latinamericanlogisticsnetwork.docVIP

Latin American Logistics Network Introduction Discussion of Latin American Logistic Networks involves the analysis of an area of many similar, but at the same time, different cultures. Brazil is the country that has the largest, most important, and developed economy in the region. However, there are still a lot of features that are similar across all countries in this territory. Therefore, centering the discussion of Latin American Logistic Networks on Brazil will provide a valuable insight into economic mechanics of the entire region, while presenting specific examples of advantages and problems that affect business operations in Brazil. This report will give a very brief description of the region and then focus on three topics that are main issues for companies that currently have operations in Brazil, as well as for those businesses that may consider expanding to this region. These topics include taxes, currency and security issues. Description of the Region Composed of all the free countries from La Patagonia (South Argentina) to Rio Grande (North México), including the countries in the Caribbean, this region is one of the richest in the world in natural resources. Looking forward to its integration, several agreements have been established among the countries to facilitate trade and business in the region. The most important economic agreements in the region, along with some statistics about the members of the biggest local trade blocks—MERCOSUR and the Andean Community—are presented below. Principal Agreements among the Countries FTAA (/alca_s.asp) The Free Trade Area of the Americas (FTAA) was born in 1994 with the purpose of integrating the economies of the occidental hemisphere in a single agreement of free trade. The 34 democracies of the region agreed on the establishment of FTAA through which barriers to trade and investment were to be gradually eliminated until a final agreement can be obtained in 2005. G-3 The G-3 (Group of the 3) was