Business
EDITION # 2 | SEPTEMBER - NOVEMBER 2017 Platinum Sponsors:
business express
Summary c l i c k t h e t i t l e s to g o :
MESSAGE FROM THE EXECUTIVE DIRECTOR
SPECIAL GUEST Peace in Colombia Brings New Opportunities for “Smart” Investors
MARKET OPPORTUNITIES →→ Bogota: A competitive city with unique investment opportunities →→ Barranquilla as a business destination →→ Why Invest in Valle del Cauca region →→ Cartagena: the place where tourism and industry converge →→ Investing in Medellin
SUCCESS STORIES FedEx in Colombia: Creating Connections
BUSINESS MONITOR
YOU MUST DO →→ ARTBO
YOU MUST KNOW Las Vegas Trade Mission visited Colombia to increase participation of Colombian companies and entrepreneurs
EVENTS
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A
fter a successful launch of our AmCham Business Express that reached more than 6,500 companies and business contacts in the United States, we are releasing the second edition of this quarterly bulletin that focuses on business opportunities all around Colombia, taking into account the different sectors that are currently experiencing important growth and
increasing interest with American investors. Juan David HernĂĄndez Executive Sub-Director (e), Colombian-American Chamber of Commerce (AmCham Colombia) AmCham Colombia
This vital and thriving economy arises from a cosmopolitan city like Bogota where the green parks and ciclovias inspire new ideas from young and experienced business people, passing through Cali where the kindness of professional and skilled people greet you, and heading to Medellin where flowers and cocoa encourage young entrepreneurs from the fashion, energy and tourism sectors. The report finishes with the happiness that evolves from the vibrant industrial and touristic sectors from Barranquilla and Cartagena, which are continuously transforming and leading main markets and business opportunities in the Caribbean economy. Do not be surprise if you feel attracted to some of these regions and its people. Certainly, Colombia is becoming one of the most interesting and dynamic points for commerce and investment; therefore, when you flip through the pages you will not only find the potential of Colombia’s economy, but also the warmness, joy and optimism of Colombian sectors that will guide you into new business ventures. Enjoy!
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Peace in Colombia Brings New Opportunities for “Smart” Investors John Fennerty, Economic Counselor, U.S. Embassy Bogota
U.S. EMBASSY COLOMBIA
STA R T R E A D ING NE X T PAGE
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n end to the armed conflict with the Revolutionary Armed Forces of Colombia (FARC), coupled with improving security and infrastructure, are bringing new opportunities for investors in Colombia’s emerging “Smart Cities.” Colombia’s Smart Cities are urban-planning initiatives that create sustainable economic development through efficiency and advancements in information and communication technology (ICT), mobility, and infrastructure. Smart Cities have great potential to attract U.S. companies and improve the quality of life for millions
of Colombians. Additionally, new advances in renewable energy technology, and the Colombian government’s prioritization of adding these technologies to the country’s energy mix, offer increasing opportunities for U.S. investment and an attractive market for related goods and services. Smart Cities are an international phenomenon, with over 250 major projects underway in 178 cities worldwide. Bogota, which hosted the Smart City Expo in 2013, was recognized by the United Nations Conference on Trade and Development for its Smart City initiatives such as the creation of the TransMilenio bus system, its growing network of bicycle lanes, and the planned metro system, all geared towards improving the mobility of residents. Medellin, a city once synonymous with violence, received the “Innovative City of the Year” award in 2013 from the Wall Street Journal, Citigroup, and Urban Land Institute. Recognizing the investment opportunities that Smart City initiatives bring to foreign investors, the Business Council for International Understanding (BCIU) organized a two-day business development trade mission in July 2017 to Bogota and Medellin for U.S. companies from the ICT, security, logistics, and infrastructure sectors. BCIU, a nonpartisan, U.S.-based organization that works to expand international trade and commerce, organized several events, capped by a reception at the U.S. Ambassador’s residence, where companies had the opportunity to exchange information with distributors, agents, representatives, and professional service providers. Improved infrastructure is a key element of Smart Cities, and Bogota’s efforts to upgrade and expand its transportation networks offer great potential to investors. The planned elevated metro system, the first of its kind in the city, will operate twenty-three trains, travelling over 25 kilometers along the initial north-south corridor. The megaproject is expected to transport up to one million passengers per day, at a cost of 13.8 trillion pesos (USD 4.6 billion), and construction is expected to begin in 2022. The metro is being planned with environmental sustainability in mind, and will feature electrically powered trains. The construction of Bogota’s El Dorado II International Airport Terminal, set to break ground in 2018, will also
