Brazil - Selling to the Public Sector

Selling to the Public Sector

Last published date: 2025-08-21

Opportunities for selling to the Public Sector are in areas as infrastructure (roads, bridges, railways, airports, housing, utilities, telecommunication), healthcare, safety, defense. Historically, price is the primary factor for public sector entities when selecting suppliers. Public sector entities, at the national and sub-national level, are precluded from making a distinction between domestic and foreign-owned companies during the tendering process.

Recent reform to government procurement has made it easier for foreign companies to compete in public sector bids. Since October 2020, foreign companies can bid without needing to first establish a local representative. Only at the contract signing will a foreign company be required to have a local partner.

For an international company to successfully compete in public procurement it must understand the rules and regulations, which typically depend on the sector. Bids may require presentations on financing, engineering, equipment capabilities, training, and after-sale services. Winning bids are chosen based on lowest price, best technology, or a combination of the two. When two equally qualified vendors are considered, the necessity for experience implementing regulations provide a preference for Brazilian goods and services.

Brazil permits foreign companies with established legal entities in Brazil to compete for procurement financed by multilateral development bank loans. In 2021, Brazil implemented a new government procurement law. This law applies to procurements at the national and sub-national levels (states and municipalities). Standardized bidding deadlines, implementation of electronic bidding processes, publishing of government bids in a national procurement portal, and additional flexibility in access and equality for foreigners regarding required documentation should all help create transparency for U.S. companies bidding on public tenders.

For projects in architectural and engineering services, Brazil requires that bidders use Building Information Modeling (BIM) or similar international standards in their projects. While there will continue to be national preferences, the overall goal is for public bids at the federal, state and municipal levels to align with World Trade Organization (WTO) and international standards.

U.S. companies bidding on foreign government tenders may also qualify for U.S. Government advocacy. Within the U.S. Commerce Department’s International Trade Administration, the Advocacy Center coordinates U.S. Government interagency advocacy efforts on behalf of U.S. exporters in competition with foreign firms in foreign government projects or procurement opportunities. The Advocacy Center works closely with our network of the U.S. Commercial Service worldwide and inter-agency partners to ensure that exporters of U.S. products and services have the best possible chance of winning government contracts. Advocacy assistance can take many forms but often involves the U.S. Embassy or other U.S. Government agency officials expressing support for the U.S. exporters directly to the foreign government. Consult the Advocacy Center’s program web page for additional information.

Project Financing 

The U.S. Export Import Bank (EXIM) provides both export insurance and working capital for U.S. exporters and guaranteed loans for Brazilian importers. Contact the international department of your bank for information regarding correspondent banks in Brazil and to see if they work with EXIM.

Multilateral Development Banks and Financing Government Sales

Price, payment terms, and financing can be a significant factor in winning a government contract. Many governments finance public works projects through borrowing from the Multilateral Development Banks (MDB). The Guide to Doing Business with Multilateral Development Banks overviews how to work with MDBs. The International Trade Administration (ITA) has a Foreign Commercial Service Officer stationed at each of the five different Multilateral Development Banks (MDBs): the African Development Bank; the Asian Development Bank; the European Bank for Reconstruction and Development; the Inter-American Development Bank; and the World Bank.

These institutions lend billions of dollars to developing countries for projects aimed at accelerating economic growth and social development by reducing poverty and inequality, improving health and education, and advancing infrastructure development. The Commercial Liaison Offices help U.S. businesses learn how to get involved in bank-funded projects, and advocate on behalf of U.S. bidders.  

Learn more by contacting these organizations:

Web Resources  

For more information, please contact U.S. Commercial Service Industry Specialist Patrick Levy at Patrick.Levy@trade.gov