Doing business with Brazil
international@braziliantvproducers.com
www.braziliantvproducers.com
ABPI-TV: Brazilian Independent TV Producers Association created to foster
the growth of the independent audiovisual industry in Brazil. It represents
the independent producers on various policy discussions such as taxation, trade,
copyright, broadcasting, among others.
www.abpitv.com.br
Apex-Brasil: Brazilian Trade and Investment Promotion Agency, partner
of the Brazilian TV Producers program. Its mission is to promote and enhance
the exports of Brazilian Products and Services, as well as to contribute
to the internationalization of Brazilian companies and attract investments
to the country.
www.apexbrasil.com.br
BTVP/Brazilian TV Producers: audiovisual content export program created by the Brazilian Independent
TV Producers Association in partnership with Apex-Brasil, Ministry of Culture and EBC/TV Brasil.
It has been promoting the independent audiovisual production abroad, enabling partnerships between
Brazilian and foreign companies. Our goals are to promote new co-production opportunities and develop
international partnerships for TV and new media producers.
www.braziliantvproducers.com
SAv/MinC: Audiovisual Secretariat of the Ministry of Culture, partner
of the Brazilian TV Producers program. It has the mission of planning the film
and audiovisual national policy and of setting general guidelines
for the development of the audiovisual and film industry.
www.cultura.gov.br
EBC/TV BRASIL: The EBC public communications complex consists of TV Brasil,
the public federal broadcaster network, broadcasting radios and a mews agency
on the internet. TV’s Brasil programming consists of self-produced content, regional
state televisions’ and from independent producers. Brazilian TV Producers’ partner.
www.ebc.com.br / www.tvbrasil.org.br
RIOCONTENTMARKET: International event created by ABPI-TV in 2011.
The second edition in 2012 takes place in February 29, March 1st and 2nd,
in Rio de Janeiro. The event showcases international multiplatform independent
programming, encompassing broadcast, branding, animation, documentary,
interactive games and television, VOD, as well as online and mobile content
through a series of conferences, pitching sessions and buyer/seller meetings.
www.riocontentmarket.com
ANCINE: Brazilian Film Agency. It is in charge of regulating and fomenting
audiovisual and cinematographic production in Brazil. It is also responsible for,
among other things, approval of projects seeking tax incentives and the registration
of co-production contracts. It is responsible for the first step towards
new co-production deals with different countries.
www.ancine.gov.br
FILM BRAZIL: Export program created in partnership with Apex-Brasil (Brazilian
Export and Investment Promotion Agency and MRE (Ministry of External Relations).
Its purposes are to increment the exports of advertising production
and promote Brazil as a production hub. FilmBrazil – The Advertising Production
Network is composed for more than 50 Brazilian production companies
and thousands of professionals, including sound and film production, rental stores
and post-production.
www.filmbrazil.com
CINEMA DO BRASIL: Export program created in partnership of the Audiovisual
Industries Union for the State of São Paulo with Apex-Brasil and Ministry of Culture.
The goal is to increase the participation of the Brazilian audiovisual sector
in the international market, offering strategic and logistical support to companies
so that they can make co-productions and open markets for the distribution
of their productions, thereby aggregating value to the image of Brazil’s film
industry overseas.
www.cinemadobrasil.org.br
BRAZIL AT YOUR FINGERTIPS
Brazil - Population
194,946,470
Greater São Paulo - Population
19,681,716
Greater Rio de Janeiro - Population
11,838,752
GDP
$2,087 trillion (6th Largest Economy in the World) *
Homes with TV Sets
95%
Time Zone
GMT -3 Standard Time
Currency
1 US$ = R$ 1,60 (reais) ***
Language Spoken
Portuguese
Internet Users
over 75 million (4th largest in the world) *
Broadband Users
over 14 million (8th Largest in the World) *
Sources: * World Bank Data 2011 - ** IBGE 2010 - *** Bloomberg
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Brazil is a very creative country: its ideas, design and architecture are famous
throughout the world. In the animation business, for example, Brazil has production
companies that have original scripts and studios with high production capacity
and presents cases of success with internationally known series exported
to more than 150 countries.