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include a metro system linking it to the main terminal at El Dorado I. This ambitious infrastructure project is another opportunity for private sector investment. Colombia’s renewable energy market offers increasing opportunities for U.S. investment and an attractive market for related goods and services. Colombia has long leveraged its abundant water resources for energy, relying on hydroelectricity to generate 70 percent of the country’s power supply, with coal and natural gas accounting for most of the remaining supply. Significant reductions in the cost of solar and wind power generation due to technological advances, abundant and well mapped solar and wind resources, as well as external factors affecting hydro power generation such as the El Niño phenomenon, have precipitated a marked interest in expanding non-conventional renewable energy (NCRE) projects. The Colombian government has deemed development of NCREs beneficial to diversifying Colombia’s energy mix, reducing the marginal cost of power generation, supporting sustainable economic growth, and reducing emissions, and the Santos Administration has introduced legislation supporting the adoption of NCRE. The Association of Electricity Generators (ACOLGEN) noted that energy security and falling costs are the primary drivers for renewables in Colombia. The Association has emphasized the potential of solar, wind, and
Jepírachi Wind Park, La Guajira Colombia MirfakVelez_92
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biomass in Colombia and noted the growing interest indicative of the hundreds of NCRE projects, totaling seven gigawatts of generation, pending government approval. Solar projects appear as the most promising due to the abundance of solar generation locations as well as the ease with which these projects can be integrated into the existing grid. Colombia’s Caribbean coast offers excellent conditions for wind projects, while opportunities for solar projects exist throughout the country. As solar costs continue to fall, rapid growth is expected in industrial and community rooftop solar. As pending regulatory and connectivity issues are addressed, companies should begin conducting evaluations to quantify Colombia’s renewable energy market to pinpoint the most attractive opportunities for U.S. investors and firms to provide their expertise, products and services. Smart City technology and Colombia’s renewable energy market represent strong investment opportunities for U.S. companies. With the majority of Colombia’s population already living in cities, policy makers must prioritize efficient urban planning in order to accommodate its urban growth, effectively manage resources, and mitigate costly environmental damage. The Smart Cities initiatives, particularly in Bogota and Medellin, aim to accomplish these goals through improved infrastructure and a growing renewable energy sector. As Colombia’s largest trading and investment partner with a strong history of friendship and cooperation, the U.S and its companies are uniquely positioned to offer expertise, products and solutions that will help Colombia develop its urban infrastructure, strengthen its energy sector, and provide sustainable economic opportunities for its citizens.
c o.u s e m b a s sy.g ov @USE mb as sy B ogota
@ usd o s.c o lo m b i a
USEmb as syB ogota
use m b a ssy b o got a
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B
Pedro Felipe
A competitive city with unique investment opportunities ogota is ranked as one of Latin America’s leading business centers with great investment potential, along with Miami, Santiago, Mexico City, and Sao Paulo. According to the latest annual America Economia ranking in 2016, Colombia’s capital is the fifth best city to do business in Latin America. In the past 10 years the city has
received US$18.369 billion in foreign direct investment, mainly in Financial Services (14%) and Communications sectors (14%), being the United States the principal source market of the foreign direct investment followed by Spain, France, Chile and Portugal. Several FDI projects in sectors of high added value have set their sights on Bogota. Today, there are more By: Juan Gabriel Pérez Executive Director of Invest in Bogota
than 1,500 foreign capital companies in the city that have chosen it because of its main advantages:
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Economic strength
Bogota Region’s GDP vs. GDPs of some Countries in Latin America (2016)
The Colombian capital is a dynamic market and the backbone of the national economy. With a population of 8 million people (and 10 million Bogota-Region) and a GDP of
US$ Billion Bogota Region
86
Dominican Republic
72
Costa Rica
58
Panama
55
Uruguay
54
Bolivia
36
US$73 billion, larger than that of many countries in Latin America. In the past decade, Bogota’s GDP growth has outpaced Colombia and Latin America most of the time. Companies located in Bogota have direct access to the US$282 billion Colombian market - one of the largest, most dynamic markets in Latin America. Thanks to the different Free Trade Agreements (FTAs) in operation, these
Paraguay
27
companies have access to an extended market of more
El Salvador
27
than US$43 trillion and 1,570 million inhabitants.
Honduras Nicaragua
21 13
Strategic location Thanks to its privileged location in the center of the Americas – approximately five hours by plane from New York, Mexico City and Sao Paulo and excellent air connec-
Source: International Monetary Fund, World Economic Outlook Database Octobre 2016; DANE, National Accounts. Calculations by Invest in Bogota.
tivity, with several daily nonstop flights to all major cities in the Americas, many companies have chosen Bogota for their regional headquarters, shared service centers and logistical hubs to serve Latin America.
