ETCO Code of Ethics and Conduct

Chapter I - ETCO's General Principles and Mission

Art. 1º - Based on the fundamental principles of equal opportunities, freedom of initiative, ethical integrity, transparency, economic and social responsibility, sustainability and strengthening of citizenship and Brazilian institutions, ETCO's mission is to promote competitive ethics and the search for fiscal equity, all with a view to fostering a fair, loyal and attractive business environment for investments, innovation and improvement of productivity and social well-being.

Chapter II - Scope and Objectives of the Code of Integrity and Conduct Rules

Art. 2º - This Code covers the behavior of ETCO members, acting on behalf of the Institute, its employees and collaborators in its internal and external activities, as well as any individuals or companies invested with authorization to represent or speak on behalf of ETCO , regardless of position or function.

Art. 3º - The purpose of this Code of Integrity and Conduct is to:

I - Realize and maintain standards of conduct chosen as fundamental and received, since its foundation, by ETCO members as a way of giving effectiveness to ETCO's principles and mission.

II - Avoid situations that may give rise to conflicts of interest and / or transparency gaps in the conduct of activities carried out by ETCO or on its behalf, internally and externally.

III - Preserve ETCO's image and reputation, as well as that of its associates, employees and collaborators, who must receive ETCO's principles and mission in their daily activities.

Single paragraph. This Code does not replace or overlap with the respective codes of ethics, rules of compliance and / or any other behavioral guidelines of the same nature already existing and applicable to each of the ETCO associates as companies and entities, legally and economically autonomous, that already accept ETCO's principles and mission in their daily behavior.

Chapter III - Rules of Conduct

Section I - General Behavior

Art. 4º - Essential duties of all ETCO members, representatives and employees are:

I - Behave with courtesy, urbanity, attention and promptness in dealing with people.

II - Do not discriminate, in their activities, any person or group due to their race, color, gender, age, religion, political or ideological position, nationality or marital status.

III - Always act with diligence, probity, transparency and a spirit of cooperation, showing commitment to the general principles, mission and concrete projects of ETCO.

IV - Do not incur, sporadically or habitually, in unethical practices related, but not limited, to unfair competition, tax evasion, counterfeiting and smuggling.

V - Read, understand, comply with and enforce the provisions of this Code, becoming a multiplier of its rules.

VI - Respect for the Laws and, in particular, Law 12.529 / 2011 (Competition Law) and Law 12.846 / 2013 (Anti-Corruption Law).

Section II - Conflict of Interest

Art. 5º - Conflicts of interest are constituted when private interests - whether personal, corporate, partisan or ideological - of directors, employees, associates or representatives of ETCO are incompatible with the general principles and mission of ETCO, as well as with the essential duties provided for in this Code of Integrity and Conduct.

Single paragraph. Whenever an ETCO employee, associate or representative is faced with a situation of potential conflict of interest, he / she must formally report the case to the Integrity and Conduct Committee, which will evaluate and guide the solution to be taken in each specific case.

Art. 6º - The following conducts, in addition to others that, according to their specific context, may violate the general principles and mission of ETCO, as well as the essential duties provided for in this Code, imply conflict of interest and are prohibited:

I - Plead, request, provoke, suggest or receive any kind of bonus or advantage of any kind that could compromise the independence of ETCO or its judgment in relation to third parties, notably in contracting services and issuing opinions on topics related to the principles and mission of ETCO. Benefits or benefits that exceed reasonable limits, that are not only symbolic or that may be seen as inadequate in a specific case, are considered as unduly received benefits or advantages.

II - Use services contracted by ETCO for personal purposes.

III - Use ETCO to support or sponsor an event that is not in line with its general principles and mission. In the case of support or sponsorship from third parties, ETCO's participation as a financier can only occur when there is a clear, effective and transparent participation by an ETCO representative. Since support or sponsorship is in line with the general principles and mission of ETCO, as provided for in the initial part of this item, and the impossibility of effective participation by an ETCO representative, at the discretion of the Executive President or the Chairman of the Board of Directors, representativeness of the entity may be delegated to any associate.

IV - Take on behalf of ETCO political party actions.

V - Inciting or colluding in violation of this Code.

