I do not think it means "including".
A new clause starting with "with" is used to add more details about a subject, after some things were already said:
Carnaval is a big party, with thousands of street dancers.
Carnaval is an annual event, with fantastic costumes that take a year to create.
Carnaval is loud, noisy and rowdy, with alcohol contributing to the mess.
Carnaval is an annual street parade in a dozen countries, with the biggest and most famous parade in Rio de Janeiro.
Logically "<comma> with " is equivalent to "<period> It has ".
We have "carnivals" in the US (and UK, I am sure) but they are quite different from the annual "Carnaval" celebrated in Brazil and in many Caribbean countries.The term in English is "the Carnival". To give it its Portuguese name, one should, for example, write "the Carnaval" (in italics), as in Wikipedia.