Investor Shelf

The Innovation Imperative in Brazilian Industry: EMBRAPII's Leadership Role (Revista de Geopolítica)

StudyRevista de GeopolíticaJuly 202620 pages30 min readEmerson Marinho Pedrosa, Isabela Maria Raposo Moroni, Luciana Elizabeth da Mota TávoraOriginal source
Key number
R$ 6 billion
Total R&D Mobilized Since 2013 p.5
Largest segment
R$ 1.40 billion
Largest Sector Mobilization (Petroleum & Gas) p.14
What changed
178 companies
Contracting Companies in 2025 p.14

Summary

  • In 2019, Brazil invested R$ 89.5 billion in science and technology, representing about 1.2% of GDP according to OECD data.p.5
  • EMBRAPII focuses on intermediate technology readiness levels (TRL 3-7) through a shared financial risk model with research units and industry.p.1
  • EMBRAPII operates under a tripartite co-financing rule where EMBRAPII covers up to 1/3 of non-operational costs, the research unit covers 1/3, and the industry partner covers 1/3.p.10
  • Since 2013, EMBRAPII has mobilized over R$ 6 billion in R&D across sectors such as health, agribusiness, clean energy, and mobility.p.5
  • Every public real invested through EMBRAPII attracts more than 2 reais in additional private and institutional investments.p.1
  • By 2025, the Oil and Gas sector represented the largest single sector by contract value in EMBRAPII's portfolio at approximately R$ 1.40 billion.p.14

Key insights

  1. EMBRAPII acts as a institutional bridge connecting research centers and the industrial market across TRL 3-7 maturity levels.p.1
  2. Brazil's total R&D expenditure reached R$ 89.5 billion in 2019, positioning it near 1.2% of GDP compared to the OECD average of 3%.p.5
  3. The 1/3 co-financing model spreads project costs equally across EMBRAPII, accredited research units, and corporate industrial partners.p.10
  4. Every single public real spent via EMBRAPII mobilizes more than two reais from private industry and partner institutions.p.12
  5. The annual number of companies engaging in EMBRAPII projects grew consistently to reach 178 contracting companies in 2025.p.14
  6. Petroleum and Gas leads project investment funding within the EMBRAPII portfolio with approximately R$ 1.40 billion mobilized.p.14
  7. Micro and small enterprises comprise a significant portion of project contracts supported by EMBRAPII risk-reduction mechanisms.p.13
  8. Bridging the final commercialization stages from TRL 7 to TRL 9 requires supplementary venture capital and private market financing instruments.p.16

Topics and entities

Summary and figures generated from the document and checked automatically: every number shown appears on the cited page. The full document is available from the publisher. Publishers can request removal.