LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023.

LATIN AMERICA

CLEANING AND FACILITY MANAGEMENT INDUSTRY

MARKET STUDY

2022-2023

• TECHNOLOGIES AND ECONOMIC GROWTH OF CLEANING AND FACILITY MANAGEMENT IN LATIN AMERICA 2021-2022 • CLEANING AND FACILITY MANAGEMENT INDUSTRY OUTLOOK • CLEANING AND FACILITY MANAGEMENT RANKING • TRENDS DRIVING DIGITAL TRANSFORMATION IN FACILITY MANAGEMENT AND CLEANING INDUSTRY

© Latin Press, Inc., 2022 All rights reserved. No part of this work may be reproduced or incorporated into a computer system or transmitted in any form or by any means (electronic, mechanical, photocopying, recording or otherwise) without the prior written permission of the copyright holders. Infringement of such rights may constitute an intellectual property offense.

Original title: Latin America Cleaning and Facility Management Industry Market Study 2022-2023.

1st edition: November 2022 Research and writing: Andrea Ochoa Restrepo Editorial Direction: Duván Chaverra Agudelo Layout: Jhonnatan Martínez Avalo Graphics: Jhonnatan Martínez Avalo Photos: Canva

Table of contents Market research for the Cleaning and Facility Management sector in Latin America: how is it done? ........................................................................................................................ 5 Introduction............................................................................................................................... 6 Chapter 1: Technologies and economic growth of Cleaning and Facility Management in Latin America, 2021-2022. ........................................................................... 10 Top Cleaning Customer Segments in 2021....................................................................................................... 11 Top Cleaning brands in 2021............................................................................................................................. 12 Imports by region............................................................................................................................................... 14 Human talent outsourcing and economic growth projection in Latin America to 2021.................................... 15 Top Property Segments with Facility Management in 2021.............................................................................. 17 Value of Cleaning - HVAC - AV - Electronic Security imports, by country in 2021- 2022.................................. 21

Chapter 2: Cleaning Industry Outlook..................................................................................... 22 Mexico................................................................................................................................................................ 23 Central America and Caribbean......................................................................................................................... 25 Andean Region................................................................................................................................................... 26 Southern cone ................................................................................................................................................... 28

Facility Management Industry Outlook

Mexico................................................................................................................................................................ 30 Central America and Caribbean......................................................................................................................... 32 Andean Region................................................................................................................................................... 33 Southern cone.................................................................................................................................................... 36 Perspectives from consultants in the Cleaning and Facility Management Industry.................................... 38

Chapter 3: Top 50 Cleaning and Facility Management companies Ranking........................................49 Mexico ............................................................................................................................................................... 50 Central America ................................................................................................................................................ 52 Andean Region................................................................................................................................................... 54 Southern cone.................................................................................................................................................... 56

Top 50 Facility Management companies Ranking................................................................... 59 Mexico................................................................................................................................................................ 60 Central America................................................................................................................................................. 62 Andean Region................................................................................................................................................... 64 Southern cone.................................................................................................................................................... 66

Chapter 4: Cleaning and Facility Management Services growth in Latin America .................. 68 Cleaning market................................................................................................................................................. 69 Growth of the cleaning market and the real estate sector in Latin American countries as central axes of Facility Management.......................................................................................................................................... 72

Chapter 5: Rising freight and cargo rates, why and what are the forecasts? ......................... 86 High freight rates overshadow economic recovery........................................................................................... 87

Chapter 6: Trends driving digital transformation in Facility Management and the Cleaning Industry..................................................................................................................... 90 Other trendsetting solutions.............................................................................................................................. 92 Cleaning innovation in Facility Management..................................................................................................... 93 E-commerce, an opportunity for industries....................................................................................................... 93

Chapter 7: Latin American economies, a gradual recovery...................................................... 94 Volatility in financial markets.............................................................................................................................. 97 Impact on trade and value chains...................................................................................................................... 98 Balance of financial flows to the region............................................................................................................. 99 Evolution of GDP in Latin America................................................................................................................... 100 Future outlook.................................................................................................................................................. 102 Inflation expectations 2022-2023..................................................................................................................... 105 Country-by-country macroeconomic analysis.................................................................................................. 106

Index of References................................................................................................................................ 124

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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How is it done?

Latin Press, Inc., with the support of the digital portal Gerencia de Edificios and CleanTec Show Americas, introduce, for the first time, a unified market report on the Facility Management and Cleaning industries, in order to generate value for these sectors and enhance the industry growth.

Latin Press has been producing these reports in recent years, which were conceived as an initiative that has also been successfully published by other international economic media.

The report also includes the Top 50 Cleaning companies ranking, which is ranked based on the number of corresponding clients until 2021.

While the Top 50 Facility Management companies ranking took into account the number of square meters managed in the last year.

For the making of this ranking, a complete compilation of information on the companies that have participated in TecnoEdificios and CleanTec Show was made, in addition to a detailed follow-up by the Latin Press, Inc. journalistic team relying on expert consultants and professionals with extensive knowledge of

the industry, in order to consolidate a list of the most outstanding companies in Latin America, divided into four subregions (Mexico, Central America and the Caribbean, Andean Region and Southern Cone).

Methodology The figures published in the Facility Management ranking are obtained from information from the Encuestadatos Platform and from the websites of each company consulted in 2022. The position is given by the values of meters managed; the last places are occupied by those who do not have data corresponding to the number of meters managed and are ranked according to the number of properties managed. The companies that do not have either of the two data are placed in alphabetical order.

In the case of the Cleaning Ranking, the figures published are obtained similarly to those of the Facility.

The position is given by the numbers of customer accounts. The first places are occupied by those who provided data dated to 2021. The last places are occupied by those who do not have data corresponding to the number of clients or employees. Companies that do not have either data are ranked in alphabetical order.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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Introduction The world economic outlook continued to weaken during the last two years, the crisis has triggered a contraction in international trade, and in turn, has caused strong price fluctuations (high) as a consequence of volatility in the financial markets, which has translated into lower profitability and higher risk aversion.

For this reason, investment has been losing dynamism in the world despite liquidity and low interest rates. This is directly related to the current level of uncertainty.

These disparities and asymmetries affect not only the dynamics of short-term growth, but also the capacity to sustain medium-term growth.

According to the International Monetary Fund (IMF), “the group of advanced economies is the only one that in 2022 would resume the growth trajectory registered before the pandemic, and even surpass it. The other groups of countries will remain, in the medium term (until 2025), on a much lower growth trajectory than projected before the pandemic.”

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According to the current scenario, this industry also faces major obstacles, mainly due to the economic and social circumstances that several Latin American countries are going through.

However, as will be seen in this report, entrepreneurs have been able to sustain and move forward with their businesses, adapting to a new normality and facing the harsh measures imposed by governments to try to contain the pandemic as well as market volatility declining demand, the capital flows, economic deficits, financial instability and investment risks.

According to the Economic Commission for Latin America and the Caribbean, “the group of developed economies would have grown by 5.2% in 2021.

The United States is estimated to have grown by 6.0% and the eurozone by 5.2%, while Japan is estimated to have grown by 2.4% and the United Kingdom by around 6.8%.”

Among the group of emerging and developing economies that are estimated to have grown by 6.4% this year, China stands out, with growth of 8.0%, and

India, with 9.5%. On the other hand, some emerging subregions, such as the Middle East and North Africa (4.1% growth) and Sub-Saharan Africa (3.7%), were less dynamic.

On the other hand, the International Monetary Fund expects global growth to moderate from 5.9% in 2021 to 4.4% in 2022, largely due to a cut in the projections for the two largest economies.

Trade volume growth is projected to be accompanied by market-weighted GDP growth of 5.3% in 2021 and 4.1% in 2022 (instead of the 5.1% and 3.8% previously projected). GDP growth has been driven by a deter-

mined monetary and fiscal policy and by the resumption of economic activity in countries that have been able to distribute COVID-19 vaccines on a large scale.

Growth dynamics in 2021 were led by domestic demand. Private consumption was a key driver and contributed about half of second-quarter growth.

The commission stated that “there was a notable rebound in investment, in a context of recovering demand and a higher level of construction activity.

Although exports grew significantly, the net external sector (exports minus imports) made a negative contribution to output growth, due to the sharp increase in imports.”