Art. 7º - All omitted or doubtful cases must be previously submitted to the Consultation of the Integrity and Conduct Committee, which should guide and instruct the best way of acting in order to avoid conflict of interests.

Section III - Relations with Public Authorities

Art. 8º - Contact with public authorities on behalf of ETCO is not permitted, unless such contact is made by the Executive Chairman, the Chairman of the Board of Directors, the Chairman of the Advisory Board or the Executive Director.

Single paragraph - Contact with public authorities on behalf of ETCO by persons other than those expressly indicated in the caput of this article may be made only when expressly authorized by the Executive President or the Chairman of the Board of Directors.

Art. 9º - It is prohibited to offer, directly or indirectly, any type of contribution, donation, favors or gifts to government entities on behalf of ETCO, including political parties or candidates, in order to influence the individual's partial decision and / or obtain an unfair advantage or improper for ETCO, for ETCO associates or any of the individuals who are directly related to ETCO (employees, permanent collaborators, etc.).

Single paragraph. The offering of gifts and entertainment on behalf of ETCO to a member of the Government may be made provided that:

  1. corresponds to a clearly non-significant value.
  2. be carried out in the context of some activity and / or event linked to the principles and mission of ETCO, without any connotation of favoritism and / or exchange ratio.
  3. do not represent a collision with the ethical standards and laws applicable to public service.

Section IV - Competitive Issues

Art. 10º - In the course of ETCO's activities, it is forbidden to hold any event, meeting, meeting or exchange of information between Associates, notably from the same economic segment, which may, in some way, represent their engagement, directly or indirectly, in uniform commercial conduct tending to the adoption of unfair practices and / or breaches of the economic order.

Single paragraph. Non-exhaustive examples of topics prohibited in contacts between ETCO Associates from the same sector of the economy:

  1. Exchange of information on industrial and business secrets, commercial know-how, cost of production, profit margin, list of customers, as well as any and all information that represents or may represent a competitive differential in the sector of the economy in which they operate.
  2. Set prices and conditions for the sale of goods or the provision of services.
  3. Combine prices in advance or adjust advantages in public or administrative competition.
  4. Obtain or influence the adoption of uniform or concerted commercial conduct among competitors, implying the division of markets and limiting access to new companies to the markets.

Art. 11º - Eventual meetings convened by ETCO involving members belonging to the same sector of the economy must always be accompanied by prior call, establishment of agenda and drawing up of minutes, in addition to having the respective record of all matters discussed at the meeting.

Sole Paragraph - An isolated meeting between two or more members of the same economic sector within ETCO facilities is not permitted to address any issues that are not specifically relevant to ETCO.

Section V - Specific Obligations for ETCO Employees

Art. 12th - ETCO employees are prohibited from offering gifts or any other benefit of significant value to or receiving suppliers and partners.

Single paragraph - In the event of receiving any gift or benefit of significant value from a supplier or partner, the ETCO employee must report the incident immediately to the Integrity and Conduct Committee, which will determine the measures to be taken.

Art. 13º - ETCO employees are prohibited from providing privileged information and / or providing differentiated opportunities to anyone and especially the supplier or partner.

Art. 14º - Any expenses with ETCO suppliers, partners or associates, such as meals, transportation, accommodation or entertainment, may only be incurred in the case of events promoted and / or supported by ETCO, for which the costs have already been estimated or approved, or in the exercise of their activity of representation.

Art. 15º - Any and all expenses, contributions and / or donations made or received by or on behalf of ETCO must be recorded in detail and submitted to the knowledge of those responsible for setting their budget.

Art. 16º - Any formal engagement of a party nature by the Executive President, the Chairman of the Board of Directors and the Executive Directors of ETCO must be previously communicated to the Integrity and Conduct Committee.

Chapter IV - Integrity and Conduct Committee

Art. 17th - The ETCO Integrity and Conduct Committee is created, charged with guiding, advising and deciding, by provocation or autonomously, on any issues related to this Code, consisting of 3 (three) members appointed by the Board of Directors.

