Transport Intelligence has published its annual ranking of the hottest emerging markets in global logistics, which compares 39 up-and-coming countries and identifies a series of key attributes that make them attractive for investment. “It is clear that emerging markets are playing an increasingly important role in global supply chain strategies as manufacturers look to the next wave of low cost production locations,” explains John Manners-Bell, chief executive officer of Transport Intelligence. “However, investors need to be cognizant of the specific challenges which exist in each market as well as the opportunities. Our index enables companies to differentiate between those markets which offer immediate potential and those which will take much longer to develop.”
3. Brazil
Steady at three again this year, BMI believes 2012 will be another year of strong growth for Brazilian freight transport, but cautions that there are a number of risks to their outlook, including the infrastructure deficit and signs of economic overheating. BMI notes that Brazil’s freight transport network has not developed the infrastructure needed to handle increasing throughput levels, causing delays and increased costs for shippers. As such, BMI expects to see more investment in infrastructure, both public and private, as ports seek to deal with growing traffic and to capitalise on trade opportunities. BMI notes that Brazil has some of the lowest saving rates in the region and growth in real average incomes has been slowing for some time. These factors could point to the possibility of a slowdown in consumer spending, it observes.
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