New details about the Río de Janeiro Lottery tender were revealed at a meeting of board members.
Brazil.- The Río de Janeiro Lottery is working towards a public tender for the operation of its traditional instant number prediction draws.
The latest meeting of board members analysed how to proceed with the tender, in which the lottery will seek an operator to take over the creation of products, ticket printing, storage, distribution and marketing.
According to BNLData, the public tender will work on a “lowest price” basis, with the contract being awarded to the bidder that meets the lottery’s conditions and reports the highest net earnings to the agency.
The contract will last five years and will have an approximate value of US$48m. It is estimated that it will generate income of $73m in the first year, $87.7 in the second, $114.1 in the third, $148.3 in the fourth and $192.9m in the final year of the contract.
Marcello de Mello Corrêa, head of the legal counsel for the Río de Janeiro Lottery, said: “The operator will have total freedom.
“It’s a revenue contract, and the more the operator earns, the more the state earns. We are working on a draft of the public notice for the new model that we are trying to show here in Río de Janeiro.
“A financial objective will be guaranteed for the state of Río. While freedom is given, a financial objective is established. The numbers are based on the lottery’s own operations.”
The liberalisation of state lotteries in Brazil
The lottery market in Brazil has been thrown open after the liberalisation of state lotteries in the country. The Río de Janeiro lottery therefore hopes to complete the process to choose an operator as soon as possible.
The Brazilian federal government remains divided over the issue of state lotteries.
While it seeks a means to improve finances due to the impact of the Covid-19 pandemic, the government has since sought to limit the capacity of state lotteries fearing that they may eat into sales of federal lottery products.