Brazil forges ahead

Key points

TThe total number of students placed by the 21 agencies in our survey was 14,518 Individual agencies placed between 15 and 7,200 students on courses per year Average business growth was 49.5 per cent in the last 12 months The average length of stay for Brazilian students was 11 weeks Overall, 74 per cent of Brazilian students stayed in host family accommodation when studying overseas 13 agencies charged their clients a handling fee of between US$30 and US$125 On average, agencies worked with 20 schools in the last 12 months

Top destinations		Most popular courses
1. Canada 43% 2. UK 16% 3. USA 15% 4. Australia 9% 5. New Zealand 5% 6. Spain 4% 7. Ireland 1% Other 7%		1. General 35% 2. Intensive 28% 3. Lang. + work.8% 4. Business 6% 5. Junior 5% 6. Summer vacation 4% 7. Academic/exam prep 2% Other 12%

Reasons for language travel		Average percentage agency business
1. Future work 28% 2. Current work 26% 3. Studies at home 19% 4. Studies overseas 17% 5. Pleasure 5% Other 5%		1. Language 52% 2. Work & Travel 24% 3. Volounteer 6% 4. Internship 3% 5. Higher ed. 2% Other 12%

How do agencies recruit students?		How do agencies find new schools to represent?
1. Word of mouth 53% 2. Website 19% 3. Advertising in press 6% 4. Seminars to students 5% 5. Pleasure 5% Other 5%		1. Fairs/expos 37% 2. Internet 22% 3. Workshops 20% 4. LTM/ETM 7% Other 14%

Percentage of agents who recognised each of the following organisations
Australia Acpet 47% English Australia 77% Canada Capls 82% CLC 53% France Souffle 29% L'Office 24% Unosel 6% FLE 18% Ireland MEI~Relsa 53% IEAI 12% Italy Asils 18% Italian in Italy 12% Malta Feltom 47% New Zealand Ed. NZ 59% English NZ 59%		Portugal Aeple 6% South Africa Eltasa 29% English SA 6% Spain Fedele 59% UK ABLS 12% English UK 76% British Council 100% Europe Eaquals 47% USA AAIEP 47% Accet 82% CEA 12% UCIEP 6% International Ialc 59% Quality English 41% Tandem 29%

Language and destination trends
Australia proved to be a less attractive destination for Brazilian students, attracting just nine per cent of the market share compared with 17.5 per cent last year. Instead, Canada gained in popularity attracting a massive 43 per cent of all students, compared with 32 per cent previously and consolidating its position as favourite destination for Brazilian students. Non-English speaking destinations were less popular, with just three per cent of students learning French, two per cent Spanish and one per cent each for German and Italian.

Student and course trends
The most noticeable difference in the results of this year';s survey compared with last year';s is the decrease in the percentage of students learning a language for future studies overseas. Last year, this accounted for 31 per cent of average agency business but this year the figure was just 17 per cent. In contrast, more students were learning a language in order to help them with their studies at home – 19 per cent this year compared with two per cent last year – while current and future work purposes remained the most common reason given by students for studying overseas, making up 54 per cent of typical agency business.

Agency business
Arranging language programmes made up the largest proportion of our agencies'; business activities (52 per cent) although there is evidence of heavy diversification into other sectors, with work and travel programmes making up an average of 27 per cent of all agency business in 2005. The majority of agents reported business activity in all or a combination of the major travel abroad sectors, including higher education placements, internships and volunteer programmes, aside from language travel, while just one agency dealt with 100 per cent language bookings and another dealt with just the volunteer sector.

Looking ahead
The majority of agents who expressed an opinion expected their business to grow over the next 12 months, with many pointing to the favourable economic situation as being a positive factor. The growth of work and travel programmes was also likely to fuel the industry, according to one agency, while others predicted that Australia would become more popular as a destination, the summer vacation market would increase and the US visa situation would become more settled.

Brazil';s annual inflation rate reached its lowest level in seven years in July this year, measured at 4% for the previous 12 months. Lower interest rates are fuelling growth in the economy due to an increase in domestic spending among low income Brazilians.

The Brazilian real increased its value by 8.1 per cent against the US dollar in the first seven months of 2006 reaching 2.1594 to the dollar.

Brazil';s economy is expected to keep increasing in the second half of 2006 with the Brazilian Finance Minister predicting that minimal inflation will allow the central bank to
continue cutting the benchmark lending rate.
Source: Bloomberg

Thank you to the following agencies for taking part in this survey: Associacao Brasileira de Intercambio Cultural, Azics Intercambio International, Bridge Education International, BEX – Brazilian Exchange, Britannia International English, Canada – Brasil, Centro de Cultura e Intercambio, CI Central de Intercambio, Estudar no Exterior Intercambio, Experimento Intercambio Cultural, Global Village Intercambios, IE Intercambio no Exterior, Intercultural, Link Viagens Culturais, SIC Travel Agency, Trek Viagens e Intercambio, Upward Study Abroad & Travel, Via Mundo Intercambio Turismo, World Study Network, Yazigi Travel, Zarp Intercambio Cultural.