World Cup Brazil 2014

A few weeks ago, FIFA asked the Brazilian Government for a full tax exemption not only for the Association, but to all contractors.

This week, another news brought another evidence of how business oriented FIFA is.

Since Jan 1st 2008, a municipal law has been in force banning outdoors in certain areas of the city, and limiting the size in others. Such law became known as “Lei Cidade Limpa” (Clean City Law).

A report by the New York Times reads:

“All our efforts to negotiate have had no effect because none of the accords and agreements we reached with the advertising sector were ever complied with,” Mayor Gilberto Kassab said in an interview. “A billboard that was forced to come down would be back up a week later in a different spot. There was a climate of impunity.”

Since “it is hard in a city of 11 million to find enough equipment and personnel to determine what was and wasn’t legal, we decided to go all the way, to zero things out,” Kassab said. “When you prohibit everything, society itself becomes your partner in enforcing the law” and reporting violations.

Popular reaction has largely been supportive.

FIFA thinks differently. Using the argument that world sponsors are going to spend US$ 7 billion during the Cup, FIFA wants the city of Sao Paulo to pass a law allowing privileged conditions for the sponsors to use billboards and other means of advertising during the 2014 event.

Mayor Kassab said that a Commission is studying the demand; one of the  Secretaries affirmed that violations of the laws will not be tolerated, but admitted that a law permitting exceptions during the Cup can be passed.

It’s difficult to say no to FIFA.

Sponsors that will be benefited: Coca-Cola, Emirates Airline, Hyundai, Sony and Visa. Don’t be surprised if you visit Sao Paulo during the World Cup 2014 and all the billboards you see carry these brands.

This entry was posted on Wednesday, November 4th, 2009 at 7:41 am and is filed under business, fifa, legislation.