VOLUME OF WORLD MERCHANDISE TRADE 2015Q1 - 2022Q4 Index, 2015=100 125 120 115 110 105 100 95 2015Q1 2015Q2 2015Q3 2015Q4 2016Q1 2016Q2 2016Q3 2016Q4 2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3 2018Q4 2019Q1 2019Q2 2019Q3 2019Q4 2020Q1 2020Q2 2020Q3 2020Q4 2021Q1 2021Q2 2021Q3 2021Q4 2022Q1 2022Q2 2022Q3 2022Q4

90

Merchandise trade volume Current forecast

Trend 2011 - 2019 Previous forecast

Source: WTO and UNCTAD for trade volume data; WTO for forecasts.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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It is worth noting that the Market Study of Cleaning and Facility Management Entrepreneurs in Latin America 2022-2023 analyzes how this economic outlook would impact the industry, country by country.

In addition, it addresses the key industry information, such as the import figures carried out by the companies in each country, the most used equipment brands in the region, the segments with the highest investment in Cleaning and Facility Management services, including figures of sales of several of the companies, along with detailed contact information that make part of the 2022 ranking of the Cleaning sector and Facility Management industry that are also found in this report.

Readers will also get a complete overview of the Cleaning and Facility Management companies in Latin America, as well as comments and recommendations on technology trends, investment opportunities, risks and challenges for the sector.

The new report brings with it a deeper analysis of

the current situation and future prospects of a key industry for the region. Additionally, for this 20222023, the market study addresses new chapters: “Insights from Entrepreneurs and Experts.”

“Growth of Cleaning and Facility Management Services in Latin America.”

“Rise in freight and cargo prices: reasons and forecasts Trends driving digital transformation in Facility Management and the Cleaning sector.”

“Latin American economies, a gradual recovery.”

In addition, the document develops other key aspects of the industry raised from the market growth during the last year, originated by technological trends, the main segments served in relation to Cleaning and Facility Management services, market evolution, top brands used during the last year, main segments of properties with Facility Management and Cleaning clients in 2021, growth according to dependent and independent variables and outsourcing of human talent and economic growth projection in Latin America to 2021.

TARGET AUDIENCE • Businessmen of the Cleaning and Facility Management industry.

• Manufacturers and distributors of Cleaning and Facility Management equipment.

• Market analysts and researchers.

• Governmental and financial institutions.

• Investors.

• End users with projects that include Cleaning and Facility Management services.

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Main cleaning customer segments in 2021-2022

4.1% 4.4% 7.9% 9.9%

25.6%

ALL LATIN AMERICA

10.1% 22.9% 15.2%

CORPORATE COMMERCIAL ALIMENTARY HOTELS RESIDENTIAL AND REAL ESTATE HOSPITALS INDUSTRIAL TRANSPORT

Main property segments with Facility Management in 2021-2022

8.3%

20.0%

13.7%

11.4%

ALL LATIN AMERICA

14.4%

17.7%

COMMERCIAL CORPORATE HOSPITALS HOTELS INDUSTRIAL RESIDENTIAL EDUCATIONAL

14.4%

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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CHAPTER 1

MAIN CLEANING CUSTOMER SEGMENTS IN 2021 The main segments of Cleaning clients during 2021 showed a homogeneous sample in the region of Mexico and Central America, where the food and corporate sectors have a greater demand and predominate over the construction and hotel sectors.

In the case of the Andean Region, the behavior is much more heterogeneous, the sample shows that the corporate segment has higher demand and therefore supply.

On the Southern Cone side, the percentages are distributed with a similar growth, as is the case of the corporate and commercial segments, which are the ones that receive the most attention. The other four segments are also the same in percentage, but the growth in 2021 corresponds to approximately one third of projects or services offered compared to the other segments (with greater offer).

The growth of the corporate sector in the region may be due to presence in offices, which makes evident the need to implement Cleaning services to keep spaces disinfected and safe.

MAIN CLEANING CUSTOMER SEGMENTS IN 2021-2022 MEXICO AND CENTRAL AMERICA 8.3% 8.3%

ANDEAN REGION

18.7%

9.5%

4.8%

33.3%

14.3%

13.0% 18.7%

14.3%

16.0% 17.0%

ALIMENTARY CORPORATE COMMERCIAL HOSPITALS INDUSTRIAL CONSTRUCTION HOTELS

SOUTHERN CONE

12.5% 25.0% 12.5%

23.8%

Source: Survey conducted on an online platform among the entrepreneurs of the Top 50 Cleaning Companies in Latin America between May 20 and July 31, 2022.

CORPORATE COMMERCIAL ALIMENTARY RESIDENTIAL AND REAL ESTATE HOTELS HOSPITALS

ALL LATIN AMERICA 4.1% 4.4% 7.9%

25.6%

9.9%

10.1%

12.5% 25.0% 12.5%

22.9% 15.2%

CORPORATE COMMERCIAL ALIMENTARY HOTELS RESIDENTIAL AND REAL ESTATE TRANSPORT

CORPORATE COMMERCIAL ALIMENTARY HOTELS RESIDENTIAL AND REAL ESTATE HOSPITALS INDUSTRIAL TRANSPORT

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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MOST USED BRANDS BY THE CLEANING COMPANIES IN LATIN AMERICA 2021-2022 4.30% 5.35%

TOP VACUUM CLEANERS BRANDS

6.10% 33.43

6.50%

KÄRCHER COMAC NILFISK CLARKE MASISA TENNANT *OTHER VIPER POWER-CLEAN

7.50% 8.70% 13.04%

15.08%

* CATANESE, NSS

5.55% 6.00% 6.09%

22.00%

8.09% 9.00%

20.18%

10.09% 13.00%

4.67%

TOP STEAM CLEANER BRANDS

7.00% 7.90% 35.0%

9.60%

16.00% 20.0%

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KÄRCHER NILFISK TECNOVAP AMERIVAP COMAC DELCO TRUPER

TOP SHINING / POLISHING BRANDS KÄRCHER NILFISK OTHER CLARKE COMAC MASISA POWR-FLITE TENNANT ADVANCE

MOST USED BRANDS BY THE CLEANING COMPANIES IN LATIN AMERICA 2021-2022 TOP SWEEPERS / SCRUBBERS BRANDS

5.0% 25.0%

15.0%

KÄRCHER COMAC TENNANT NILFISK OTHER VIPER

17.0% 20.0%

* CATENESE, NSS

18.0%

TOP HYDRO AND VACUOLAR BRANDS

7.14% 7.14%

14.29% 50.0%

KÄRCHER ANNOVI REVERBERI NILFISK TENNANT NSS

21.43%

4.0% 4.0% 6.0% 8.0%

37.0%

16.0%

25.0%

TOP SPRINKLERS AND FOGGERS BRANDS GUARANY VECTORFOG MAKITA MOSMATIC STERA MIST STIHL BYOPLANET

Source: Survey conducted on an online platform among the entrepreneurs of the Top 50 Cleaning Companies in Latin America between May 20 and July 31, 2022.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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CLEANING EQUIPMENT IMPORTS 2021-2022

4.0%

28.0%

MEXICO AND CENTRAL AMERICA

35.0%

EEUU GERMANY CHINA MEXICO

33.0%

11.6%

ANDEAN REGION

14.0% 50.0%

24.2%

23.1%

SOUTHERN CONE 48.3%

28.5%

Source: Descartes Datamyne with official information.

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CHINA EEUU BRAZIL

CHINA EEUU GERMANY BRAZIL

OUTSOURCING OF HUMAN TALENT AND PROJECTION OF ECONOMIC GROWTH IN LATIN AMERICA 2021-2022 While it is true that companies seek to reduce costs and raise their competitiveness levels of some of their processes, looking for external professional staff to facilitate the execution of activities and being agents outside the organization the costs generated are lower than internal resources. For example, a large majority of companies do not implement this practice (as seen in the distribution bars of the Cleaning sector) since the percentage corresponding to this practice is below 30%.

Regarding the economic growth of the Cleaning sector during 2021, it should be noted that a large part of this is due to the increase in demand, which creates an upward trend in the supply of products and services. Additionally, the increase in investment stands out, which, although it is not at proportional levels, it is necessary to respond with the increase in supply and demand originated for the sector.

Percentage of corporate customers in Latin America Cleaning Companies 80 % 70 % 60 % 50 % 40 % 30 % 20 % 10 % 0%

30 to 40%

80 to 90%

From 90 to 100%

Corporate Clients Note: The graph shows the percentage of companies that indicated how many percent of their portfolio was focused on corporate clients.

Outsourcing or subcontracting of collaborators in the sector Percentage of companies that outsource 90 % 80 % 70 % 60 % 50 % 40 % 30 % 20 % 10 % 0%

No

Yes

Few times

Frequency

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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Approximate percentage of employees outsourced / subcontracted as of December 2021 Cleaning Companies 80 % 70 % 60 % 50 % 40 % 30 % 20 % 10 % 0% From 10 to 20%

20 to 30%

Not applicable

Note: The graph shows the percentage of companies that indicated how many percent of their employees are outsourced.

