The board of the Uruguayan Chamber of Information Technologies (Cuti), led by its president, Álvaro Lamé, and by the vice-president of the Chamber's Global Markets Working Committee, Leonardo Loureiro, met with a delegation from the Ministry of Foreign Affairs as part of a series of meetings that the organization has held with different authorities.
The Minister of Foreign Affairs, Rodolfo Nin Novoa, and the Undersecretary of the same portfolio, José Luis Cancela, participated in the meeting at Cuti's offices, where they were informed about the main lines of work of the industry and discussed various international policy initiatives and how to support trade relations to further boost the growth of the sector.
Loureiro explained to the delegation that in 2015 the total turnover of Cuti's member companies reached US$ 1,068 million and that the evolution of exports and sales on the market grew steadily in the last decade, with a peak of the former in 2013, which then stagnated in response to the fall of the Brazilian market, its second destination market.
"Almost 40% of the sector's exports are destined for the United States, followed by Argentina, Spain, Colombia, Mexico, Chile and Japan, which each exceed 5%. In addition, the United States, which has long been the largest export destination, took off last year," he said.
"We have several Uruguayan multinationals in the sector, meaning they have a direct physical presence with established offices. Most of them are concentrated in Chile and Argentina, but they also reach Colombia, Brazil and the United States," said Loureiro. He added that the number in the United States will grow in 2016 because many companies are making the decision to physically establish themselves there. Meanwhile, the indirect physical presence, with sales through partners and associates, is mostly concentrated in the United States and then distributed in several countries in the Americas such as Paraguay, Mexico, Colombia and Argentina.
As strategies for business development, he stressed that it is expected to work on internationalization mainly through two projects: the formation of a business accelerator for which international investment will be sought and the support of the Ministry in trade missions that are being planned.
"Bringing smart investments, such as renowned companies to settle in the country and develop research and innovation, is an interest of the sector. For this it is necessary to work with the different delegations in the embassies. The United States is very important because there are referents and in Europe there are also companies that are a beacon for us", informed Loureiro.
The chancellor evaluated the meeting as a positive instance because of the relevance of technological services in Uruguay and because it is an industry that is very well valued and that brings benefits to the country of more than US$ 200 million in exports and 12,000 jobs, registering a zero unemployment rate.
"The very dynamics of government in building treaties and trade agreements means that services are always present. We will look to see how we can help lift barriers and promote the development of this industry through our diplomatic network," he confirmed.
In terms of agreements, Nin pointed out that there is still a vital aspect to resolve related to the mobility of people. "When people travel to other countries for work, they go with a tourist visa that after three months forces the worker to leave. We have to reach agreements so that these restrictions cease to exist," he said.
The IT sector in Uruguay currently employs around 12,000 people. Cuti has been in operation for 27 years and is made up of more than 350 companies that sell their products and services in 52 markets around the world.
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