  • 1º The composition of the Committee will be filled out by nominations from one or more ETCO members, through a consensual process, unanimously, renewed every 3 (three) years.
  • 2nd The Committee will meet quarterly in a calendar to be fixed until January 20th of each year and the agenda to be discussed in each meeting will be circulated to the members of the Committee, preferably, five (5) days before each meeting.
  • 3rd Extraordinary Committee meetings may be called by any of its members whenever there is an urgent matter to be addressed. In this case, the agenda for the extraordinary meeting must be sent to the other members of the Committee, preferably 2 (two) days in advance.

Art. 18th - The violation of the rules stipulated in this Code may result in penalties, in accordance with the determinations of the Integrity and Conduct Committee, which may include, among others, warning and recommendation of dismissal to the Board of Directors, depending on the severity of the fact.

Art. 19th - In the event of any denunciation or complaint addressed to the Committee regarding non-compliance with this Code, the topic will be discussed at the next quarterly meeting or, at the provocation of any ETCO members, an extraordinary meeting.

  • 1 - After the Committee has granted a non-extendable period of 20 days for clarification by the ETCO member, employee or collaborator who has been the subject of a complaint or complaint, a new extraordinary meeting of the Committee must be called for a final decision on the topic.
  • 2º - No punishment can be imposed on ETCO member, employee or collaborator in an inquisitorial way, always respecting the ample right of defense and contradictory.

Chapter V - General Provisions

Art. 20th - Any and all cases of doubt and / or omission related to the application of this Code must be submitted to the Integrity and Conduct Committee.

Art. 21th - Within up to 90 (ninety) days from the approval of this Code, ETCO will provide a specific reporting channel, which ensures total confidentiality to anyone who raises such doubt and / or provides consistent information about the alleged violation of the rules of the Code of Integrity and Conduct.

Single paragraph - Within the same period, ETCO will provide its members, employees and collaborators with educational material on the general rules provided for in this Code.

Art. 22th - Whenever necessary, resolutions may be issued to address specific issues related to compliance with ETCO's principles and mission, as well as the duties provided for in this Code.

Art. 23th - The principles and rules established in the ETCO Regulation for the Admission of Associates and Voluntary Employees become an integral part of this Code.

Art. 24th - This Code enters into force on the date of approval by the Board of Directors, being a fundamental and integral part of all the constitutive documents of ETCO.

ETCO represents over 7% of Brazil's GDP


PriceWaterhouseCoopers research shows the importance of the Institute's associates in the Brazilian economy

total turnover


The consultancy PriceWaterhouseCoopers (PwC) carried out a study on the representativeness of ETCO - Brazilian Institute of Ethical Competition. The objective was to show the participation of the associations and companies that maintain the institute in the country's economy. The analysis was made based on research with each associate and information from sectoral and national bodies. The data were collected last year and refer to the period from 2011 to 2013.

According to PwC, in 2013, ETCO members represented revenue of R $ 351 billion, equivalent to 7,25% of national GDP. In industrial GDP, the participation was even higher: 12,3%. Associates were responsible for 1,4 million direct jobs and another 2,6 million indirect jobs.

According to Evandro Guimarães, ETCO's chief executive, the survey shows the strength and size of the Institute's responsibility. "We fight against unfair competition practices on behalf of 7% of the Brazilian economy," says Guimarães. “Our mission is to help create a more just country”.

Other research findings


  • ETCO members represent around 70% of their segments' revenues

second chart

  • In the sectors in which they operate, they generate about 45% of direct jobs


third chart

What is ETCO

Founded in 2003, the Brazilian Institute of Ethics in Competition (ETCO) is a civil society organization of public interest - OSCIP that promotes integrity in the business environment. We believe that fair competition is one of the main foundations of economic development and the construction of a stronger and more just nation. Our mission is to identify, discuss, propose and support initiatives to strengthen ethics and reduce illicit practices that cause market imbalances such as tax evasion, informality, counterfeiting, smuggling and other misconduct.

ETCO is maintained by companies and associations committed to the cause of fair competition.

The ETCO comprises four sectorial chambers, bringing together companies in the fuel, tobacco, beer and soft drink segments.


"Fighting unfair competition in order to promote the improvement of the business environment".


