French supermarket chain Carrefour has no plans to leave Brazil and will make more investments in the South American country, the company’s top executive in Brazil, Jean Marc Pueyo, told the press.
“Why would Carrefour put so much money into Brazil if it planned to sell? No, we are not going to sell. The company is focused on investing strongly and growing. It doesn’t make sense to sell the operation in Brazil,” Pueyo told the Folha de Sao Paulo newspaper, addressing recent reports in the media about the French company’s plans.
Brazil will become the second most important country for the company next year, overtaking Spain and trailing only France, achieving a goal set by management a year early, Pueyo said.
“Our global CEO, Lars Olofsson, has clearly stated that we have priorities. Before it was called ‘G4’ (France, Spain, Italy and Belgium). Now it’s called ‘G6,’ with Brazil and China,” Pueyo said, adding that he and his wife planned to apply for Brazilian citizenship in the next few months.
Carrefour Brazil has grown at an average annual rate of between 14 percent and 15 percent since 2006.
U.S.-based retail giant Walmart announced plans to invest 2 billion reais (about $1.07 billion) in Brazil this year and Brazilian rival Pao de Açucar is investing 1.5 billion reais (some $806.8 million), prompting Carrefour to expand its investment in Brazil.
The French company now expects its projected investment of 1 billion reais (about $537.9 million) for 2010 to rise to 1.25 billion reais (some $672.4 million).
Carrefour is Brazil’s largest supermarket operator.
Source: Latin American Herald Tribune