4.6% average growth in the last 10 years, higher than that of Latin America (3.2%).
10
El Dorado, Bogota´s International Airport, is the first Latin American airport in terms of air freight volume and one of the largest passengers hubs in Latin America, handling over 30 million travelers per year.
millions inhabitants.
57% of the financial transactions in Colombia.
34% of all companies in the country
18 Free trade agreements signed and in force. 2 Free trade agreements under negotiation.
Bogotá
Strategic direct air connections.
Best Sources: DANE: National Accounts and Population Projections Census 2005; Financial Superintendence; Confecamaras.
Airport in South America. (Skytrax: World Airport Awards 2017)
1st Latin American airport in terms of air freight volume.
3rd busiest Latin American aiport by passenger traffic in Latin America.
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Bogota at night
Work Force A young, skilled, 4.6 million strong work force in Bogota ensures the scalability of any operation. The city’s 120 institutions of higher education enroll over 736,000 students and graduate over 126 thousand professionals and technicians per year.
A labor force of over
More than
1,600
4.6 million people,
research groups,
more than Santiago and Quito combined
Of Colombia's total.
38%
Business environment Bogota is positioned as one of the main region’s business centers. 1st City with best FDI strategy in Latin America (fDi Magazine American Cities of the Future 2017-2018). 5th Global City in Latin America (AT Kearney 2016). 5th Best city to do business in Latin America (América Economía
0ver
43% of all PhDs in the country.
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2016). 5th City of the future in Latin America (fDi Magazine 2017-2018). 6 th City in Latin America for corporate tourism (ICCA 2015). 7th Smart city in Latin America (Cities in 80 libraries of the Network of Public Libraries
Motion 2016). Bogota offers signiďŹ cant incentives for investment in the following areas: Free Trade Zones, job
Largest free open air Rock Festival.
creation, exports of goods and services from Bogota, research and innovation projects, environmental projects, newly established businesses.
Quality of life Many companies are relocating to Bogota from other cities 8 gastronomic
zones with extensive offerings of local, fusion and international cuisine.
in Colombia, neighboring countries and Central America
Permanet vibrant nightlife.
because it’s a great place to live. Its almost ideal climate, green spaces with more than 5,000 public parks, including the Simon Bolivar Park measuring 113 acres. A rich cultural scene with over 70 theaters and 120 museums, galleries and art institutions; additionally, 80 libraries of the Network events, including the Iberoamerican Theater Festival, one
Home to the most important theater festival in Latin America.
of the largest independent theater festivals in the world
theaters.
of Public Libraries. Bogota boasts several major cultural
Over 120 museums, galleries, unconventional spaces and art institutions.
70
and its proud to have the Ciclovia, a local initiative that has inspired projects in other cities such as Summer Streets in New York.
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467 km of cycle paths. 127 km of cycle lanes.
5,041 parks and sports facilities
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I nve st i n B o got a
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Sources: District Department of Culture, Recreation and Sports, IDARTES, District Department of Environment, District Institute of Tourism, Biblored and Arteria Foundation.
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 Daniel Cardona
as a business destination
By: AmCham Barranquilla
B
Barranquilla, strategically located next to the delta of the Magdalena River, 4.7 miles from its mouth at the Caribbean Sea, serves as a port for river and maritime transportation within Colombia, but most importantly it is the main industrial, commercial, educational and cultural center in the Caribbean Region of Colombia. Our infrastructure is the engine of the region’s industrial and commercial development. The port of Barranquilla
covers two main routes, the Magdalena River that connects with the inner country (other ports in the region do not have this strategic advantage), and the Caribbean Coast, through which millions of tons are traded with the United States, Europe and Asia. Barranquilla also has an international
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airport, which is one of the main airports in the country in terms of international cargo movement. The city’s economic activity is dynamic and focuses mainly on industry, commerce, finance, logistic services and fishing. Industrial products include: vegetable fats
"in recent years there has been an increase in the number of national and international companies established in the city or those that have decided to open new branches in Barranquilla"
and oils, pharmaceutical products, industrial chemicals, shoes, dairy products, soft drinks, construction materials, furniture, plastics, cement, clothes, and metal mechanical parts, among others. A top priority for the local government is to make public administration entities more efficient in terms of promoting economic and social development, by consolidating the optimal supply offers of public services and infrastructure. Such is the momentum of the District City Hall of Barranquilla and the AtlĂĄntico Government Office, that in recent years there has been an increase in the number of national and international companies established in the city or those that have decided to open new branches in Barranquilla. Finally, due to its strategic location and all the aforementioned factors, plus the new dynamic Exhibition and Expo Center, Barranquilla is set to become the new business destination of the Caribbean.