Economic growth associated with the pandemic Cleaning Companies 45,0 % 40,0 % 35,0 % 30,0 % 25,0 % 20,0 % 15,0 % 10,0 % 5,0 % 0%

Increase in demand

Increased offer of services and products

There was no effect on benefits

Increase in investment

Economic growth expectations for 2022 and 2025 Cleaning Companies 45,0 % 40,0 % 35,0 % 30,0 % 25,0 % 20,0 % 15,0 % 10,0 % 5,0 % 0% Increase revenue by more than 30%

Growth above 30%

Increase revenue by more than 20%

Growth less than 10%

Source: Survey conducted on an online platform among entrepreneurs of the Top 50 Cleaning Companies in Latin America between May 20 and July 31, 2022.

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MAIN PROPERTY SEGMENTS WITH FACILITY MANAGEMENT IN 2022 In most regions, the commercial and corporate segments are the most served by companies dedicated to Facility Management, although it should be noted that the Mexico and Central America Region does not project as much growth.

It is worth noting that some of those that have been experiencing the greatest growth in the educational sector, such is the case of the Andean Region and Mexico and Central America.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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MAIN PROPERTY SEGMENTS WITH FACILITY MANAGEMENT IN 2021-2022 MEXICO AND CENTRAL AMERICA

ANDEAN REGION

6.5% 6.5%

11.1% 29.0%

9.7%

18.1%

12.5% 15.3%

12.9%

13.9% 19.4%

16.1%

13.9%

COMMERCIAL HOSPITALS INDUSTRIAL RESIDENTIAL EDUCATIONAL CORPORATE HOTELS

15.3%

CORPORATE COMMERCIAL EDUCATION INDUSTRIAL RESIDENTIAL HOSPITALS HOTELS

BRAZIL AND SOUTHERN CONE

ALL LATIN AMERICA 8.3%

14.3%

20.0% 28.6%

13.7%

14.3% 11.4%

17.7%

14.3% 14.4%

28.6%

CORPORATE HOTELS INDUSTRIAL RESIDENTIAL HOSPITALS

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Survey conducted on an online platform among the entrepreneurs of the Top 50 Facility Management Companies in Latin America between May 20 and July 31, 2022.

14.4%

COMMERCIAL CORPORATE HOSPITALS HOTELS INDUSTRIAL RESIDENTIAL EDUCATIONAL

ESTUDIO DE MERCADO INDUSTRIA DE SEÑALIZACIÓN DIGITAL EN LATINOAMÉRICA 2022

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GROWTH ACCORDING TO DEPENDENT AND INDEPENDENT VARIABLES Outsourced Collaborators in Facility Management services in Latin America Facility Management Companies 50 % 45 % 40 % 35 % 30 % 25 % 20 % 15 % 10 % 5% 0%

Between 10 and 50

Between 50 and 100

More than 200

Does not apply

Number of outsourced collaborators Percentage of Latin American companies in relation to square meters (Mts2) managed as of December 31. 2021 Facility Management Companies 35 % 30 % 25 % 20 % 15 % 10 % 5% 0% Less than 500 (Mts2)

Between 500 and 1000 (Mts2)

Between 1000 and 3000 (Mts2)

Between 3000 and 5000 (Mts2)

More than 50000 (Mts2)

Number of outsourced collaborators Growth expectations for 2022 Facility Management Companies 60 % 50 % 40 % 30 % 20 % 10 % 0% Between 5 and 10%

20%

Greater than 20%

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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GROWTH ACCORDING TO DEPENDENT AND INDEPENDENT VARIABLES Perspectives of the office market in the main cities of Latin America

0

NA

Guadalajara

9.90 %

Buenos Aires

1.000.000

Mexico City

2.000.000

Latin America

Mts2 3.000.000

21.7 %

27.6 %

Indicadores Clave Country

City

Total Stock (Class A and B)

Glass of vacancy (%)

Net absorption

Class A Average Rent (USD/m2/month)

Mexico

Ciudad de México

7.385.121

23.1

-53.262

23.9

Brazil

San Pablo

4.035.201

24.9

-41.188

22.5

Colombia

Bogota

2.706.533

17.5

-79.288

16.2

Peru

Lima

2.660.050

25.4

-10.005

15.8

Argentina

Buenos Aires

2.020.284

16.3

-28.424

28.6

Brazil

Rio de Janeiro

1.762.479

39.3

24.626

17.7

Costa Rica

San Jose

1.367.980

19.0

-

21.3

Puerto Rico

San Juan

401.525

11.0

-

17.9

Uruguay

Montevideo

323.599

7.6

9.392

27.0

Paraguay

Asuncion

287.188

18.0

-

13.5

Bolivia

Santa Cruz de la Sierra

161.830

-

-

13.5

Source: Taken from multiple sources considered reliable. Including the media and information collected in EncuestaDatos from May 20 to July 30. 2022.

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Import value of HVAC - A/V - Electronic Security by country in 2021-2022 ELECTRONIC SECURITY

HVAC ARGENTINA (FOB)

780,198,585

ARGENTINA (FOB)

262,114,442

CHILE (CIF)

336,332,739

CHILE (CIF)

274,288,575

COLOMBIA (FOB)

250,637,157

COLOMBIA (FOB)

202,900,520

COSTA RICA (CIF)

53,409,362

COSTA RICA (CIF)

27,011,977

ECUADOR (FOB)

ECUADOR (FOB)

30,945

17,392

MEXICO (FOB)

4,637,738,486

MEXICO (FOB)

2,865,842,118

PANAMA (CIF)

69,817,896

PANAMA (CIF)

34,696,446

PERU (FOB)

PERU (FOB)

39,082.00

URUGUAY (CIF)

URUGUAY (CIF)

81,872,532

14,582 32,009,543

A/V ARGENTINA (FOB)

3,563,542,233

CHILE (CIF)

1,824,860,648

COLOMBIA (FOB)

1,700,600,864

COSTA RICA (CIF)

210,616,088

ECUADOR (FOB)

67,411

MEXICO (FOB)

10,188,260,318

PANAMA (CIF)

147,449,457

PERU (FOB)

97,386

URUGUAY (CIF)

251,322,462

In thousands of USD. Source: Descartes Datamyne with official information.

Although it is true that the Mexican market is the one with the greatest weight in imports of equipment from different categories used in property management, it is worth noting that the Argentine market is among the strongest, despite the persistent economic crisis that affects the country, added to the coronavirus pandemic.

Likewise, it is also to be recognized that, although imports practically stopped in the first months of 2020 in several Latin American countries due to

border closures, the gradual reactivation of international trade began in May of that year, and has maintained to date, which has created new production opportunities. However, supply shortages have slowed growth somewhat and hampered imports in some countries.

It is important to point out that these graphs represent the items of consumer equipment used in these industries, which will be mentioned in greater detail on page 128 - 130 of this report.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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CHAPTER 2 22

CLEANING AND FACILITY MANAGEMENT ENTREPRENEURS IN LATIN AMERICA: OUTLOOK

CLEANING Mexico y Central America

Grupo Prolim Carlos Soto General Manager

• Describe the services provided by your company: Currently, Grupo PROLIM is the corporate cleaning services and supply.

With more than 41 years of professional experience, constant updating and innovation in quality processes, we stand out for our vision and avant-garde philosophy within our business line, which has positioned us for many years in cleaning, fumigation, high glass and gardening.

Servicios Integrales Ramper S.A. de C.V Arturo Ramírez General Manager

• Describe the services provided by your company: Deodorization system, room scenting, feminine hygienic waste management, paint booths, industrial plants, robot cleaning, among others.

• In which cities/countries do you have participation?

Coahuila, San Luis, Moretos, Puebla, Veracruz, Tabasco.

• In which cities/countries do you have participation?

Mexico, national coverage.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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THE BUSINESSMEN PERSPECTIVES

Multicleanrs

Lava Tap S.A. DE C.V

• Describe the services your company provides: Over 20 years of experience, dedicated to long-term relationships and hard-hitting solutions. Services offered include: Disinfection of corporate spaces, offices, warehouses and more, cleaning for corporate and offices, cleaning for self-service stores and commercial spaces, cleaning for high rise glass, landscaping and fumigation.

• Describe the services your company provides: At LAVA TAP, we know that a company is made up of the people who work in it, that is why we strive to maintain high standards of quality and efficiency in our staff.

Héctor Gómez General Manager

• In which cities/countries do you have participation?

Mexico City, Queretaro.

• How many employees do you have?

250.