Board of Directors


Edson Vismona Chief Executive

Vismona is a lawyer, graduated and post-graduated from the Faculty of Law of the University of São Paulo, specializing in commercial defense and consumer law. He was Secretary of Justice and Defense of Citizenship of the State of São Paulo .; National Secretary for Agrarian Reform (2002) Founder and President of the Brazilian Association of Ombudsmen / Ombudsman - ABO, he is a member of the National Council for Combating Piracy (CNCP), of the Piracy Combat Commission of the OAB / SP - Brazilian Bar Association, São Paulo section and of the Council of Ethics of the Instituto Ética-Saúde. He is president of FNCP (National Forum Against Piracy and Illegality, since 2009.




Andrea Lopes Executive Manager

Kelly Brook Adm and Financial Manager

Cristiane Carletti
Administrative assistant


Administrative Council


Alexandre Kruel Jobim
Chairman of the Board of Directors

Lawyer, Master of Law from the University of Texas (USA), Bachelor of Law from UniCEUB. He is a Licensed professor at UniCEUB, a substitute professor at UnB and IDP.

He was Legal Consultant at ABERT, ANJ, FENAERT, chaired AIR and Vice President Legal and Institutional Relations at Grupo RBS.

He is currently president of ABIR- Brazilian Association of the Soft Drink and Non-Alcoholic Beverages Industry.



  • Leonardo Botelho Zilio
  • Ricardo Melo
  • Rinaldo Zangirolami



  • Delicious Sandi
  • Disraelli Galvao
  • Leandro de Barros
  • Silmara Olivio


consulting board




Everardo Maciel
Chairman of the Advisory Board
He is a legal consultant and professor at the Brasiliense Institute of Public Law. He was Secretary of Finance, Planning and Education of Pernambuco, Secretary of Finance and Planning of the Federal District, Executive Secretary of the Ministries of Education, of the Civil House, of the Interior (today National Integration) and of Finance, Secretary of the Federal Revenue, in addition to having held the positions of Minister of Education, Interior and Finance on an interim basis. He also taught at private academic institutions and participated in missions of United Nations organizations.


  • André Franco Montoro Filho
  • Aristides Junqueira Alvarenga
  • Carlos Ivan Simonsen Leal
  • Celso lafer
  • Ellen Gracie Northfleet
  • Evandro Guimaraes
  • Gesner Oliveira
  • Hamilton Dias de Souza
  • Hoche Pulcherio
  • João Grandino Rodas
  • Joao Roberto Marinho
  • Jorge Luiz Oliveira
  • Jorge Raimundo Filho
  • Leonardo Gadotti Filho
  • Luiz Fernando Furlan
  • Maria Teresa Aina Sadek
  • Marco Greco
  • Nelson Jobim
  • Robert Abdenur
  • Roberto Faldini
  • Tercio Sampaio Ferraz Júnior
  • Theo van der Loo
  • Victoria de Marchi


Fiscal Board


Daniela Rodrigues Lopes (President)



  • Dilmar Moreira Madureira
  • Luciano France Sousa
  • Monica Saraiva




  • Mozart Santos Rodrigues Filho
  • Uira Tonon Gomes
  • Jesus Meijomil
  • Luiza Weguelin de Melo

Projects and Initiatives

Electronic invoice

We contributed to the design, implementation and improvement of the Electronic Invoice project, which began to take effect in 2006. The System improved inspection, reduced tax evasion and reduced costs for tax authorities and companies.

Inspection Support Systems

We help to develop mechanisms to control the manufacture of products with high tax evasion power, such as the Beverage Production Control System (Sicobe) and the Cigarette Production Control and Tracking System (Scorpios).

Member of CNCP - National Council for Combating Piracy and Intellectual Property Offenses

The National Council for Combating Piracy and Offenses against Intellectual Property (CNCP), a collegiate and advisory body of the Ministry of Justice, aims to develop guidelines for the formulation and proposition of a national plan to combat piracy, its tax evasion. arising and offenses against intellectual property.

Underground Economy Index

ETCO believes that knowing the size of the problem is critical to tackling it. Much is said, but little is known about informality, piracy and evasion, as, as illegal activities, they are difficult to measure. In a pioneering initiative, ETCO, together with the Brazilian Institute of Economics of the Getúlio Vargas Foundation (IBRE-FGV), annually publishes the Underground Economy Index, a study that estimates the values ​​of activities deliberately not declared to public authorities with the purpose of evading taxes.

