Companies supported by PIPE participate in the World Bank program

Two companies supported by the Innovative Research in Small Businesses Program (PIPE) from FAPESP – Agrosmart and Stattus4 – were selected along with 48 other startups from Latin America to join a program to accelerate the development of the digital economy in the region. The announcement of those selected was made during the Latin American edition of the World Economic Forum, held from March 13 to 15 in São Paulo.

The companies were selected by the International Finance Corporation (IFC) – the World Bank's financing arm for the private sector –, by the World Economic Forum and by a committee of experts made up of representatives of companies and investment funds. The selection criteria took into account the technological base and commercial potential, scale and revenue generation, among others.

During the event, the selected startups had the opportunity to establish contacts with political leaders, global investors and large companies, with a view to eventual association and business leverage.

“Startups in Latin America and the Caribbean are using creative solutions to address not just local problems, but regional and global ones. Those selected on our first list are entrepreneurs with a scalable vision for solving problems that require an adequate ecosystem to thrive”, said Marisol Argueta de Barillas, head of regional strategies for Latin America at the World Economic Forum.

According to the entity's representatives, startups are fundamental to helping the private sector in Latin America to be more innovative. A recent study by the World Bank showed that companies in the region are 20% less likely to introduce a new product than those in countries with similar incomes in Europe and Central Asia.

“Startups can play a critical role in promoting innovative solutions to some of Latin America and the Caribbean’s most pressing development challenges,” said Georgina Baker, IFC Vice President for Latin America and the Caribbean, Eastern Europe and Central Asia. .

Interaction network

25 companies from Brazil and 25 from other Latin American countries, such as Argentina, Chile, Colombia, Ecuador, Guatemala, Mexico, Peru and Uruguay, were selected to participate in the program. Among Brazilian startups there are candidates for “unicorns” – as startups that reach a market value of more than US$1 billion are called – in the region, such as Nubank and Gympass.

The selected companies also joined the UpLink digital platform, an initiative by the World Economic Forum that networks startups with investors, global peers, multinationals, governments and universities.

“It was a very good opportunity to participate in such a select group of startups in Latin America, through which we can exchange experiences with other companies and discuss what needs to be done to boost business and generate new unicorn startups,” said Mariana Vasconcelos, partner founder of Agrosmart, FAPESP Agency.

Agrosmart, a digital agriculture company based in Campinas, develops an application that, connected to a pest trap, helps the producer to apply the agricultural pesticide at the right time and in the exact quantity, to obtain greater efficiency in combating pests at a lower cost and impact on the environment.

The project was one of eight selected, in December 2017, in call of the PIPE/PAPPE Subsidy Program, with funding from FAPESP and the Financier of Studies and Projects (Finep) (read in http://pesquisaparainovacao.fapesp.br/505).

Stattus4, established in Sorocaba, also in the interior of São Paulo, develops technology called Fluid, which uses artificial intelligence to detect water leakage points. A prototype of the equipment was developed with support from PIPE-FAPESP (read in http://pesquisaparainovacao.fapesp.br/580).

“Joining this select group of startups in Latin America is extremely important, as it recognizes the value of our proposal and also opens doors to expand our network of relationships and partnerships and increase our visibility”, said Marília Lara, partner at Stattus4.

The company was also selected for a competition promoted by Sebrae and UN Environment during the World Water Forum, held in March in Brasília. The competition awarded solutions developed by Brazilian entrepreneurs or startups focused on water management.