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Investment opportunities Chemical / Agrochemical Main export sector of the Atlántico Department, representing 35% of industrial exports. The products with the highest participation in exports are
Chemical / Agrochemical represents 35% of industrial exports.
pest-control substances, pharmaceuticals, basic chemicals, fertilizers, plastic products and basic plastic shapes. The region has appropriate infrastructure for the significant industry growth thanks to the three Permanent Free Trade Zones located in the Atlántico Department as well as the industrial parks, lots and warehouses that are available for sale or leasing.
Steel and Iron Industry Second major export sector of the department supported by Barranquilla's Port, considered the first port in terms of steel handling and the
Barranquillas´s port receives 60% of the metal used in the city and 40% of the country’s steel.
biggest multi-purpose port in the Colombian Caribbean region. This port receives 60% of the metal used in the city and 40% of the country’s steel. It is estimated that the demand of equipment will increase due to a higher national investment in infrastructure.
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Construction Materials Construction accounts for 6.14% of the Atlántico Department’s GDP. Atlántico is among the four departments in Colombia with the most licensed areas for construction.
Logistics and Transportation Atlántico department is a strategic destination for investment in Latin America and the Caribbean area given that it serves as a multimodal logistics platform. The maritime, fluvial, ground and air connectivity, its bilingual and trained human capital, and its real-estate spaces inside and outside the Free Trade areas are just some of the key factors that
Construction accounts for 6.14% of the Atlantico Department’s GDP.
are complemented with very competitive prices, in turn positioning the department as a business center in the Caribbean region.
Health Barranquilla has specialized medical centers at a very complex level. The health cluster, led by Barranquilla's Chamber of Commerce jointly with other entities, seeks the promotion and competitiveness of the sector. The initiative involves companies and entities that perform activities related to production and distribution of pharmaceutical products, medical equipment, provision of health services, and health research activities.
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Why Invest in the
Valle del Cauca Region
By: AmCham Cali and Invest Pacific
V
alle del Cauca and its capital, Cali, offer greater opportunities and more enhanced competitive advantages over other Latin American regions and cities. Furthermore, there is a joint public-private effort in order to attract high quality investment to the region; hence, maintaining Cali and Valle del Cauca as investment poles of attraction. The region offers ideal strategic advantages for setting up service centers and production plants to meet
the needs of both domestic and international markets. Investing in Valle del Cauca is the best option given the following advantages:
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1. Geo-strategic Location: a privileged location that has access to the Colombian domestic market (nearly 66% of the Colombian domestic market) and the Pacific Alliance countries, not to mention the rest of Latin America from Colombia’s only Pacific Ocean Commercial Port of
Valle del Cauca is home to more than 100 manufacturing companies
Buenaventura. 2. World-class Business Network: Valle del Cauca is home to more than 100 manufacturing-export multinational companies: Colgate Palmolive, Nestlé, APTAR, Hero Motors, Baxter, Reckitt Benckiser, Johnson & Johnson, Goodyear, BASF, among others. 3. Human resources: Valle del Cauca has an ample and diverse educational offer that includes dozens of
More than 26,000 students graduate annually
higher education institutions, among which are 35 higher education institutions and over 10 internationally recognized R&D centers. More than 26,000 students graduate annually and join the region’s extremely well qualified labor force to become highly valued staff members at local and multinational companies. 4. Cost-competitive: According to the Financial Times, the
Cali is ranked within the top 10 cities with the best cost effectiveness in the Americas
city of Cali is ranked within the top 10 cities with the best cost effectiveness in the Americas. Likewise, it’s has the 2nd lowest average salary, according to Numbeo.
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5. Infrastructure and Connectivity: Valle del Cauca has the Pacific Ocean Port of Buenaventura where more than 53% of the country’s cargo is shipped in and out annually. The distance between Buenaventura and Cali is 88 miles, providing swift access to international markets in both the Pacific and Atlantic Basins. In addition, Valle del Cauca has six Permanent Free Trade Zones, one of which is in construction and will be Colombia’s first free trade zone specialized in the service sector. As for its international airport, Cali International Airport is considered to be the second most important in the country. 6. Quality of Life: Cali has other benefits including a diverse gastronomic offer, some of the purest air in Latin America, an average temperature of 25°C, a modern mass public transport system that covers 93% of the city, as well as dozens of malls, museum and clubs for leisure. It is also known as the world capital of salsa dancing and international sports events.