• How do you think the industry benefited after companies and homes gave more importance to professional cleaning? he demand for disinfection and cleaning products and services increased.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 1.993.118.93

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Mauricio Chico Director

Training and qualification at all levels is a constant activity, the responsibility we have towards our clients demands it, making sure that they always receive a professional service.

• How many direct employees do you currently have?

5.500 • Share with us an approximate dollar sales figure for contracts executed in 2021. $ USD 3,500,000 • What associations do you belong to and what certifications do you have?

BSCAI, ISSA, GBAC, CBSE. • How do you think the industry benefited after businesses and households placed greater importance on professional cleaning?

Increased supply of disinfection services and products.

Central America

Panamerican Cleaning Clean Depot Alejandro De León Group Fernando Plazas General Manager Panama

• Describe the services your company provides: On a daily basis, we clean more than 120,000 m2 of interior areas and 180,000 m2 of parking and outdoor areas in shopping centers and Offices.

Commercial Manager Guatemala • In which cities/countries do you have participation?

Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica, Panama and Peru.

• How many direct employees do you currently have?

50.

• In which cities/countries do they have a presence?

DC Albrook Mall Exterior Entrance below the Super 99, Panama City.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 2,500,000.

• How many employees does it have?

200.

• What associations do you belong to and what certifications do you have?

ISAA

• Share with us an approximate figure of sales in dollars for contracts executed in 2021. $3,000,000 USD.

• How do you think the industry benefited after businesses and households placed greater importance on professional cleaning?

Increased demand. Increased number of people willing to invest in this category for their well-being and safety.

• What associations does it belong to and with what certifications?

ISSA and Chamber of Commerce Industries and Agriculture from Panama.

• How do you think the industry benefited after companies and households gave greater importance to professional cleaning?

There was an increase in the supply of services and disinfection products.

• What expectations of economic growth do now for 2022 and the near future (to 2025)?

Growth of over 30% is expected.

Have higher demand.

• What economic growth expectations do you have now for 2022 and the near future (to 2025)?

Increase income by more than 20%. Increased the number of people willing to invest in this category for their well-being and security.

• Share with us details about a customer or contract to highlight during 2021: Walmart with the supply of professional equipment for polishing the floors of its warehouses at the Central American level.

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THE BUSINESSMEN PERSPECTIVES

Andean Region

Casalimpia S.A.

Fenaseo

• How many direct employees do you currently have?

16.120

• Describe the services provided by your company: We are a non-profit organization that aggregates companies providing cleaning and janitorial services and related industries in Colombia, with the purpose of promoting the strengthening of the guild and contributing to its growth.

Pablo Daniel Escobar Giraldo Innovation and Transformation Manager

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 76,600,000.

• What associations do you belong to and what certifications do you have?

Fenaseo, ISSA. ISO 9001, ISO 14001, ISO 45001, RUC, Zero Waste.

• Share with us details about a client or contract to highlight during 2021: As a result of the COVID-19 pandemic, and due to a strategy of specialization in the hospital market segment, this sector had great growth and became entrenched as a revenue leader in the company.

• How do you think the industry benefited after businesses and households placed greater importance on professional cleaning?

Increased investment. Companies gave more importance to cleaning and disinfection, allocating more budget to this industry.

• What economic growth expectations do you have now for 2022 and the near future (to 2025)?

For 2022 we expect to have a growth close to 25%, and with great expectations in 2025 to a growth above 70%.

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María del pilar Rodríguez Guzmán Executive director

• Share with us some general information about your company: In what year was the company founded?

The Federation was created in July 1984.

• Share with us some general information about your company: Where is your main office located? Do you have offices in other cities or countries?

Our main office is located in Bogota.

• Share with us some general information about your company: What associations do you belong to and what certifications do you have?

It belongs to ISSA and WFFSC. • Share with us an approximate sales figure from contracts executed in 2021. $ USD 2 billion.

Ofilimpia

Martin Loor Paredes General Manager

• Share with us an approximate sales figure from contracts executed in 2021.

USD 780,000.

• How do you think the industry benefited after companies and households gave more importance to professional cleaning?

There was no effect on profits. It was a passing moment. When it stabilized, we returned to areas where cleaning is sought for price and performance rather than for quality and service.

• What associations do you belong to and what certifications do you have?

ISSA, ITEL, GBAC various certifications for cleaning services, disinfection, hospital waste management, among others.

• What economic growth expectations do you have for 2022 and the near future (to 2025)?

Less than 10%. We hope to stabilize, we are going through very conflictive moments that stop the intention to buy and to generate new bids.

• How many direct employees do you currently have?

246.

• Share with us details about a client or contract to highlight during 2021: Within the entertainment area we have a chain of movie theaters, from the management they have always prioritized the customer among their multiple attributes and this derives in that they have become a reference for cleaning and disinfection protocols in their sector, we generated these protocols that were taken as a standard since 2020 and continues active until now, with its different versions. This also allows us to propose new projects for the benefit of all parties.

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THE BUSINESSMEN PERSPECTIVES

Southern Cone Liservitips / Zinner

Facility Service S.A

• Describe the services your company provides: LISERVITIPS CIA. LTDA is a company that provides cleaning and maintenance services, with a qualified and experienced team.

• Describe the services provided by your company: Specialized cleaning service according to the item and areas of application: offices, consortiums, construction sites, hospital centers, industrial plants, glass at height, among others.

Felipe Miranda Manager Ecuador

• How many direct employees do you currently have?

250.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 2,500,000.

• What associations do you belong to and what certifications do you have?

Waste Management Certification, Post COVID disinfection certification and management of industrial floor cleaning techniques.

• How do you think the industry benefited after companies and households placed greater importance on professional cleaning?

There was no effect on profits. Although there was an increase in the sale of disinfectants, the contraction of the economy meant that our customers’ budgets were reduced.

• What are your expectations for economic growth now for 2022 and the near future (to 2025)?

Above 30 %. At Zinner we have made very large investments to grow regionally.

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Verónica Scotti Commercial Director Argentina

• How many direct employees do you currently have?

1.130.

• Share with us an approximate sales figure from contracts executed in 2021.

USD 7,900,000.

• What associations do you belong to and what certifications do you have?

ISO 9001-2015.

ISO 14001-2015.

• Share with us details about a client or contract to highlight during 2021: Integrated logistics solutions company.

THE BUSINESSMEN PERSPECTIVES

CLEANING AND FACILITY MANAGEMENT Sodexo

Juan Carlos Cuartas Mejía Senior Director of Corporate Segment at Sodexo SAS • Describe the services your company provides: With 412,000 employees, Sodexo provides catering, facilities management, employee benefits and personal household services to 100 million consumers daily in 55 countries. We believe in the difference a day makes. That’s why we pride ourselves on focusing on people’s essential needs: we see them as key to improving quality of life. We know that by focusing on tangible, real, concrete improvements, day in and day out, for millions of people, we have a huge impact not only on individuals, but also on society and the planet.

• Please share with us an approximate dollar sales from contracts executed in 2021.

USD $134,847.54.

The services that have generated an impact within the sector have been marked by the biosecurity protocols for both Facility Management and Cleaning, where maintenance and air quality adjustments have been presented. At the same time, infrastructure management has been carried out in order to reduce respiratory diseases and improve productivity.

• Share with us the details about a client or contract to highlight during 2021: Mono-services, lifting and integration of services locally and internationally within 3 to 6 months have led to budget savings.

• In which cities/countries are you located?

We are located in more than 55 countries.

• How do you think the industry benefited due to companies and homes giving more importance to professional cleaning?

Cleaning services increased biosecurity processes and the hybrid model allowed us to adapt to trends. Additionally, there is a digitalization of services, demand has increased and there is a central monitoring of processes. Likewise, there is a demand in the markets that gives continuity to the business.

• What economic growth expectations do you have now for 2022 and the near future (to 2025)?

At the country level, we estimate a growth of 13% to 15% through economic reactivation, client retention and the arrival of new clients.

By 2025, the trend is to maintain our position through hybrid models, the services of Clinics and Hospitals.

Sodexo has a Distribution Center in Bogota with logistic plants that allow us to mitigate the negative effects of inflation and scarcity of supplies, since we project an anticipated demand in order to reach agreements with clients.

• What are the technologies to be implemented today?

In terms of collaboration management, timely requirement closure, service capacity and information availability. Take into account the implementation of new technologies and the life cycle of assets.

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FACILITY MANAGEMENT Mexico Cortina Bienes Raíces Ernesto F Su Aguilar Managing Partner

• Tell us some general information about your company: What year was the company founded?

Cortina was founded in 1970, 52 years ago.

• Share with us some general information about your company: Where is your main office located? Do you have offices in other cities or countries?

