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Vale’s local procurement strategy is generating billions of reais in economic activity across Brazil’s mining regions, strengthening local supply chains, supporting supplier development and creating long-term socioeconomic benefits in communities that host mining operations.
Vale says its local procurement programme is continuing to deliver significant economic benefits across Pará, with suppliers based in or operating from Parauapebas generating approximately R$9.6 billion in purchases and services during 2025.
The spending was concentrated across key sectors supporting mining operations, including engineering, transportation, construction and earthworks, highlighting the growing role of local businesses in supplying one of the world’s largest mining companies.
Local Procurement Strengthens Mining Supply Chains
As mining companies increasingly focus on sustainable development and social licence to operate, local procurement has become a critical component of broader ESG and community development strategies.
Vale’s programme aims to build stronger regional supply chains by increasing the participation of local businesses in procurement opportunities while supporting supplier capability development.
According to Naiane Lima, Supply and Local Content Development Analyst at Vale, the initiative is designed to align mining activity with regional economic growth.
“The local procurement program aims to promote sustainable mining with a focus on regional socioeconomic development. We prioritize staying close to our suppliers, understanding their realities, and strengthening this partnership.”
“To support this, we offer training programs, clarify doubts, and provide guidance on preparing technical and commercial proposals, as well as cost budgeting. We also conduct site visits and business matchmaking sessions with local companies to assess their ability to meet our demands and identify new partnership opportunities, valuing local suppliers and contributing to regional development,” she said.
Supplier Development Programmes Drive Local Business Growth
Throughout 2025, approximately 370 suppliers in Parauapebas participated in Vale’s local procurement initiatives and training programmes.
The company also expanded its collaboration with the Parauapebas Commercial Association (ACIP) to identify potential suppliers and improve access to future contracting opportunities.
The approach reflects a growing trend across the mining sector, where supplier development programmes are increasingly viewed as a means of strengthening operational resilience while delivering economic value to host communities.
Industry Partnerships Supporting Regional Economic Development
Vale’s partnership with ACIP has helped improve engagement between local businesses and the mining sector, according to Iran de Moura, president of the Parauapebas Commercial and Industrial Association and a Vale supplier through Nordeste Serviços.
“The partnership between the Commercial Association and Vale has significantly improved communication and relationships with local entrepreneurs.”
“In addition, this collaboration has had a positive impact on the local economy, creating better and more qualified jobs. People are trained by Vale, the Commercial Association, or the companies themselves, which raises the quality of services provided, ensuring compliance with deadlines and safety standards for employees, clients, and the environment,” he said.
The initiative also supports workforce development by helping local businesses improve technical capabilities, operational performance and safety standards required by large-scale mining operations.
Local Procurement Across Pará Reaches R$18.6 Billion
The economic impact extends beyond Parauapebas as Vale reported local procurement spending across Pará reached R$18.6 billion in 2025, including purchases from suppliers operating through both headquarters and branch locations within the state.
Six municipalities accounted for the largest share of local procurement revenue: Parauapebas, Belém, Canaã dos Carajás, Curionópolis, Marabá and Ourilândia do Norte.
The spending highlights the growing importance of regional supplier networks in supporting mining operations while helping diversify and strengthen local economies.
Sustainable Mining Through Regional Value Creation
For the mining industry, local procurement is increasingly recognised as a key mechanism for delivering shared value beyond direct employment and royalty payments.
By directing more spending towards local suppliers, investing in supplier capability development and fostering long-term partnerships, mining companies can improve supply chain resilience while contributing to regional economic growth.
Vale’s latest figures demonstrate how procurement strategies can play a significant role in supporting sustainable mining objectives, creating opportunities for local businesses and helping ensure that the economic benefits of mining are more broadly distributed across host communities.
This article was produced by the editorial team at Mining Outlook and published as part of the Outlook Publishing global network of B2B industry magazines.
Outlook Publishing delivers industry insights, company stories, and sector coverage across mining, manufacturing, construction, healthcare, supply chains, food production, and sustainability.
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