Motan-Colortronic seeks to conquer the Brazilian market with quality and service

August 25, 2014

With the opening of its new Brazilian site, Germany-based global auxiliary equipment maker Motan-Colortronic is not only talking the talk, but is walking the walk. "Up to now, our customers in Brazil and elsewhere in South America have been supported through sales partners and our other subsidiaries in Europe. With this new office, our customers now have the advantages of a local subsidiary within an international network," says Beat Amrein, joint CEO of Motan-Colortronic do Brasil ltda with Jefferson Macdeo. Both managing directors have a 20% stake in the company. The remaining 60% stake of the joint venture belongs to Motan-Colortronic AG in Switzerland.

The new company, a joint venture between Motan-Colortronic and the former sales agency 4MTECX and located in Piracicaba in the São Paulo area, opened for business on March 1, 2014. While the current activities comprise sales and service of equipment and system, the plan is, in the future, to add manufacturing and assembly activities for specific projects in Brazil.  The square meters (4,305 sq-ft) site in Piracicaba will offer newly renovated manufacturing facilities, a spare parts store and a commissioning area, plus a new, 170 square meters (1,829 sq-ft) large office building at the site for sales, user support, technical service, production planning and administrative services. Motan-Colortronic sees this investment as a crucial step for further expansion in the region.  

According to Frank Medgyesy, managing director of Motan-Colortronic AG (Switzerland), Brazil and the bordering Latin American countries are absolute growth markets for the plastics industry. "Until recently, we were represented by 4MTECX. With this joint venture, we want to establish Motan-Colortronic do Brasil ltda as a regional center in Brazil with the goal of becoming service and market leader in materials handling in Central and South America," he declared.

The transformation of sales agency 4MTECX, which already had all the necessary certification and documents required for business operations in Brazil, into the limited company Motan-Colortronic do Brasil made it possible for activities such as sales, service and the manufacture of capital goods to be carried out. Joint Managing Director Jefferson Macedo, who previously headed the sales agency, is enthusiastic about the new set-up: "We are now closer to our customers in the region which means we can react more quickly and efficiently to their needs. We bring the proven and tested motan-colortronic quality based on European standards right to their door. Because we are able to produce and assemble components such as pipework, mezzanines and bins on site, we are able to shorten delivery times and can cater to the individual needs of our customers," he said.

The new managing directors are aiming for a turnover of 2 million Euros (USD 2.64 million) in Brazil by 2015, and are hoping to achieve a similar result in the other major markets of Chile, Peru, Colombia and the Central American countries such as Costa Rica, Guatemala, Honduras, etc. Longer term, the goal is to reach three times that in Brazil alone, while considerably expanding the volume of sales in the other markets in Central and South America, as well. By 2020, the company hopes to be the service leaders in the market. If all goes well, new jobs will also be added to the three full-time and two part-time positions currently needed. 

"Our goal is to provide comprehensive economic solutions and excellent service for customers in Brazil and the entire Central and South American markets," explained Macedo.  "We also remain committed to optimizing the technical know-how and service quality of our representatives. Ultimately, we want to increase market awareness through customer references, marketing initiatives and our growing market share."

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