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STRATEGIES TO RECRUIT STRATEGIES TO RECRUIT

STUDENTS FROMSTUDENTS FROM BBRRAAZZIILL

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AgendaWelcome by Jim Paul, Education Team Leader - USCSOpening Remarks by Danny Devito, Minister Counselor for Commercial Affairs - USFCSThe Brazilian Education Market by Thais Burmeister Pires, Education Advisor – Education USAWho are the Brazilian International and How to Recruit by Tatiana Visnevski Mendes, President of BELTA – Brazilian Education & Language Travel AssociationThe Student Visa Issue, Myth and True by Amy Moser, Visa Officer – State DepartmentWrap up and Q&As by Paulo Rodrigues, Education Specialist - USFCS

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BRAZIL AT A BRAZIL AT A GLANCEGLANCEDanny DevitoDanny Devito

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General Facts

GDP 2006: $1.1 trillion

10th largest economy in the world – experiencing stable and sustainable growth

190 million people

2006 U.S. Exports to Brazil: $19 billion

2006 Brazil Exports to U.S.: $26 billion

Trade balance with USA ($7 billion in Brazilian favor)

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Brazil – USA

GDP of Brazil = Washington > $1.1 trillion < TexasGDP of Brazil = Washington > $1.1 trillion < Texas

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Between 2002 and 2007 the Brazilian currency

appreciated over 113% against the USD

Between 2006 and 2007 the appreciation was over 20% - Appreciation was against the USD and not, for example, the Euro

Brazilian imports increased by over 32% between 2006

and 2007

Despite large increase in imports, Brazil had 40 billion

USD trade surplus in 2007 and doubled its foreign

reserves to 190 billion USD

For Brazilian students the 20 percent appreciation

against the USD means that tuition and living expenses

went down by over 20 percent in the U.S.

Good News

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Example of Tuition Cost Then and Now

For a hypothetical program with tuition worth USD10,000

Sep-02 Today Difference

38,900 17,600 21,300

Moreover:

• There has been an increase in income;

• Consistent decrease of interest rates; and

• Increase in credit availability at affordable cost.

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THE BRAZILIAN THE BRAZILIAN EDUCATION EDUCATION

MARKETMARKET

Thais B. PiresThais B. Pires

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# OF SCHOOLS# OF SCHOOLS

Source: MEC (Brazilian Ministry of Education), 2007

Year Total Public Private2002 1,637 195 1,4422003 1,859 207 1,6522004 2,013 224 1,789

Year Total Public Private2002 100.0 11.9 88.12003 100.0 11.1 88.92004 100.0 11.1 88.9

Absolute Number of Schools

As Percentage (%)

# of Schools

0

500

1000

1500

2000

2002 2003 2004

Year

Public

Private

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# OF PROGRAMS# OF PROGRAMS

Year Total Public Private2002 14,399 5,252 9,1472003 16,453 5,662 10,7912004 17,769 6,115 11,654

Year Total Public Private2002 100.0 36.5 63.52003 100.0 34.4 65.62004 100.0 34.4 65.6

Absolute Number of Programs

As Percentage (%)

# of Programs

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

2002 2003 2004

Year

Public

Private

Source: MEC (Brazilian Ministry of Education), 2007

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# OF ENROLLMENTS# OF ENROLLMENTS

Year Total Public Private2002 3,479,913 1,051,655 2,428,2582003 3,887,771 1,137,119 2,750,6522004 4,163,733 1,178,328 2,985,405

Year Total Public Private2002 100.0 30.2 69.82003 100.0 29.2 70.82004 100.0 28.3 71.7

As Percentage (%)

Absolute Number of Enrolments# of Enrolments

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

2002 2003 2004

Year

Public

Private

Source: MEC (Brazilian Ministry of Education), 2007

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ESL

Total number of English Schools (franchising): Approx.: 5,000

Bi-National Centers – Total number of students: Approx.: 200,000

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Some of Reasons for declining interest in the U.S.