To learn more about the Shadow Economy Index, click here

Simplification of the Tax System

Convinced that the complexity of the Brazilian tax system is one of the factors that encourage tax evasion, ETCO has contributed with concrete suggestions for greater efficiency in the payment, inspection and tax collection system. Among these proposals are the federal, state and municipal cadastral unification; the principle of full anteriority, with main ancillary obligations defined until June 30 of the previous year, subject to regulatory taxes; and the simplification of procedures for registration and registration of companies.

Special taxation regimes

One of ETCO's suggestions culminated in the promulgation of Article 146-A, resulting from Constitutional Amendment No. 42/2003. The article foresees that States, the Federal District and municipalities, in addition to the Union, institute differentiated taxation systems in order to prevent competitive imbalances caused by the actions of individuals who use the reduction of their tax costs to gain spurious competitive advantages. ETCO acts with a view to the enactment of a complementary law, essential for the application of the article.

Union of forces for the legal market

We created, in partnership with the National Forum to Combat Piracy (FNCP), the Movement in Defense of the Brazilian Legal Market, which joins forces to act in a coordinated manner in the fight against smuggling, piracy, fraud and counterfeiting of products and defends border control actions. The Movement has the support of 70 entities. Within the scope of cities, also in partnership with the FNCP, we created the Legality Movement, which unites forces between civil society, city halls, the Federal Revenue Service, the Federal Police, parliament, state agencies and the National Front of Mayors to fight, effectively and forcefully the illegal market in Brazilian cities.

Studies, seminars and publications

We sponsor dozens of research, events and books on topics related to ethics, including the Culture of Transgressions in Brazil series, which brings together contributions from great Brazilian thinkers, including the sociologist and former President of the Republic Fernando Henrique Cardoso.

International operations

We are members of committees that fight transnational illicit practices that provoke unfair competition. In 2016, we joined the Latin American Anti-Smuggling Alliance (ALAC), which brings together civil society entities and government agencies from 15 Latin American nations in the search for joint actions to stop smuggling in the region; in 2017, we started to act in this direction also with the World Trade Organization (WTO).

Recognition of ethical companies

We are part of the management committee of Pró-Ética, a recognition program for companies committed to ethics in their relations with the public sector. Pró-Ética was created in 2010 by the Ministry of Transparency, Inspection and Controllership-General of the Union (CGU) in partnership with the Ethos Institute.

Ethics for young people

To strengthen the ethical principles in the training of Brazilian students, we created the Ethics for Young People project. The initiative developed and made available to high school teachers, at the address, a series of pedagogical activities to deal with the theme with its students in a pleasant and engaging way, stimulating critical thinking.


Illegal Cigarette Market

It is estimated that around 27% of cigarettes consumed in Brazil in 2009 were marketed by manufacturers who do not pay due taxes, either through tax evasion, counterfeiting of brands, or cigarette smuggling into Brazil, mainly from Paraguay.

Illegality in the Cigarette Sector generates annual losses of R $ 2 billion in tax collection (federal and state), and encourages access to the product (due to the predatory prices provided by the non-payment of taxes), contrary to the objectives of public policies of health. In addition, smuggling and counterfeiting harm consumers (who are exposed to unregulated products in relation to their ingredients) and the generation of jobs in the country.


In recent years, a series of initiatives have been implemented by the Government to combat the sector's tax evasion: production control system (Scorpios) for all cigarette manufacturers, mandatory electronic invoice for cigarette manufacturers and distributors, new stamps controls, and changing the taxable event of the IPI to the factory outlet. The implementation of these measures has created an adverse scenario for tax evasion, leading to the cancellation of the special registration of some manufacturers in the sector. Some manufacturers operate supported by judicial measures, as they do not have the requirements established in Brazilian legislation to exercise the activity of manufacturing cigarettes. Find out which manufacturers are authorized by the Federal Revenue to sell the product in Brazil. Access:

However, the increasing effectiveness in combating tax evasion, together with the latest price increases practiced by the cigarette industry (as a result of the increase in taxes for the sector), caused a side effect: the increased attractiveness for smuggling and the counterfeiting of cigarettes.