Investment Opportunities 1. Shared Services: Valle Del Cauca, has been positioning itself as the ideal location for IT/BPO and Shared Services Centers. The Region is strategically located in southwest Colombia and it is positioned in the same time zone as the world's Biggest IT and Outsourced Services markets in Canada and the United States. 2. Manufacturing plants/Distribution centers: Due to the many advantages in terms of location and logistic costs, the Valle del Cauca region is the ideal place for the establishment of manufacturing plants. The Buenaventura port, the most relevant in the country in terms of foreign trade, is the closest port to the three main cities in
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Colombia. This cost-efficiency makes the region the perfect location for companies that want to address both, the domestic market and the international export market, while also being very convenient for the importation of raw materials for the manufacturing plants, not to mention easy
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port access for all your exportation needs. 3. Biobusiness: This is the place for smart and sustainable businesses. Valle del Cauca has the necessary biodiversity and skilled labor force to
@Am ch am C al i
help foster innovation and research to develop these types of ideas.
@amch am c a l i Given the strategic advantages mentioned above, other sectors that are currently playing a key role in the region
Amch am S e c c i onal S u r O ccide nte
are agroindustry, metalworking, home and personal care, pharmaceutical, BPO, ITO & KPO, logistics, renewable energies.
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Cartagena The place where tourism and industry converge
C
artagena de Indias, founded in 1533, is a colonial city with widespread tourism, ports, and industrial and commercial activity. Its privileged location on the Caribbean coast offers a deep and wide bay, and as a result, it became the most important port for fleets of galleons. Moreover, due to the constant harassment from pirates and other enemies of the
Spanish Colony, the local government of that time built the most impressive and magnificent fortress found on the Caribbean coast. Today, the Old City is surrounded by incredible walls that are in perfectly preserved and are 11 kilometers long and on average 20 meters wide. Its beauty along with its By: AmCham Cartagena
historical, cultural and Spanish colonial heritage, gives
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Cartagena a special credential for international conventions, conferences and exhibition centers. Some of these events are the most important in Colombia and the Caribbean region and have contributed to the development of industrial and tourism infrastructure such as an international airport, which is the most important on the Caribbean coast in terms of international connections. Cartagena it is also known for its industrial potential. The city has the main container port and receives large cruise ships worldwide. Its strategic location for international trade and its closeness with ports like Panama, the east coast of the United States, Gulf of Mexico and other Caribbean ports, makes this location the perfect place for commerce and investment. The Cartagena port moves containerized and loose cargo, allowing for easy access and only a short drive from the downtown city. It is important to highlight that Sociedad Portuaria Regional Cartagena has been ranked as the most efficient port in the Caribbean for six consecutive years and one of the most important in Latin America. Cartagena is the fifth largest industrial city in the country and its largest petrochemical industry is plastic, which currently has the biggest companies in the area. The manufacture and industry area covers sectors like the petrochemical industry, plastics, chemicals, shipbuilding, metalworking jobs, commercial and industrial refrigeration pipe for oil, fertilizers, lubricants, greases, wood furniture, construction materials, soaps and perfumes, food and soft drinks, among others. Some of the companies that have establish their plants and offices in the city are Mexichem, Tenaris, Dow Chemical, Cabot, Biofilm, Holcim, among others. The city is also developing the expansion of the Cartagena refinery, the most ambitious infrastructure built in Colombia in recent years. Its capacity will increase the daily production of barrels of oil and will produce new petroleum with the highest standards of production; therefore, it is considered the biggest refinery in the country.
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Investment Opportunities Cartagena is a strategic place where investors can locate their enterprises for assembly or production processes. The Free Trade Zones in Cartagena offer multiple incentives such as inexpensive skilled labor and tax exemptions, but most importantly, easy access to North, Central and South American countries. Moreover, Cartagena is the principal tourist destination in Colombia due to its magical downtown architecture, fascinating beaches, museums and excellent hotels. Actually, Cartagena currently hosts many major
Cartagena won the "Oscar of Tourism" in 2016, in the category of Best Tourism Destination in Colombia
hotel chains like Intercontinental, Hyatt Regency, Hilton Hotels, Sheraton, Hampton Inn, Holiday Inn, among others. It also has a wide range of boutique hotels that, along with an exhaustive selection of restaurants with food from all over the world, make Cartagena a gastronomical destination in Colombia. Furthermore, Cartagena hosts some of the most important private and public events and it is the first option for conventions and business meetings. The Centro de Convenciones Julio Cesar Turbay Ayala, Hilton Hotel Convention Center and the Convention and Exposition Center of Las America´s Hotel are some of the most renowned locations.