Strong competition from other countries, mainly UK, Canada, Australia, New Zealand, and South Africa

Real and perceived problems related to visa approvals

US tuition fees higher than competing countries

Expanding home country capacity of public and private education institutions

Distance learning – alternative access to U.S. degrees

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The United States is becoming popular again

Low Dollar

Pent-up demand

Lower security concerns

More understanding of Visa process

15Source: IIE (Institute of International Education) – Open Doors 2007

Figure 2A: Top 20 Leading Places of Origin of International Students, 2005/06 & 2006/07

2006/07 % %Rank Place of Origin 2005/06 2006/07of Int'l Total Change

WORLD TOTAL 564.766 582.984 - 3,21 India 76.503 83.833 14,4 9,62 China, PRC 62.582 67.723 11,6 8,23 Korea, Rep. of (South) 59.022 62.392 10,7 5,74 Japan 38.712 35.282 6,1 -8,95 Taiwan 27.876 29.094 5,0 4,46 Canada 28.202 28.280 4,9 0,37 Mexico 13.931 13.826 2,4 -0,88 Turkey 11.622 11.506 2,0 -1,09 Thailand 8.765 8.886 1,5 1,410 Germany 8.829 8.656 1,5 -2,011 United Kingdom 8.274 8.438 1,4 2,012 Saudi Arabia 3.448 7.886 1,4 128,713 Nepal 6.061 7.754 1,3 27,914 Hong Kong, China 7.849 7.722 1,3 -1,615 Indonesia 7.575 7.338 1,3 -3,116 Brazil 7.009 7.126 1,2 1,717 Colombia 6.835 6.750 1,2 -1,218 France 6.640 6.704 1,1 1,019 Kenya 6.559 6.349 1,1 -3,220 Vietnam 4.597 6.036 1,0 31,3

16Source: IIE (Institute of International Education) – Open Doors 2007

International Students Totals by Place of Origin, 2005/06 &

2006/07

17Source: IIE (Institute of International Education) – Open Doors 2007

INTERNATIONAL STUDENTS BY ACADEMIC LEVEL AND PLACE OF ORIGIN, 2006/07

Under- % UnderPlace of Origin graduate graduate Graduate %Graduate Other % Other OPT *

South America 15.301 49,4 11.655 37,6 2.194 7,1 1.832Argentina 939 33,4 1.513 53,8 251 8,9 110Bolivia 653 65,8 246 24,8 50 5,0 44Brazil 3.520 49,4 2.653 37,2 478 6,7 475Chile 437 27,8 888 56,6 110 7,0 135Colombia 3.031 44,9 2.796 41,4 473 7,0 450Ecuador 1.380 62,4 561 25,4 148 6,7 122Paraguay 207 60,9 93 27,4 19 5,6 21Peru 1.950 52,7 1.339 36,2 256 6,9 156Uruguay 178 37,4 247 51,9 33 6,9 18Venezuela 2.691 59,5 1.187 26,2 349 7,7 296* OPT = Optional Practical Training

18Source: IIE (Institute of International Education) – Open Doors 2007

Host Regions and Destinations of U.S. Study Abroad Students, 2004/05 &

2005/06

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Evolution since 1996

YEAR # of Students from

Brazil % of Total Foreign

Students in US

2006/07 7,126 1.2%

2005/06 7,009 1.2%

2004/05 7,244 1.2%

2003/04 7,799 1.4%

2002/03 8,388 1.4%

2001/02 8,972 1.5%

2000/01 8,846 1.6%

1999/00 8,860 1.7%

1998/99 8,052 1.6%

1997/98 6,982 1.5%

1996/97 6,168 1.3%

Source: IIE (Institute of International Education)

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Evolution since 1996

Source: IIE (Institute of International Education)

Year # of Students from Brazil in the U.S.

% of Total Foreign Students in the U.S.

# of U.S. Study Abroad Students Going to Brazil

2006/07 7,126 1.2% n/a

2005/06 7,009 1.2% 2,328 (up 16.8%)

2004/05 7,244 1.3% 1,994

2003/04 7,799 1.4% 1,554

2002/03 8,388 1.4% 1,345

2001/02 8,972 1.5% 1,064

2000/01 8,846 1.6% 760

1999/00 8,860 1.7% 717

1998/99 8,052 1.6% 594

1997/98 6,982 1.5% 555

1996/97 6,168 1.3% 424

1995/96 5,497 1.2% 386

1994/95 5,017 1.1% 345

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# Students from Brazil to the US 1993-2006

0

2,000

4,000

6,000

8,000

10,000

93/94 94/95 95/96 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06

Year

Evolution since 1993

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Where is everybody else?

