Latin American Customs Brokerage Service Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 3.02 Billion |
| Market Size (2029) | USD 3.55 Billion |
| CAGR (2024 - 2029) | 3.31 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Latin American Customs Brokerage Service Market Analysis
The Latin America Customs Brokerage Market size is estimated at USD 3.02 billion in 2024, and is expected to reach USD 3.55 billion by 2029, growing at a CAGR of 3.31% during the forecast period (2024-2029).
Combating the pandemic required countries to expedite the clearance and release of medicines, diagnostics, kits, and equipment. Customs organizations in countries including Peru, Panama, Colombia, and Chile quickly suspended their deadlines and procedures to prevent goods from falling into legal abandonment.
- For shippers entering the Latin American market, friction at the border can be striking. The bureaucracy and the outdated clearance practices often result in lengthy customs delays. This has led to rampant corruption, with many customs officials known to ask for bribes to expedite the clearance of goods.
- The companies operating in the logistics sector across various end users are proactively adopting the latest technologies and software platforms to carry out customs processes like documentation and customs clearance efficiently.
- The rapid growth in last-mile deliveries and the seamless, fast, and end-to-end deliveries in the logistics market are some of the main drivers for the sudden growth in the number of companies offering specialized customs brokerage services as a part of their portfolios.
- The growing adoption of IoT-enabled connected devices and the increasing adoption of tech-driven logistics services drive the growth of the Latin American customs brokerage market. In addition, the development of the e-commerce industry and the increase in reverse logistics operations boost the market growth. However, the lack of manufacturers' control of logistics services hinders the market's growth.
- The COVID-19 pandemic has affected many aspects of international trade in Latin America, including supply chain management, manufacturing, importing, exporting, customs, and logistics. Before the pandemic, the electronic transmission of data prior to the arrival of goods to customs was rare in the region outside of express mail.
Latin American Customs Brokerage Service Market Trends
This section covers the major market trends shaping the Latin America Customs Brokerage Market according to our research experts:
Increase in Ocean Freight
Maritime logistics can be considered the backbone of the trade, as it transports around 84% of the volumes traded worldwide and almost 70% of the global trade value. Hence, ports play a significant role in ensuring the wide distribution of goods through supply chains, including those considered essential, such as food and medical supplies.
A significant amount of time is taken by in-country customs and customs brokers to sort goods. As a result, inventory builds up, and customs costs can be excessively high, leaving customers frustrated when materials often take too long to arrive.
Growing demand in retail sector
International e-commerce is helping lead the growth in the retail sector. Global cross-border e-commerce is projected to account for one-fifth of all online retail sales by 2022. Retailers are able to expand to new markets and reach new customers in developing regions like Latin America and Africa.
In Latin America, an increasing number of people have access to the internet due to mobile phones. This is driving the expansion of e-commerce in the region. Though Latin America is a smaller market than North America or Europe, online sales in this region are expected to grow by over 19% in the next five years.
Latin Americans are showing a willingness to shop internationally online. In 2022, nearly 65% of all Latin American consumers purchased from an overseas retailer.
Latin American Customs Brokerage Service Industry Overview
The market is fragmented, with the presence of many domestic companies. Some countries are open to trade with simple customs laws that are easy to understand and execute. Others use customs as a barrier to controlling trade and sources of revenue. They continually enforce new fees or penalties. The suppliers in the customs brokerage industry in Latin America are observing a high demand due to the exponential growth of industries such as chemicals, pharmaceuticals, FMCG, and packaging.
Latin American Customs Brokerage Service Market Leaders
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DHL
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Livingston International
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Expeditors International
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Grupo FH (Fernández Hinojosa y Cia.)
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Rago Group
*Disclaimer: Major Players sorted in no particular order
Latin American Customs Brokerage Service Market News
September 2022: DHL Supply Chain strengthens its presence in Mexico by acquiring pharmaceutical and healthcare logistics specialist NTA.
May 2022: Rhenus Group, one of the world's leading logistics service providers, has officially opened a branch in Bogota, Colombia. Rhenus presence in Colombia has been firmly established over the years through local network partnerships. The company has opened its own office in Bogota to serve its growing customer base and offer comprehensive air and ocean freight forwarding, project logistics solutions and in-house services.