The country offers a wide range for production and location. A diversity of landscapes
can be found: marvelous beaches, historic buildings, tropical forests, megacities
and also a wide cultural variety once the Brazilian population is a mix of Europeans,
Indians, Asians and Africans.
The Brazilian market has several mechanisms to foster production and co-production
of independent audiovisual content and also there have been activities
to stimulate private investment in local industry. Most of these mechanisms result
from tax incentives and they also may come from direct support funds,
or bank funds or loans.
Annually, the amount contributed by public mechanisms is of approximately
R$250 million (about US$ 150 million).
Most Brazilian producers use incentive mechanisms to finance their audiovisual
works, but this is not a rule.
To use incentive mechanisms, the work needs to be considered Brazilian
in accordance with local laws. Brazilian producers must indicate at the beginning
of the process that there is already a Brazilian TV station involved in the project.
1. Without using an international co-production
agreement
• Brazilian producer must have at least 40%
of the rights over the work
• 2/3 of artists and technicians must be Brazilian
citizens or residents in Brazil for more
than 3 years
2. Through an international co-production
agreement negotiated between Brazil
and other countries
• Brazilian producer may have from 20% to 80%
of the rights over the work
• The rules on hiring technical artists can vary
according to the provisions in each agreement
• Resources regarding the Brazilian percentage
do not have necessarily to be spent in Brazil.
When such resources are sent to other countries,
a 25% Income Tax must be paid.
Countries with which Brazil has co-production agreements for television works:
• Bilateral Agreements: Canada, Chile, Germany
• Multilateral Agreement: Ibero American Cinematographic Integration Agreement (Argentina, Bolivia,
Colombia, Cuba, Dominican Republic, Mexico, Nicaragua, Panama, Peru, Spain, Venezuela)
N.B.: Brazil has agreements with several other countries for cinematographic works.
Some examples of tax incentives:
• Tax incentives from income taxes from International Companies: a discount on money owed
to the government by an international company that must pay income taxes upon money sent out of Brazil.
• Tax incentives from income taxes (Brazilian Companies or Persons): this law allows up to 3%
of all income tax owned by a company or up to 6% of all income tax owned by a citizen to be used
in the production of audiovisual works.
The income tax does not have to be owned by a company from the audiovisual industry. Typically,
the Brazilian producers will look for companies that pay large amount of income taxes (Oil, Electrical, Telcos,
Airlines, Consumer good, etc) and convince them to use a part of their taxes to finance the project.
• National Film Industry Funds (Funcines): closed funds managed by Brazilian financial institutions.
A percentage of the amount invested in the acquisition of quotes of the National Film Industry Funds
can be deducted from taxable income.
• Audiovisual Sector Fund: different forms of operations, like non-reimbursable financial subsidy
for specific cases, reimbursable loans to companies, total or partial subsidy of interest or other financial
charges on financing operations; the budget for 2011 is of R$84 million (US$ 53 million).
Recently a very important law was sanctioned by President Dilma Roussef, which will change the scenario
of the TV industry in Brazil. The new law enables the Telcos to provide Pay-TV service in Brazil and also sets
forth minimum mandatory shares for independent Brazilian production in Pay TV for the next 12 years.
Dog Day School (animation) / Mixer
Brazil / Canada - 26x11’
Extinctions (documentary) / Grifa-Gullane
Brazil / Canada / France - 6x52’
Live to tell (documentary) / Conspiração
Brazil / Latin America - 6x46’
My Big Big Friend (animation) / 2DLab
Brazil / Canada - 52x11’
Peixonauta (animation) / TV PinGuim
Brazil / Canadian distribution - 52x11’
Sea Princesses (animation) / Flamma
Brazil / Spain / Australia - 104x12’
To shoot in Brazil, except for foreign journalistic productions, all others must hire or join a Brazilian
production company that will make the prior communication with ANCINE.
The notification can only be made by a Brazilian production company registered with the agency, which
will be responsible for providing all documents and permissions for filming. The Brazilian producer not only acts
as a representative of the foreign producer in the relationship with ANCINE but also ensures compliance with
the law and matters relating to customs clearance of equipment, supporting the foreign company.