Our office is located in Mexico City, and we have clients all over the country.

• Please indicate the number of square meters (Mts2) managed by your company as of December 31, 2021.

4,000,000 Mts2.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 2,500,000 in professional fees.

• Compártanos los detalles sobre un cliente o contrato para destacar durante 2021: Plaza Carso.

• What will change in the property management industry?

Due to the effects of the pandemic, many thousands of square meters have been vacated in large cities, which has reduced the income of property owners, who are pushing for savings and the reduction or elimination of services. It is therefore necessary to generate savings derived from vacancy, such as energy, shutdown of some equipment (% of elevators, etc) efficiency that will result in lower costs.

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• According to the above, what message would you like to give to potential clients about the importance of hiring a professional Facility Management company for their properties?

Professional companies ensure that the value of the property is preserved and does not deteriorate, applying time-tested solutions and programs.

Inmuebles Centro Histórico Puebla Felipe de Jesús Gómez Compean Director

• Share with us some general information about your company: In what year was the company founded?

1.990.

• Share with us some general information about your company: Where is your main office located? Do you have offices in other cities or countries?

Historical Center.

• Describe the services your company provides: We rent space for businesses.

Todo para CDB S.A. de C.V

Jorge Ángel Martínez Balderas Director of Operations • Tell us some general information about your company: What year was the company founded?

1998.

• Share with us some general information about your company: Where is your main office located? Do you have offices in other cities or countries?

Company dedicated to offer services and products in the area of maintenance, cleaning and hygiene with offices in Naucalpan, State of Mexico.

• Share with us some general information about your company: What associations do you belong to and what certifications do you have?

The company is affiliated to societies such as ISSA and IFMA.

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THE BUSINESSMEN PERSPECTIVES

Central America Mantenimiento Adesa Jorge Luis Monzón industrial e Manager institucional integrado Guatemala S.A de C.V • Share with us some general information about your Jesús De la Rosa Director

• Tell us some general information about your company: In what year was the company founded?

2001.

• Share with us some general information about your company: Where is your main office located? Do you have offices in other cities or countries?

Morelia Michoacán.

• Share with us some general information about your company: What associations do you belong to and what certifications do you have?

Coparmex.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 1.000.000.

company: In what year was the company founded?

2020.

• In which cities/countries do you have participation?

Guatemala (Headquarters) and presence in all Central America (El Salvador, Honduras, Nicaragua, Costa Rica).

• Share with us some general information about your company: What associations do you belong to and what certifications do you have?

IFMA. • Please indicate the number of square meters (Mts2) managed by your company as of December 31, 2021.

10000 Mts2.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 25.000.000.

• What will change in the property management industry?

Increased use of technology for control and management • Based on the above, what message would you like to give to potential clients about the importance of hiring a professional Facility Management company for their properties?

We are a company at the forefront of technology for property management so that they can provide a first class service and with real-time control of the status of their facilities.

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Andean region S.O.S. Soluciones Inmobiliarias S.A.S Juan Carlos Vargas Manager Colombia

• Share with us some general information about your company: In what year was the company founded?

2003.

• In which cities/countries do you have participation?

Envigado, Monteria, Uraba.

• Please indicate the number of square meters (Mts2) managed by your company as of December 31, 2021.

45,000 Mts2.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 2.500.000 • Share with us the details of a client or contract to highlight during 2021: Maintenance of logistics centers in Monteria, Bucaramanga and Santa Marta.

• What are your growth expectations for 2022?

More than 20%.

• What will change in the property management industry?

The way of managing and it would change all those who are not professionalized in the area of property management.

• According to the above, what message would you like to give to potential clients about the importance of hiring a professional Facility Management company for their properties?

As companies we would be the best alternative when it comes to preserving the property owners’ assets.

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THE BUSINESSMEN PERSPECTIVES

Summar Procesos S.A.S José Ariel Galvis Anaya Director of Operations

• Share with us some general information about your company: In what year was the company founded?

1991.

• Share with us details on a client or contract to highlight during 2021: Consolidation of services in the Food & Beverage sector.

• In which cities/countries do you have participation?

Main office Cali, with offices in Bogota, Medellin, Barranquilla, Bucaramanga, Pasto, Buenaventura, Palmira, Buga.

• What will change in the property management industry?

The contracting times, which must be for longer periods in order to be able to make investments at competitive prices.

• Share with us some general information about your company: What associations do you belong to and what certifications do you have?

Fenaseo, Issa and we have ISO 9001-2015 certifications. ISO 2800, RUC with the Colombian Security Council.

• Please indicate the number of square meters (Mts2) managed by your company as of December 31, 2021.

5.500 Mts2.

• Compártanos una cifra aproximada de ventas en dólares por contratos atendidos en 2021: $ USD 50.000.000.

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• According to the above, what message would you like to give to potential clients about the importance of hiring a professional Facility Management company for their properties?

To invite the sector to leave the management of their properties in expert hands, guaranteeing an adequate transfer of risk.

Nova Casa

Luis Jesús Ochoa Manager • Share with us some general information about your company: In what year was the company founded?

2015.

• In which cities/countries do you have participation?

Main office: Bogota.

Tensoactivos S.G S.A.S Betty Montoya I&D Director

• Share with us some general information about your company: In what year was the company founded?

Year 2002.

• Share with us details about a client or contract to highlight during 2021: Residential complex on the beachfront with multiple services, including tourist housing.

• Share with us some general information about your company: Where is your main office located? Do you have offices in other cities or countries?

Palmira - Valle del Cauca. It does not have any other offices.

• What are your growth expectations for 2022?

National expansion and reactivation of the international operation.

• Palmira - Valle del Cauca. It does not have any other offices.

Taxes.

• What will change in the property management industry?

Budgeting (based on diagnosis and work plan). Improve Management Reporting schemes. Generate control of Manager’s actions.

• According to the above, what message would you like to give to potential clients about the importance of hiring a professional Facility Management company for their properties?

Better service with the right products and even better cost.costo.

• According to the above, what message would you like to give to potential clients about the importance of hiring a professional Facility Management company for their properties?

If you want your property to be well cared for and presented, generating an appreciation that benefits you, it is necessary to hire a company specialized in this field.

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THE BUSINESSMEN PERSPECTIVES

Southern Cone Ingjasa

Sergio Olivos Maintenance Manager Chile • Share with us some general information about your company: In what year was the company founded?

2017.

• Please indicate the number of square meters (Mts2) managed by your company as of December 31, 2021.

1.000 Mts2.

• Share with us an approximate sales figure from contracts executed in 2021. $ USD 25,000,000.

• What will change in the property management industry?

Response times.

• Based on the above, what message would you like to give to potential clients about the importance of hiring a professional Facility Management company for their properties?

Cost - Quality.

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EXPERT/ CONSULTANT ANALYSIS

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“IT IS IMPORTANT TO STRENGTHEN THE CREATIVITY AND INNOVATION DEVELOPMENT, WE MUST PERMANENTLY SEEK THAT OUR COLLABORATORS REMAIN IN A CREATIVE POSITION.”

Carlos Soto Grupo Prolim Mexico

• In a more general and optimistic scenario, how has the economic recovery affected the improvement of processes in the industry?

The economic recovery has allowed us to introduce with our clients innovations such as the use of disinfectant materials with nanotechnology and sustainability, the use of high-tech machinery for the disinfection of crowded spaces, the use of high quality protection and safety equipment for our collaborators and the use of intelligent devices for continuous communication between teams and with clients, in addition to the constant monitoring of services and ensuring the quality of the work delivered.

• What have been the most significant changes, both in the processes implemented and in the protocols?

The changes with the greatest impact have to do with improvements in implementation, with much attention to the automation of procedures and standardization of processes related to Hygiene, Disinfection and Cleaning for our clients. Always taking care to respect the indications and rules by the authorities of our country and putting as main priority the health and welfare of our staff and our customers.

• In terms of impact indicators, how have the effects on the supply chain and the impact on equipment imports been made visible?

The impact has been evidenced in a greater use of technologies to ensure the quality of our interventions and a greater and more effective approach to customers to provide training, mentoring and tutorials on hygiene, disinfection and cleaning.

In the import of equipment, we have made very competitive strategic and commercial alliances that allow us to acquire and put at the service of our customers the high-end and high quality products that we import.

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EXPERT CONSULTANTS • Another relevant aspect has been the generation of capabilities for human talent. How is the supply of personnel in the midst of the economic and social situation that many Latin American countries are going through?

The use of electronic means has allowed us to cover the whole country and to supply the necessary labor positions with great efficiency. It is important that the Human Resources Departments manage to develop a very agile and highly effective recruitment program in the recruitment, selection and channeling of labor profiles from high-tech web applications.

