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BRASILIA (AFP) - Swedish Prime Minister Fredrik Reinfeldt discussed ethanol production, environmental concerns and technological cooperation with Brazilian President Dilma Rousseff, officials said Tuesday.

There was no mention from officials about any discussion on a hotly contested contract for fighter jets for the Brazilian air force currently on hold for budget reasons. Swedish maker SAAB is among several manufacturers competing for the lucrative bid.

But the top executive of SAAB, Hakan Bushke, was scheduled to meet later with Brazilian Defense Minister Nelson Jobim about details of the project.

Rousseff told reporters she spoke with Reinfeldt about a possible joint effort to produce ethanol in Tanzania. Sweden is one of the largest purchasers of Brazilian ethanol, made from sugar cane, for the Swedish mass transit system.

The meeting also covered the so-called Rio+20 UN Conference on Sustainable Development planned for Brazil next year and "the importance of promoting joint initiatives in the area of our strategic partnership," she added.

And they spoke about concerns related to international organizations such as the International Monetary Fund, the World Bank and the UN Security Council.

The visit marked Reinfeldt's first as head of government to a South American nation.