Costa Rica is among the Latin America countries seeking new sources of suppliers for cars, and other items such as apparel, said the Canadian Manufacturing trade magazine.

A recent study by UPS on import activities by businesses in Latin America have opened a window on new opportunities for exporting countries.

Costa Rica, Colombia, and Peru were found to have the highest percentage of importers looking for new automotive suppliers, and their markets also showed the strongest tendency towards digital integration, said the study.

The purchasing behaviors of small and medium enterprises (SMEs) was the focus of the 2017 UPS Business Monitor Export Index Latin America (BMEI) report presented this month. Such businesses represent more than 90 percent of companies in Latin America.

The nine countries included in the survey include: Brazil, Chile, Colombia, Costa Rica, Dominican Republic, Mexico, Panama, Peru and the United States.

“The BMEI study provides importers and exporters with a deeper understanding of the purchasing dynamics of SMEs in Latin America,” said Jose Acosta, president of Public Affairs, UPS Americas Region. “The SME sector in the Americas is playing a significant role in the region’s economic growth and global trade.”

Canadian exporters see this as possible opportunities to find new buyers, with up to 47 per cent of Latin American importers looking for new international suppliers.

The study surveyed 2,170 importers from the industrial manufacturing, automotive, apparel and high-tech industries on how they chose the products they import. The main criteria identified was the quality of the products, which was found to be as important as price, according to the study.

The automotive industry was found to give weight to other considerations:

“The importance of logistics and shipping solutions provided by the vendor, as well as flexible payment terms, are two elements that must be considered by exporters to address these markets,” said Craig Rayner, vice-president of automotive, UPS Canada who was interview by Canadian Manufacturing magazine. “Canadian exporters in this sector would be well served to initiate trade activities in markets with existing trade agreements in place and, where possible, a local industry that is open to international competition.”

More than a quarter of businesses interviewed said they identify new suppliers through industry fairs and trade shows; and over one-fifth said trade missions were a source of new business contacts.

Importantly for exporters is that 21 percent of respondents said they expected potential suppliers to contact them, meaning proactive exporters will stand a better chance at being chosen if they offer quality products at competitive prices.

Finally, the U.S., Costa Rica and Chile are the countries whose apparel sectors are most in need of new suppliers, according to the study.