-Preventive and corrective cleaning.

-Gardening and landscape architecture.

-Fumigation and pest control.

-High glass and solar panel cleaning.

-Quality Management System in cleaning, gardening, fumigation and high glass maintenance procedures.

-Use of machinery and cleaning materials under safety and hygiene standards and codes.

-Quality seminars for suppliers, updating in competencies and skills for supervision, design, implementation and evaluation of work agendas and implementation plans for specialized and complex services.

• Why is important the continuous training?

The competitive training of people who are dedicated to the work of cleaning, so that employees are involved each year in an Annual Training and Human Development Program.

This should be designed with an innovative methodology in the maintenance field and with the firm intention of positively impacting their personal and professional needs.

In conclusion, we must be, for our customers, not only suppliers and business partners, we must also be their allies and mentors in their conscious growth on sustainability, disinfection and good practices in labor, health and social responsibility.

• What are the biggest challenges for the adoption of new technologies in the processes and in the development of competencies within the industry?

The challenges I see have to do with strengthening organizations specialized in theoretical-technical and procedural consulting and training for anyone interested in the following areas of maintenance:

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“CLIMATE CHANGE IS PROBABLY THE BIGGEST THREAT FACING SUSTAINABLE DEVELOPMENT.”

David Alejandro Silva de León Founding Partner and Managing Director of Wisersilen Company Group, specialist in human resources, training, certification, tax and business aspects.

• What have been the fiscal strategies that have improved the economic and environmental sustainability of the cleaning companies?

Nowadays, in Mexico, the fiscal framework is becoming stricter and more limited so that it generates a great differential in efficiency in the companies. There are small deficiencies to choose only one line, I consider that there is not a particular one. However, in Mexico the fiscal scheme is already very limited, and in order to seek economic sustainability there must be deeper changes and not only physical changes so that there is a differential in the companies.

It is important to highlight 2 aspects of the context of the last 5 years: A) The impact it had on the demand generated by COVID-19.

B) The Outsourcing reform had great implications in several laws such as the Labor Law, VAT Law, Income Tax Law, IMSS Law, INFONAVIT Law and CFF. Therefore, I conclude that the best fiscal strategy today is to “be up-to-date” and in order with the fiscal obligations that allow companies to focus on their business development and allow continuity within a strict fiscal framework.

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EXPERT CONSULTANTS • What are those regulations that have a very significant effect within the industry?

In Mexico and the rest of Latin America the trend is focused on tax control, and in Mexico we are undergoing a major labor reform and many tax changes focused on increasing tax collection, as I mentioned before.

There are 3 essential agents: 1. Fiscal Aspects 2. Regulatory Aspects regarding REPSE. 3. Aspects of specialization of the sector such as Certification of Labor Competencies, Each of these has a considerable impact on the cleaning services sector.

The entire reform made us focus on: 1. taking care of a strict fiscal regularization and compliance obligations that overshadowed the most obvious: specialization. The issue that sustained the most important argument of all these changes is the search for specialization in the companies.

2. The training of our human capital gives us an advantage, for the company it results in demonstrating specialization and for the worker there are many. Therefore, the challenge for companies is now to push for specialization.

• How do you think environmental policy measures contribute to business sustainability?

Climate change is probably the biggest threat to sustainable development. Climate change itself, the adaptation of the people, countries and economic sectors most affected by these changes, and mitigation measures to reduce global warming are leading to a transition to low-carbon economies.

Such a transition has far-reaching consequences for economic and social development, for production and consumption patterns, naturally, for employment, productivity and income.

The effects of climate change will alter the employment structure; new jobs and new job families will emerge, others will disappear or become unsustainable, and companies will have to find new ways of organizing work and production. Therefore, the adaptability of companies to detect these necessary adjustments and reformulate themselves in a short time will make them cost-saving, and position them as pioneers in the market.

Companies in the Cleaning sector may not be the benchmark for innovation; however, the environment

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focused on caring for natural resources opens a window of opportunity to propose new production and consumption models that can be innovative, such as: water-saving processes, recycling and reuse of waste, development and application of more energy-saving technologies that are less harmful to the environment.

In addition to this, we must not lose sight of the consumer’s side, currently the trend is that he will identify more with socially responsible companies, those that in addition to meeting the need contribute to a social-environmental cause.

• Now, with the risk that climate change implies, how do you think it will affect the distribution of income for companies?

I believe that the effect on the distribution of income will be more on the redistribution of the population at a global level. In Mexico, although we have suffered the effects of climate change and the sectors that are affected are those that operate in the primary sector.

The policy brief analyzes the potential magnitude of the effects of climate change on the income of the population in the agricultural sector in Mexico.

The analysis considers the impact of temperature and rainfall variations on the income of rural households and, consequently, on poverty and inequality in Mexico.

Undoubtedly, cleaning companies will also be affected, but like most companies in terms of logistics, distribution and service provision.

• How can macroeconomic fiscal and monetary policies help mitigate the risks to the industry?

In order to understand the risks it is important to contextualize the economic recovery in Mexico, to know what is happening at different speeds, of the 20 economic sectors, only 4 have fully recovered.

- As of the first quarter of 2022, Mexico has not restored the production levels it had before the pandemic and is still far from recovering the growth path observed between 2012 and 2020.

- The economic recovery process is occurring at different speeds: one third of the economy has recovered, another third is in the process of recovery, and the last third still presents problems and lags.

- The group of recovered sectors represents 30% of the national GDP, while the group of recovering sectors contributes 35.5%, and the lagging sectors represent 30.3%.

“WE NEED LEADERS WILLING TO MAKE STRATEGIC CHANGES TO LEAD CLEANING COMPANIES TO ANOTHER LEVEL”.

Berenice Campos

Director, The Cleaning Company President of the Committee of Businesswomen of the Chamber of Commerce and Industry of El Salvador

• Share with us your perception on the performance of the Cleaning and Facility Management industry Latin American COVID-19 has evidenced the need to implement good cleaning and disinfection good cleaning and disinfection processes, but from my point of view many my point of view many companies are not clear of the proper processes, since for example, they continue to apply disinfectants without having been previously cleaned, which are errors that should not occur when executing proper cleaning and disinfection processes.

In addition, cleaning continues to be done with products of dubious quality, since in most countries there is no quality framework that defines adequate cleaning and disinfection processes.

• What adjustments have industry players had to make in order to serve their customers and even attract new ones? new ones?

Many have invested in digitizing their processes, others in a digital transformation. in a digital transformation.

An adjustment in processes and budget restructuring.

• In terms of both economic and environmental sustainability, how do you think the industry is evolving?

From my point of view, the need to use processes with

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EXPERT CONSULTANTS the least the need to use processes with the least possible impact on the impact on the environment, but I have also seen that it has a lot to do with the culture of the that it has a lot to do with the culture of each country culture of each country, since countries such as Costa Rica have been years of working on this issue in schools, and the whole and the whole country has a very responsible mentality regarding the environment.

• What trends and solutions are becoming more and more effective? effective and why do they differ within the cleaning industry? cleaning industry?

Again, the topic of digital transformation and innovation are some of the topics that I am working a lot on and it is an extremely necessary step. There is a barrier in many cleaning companies, because they are family businesses in some cases of several generations that are resisting change and in other cases because of very limited budgets.

This is due to inadequate cost management that does not allow them to invest in applications that can improve the flow of operations.

• In terms of leadership, what are the main challenges and opportunities in times of change? challenges and opportunities in times of change?

We need leaders willing to make strategic changes to take cleaning companies to the next level. Innovati-

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ve leadership, a lot of design thinking, among other areas.

• What should an innovative product bet on in terms of environmental sustainability?

I think the most important thing is that if you have an innovative product and you have the evidence of its effectiveness and its minimal impact on the environment is to communicate it properly.

I know first hand of excellent products and many are not made known and have excellent advantages.

• Regarding the Facility Management sector, what is the importance of projects to strengthen social responsibility and organizational culture?

Facility management is an impressive area that should strengthen the soft skills of all employees, not only in the facilities area, but all companies in general, taking care of the mental health of workers, which will have a positive impact on the lives of workers considering everything experienced since Covid-19.

• What are your expectations for 2022?

That companies continue working on digital transformation, that company leaders develop innovative leadership, making use of design thinking, that we continue working for the welfare of each of our companies, everything indicates that we are on that path and I am at your service to support us together to move forward.

“THE RISKS IN THE PROCESSES ALWAYS START FROM CRITERIA SOCIAL, ECONOMIC AND ENVIRONMENTAL, WHICH MUST ENSURE BUSINESS CONTINUITY.”

