Brazil's president says preparations for the 2014 World Cup could be jeopardized if government officials and businessmen fail to work together in the coming years.
Luiz Inacio Lula da Silva said businessmen and those responsible for monitoring and executing the necessary infrastructure and stadium improvements must cooperate to guarantee the country will be ready to host the tournament in four years.
''We are going to have problems if we are not in agreement,'' Silva said late Monday while meeting with members of the infrastructure sector in Sao Paulo.
Brazil needs significant upgrades to successfully host soccer's biggest showcase. Many critics and some government officials say the country needs to pick up the pace to get ready on time.
Brazil is expected to invest nearly $20 billion in infrastructure to prepare for the World Cup, but bureaucracy - especially in the bidding process and environmental licensing - may create obstacles and delay some of the necessary construction work.
The country also will host the Confederations Cup in 2013 and the Rio de Janeiro Olympics in 2016.
Brazil has already missed a deadline to start renovating most of the 12 stadiums that will be used in the tournament. Sao Paulo, South America's largest city, is yet to present a project to replace Morumbi stadium after it was dropped because of a lack of financial guarantees.
Silva said ''it would be irrational'' not to have the tournament's opening match in Sao Paulo, but acknowledged that a decision on which venue would be presented to FIFA likely won't be made before Brazil's elections in October.
''Some of the (FIFA) demands are correct, but some are exaggerated,'' said Silva, who will leave office at the end of the year. ''But I think we will reach an agreement.''
Brazil's Sports Minister, Orlando Silva, said FIFA officials will be in Brazil in September to inspect all venues. He said it would be important for Sao Paulo to have a project in place by then.
''I hope Sao Paulo comes up with something, but I've virtually thrown (in) the towel,'' the minister said.
Along with extensive improvements in infrastructure, Brazil will have to overcome other challenges similar to the ones faced by South Africa - high crime rates, a huge disparity between rich and poor and long distances between host cities.
The Brazilian soccer federation on Monday sought to offer reassurances the 2014 tournament will be unaffected by urban violence after 30 people were held hostage at a luxury tourist hotel following an intense gunfight in Rio.
The gunfight made headlines across the world, but the federation said it was ''confident'' that local authorities will be able to quell the violence during the monthlong event in 2014.
On Tuesday, police practiced a series of drills - including anti-bomb actions - aimed at maintaining public safety inside stadiums.
Meanwhile, the renovations at Maracana Stadium have begun. The stadium in Rio de Janeiro, which is expected to host the 2014 World Cup final, will have its capacity reduced during the renovation.
More than 80,000 fans packed the Maracana in a Brazilian league match between Fluminense and Vasco on Sunday.
The stadium, built for the 1950 World Cup., likely will be used in the 2013 Confederations Cup.