Cartagena receives 97% of the passengers arriving by sea to Colombia
For all these reasons and many more, Cartagena de Indias is a city that combines the charm of old and modern architecture, and it is a place where tourism and industry converge, creating a peaceful harmony that complements the joy of it laborious people. The Colombian American Chamber of Commerce – AmCham Cartagena, is the center of business opportunities where you will find commerce and investment assistance. Our team has national and international experience that is more than happy to support all your business needs.
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@amcha mc a r ta ge na
In the first quarter of 2017, Visitors on cruise ships (129,974) grew 2% Domestic travelers (513,225) increased by 9.3% International travelers (82,279) grew 14.3%
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Investing in
Medellin By: AmCham Medellin
M
edellin is the second most important city in Colombia and the main exporter of non-traditional products, providing a high investment potential in the agroindustrial and manufacturing sectors. Besides, its architecture, urban planning and the continuity of its social and economic development policies have transformed it
into a city with a competitive infrastructure that counts on the highest levels of quality of life in the country. Medellin is a dynamic epicenter of commerce, industry and technology. Therefore, 20% of the most important companies in the country have their headquarters in the city, especially multilatinas with great international projection. The city has a modern urban public transportation system
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that includes a metro, a metrocable system, buses and trams. It also has two airports: José María Córdova, which is located in the municipality of Rionegro (45 minutes from the city) and connects not only with the main cities of the United States, but also with 20% of the most important companies have their headquarters in the city,
strategic hubs of Central and South America. The second airport is the Olaya Herrera airport that connects the city with regional and national flights. The city has a geo-strategic location in the American continent, as Antioquia is close to the Atlantic and Pacific oceans and equidistant from the main urban centers of Colombia. It has the second largest coast in the Colom-
Medellin has two airports
bian Caribbean Sea with 325 km in the Gulf of Uraba. Medellin is projected to be the innovation capital of Latin America in 2021 as its Science, Technology and Innovation Plan (CT + i) is the most ambitious of the country. Therefore, the local government has located USD$240 million
$240 million USD will be invested by 2021 to develop a technological district.
by 2021 to develop a technological district of 3 square kilometers called Ruta N, which aims to promote innovation along with national and international companies located in the region. Currently, more than 115 companies from 19 countries are located in this district. In terms of economic growth, the city was ranked the first Latin-American city with the best economic performance per capita ac-
The region counts for 13.3% of the country’s graduates.
cording to the “Global Metro Monitor” of the Brookings Institute. What’s more, Medellin was awarded in 2012 the "City of the Year" by the
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MARKET OPPORTUNITIES
Orquideario, Medellin
Wall Street Journal, Urban Land Institute (ULI) and Citi; recognizing it as one of the world's most innovative urban centers.
Investment opportunities It is clear that dynamic business activity shows the diversification of any economy. Medellin has six strategic clusters: textiles, clothing, design and fashion; business tourism, events and conventions, energy, construction, and health. They represent almost a third of the GDP of Antioquia’s region and more than a half of the companies that are created every year. Antioquia also has other important sectors such as agroindustry (fresh fruits, vegetables and cocoa are three of the main products of the region), manufactures (textile and fashion, construction, automotive, energy and aeronautical) and services such as BPO, software and IT development and consulting, biotechnology and tourism. Moreover, Medellin has gained a wide prestige in terms of massive events. According to international ranking ICCA (International Association
Edgar Jiménez
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of Congresses and Conventions), Medellin is the city of the American continent that has grown the most in recent years, going from 10 events reported in 2007 to 42 events in 2016. Concerts from artists like Madonna and BeyoncÊ, conventions such as the IDB-ICC Annual Meeting or the OAS General Assembly show that the city is ready to host top world events. Last but not least, Medellin is widely recognized as a city of high-level education and skilled labor. As a result, the QS World University Rankings ranked four universities from the city among the top 100 in Latin America in 2015. Likewise, the number of graduates of higher education institutions in the department is the second highest nationwide, representing 13.3% of the country’s graduates.
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FedEx in Colombia: Creating Connections FedEx believes in connecting people with goods, services and ideas to create opportunities and improve lives. To fulfill this promise, FedEx is continually expanding its worldwide network and service portfolio to provide Latin American businesses with opportunities for global access.