Numbers just shown do not include language program students, which represent 70% of international Brazilian students

Brazil is among the top 6 largest suppliers of English language students to the US

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WHO ARE THEY?WHO ARE THEY?THE PROFILE OF THE PROFILE OF INTERNATIONAL INTERNATIONAL

BRAZILIAN STUDENTSBRAZILIAN STUDENTS

Tatiana V MendesTatiana V Mendes

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3.1%

12.6%

26.9%

57,1%

21 to 25

16 to 20

26 to 30

up to the age of 10

AGE

Source: BELTA – Brazilian Education & Language Travel Association

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3.1%

28.5%

68.2%

Class A/B

Class A

Class B

SOCIAL CLASS

Source: BELTA – Brazilian Education & Language Travel Association

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WHAT DO THEY BUY?

12.6%

20.6%

34.9%

53.9%

74,6%

Language

High School

Summer Work/AuPair

Technical

College

Source: BELTA – Brazilian Education & Language Travel Association

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Based on 2004 data when 42,000 Brazilian students travelled abroad.

WHERE DO THEY GO?

12%

16%

9%

16%

10%

25%

12%

Others

UK

New Zealand

United States

Spain

Canada

Australia

Source: BELTA – Brazilian Education & Language Travel Association

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7.9%

1.5%

3.1%

4.7%

6.3%

9.5%

11.1%

14.2%

17.4%

25.3%

30.1%

39.6%

58.7%

65.0%

88.8%Language

High School

Work Option

Language/Paid Internship

Internship/Paid

Vacation groups

Language/Non Paid Internship

Specialization

Language for Business

Preparatory for Exams

Masters

Undergraduate

For Educators

Elderly Education

Others

WHAT DO THEY WANT?

Source: BELTA – Brazilian Education & Language Travel Association

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12.0%

3.7%

8.5%

12.2%

12.8%

13.3%

14.1%

22.9%

Australia

Canada

United States

New Zealand

UK

Spain

Germany

Others

WHERE DO THEY WANT TO GO?

Source: BELTA – Brazilian Education & Language Travel Association

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9.5%

12.6%

17.4%

26.9%

34.9%

47.6%

50.7%

53.9%

65.0%

76,1%Cost of Program

Visa Requirements

Working Permit

Cost of Life

Ticket Cost

Security

Quality of Education

Weather

Local People

Touristic Apeal

HOW DO THEY DECIDE?

Source: BELTA – Brazilian Education & Language Travel Association

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THE STUDENT VISA THE STUDENT VISA ISSUE, MYTH AND ISSUE, MYTH AND

TRUETRUE

Amy MoserAmy Moser

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The Visa Situation

• F1 and J1 applicants have shorter waiting line to get an interview - approx. 15 days

• Approx. 8 percent of interview slots reserved for F1 and J1 applicants

• Cost of the visa application ($131 + $40 + travel expenses*)

• College students with 4-year visa – there’s no need to schedule interview

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CONSULATE (F1) 01-JAN-04 TO 31-DEC-04 01-JAN-05 TO 31-DEC-05 01-JAN-06 TO 31-DEC-06

Brasilia (BRA) 419 516 497

Recife (RCF) 602 539 555

Rio de J aneiro (RDJ ) 1189 937 987

Sao Paulo (SPL) 3997 3916 3734

TOTAL 6207 5908 5773

CONSULATE (J 1) 01-JAN-04 TO 31-DEC-04 01-JAN-05 TO 31-DEC-05 01-JAN-06 TO 31-DEC-06

Brasilia (BRA) 626 783 964

Recife (RCF) 916 1356 1454

Rio de J aneiro (RDJ ) 2296 2964 3578

Sao Paulo (SPL) 8252 11566 11866

TOTAL 12090 16669 17862

Combined F-1 and J-1 18297 22577 23635

Total # of F1s and J1s

Source: US Embassy - Brazil

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WRAP UPWRAP UP

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Major Education Events

EDUCATION USA – South America

Website: http://www.educationusa.org.br/

Schedule: Five capital cities in October , 2008

EXPOBELTAWebsite: http://www.expobelta.org.br

Schedule: six capital cities in March 29th – April 7th, 2008

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Thank you!

For more information please contact:

Paulo, paulo.rodrigues@mail.doc.gov, 5511-5186-7186Tatiana V. Mendes, tatiana@belta.org.br. 5511-3254-4333

Thais B. C. Pires, thaispires@alumini.org.br, 5511-3067-2913Jim Paul, jpaul@mail.doc.gov, 1-617-565-4304