Fernando Avilés Ochoa

Operational Excellence Leader, World Trade Center, Mexico City

• What process changes are showing the greatest sustainability risks for customers?

Risks in processes are always based on social, economic and environmental criteria, which must ensure business continuity. In addition, it should become a priority for businessmen, since it is a factor that contributes to increasing the good image of the entities.

• In terms of investment, how do you consider that the end-user has increased the acquisition of new equipment or services?

As a result of the pandemic, the issues of service and purchase of equipment have been seriously affected, since businessmen are currently seeking to make the operation as efficient as possible, reducing the OPEX and CAPEX budget.

The service area is always more affected with the reduction and downsizing of personnel.

• What can generate a sustainability risk for the end user?

Generally speaking, sustainability risks can be defined as environmental, social or corporate governance factors that can cause a potential or actual negative material impact on the value of an investment.

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EXPERT CONSULTANTS • Have these new services strengthened profitability and ensured continuity of operations? What would be the most efficient way to achieve this?

Yes, all the socio-economic aspects of each entity should be considered, always based on the criteria with which each entity or region of the country operates, if the company complies with its internal processes it will be the most efficient way to achieve this.

• Among the pending social challenges, which ones make it difficult for cleaning companies to solve environmental problems?

All cleaning companies, like any other economic entity, base their purchases on what is good, nice and cheap.

If they manage to have suppliers that comply with the-

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se aspects, they would be complying with the famous 80 - 20.

According to the above, the customer and end user will be complying with quality issues and with what the standard dictates in terms of products.

• How is the end user understanding the dynamics of the labor market?

Speaking of services, the user and supplier understand that staff turnover is something unstoppable due to low salaries and the changing social challenge that the country presents. Competition is continuous, but if the supplier manages to stabilize staff turnover, he will be covering the company’s operation in an optimal way.

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CHAPTER 3

CLEANING COMPANIES 2022

RANKING BY REGION

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Mexico Nº

COMPANY

SEGMENT

REPRESENTATIVE

NO. ACCOUNTS 2021*

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

7,000 (Global Figure)

40 (MEXICO)

7,525

385,460,000 (D) (Modelled)

3,500,000

EULEN MÉXICO

Alimentary, corporate, commerce, hospital, pharmaceutical, industrial.

Jocelyn Vega +52 55 5002 7000 jvegav@eulen.com www.eulen.com/mx

2

LAVATAP

Alimentary, corporate, commerce, hospital, transportation, residential, hotel.

Mauricio Chico +52 55 5635 5400 mauricio@lavatap.com www.lavatap.com

750

NA

5,500

3

WANNA JARDINERÍA, LIMPIEZA Y FUMIGACIÓN

Commercial, residential, industrial

Emilio Gómez +52 81 8340 9417 ventas@wanna.com.mx www.wanna.com.mx

478

NA

N/D

LINSA

Alimentary, corporate, commerce, hospital, residential.

José Antonio Heredia +52 22 2298 0708 antonio.h@linsa.com.mx www.linsa.com.mx

395

395

** 450

GRUPO PROLIM

Commerce, corporate, hospital, hotel, residential, transportation, industrial.

Carlos Soto +52 55 5564 4011 carlos.soto@prolim.mx www.prolim.mx

291

316

3.987

2,500,000

STESSO

Alimentary, corporate, commerce, hospital, transportation, residential, hotel, industrial.

Mauricio Anzaldo +52 55 5543 1269 mauricio.anzaldo@stesso.com.mx www.stesso.com.mx

282

282

**1,603

30,920,000 (D) (Modelled)

SERVICEMASTER

Alimentary, corporate, commerce, hospital, transportation, residential, educational.

Enrique Miranda +52 55 5605 6075 emc@servicemastermexico.com www.servicemastermexico.com

154

NA

2,500

PULKRO

Corporativo, comercio, residencial.

Carlos Vázquez 52 81 8374 5960 vazquez@pulkro.com.mx www.pulkro.com.mx

150

150

1,000

1

4

5

6

7

8

50

380,270,000 (D)

Mexico Nº

COMPANY

SEGMENT

REPRESENTATIVE

NO. ACCOUNTS 2021*

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

PRISMA

Alimentary, corporate, commerce, hospital, residential.

Fernando Carrillo 52 56 3867 7730 contacto@limpiezaprisma.com www.limpiezaprisma.com

150

NA

**400

10

SERVICIOS INTEGRALES RAMPER

Alimentary, corporate, commerce, hospital, transport, hotel, industrial, cosmetics.

Emilio Castillo Castelán 52 222 708 7106 contacto@siramper.com.mx www.siramper.com.mx

126

NA

**946

4,720,000 (D)

11

SODEXO ON SITE SERVICES

Alimentary, corporate, commerce, industrial.

Florencia Paola Abadiano +52 55 1102 3300 florencia.abadiano@sodexo.com www.mx.sodexo.com

35

N/A (35 in 2019)

412

80,480,000 (D)

12

MULTICLEANERS

Corporate, commerce, tall glass.

Héctor Gómez +52 55 2789 3100 hector.gomez@multicleaners.com.mx www.multicleaners.com.mx

31

N/A (380 in 2019)

250

785,834,808

13

BL FACILITY SERVICES

Corporate, hospital, outdoor cleaning.

Héctor Eduardo Pérez-López +52 66 7172 0592 ventas@bldm.mx www.bldm.mx

N/A

N/A (34 in 2019)

1,5

4,090,000 (D)

14

SERVICIOS OMNI

Corporate, commerce, hospital.

Mauricio Robles 52 5675 46 34 m.robleso@serviciosomni.com.mx www.serviciosomni.com.mx

N/A

N/A (30 in 2019)

N/A

15

CLEANMADE

Corporate, commerce, hospital, residential.

María Jesús Goicoechea +52 55 5521 3939 josune@cleanmade.com.mx www.cleanmade.com.mx

N/A

N/A (112 in 2019)

N/A

9

1,150,000 (D)

The position is given by customer account numbers. The last places are occupied by those who do not have data corresponding to the number of clients or employees. The companies that do not have any of the two data are ranked in alphabetical order.

Note: The published figures are obtained from information from the Survey Platform (2021 and 2022 data), the websites of each company consulted in 2022.

(D) Figures obtained through the D&B Hoovers platform. Official figures based on financial reports originated by some operating companies. Data consulted until October 16, 2022.

(Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

51

Central America Nº

COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

NO. ACCOUNTS 2021*

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

SOLUSERSA

Alimentary, corporate, commerce, hospital, residential, hotel, industrial.

Anner Mejia +502 238 8000 direccion@grupomisol.com www.solusersa.com

GUATEMALA

1,500

360

6,500

7,096,000 (D)

THE CLEANING COMPANY

Alimentary, corporate, commerce, residential, hotel.

Berenice Campos +503 2273 8412 berenice@thecleaningcompany.net www.thecleaningcompany.net

EL SALVADOR

525

525

17

45,000,000

UNITED FACILITY SERVICES

Alimentary, corporate, commerce, hospital, transportation, hotel, real estate.

Rebeca Arguedas +506 2588 8850 rarguedas@united.cr www.united.cr

COSTA RICA

505

ND

750

4

THE PEOPLE COMPANY

Alimentary, corporate, commerce, residential, transportation.

Ana Ruth Román +502 2307 4700 anaruthroman@thepeoplecompany.net www.thepeoplecompany.net

GUATEMALA

290

266

7,500 (overall figure)

45,000,000

5

ECOWAVE

Corporate, trade, hotel.

Víctor Reategui +507 392 2196 servicio@ecowavelatam.com www.ecowavelatam.com

PANAMA

54

78

1,630,000 (D) (Modelled)

1

2

3

52

N/D

Central America Nº

6

COMPANY

SEGMENT

Alimentary, PANAMERICAN corporate, trade, CLEANING GROUP hotel.

COUNTRY

NO. ACCOUNTS 2021*

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

Fernando Plazas +507 396 6653 fplazas@pcgpanama.com www.pcgpanama.com

PANAMA

40

35

200

3,000,000

Alejandro Valverde +506 4100 3333 avalverde@grupovcr.com www.grupovcr.net

COSTA RICA

15

15

1,050

11

430

REPRESENTATIVE

7

SELIME - GRUPO V

Alimentary, corporate, commerce, hospital, residential, hotel.

8

SERVICIOS MÚLTIPLES HONDURAS

Trade, hospitable.

Marvin Guevara +504 9697 8176 contacto@serviciosmultipleshn.com www.serviciosmultipleshn.com

HONDURAS

SERVICON GRUPO 10

Alimentary, corporate, commerce, hospital, residential, hotel, industrial.