By: Fedex Colombia STA R T R E A D ING NE X T PAGE ď„…
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C
olombia is a vibrant market with an immense growth capacity, making it integral for the expansion of FedEx in the Latin America and Caribbean (LAC) region and the overall business results. FedEx history in Colombia dates back to more than 20 years of service, market knowledge and dedication to support local businesses and individual customer needs. Colombia offers a skilled labor pool, a bustling economy ripe for innovation and a committed government that promotes healthy competition. For FedEx, Colombia is the third most important market in Latin
America and is guided by a strategic approach to navigate its dynamic economy. With the dedication of the local team, FedEx has built a diverse portfolio of transportation and logistics solutions in response to the opportunities offered by this prosperous country. FedEx provides a robust domestic service route and unparalleled global access for a variety of industries, including coffee, flowers, textiles, retail and supply chain management, all vital to the constantly evolving Colombian economy. A success case in Colombia is Fantasy Farms, which set out to bring the beauty and aroma of Colombian flowers to unusual places in the United States, like gas stations and dollar stores, in record time. With the support of FedEx Express, Fantasy Farms can now initiate the shipping process on the same day the flowers are cut, completing deliveries to North America in a maximum of four days, guaranteeing the freshness and safety of the products. Throughout the company’s 20+ years of operation in Colombia, FedEx has successfully branded itself an ally for the local economy, always offering an exceptional customer experience. The agribusiness, manufacturing and services sectors in Colombia are thriving and FedEx is committed to being a loyal partner to Colombia for years to come.
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BUSINESS MONITOR T R A D E STATISTICS | Pag e 1 / 3
Population
Bogota
GDP
GDP per capita
8 million
US$ 72.6 billion
US$ 9,101
25.7%
5.7% (2016)
USD $1.163 million (2016)
9.3% (2016)
126.587 (2015)
US$ 2.4 billion (FOB) (2016)
US$ 21.9 billion (CIF) (2016)
4.2 %
5, 87% (2017)
% National GDP
Inflation
F.D.I.
Barranquilla
Unemployment
Higher Education Students
1.2 million
COP $17.052 million
Exports
Imports Sources: DANE, Revista Dinero, Chamber of Commerce of Bogota, Invest Pacific, Invest in Bogota, El colombiano, Portafolio.
USD $591 million (2016)
7.7% (April 2017)
US$1.3 billion (FOB) (2015)
US$ 3 billion (CIF) (2015)
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BUSINESS MONITOR T R A D E STATISTICS | Pag e 2 / 3
Population
Cali
GDP
2.4 million GDP per capita
US$ 35.292 million
9.7%
5.13%
145,965
US$ 1.9 billion (FOB) (2016)
US$ 4.4 billion (CIF) (2016)
US $5.318
4.2%
5.25%
81.559
US $2.3 billion (FOB) (2016)
US $2.4 billion (CIF) (2016)
% National GDP
Inflation
USD $673 millions USD
10.8% 2016
* Cali: 49% del PIB del Valle del Cauca | * Total FDI from 2011 to 2016
F.D.I.
Cartagena
Unemployment
Higher Education Students
1 million
US $11.153 million
USD $13.593
8.9% (2016)
Exports
Imports Sources: DANE, Revista Dinero, Chamber of Commerce of Bogota, Invest Pacific, Invest in Bogota, El colombiano, Portafolio.
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BUSINESS MONITOR T R A D E STATISTICS | Pag e 3 / 3
Medellin Population
2.5 million (2016)
GDP
US $39.2 Billion (2016)
GDP per capita
% National GDP
Inflation
F.D.I.
Unemployment
Exports
Imports
USD $6,118
13.9% (2016)
6.54% (2016)
US$211.6 million (2016)
9.6% (2016)
US$ 4.3 billion (FOB) (2016)
US$ 6.6 billion (CIF) (2016)
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YOU MUST DO ar t b o | Pag e 1 / 2
By: Invest In Bogota
B
ogotรก is a vibrant cultural capital and the epicenter of arts in the country, with an increasing number of experimental art spaces and exquisite private collections as a result of a strong and growing local art market, as well as unique museums and galleries, among others. The city has become a top art destination and a platform for exceptional international exhibitions and emerging artists over the past decade. Its institutions such as
the Chamber of Commerce and Invest in Bogota have engaged in the development of the art scene.
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October is known as the ‘art month’ in Bogota, when more than 100 art spaces host new exhibitions and events that present a range of Colombian, Latin American and international artists. Every autumn, the capital hosts one of the most important, dynamic, attractive and eclectic art fairs in the region: ARTBO; the name speaks for itself. It is the international Art Fair of Bogota and the quintessential meeting point for the art market in Latin America that draws thousands of collectors and curators from all over the Americas and Europe. Its 13th edition will open its doors from 26 - 29 October 2017, with a strong participation of galleries from Latin America, USA and Europe, whilst delivering a robust program of activities all around the city. The fair congregates curators, artists and public around a platform of commercialization, providing one of the most significant cultural showcases of visual arts and the central axis of the artistic circuit in Colombia. Throughout the last thirteen years, ARTBO’s program, alongside museums, galleries, universities and other art spaces, has been working with artists and institutions to transform Colombia’s art scene. The fair has grown from 29 participating galleries and 12,000 visitors in its first year, to 57 galleries from 28 cities and 35,000 visitors in 2016. With over 500 national and international collectors, curators, institution directors and art world professionals visiting last year’s fair through its Special Guests Program, ARTBO reaffirms that Colombia has become a key player in the international art circuit.
