The Brazilian government is looking under every stone in and outside of the country in order to get the revenue it needs to meet the 2016 budget. Brazil racked up a huge deficit during the first nine months of 2016, and it looks like the amnesty program will slash that deficit by at least a third. More than 25,000 individuals and 103 companies are participating in the amnesty program in order to avoid prosecution.
That’s good news for the new president, Michel Temer. Temer recently announced a spending cap, and the Congress has approved that cap. Even though Brazil’s economy will not grow in 2017, there are signs that Brazil is waking up from the worst recession in more than 80 years, according to Flavio Maluf, the CEO of Eucatex. Eucatex is the Sao Paulo-based building material supplier that ships products to construction companies and home improvement stores all over the world.
Eucatex is known for manufacturing ceiling tiles, MDF panels, paints, varnishes, floorboards and other building products. Flavio Maluf is the grandson of the founder of Eucatex. Eucatex started as a small offspring of the Americana Sawmill Americana, owned by the Maluf family. The sawmill was cutting eucalyptus trees for clients in the 1950s, and there was excess eucalyptus wood laying around the sawmill. Granddaddy Maluf decided to make a ceiling tile out of the excess wood. The eucalyptus wood ceiling tiles were inexpensive, and they looked good in the homes and offices that were being built in the state of Sao Paulo during the 1950s. The demand for the tiles grew, and in no time, the sawmill had more orders than it could produce. That’s when Maluf started Eucatex. Eucatex only produced one product, but that product became the foundation for the line of building materials that are now part of the Eucatex product line.
Flavio Maluf was named the president of Eucatex in 1997. Maluf wanted Eucatex to be one of the first companies in Brazil to use renewable energy. Eucatex built a solid business by following the recycle, reuse and reduce philosophy. All the Eucatex offices follow the 3-Rs policy now, and the Eucatex factories are considered clean air models for the construction industry and the country.