According to greenfield investment monitor fDi Markets, logistics, distribution and transportation business activity in Latin America experienced a period of growth between 2012 and 2014. During this time, 261 FDI projects were recorded. Mexico was the leading destination country, receiving the highest number of projects with 96, followed by Brazil with 58 projects and Colombia with 19.

Despite Mexico being the top destination for the period as a whole, in 2012 it held a 28.57% share of total logistics FDI into Latin America compared with Brazil, which accounted for 34.69%. Out of the top three destination countries, Colombia held the lowest market share during 2012, with 8.16%. During 2013, Mexico experienced a strong increase in inward projects of 228.57%, compared with 2012. With a decrease in the number of projects into Brazil during 2013 compared with 2012, its share of total inflows in Latin America declined to 13.59%.

Advertisement

Between 2012 and 2014, there were a total of 49,509 jobs created. There was a substantial increase in job creation figures of 97.55% between 2012 and 2013, but 2014 saw a decline of 30.99%. 

The top three investing countries, in terms of both project numbers and capital expenditure, were the US, Germany and the UK. The US invested $4.77bn in 87 projects, while Germany invested $3.18bn in 33 projects, and the UK invested $1.93bn in 19 projects. Although there was a growth in the logistics, distribution and transportation industry in Latin America between 2012 and 2014, the trend does not continue through to 2015. There was a 27.03% decline in projects from quarter one 2014 compared to the same period in 2015. Quarter two and three also saw declines of 26.32% and 73.68%, respectively.

Find out more about