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YOU MUST KNOW L A S VEG A S T R A D E M ISSION | Pag e 1 / 3
By: AmCham Colombia
LAS VEGAS TRADE MISSION visited Colombia to increase participation of Colombian companies and entrepreneurs
I
nternational trade missions provide excellent venues for exporters to meet international buyers, distributors, or representatives. For this reason, the Colombian American Chamber of Commerce (AmCham Colombia) is committed to supporting both Colombian and U.S. companies when opening and seeking new business opportunities between the two countries. During the four-day visit, delegates from the most important fairs held in Las Vegas had several meetings with Colombian execu-
tives in order to open new doors to U.S. companies and provide Colombian companies and entrepreneurs the opportunity to access the global market through the many events that are held in the city. Representatives from the Las Vegas Global Economic Alliance and some other companies from the city landed in Bogota to present their trade fairs and to learn about business opportunities in Colombia. For Chris Meyer, Vice President of the Las Vegas Convention and Tourism Authority business opportunities exceeded all expectations given the number of meetings they had and the business and investment opportunities that exist today in the fourth largest economy of Latin America. The United States is Colombia's largest trade partner. Today, many U.S. businesses conduct operations in Colombia alongside a Free Trade Agreement which entered into force in 2012 eliminating tariffs, expanding trade, and promoting economic growth in both countries. “The sectors with the greatest potential to invest and do business in Colombia are; broadcasting, outdoor sports, food
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industry, telecommunications, retail, and real estate development� said Mr. Meyer after meeting CEO´s and local authorities. After nearly 50 meetings, it is expected that the visit of this delegation will increase the flow of Colombian attendees and exhibitors to several of these conventions and increase opportunities for businesses in both countries.
AmCham Colombia supports and works alongside the Embassy of the United States to organize trade missions from different states and sectors of the U.S to promote and enhance commerce and investment between both countries. As a result, companies are able to participate in business-to-business matchmaking events, market overview presentations, private meetings with companies and associations and other types of events that connects Colombian and American organizations.
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EVENTS Pag e 1 / 3
20th TCI GLOBAL CLUSTER Don´t miss the future of clusters through Cross-Country and Cross-region Collaboration. It will allow interactions between cluster and competitiveness professionals of multiple countries and regions, looking to exchange experiences and build synergies, to lead to better 1. Productive development policies – Modern industrial policy. 2. Experiences in the implementation of these agendas. 3. Business and joint activities between clusters from different regions and countries.
November, 7-9, 2017 - Corferias. Bogota www.tci2017.org
One Young World One Young World is a UK-based charity that gathers together the brightest young leaders from around the world, empowering them to make lasting connections to create positive change. October, 4-7, 2017 - Cámara de Comercio de Bogota. Bogota www.oywcolombia.com
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EVENTS Pag e 3 / 3
International fair of the electric sector FISE 2017 The event hosts exhibitors, buyers, visitors, panelists and speakers from different countries, especially from Latin America, the Caribbean and the United States. It is an event for the electrical industry, and for related goods and services, offering a proper setting to learn about the latest trends and developments in the ma 29 of November – 01 of December 2017 (Plaza Mayor) | Medellin www.fise.co
AmCham Cartagena 35th Anniversary
31 of October (Hotel Hilton, Cartagena Colombia)
Take part in this celebration and discover new opportunities to strengthen your business relations in Colombia and the United States. Join Colombia CEO´s, local authorities and the special presence of Kevin Whitaker Ambassador of the United State to Colombia, Camilo Reyes Ambassador of Colombia to the United States and María Lorena Gutiérrez Minister of Commerce, Industry and Tourism of Colombia.
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EVENTS Pag e 2 / 3
IV International Congress of Tourism Quality The IV International Congress of Tourism Quality will be one of the most important events worldwide in 2017 in the tourism industry. Experts from all over the world will meet from November 22 to 24 in Cali, Colombia to discuss the main challenges of the sector, as well as the trends that will mark the tourism industry in the coming years. November 22 – 24, 2017 | Cali www.ivcongresointernacionalcalidadturistica.com
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