
• CAMAÇARI SUPPORT POLE THERMOELECTRIC PLANT (148 MW) - UNDER CONSTRUCTION, EXPECTED TO ENTER INTO OPRERATION IN 2009.
• CAMAÇARI MURICY I THERMOELECTRIC PLANT (148 MW) - UNDER CONSTRUCTION, EXPECTED TO ENTER INTO OPERATION IN 2009.
• RIACHO SECO HYDROELECTRIC PLANT (240 MW) - SAO FRANCISCO RIVER.
• PEDRA BRANCA HYDROELECTRIC PLANT (320 MW) - SÃO FRANCISCO RIVER.
• IBICOARA TRANSMISSION LINE - BRUMADO II - UNDER CONSTRUCTION.
• FUNIL/ITAPEBI TRANSMISSION LINE- UNDER CONSTRUCTION.
• REFINING AND PETROCHEMICALEXPANSION AND MODERNIZATION OF THE RLAM – IMPROVING THE QUALITY OF FUELS AND EXTENSION OF THE REFINING.
NATURAL GAS TRANSPORT
• EXPANSION OF THE INFRASTRUCTURE OF NATURAL GAS TRANSPORT, THROUGH THE PIPELINES BETWEEN THE MUNICIPALITIES OF CATU-CARMOPOLIS-PILLAR AND CACIMBA-CATU.
BIOFUELS
• INSTALLATION OF BIODIESEL PLANT.
INVESTMENTS IN INFRASTRUCTURE

SOCIAL AND URBAN (2007 - 2010)
SUBWAY
• LAPA/PIRAJA LINE – CONCLUSION OF THE STRETCH.
• CALÇADA/PARIPE LINE - RECOVERY AND CONCLUSION OF THE STRETCH.
DRAINAGE BASINS
• REVITALIZATION OF THE SAN FRANCISCO BASIN.
• INTEGRATION OF THE SAO FRANCISCO RIVER WITH DRAINAGE BASINS OF THE NORTHERN NORTHEAST (CE, PB, RN AND PE).
TREATED WATER - NATIONAL PROWATER
• WATER MAINS SYSTEM OF THE MUNICIPALITY OF JACOBINA.
• WATER MAINS SYSTEM OF THE MUNICIPALITY OF CAPERNAUM.
IRRIGATION
• BAIXIO DE IRECÊ (54.000 HA).
• SALTPETER (32.000 HA).
• ESTREITO IV (5.000 HA) – THROUGH PPP.

GOVERNOR OF THE STATE OF BAHIA
Jaques Wagner
SECRETARY OF FINANCE OF THE STATE OF BAHIA
Carlos Martins Marques de Santana
cmsantana@sefaz.ba.gov.br