Page 33 - SUPERBRIDGE PR REPORT - SEPTEMBER 2024

Bridging LatAm and GCC Economies for

Accelerated Financial Growth

by Francis BignellSeptember 24, 2024

Businesses in Latin America (LatAm) and the Gulf Cooperation Council (GCC) are rapidly
looking to diversify their economies, seeking out partnerships with firms abroad. In doing so,
businesses in both regions have realised the potential of working with one another. In fact,
according to the International Trade Center, GCC countries exported goods worth
$10.84billion to LatAm in 2022.
The data supporting this trend in growing trade does not stop there. While GCC firms export mineral
fuels, mineral oils, distillation products, fertilisers, aluminium, plastics and electrical machinery and
equipment, LatAm exports include natural or cultured pearls, precious metals, meat, ores, and more. In
total, there were around 21.25 LatAm imports in 2022. Notably, Brazil continues to play a critical role as
the GCC’s main trade partner within Latin America, accounting for 61.61 per cent of GCC exports and
50.01 per cent of imports.
Simultaneous support
In 2023, Brazil’s BRF announced an additional $200million investment to expand its poultry processing
operations in Saudi Arabia, reinforcing its position as the leading supplier of halal meat to the GCC. This
expansion comes as Saudi Arabia aims to increase local food production by 50 per cent by 2030, a goal
that Latin American firms are well-positioned to support.

Meanwhile, Argentine agribusiness giant Adecoagro signed a $150million agreement with the UAE’s Al
Dahra Group in 2022 to supply grain and dairy products. This highlights the growing agricultural ties
between the regions.
Middle Eastern companies are equally active in expanding their footprint in Latin America. DP World,
the global logistics powerhouse headquartered in the UAE, recently collaborated with Brazilian railway
operator Rumo to build a terminal at Brazil’s Santos port – one of the largest ports in Latin America, at
an estimated cost of $500million.

https://thefintechtimes.com/bridging-latam-and-gcc-economies-for-accelerated-financial-growth/