Despite the significant advances in the fight against tax evasion in the Sector, the measures mentioned above do not affect the smuggling of cigarettes into the country, mainly from Paraguay.

Paraguay annually produces over 40 billion cigarettes (more than 13 times its domestic consumption), which are largely smuggled into countries in South America, mainly to Brazil. Annually, about 19 billion cigarettes produced in Paraguay illegally enter Brazil.

The lack of rigor in the regulation, inspection and control in the production and sale of cigarettes in Paraguay is the main cause of the accelerated development of the illegal industry, and the attractiveness of this activity is enhanced by the large border area and the tax asymmetry between countries (the The tax burden on cigarettes in Paraguay is only 9%), generating an enormous profit opportunity due to the brutal price difference from the border.

Everyone is aware of the importance of the cigarette producing sector to the Paraguayan economy, but it is also important to understand the impacts of the lack of transparency in the production chain. The international community would certainly welcome an effort by the Paraguayan government to bring the rules for controlling the production, sale and taxation of cigarettes in Paraguay closer to the standards adopted internationally, especially by the Mercosur countries.

Fuel sector

With a turnover of R $ 153 billion in 2006, the fuel sector was responsible for collecting federal and state taxes in the order of R $ 50 billion. However, this volume could have been more significant for the national economy, had it not been for the high rates of evasion and adulteration facilitated, among others, by tax distortions, deficient inspection and mild and ineffective penalties.

Currently, illegal trade in the fuel sector generates losses of R $ 2,6 billion / year. Only in the case of hydrated alcohol, for example, 25% of the volume is traded in a clandestine manner, generating a potential tax evasion of around R $ 1 billion.

Although not yet resolved, there has been a positive evolution in the fight against alcohol evasion in recent years, through initiatives such as: the adoption of the dye in anhydrous alcohol by the National Agency of Petroleum, Natural Gas and Biofuels - ANP, avoiding the practice wet alcohol, which consists of adding water to anhydrous alcohol; and the control of the ICMS deferral of anhydrous alcohol by the São Paulo State Finance Department (SEFAZ-SP), inhibiting not only wet alcohol, but also the excess of anhydrous gasoline.

In addition to these, measures such as the repeal of the Special ICMS Regime for gasoline A in the State of Rio de Janeiro, which allowed the responsibility for the collection of the tax to be transferred from the refinery to the distributors, facilitating tax evasion; and the application of the Cassation Law for the State Registration of fuel adulterators in São Paulo, among others.

However, much remains to be done to inhibit unfair competition, which undermines the country's economic and social development. To this end, the National Union of Fuel and Lubricant Distributors - Sindicom believes that cooperation and information exchange between sector entities and public bodies, responsible for supervising and combating fraud, is essential and advocates strengthening the ANP, so that it can exercise its role of inspection and regulatory agent.

Thus, in order to ensure the sanitation of the fuel market and a competitive and ethical balance, some of Sindicom's priorities for 2007 are:

> Concentrate all the taxation of hydrated alcohol on the Producer;
> Adoption of mandatory flow meters at the plants, linked to Revenues;
> Transferring alcohol production (distillation) to ANP control;
> Speed ​​up the implementation of the Electronic Invoice;
> Implementation of Biodiesel safely in terms of quality and payment of taxes;
> Prevent the practice of brand cloning by insidious posts;
> Prohibit sales by a Distributor for another brand; and
> Greater uniformity of ICMS rates across the country.

Soft Drinks

The main novelty in the soft drink sector in 2006 will be the implementation of the flow meter system - SMV.

In 2005, this new system was implemented by the Federal Revenue in the Brazilian beer industry. Installed directly on the production lines, they inform the net volumes actually filled. The data is collected and sent "on line" to the Federal Revenue Service, which makes it difficult to practice the illegal sale of products without issuing an invoice.

The expectation of the Brazilian soft drink industry is that SMV will curb one of the biggest fiscal problems in the distribution of the product in the country. The flow meters will act against a series of illegal practices such as the "cloned" or "laminated" invoice, a procedure that uses clandestine printers where originally identical invoices are issued, prevailing in the books that not stamped by the transit inspection of goods. Another completely illegal action that has its days numbered is the use of the “boomerang” invoice, that is, the same invoice used for several deliveries of the same product.