Many federal and state parks in Brazil today are neglected

RIO DE JANEIRO, BRAZIL – The main investment fund of Parquetur, the company that manages Caminhos do Mar park, which includes Estrada Velha de Santos (SP) and Chapada dos Veadeiros (GO), has raised R$75 million to contest the auction of seven other federal and state parks.

Below are excerpts from the interview with Pedro Cleto Carvalhaes, partner at AC2 Investimentos, compiled by Terra newspaper.

Why is AC2 focused only on natural parks?

Brazilians want to rediscover nature. We know that Brazil today lacks structure and maintenance of its parks, many are abandoned. The private sector can explore them in an organized way, following the tender rules. The focus is on welcoming tourists, an organized visitor center, clean toilets, and guides.

Can private initiatives attract more visitors?

A study by the Semeia/BCG Institute shows that 4 million people came to local parks in 2010, which grew to 15 million by 2019 and is now estimated at 17 million. The number has increased but represents only 6% of the population. In Chile, it is 17%, and in Costa Rica 21%. Tourism represents 7% of Brazil’s GDP, and ecotourism only 0.4%. The potential is much greater.

How did the auctions go?

From 1999 to 2017, there were five auctions. With the 2015 concession law, there were 12 in four years. In March, the Cataratas/Construcap group won the Iguaçu National Park (PR) for R$375 million, a 349% premium, and will invest R$540 million.

Parquetur obtained Chapada dos Veadeiros in 2018, and since then, the park has received several awards. For Caminhos do Mar, which will be auctioned in 2021, it paid R$4.3 million, a premium of 200%, and will invest R$18 million.

Previously, the park counted 20,000 visitors per year, a figure we reached in four months. I believe it will be 100,000 by the end of the year.

How many more parks will be auctioned?

About 50 in four years. We are interested in seven of them, with investment costs of R$25 million to R$35 million. The impact of conservation is not only environmental. Studies show that for every R$ invested, R$7 to R$10 is returned to the environment through guides, transfers, inns, and food.

Who is an investor in AC2?

Families interested not only in the financial return but also in conservation.