Latin American Customs Brokerage Service Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS AND DYNAMICS
- 4.1 Market Overview (Current Scenario of Customs Brokerage Market in Latin America)
- 4.2 Government Regulations and Initiatives (Related to Logistics and Logistics Infrastructure Development and Its Impact)
- 4.3 Technological Trends (Global and Regional-level Insights)Impact of COVID-19 on the Market (Short-term and Long-term Effects on the Market)
- 4.4 Review of Customs Brokerage Costs as Percentage of Total Logistics Spend
- 4.5 Overview of Customs Pricing
- 4.6 Brief on Customs Brokerage-related Software (Key Software Providers and Trends in the Global and Regional Market)
- 4.7 Impact of COVID-19 on the Market
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4.8 Industry Attractiveness - Porter Five Forces
- 4.8.1 Bargaining Power of Suppliers
- 4.8.2 Bargaining Power of Consumers
- 4.8.3 Threat of New Entrants
- 4.8.4 Threat of Substitutes
- 4.8.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size by Value)
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5.1 Mode of Transport
- 5.1.1 Ocean
- 5.1.2 Air
- 5.1.3 Cross-border Land Transport
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5.2 End User
- 5.2.1 Automotive
- 5.2.2 Chemicals
- 5.2.3 FMCG (Fast-moving Consumer Goods - Includes Beauty and Personal Care, Soft Drinks, Home Care, etc.)
- 5.2.4 Retail (Hypermarkets, Supermarkets, Convenience Stores, and E-commerce Channels)
- 5.2.5 Fashion and Lifestyle (Apparel and Footwear)
- 5.2.6 Reefer (Fruits, Vegetables, Pharmaceuticals, Meat, Fish, and Seafood)
- 5.2.7 Technology (Consumer Electronics, Home Appliances)
- 5.2.8 Other End Users
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5.3 Country
- 5.3.1 Mexico
- 5.3.2 Brazil
- 5.3.3 Chile
- 5.3.4 Colombia
- 5.3.5 Panama
- 5.3.6 Rest of Latin America
6. COMPETITIVE LANDSCAPE
- 6.1 Overview (Market Concentration Overview, Major Players)
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6.2 Company Profiles
- 6.2.1 Grupo Ei
- 6.2.2 Livingston International
- 6.2.3 Farrow
- 6.2.4 Rota Brasil
- 6.2.5 Ibercondor Forwarding SA de CV
- 6.2.6 Elemar
- 6.2.7 Grupo Coex
- 6.2.8 Servicios de Aduanas Jiménez
- 6.2.9 Aduana Cordero
- 6.2.10 Deutsche Post DHL Group
- 6.2.11 DSV Panalpina AS
- 6.2.12 Expeditors International*
- *List Not Exhaustive
- 6.3 Other Companies (Key Information/Overview - List of Key Small to Medium-scale Players in Each Country)
7. FUTURE OF THE MARKET
8. APPENDIX
- 8.1 Key Border Ports in the Region (Country-level)
Latin American Customs Brokerage Service Industry Segmentation
Customs brokerage is the regulatory clearance of shipments and the delivery of goods across international borders for organizations and individuals. These brokers have expertise in the entry procedures, admissibility requirements, classification, valuation, and the rates of duty and applicable taxes and fees for imported merchandise.
The Latin American customs brokerage market is segmented by mode of transport (ocean, air, and cross-border land transport), end user (automotive, chemicals, FMCG, retail, fashion and lifestyle, technology, reefer, technology, and other end users), and country (Mexico, Brazil, Chile, Colombia, Panama, and Rest of Latin America). The report offers market size and forecasts for the Latin America Customs Brokerage market in value (USD billion) for all the above segments.
| Mode of Transport | Ocean |
| Air | |
| Cross-border Land Transport | |
| End User | Automotive |
| Chemicals | |
| FMCG (Fast-moving Consumer Goods - Includes Beauty and Personal Care, Soft Drinks, Home Care, etc.) | |
| Retail (Hypermarkets, Supermarkets, Convenience Stores, and E-commerce Channels) | |
| Fashion and Lifestyle (Apparel and Footwear) | |
| Reefer (Fruits, Vegetables, Pharmaceuticals, Meat, Fish, and Seafood) | |
| Technology (Consumer Electronics, Home Appliances) | |
| Other End Users | |
| Country | Mexico |
| Brazil | |
| Chile | |
| Colombia | |
| Panama | |
| Rest of Latin America |
Latin American Customs Brokerage Service Market Research FAQs
How big is the Latin America Customs Brokerage Market?
The Latin America Customs Brokerage Market size is expected to reach USD 3.02 billion in 2024 and grow at a CAGR of 3.31% to reach USD 3.55 billion by 2029.
What is the current Latin America Customs Brokerage Market size?
In 2024, the Latin America Customs Brokerage Market size is expected to reach USD 3.02 billion.
Who are the key players in Latin America Customs Brokerage Market?
DHL, Livingston International , Expeditors International, Grupo FH (Fernández Hinojosa y Cia.) and Rago Group are the major companies operating in the Latin America Customs Brokerage Market.
What years does this Latin America Customs Brokerage Market cover, and what was the market size in 2023?
In 2023, the Latin America Customs Brokerage Market size was estimated at USD 2.92 billion. The report covers the Latin America Customs Brokerage Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Latin America Customs Brokerage Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Customs Brokerage Service in Latin American Industry Report
Statistics for the 2024 Customs Brokerage Service in Latin American market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Customs Brokerage Service in Latin American analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