María Antonieta Muñoz +502 2201 4444 mariantton@servicon.com.gt www.grupo10.com.gt

GUATEMALA

SINCO

Alimentary, corporate, commerce, hospital, residential, hotel.

9

10

N/A

N/A

Andrés Toledo atoledo@sinco.com.gt www.sinco.com.gt

GUATEMALA

N/A

N/A (50 in 2019)

N/A (290 en 2019)

N/A

5,930,000 (D) (Modelled)

N/A

The position is given by customer account numbers. The last places are occupied by those who do not have data corresponding to the number of clients or employees. The companies that do not have any of the two data are ranked in alphabetical order.

Note: The published figures are obtained from information from the Survey Platform (2021 and 2022 data), the websites of each company consulted in 2022.

(D) Figures obtained through the D&B Hoovers platform. Official figures based on financial reports originated by some operating companies. Data consulted until October 16, 2022.

(Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

53

Andean Region Nº

1

2

3

4

5

6

7

54

REPRESENTATIVE

COUNTRY

NO. ACCOUNTS 2021*

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

CASA LIMPIA

Alimentary, corporate, commerce, hospital, transportation, residential, hotel.

Pablo Daniel Escobar Giraldo 320 271 9424 pablodaniel.escobar@casalimpia.com.co www.casalimpia.co

COLOMBIA

1,950

1,759

16,120

76,000,000

RAPIASEO

Corporate, hospital, residential, industrial, educational.

José Luis Osorio +57 2 660 9798 gerencia@rapiaseo.com www.rapiaseo.com

COLOMBIA

1,110

ND

1,110

7,940,000 (D)

GRUPO OL

Alimentary, corporate, commerce, transportation, educational.

José Antonio Quispe +51 1 472 7396 jquispe@ol.com.pe www.ol.com.pe

PERU

360

15

8,297

LIMA S.A.S

Alimentary, corporate, commerce, hospital, residential, transportation.

María Helena Giraldo +57 4 444 12 90 mariaelena.giraldo@lima.com.co www.lima.com.co

COLOMBIA

130

130

92

82,090(D) (Modelled)

LISERVITIPS CIA LTDA

Alimentary, corporate, commerce, hospital, hotel, residential, transportation.

Felipe Miranda +593 2 244 7160 fmiranda@liservitips.com www.liservitips.com

ECUADOR

120

400

250

2,500,000

SILSA

Corporate, hospital, residential, educational, outdoor, swimming pools.

Orue Vasquez 51 6144600 JORUE@SILSA.COM.PE www.silsa.com.pe

PERU

120

SERBEN

Alimentary, corporate, commerce, hospital, residential, hotel, industrial.

Marcelo Johnny Benjamín +591 3 342 0079 gerencia@serben.com.bo www.serben.com.bo

BOLIVIA

100

COMPANY

SEGMENT

N/D

N/D

8,000

280

Andean Region Nº

COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

NO. ACCOUNTS 2021*

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

8

VEEP S.A.

Alimentary, corporate, commerce, hospital, residential, hotel, industrial.

9

THE PEOPLE COMPANY

Alimentary, corporate, commerce, residential, hotel.

Gabriel Sánchez +57 1 432 5070 gabrielsanchez@thepeoplecompany.net www.thepeoplecompany.net

COLOMBIA

67

70

1,200

5,000,000

OFILIMPIA

Corporate, commercial, residential.

Martín Loor +593 9 8614 4890 martinloor@ofilimpia.com www.ofilimpia.com

ECUADOR

12

13

246

780,000

11

SODEXO COLOMBIA

Alimentary, corporate, commerce, hospital, industrial.

Juan Mariño +57 1 742 1499 juan.marino@sodexo.com www.co.sodexo.com

COLOMBIA

N/D

147,300,000 (D)

12

SODEXO PERÚ

Alimentary, corporate, commerce, hospital, industrial.

Diana Calderón +51 1 705 2500 www.pe.sodexo.com

N/D

189.300.000 (D)

13

JM MARTINEZ, S.A.

Alimentary, corporate, hospital, outdoor cleaning.

Nely Alexandra Pachon +57 1 257 6622 mercadeo@jmmartinez.com.co www.jmmartinez.com.co

COLOMBIA

ALL CLEAN ECUADOR

Alimentary, corporate, commerce, hospital, residential, pharmaceutical, industrial.

Gabriel Montalvo +593 2 290 0098 gmontalvo@allcleanecuador.com www.allcleanecuador.com

ECUADOR

ASEO YA

Corporate, residential, automobiles.

Remy C 57 316 409 7034 info@aseoya.com www.aseoya.com

COLOMBIA

10

14

15

Valeria Escobar +593 9 9605 8637 vescobar@veepsa.com www.veepsa.com

ECUADOR

89

PERU

N/D

N/D

N/D

N/D

N/D

N/D

N/A (138 in 2019)

N/A (100 in 2019)

N/A (20 in 2019)

N/A (157 in 2019)

N/A (15 in 2019)

80

N/D

8,030,000 (D)

N/D

N/D

104,480(D) (Modelled)

The position is given by customer account numbers. The last places are occupied by those who do not have data corresponding to the number of clients or employees. The companies that do not have any of the two data are ranked in alphabetical order.

Note: The published figures are obtained from information from the Survey Platform (2021 and 2022 data), the websites of each company consulted in 2022.

(D) Figures obtained through the D&B Hoovers platform. Official figures based on financial reports originated by some operating companies. Data consulted until October 16, 2022.

(Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

55

Southern Cone Nº

COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

NO. ACCOUNTS 2021*

CHILE

1,000

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

10

17,000 a 22,000

1

CLEANOUT

Industrial.

Felipe Watson +56 9 3292 2323 ventas@cleanout.cl www.cleanout.cl

2

SANTA CAROLINA LTDA

Corporate, commerce, hospital, hotel, residential.

Juan Ulloa +56 5 8247 2199 juan.ulloa@santacarolinaltda.cl www.santacarolinaltda.cl

CHILE

250

3

FACILITY SERVICE S.A.

Alimentary, corporate, commerce, hospital, hotel, transportation.

Verónica Scotti +54 81 0220 4080 comercial@facilityservice.com www.facilityservice.com

ARGENTINA

108

106

702

7,900,000

4

ELARG

Alimentary, corporate, commerce, hospital, hotel, industrial.

Diego López +54 11 4209 3000 diegolopez@elarg.com.ar www.elarg.com.ar

ARGENTINA

68

68

5

19,870,000 (D)

5

CLEAN EXPERT

Corporate, commerce, transportation, residential.

Pablo Cuevas 562 242 688 62 www.cleanexpert.cl

56

CHILE

N/A

N/A

N/A

N/A (30 in 2019)

70

N/A

Southern Cone Nº

6

7

8

9

10

COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

NO. ACCOUNTS 2021*

NO. ACCOUNTS 2020**

NO. EMPLOYEES 2021**

INCOME $ USD 2021

N/A

N/A (400 in 2019)

9,300

18,830,000 (D) (Modelled)

EULEN CHILE

Corporativo, comercio, transporte, inmobiliario, hotelero, educativo.

María Pilar Yáñez +56 2 2685 9500 myanez@eulen.com www.eulen.com/cl

CHILE

SERVIMAULE

Alimentos, corporativo, comercio, hospitalario, residencial, hotelero.

Alejandra Arrau +56 7 5231 1320 alejandra.arrau@servimaule.com www.servimaule.com

CHILE

SODEXO CHILE

Alimentos, corporativo, comercio, hospitalario, transporte, residencial, hotelero, cárceles.

Claudia Jara +56 2 2810 0100 claudia.jara@sodexo.com www.sodexo.cl

CHILE

PURECLEAN

Corporativo, comercio, hospitalario, residencial.

Sebastián Ortuzar +56 2 2734 8413 sortuzar@pureclean.cl www.pureclean.cl

CHILE

LIMPIEZA INTEGRAL CHILE

Corporativo, industrial, educativo.

Evelyn Carrasco +56 2 2982 6867 ecarrasco@limpiezaintegralchile.cl www.limpiezaintegralchile.cl

CHILE

N/A

N/A

N/A

N/A

N/A (65 in 2019)

N/A (220 in 2019)

N/A (60 in 2019)

N/A (1,300 in 2019)

N/A

N/A

6,990,000 (D) (Modelled)

410,760,000 (D) (Modelled)

N/A

N/A

9,590,000 (D) (Modelled)

The position is given by customer account numbers. The last places are occupied by those who do not have data corresponding to the number of clients or employees. The companies that do not have any of the two data are ranked in alphabetical order.

Note: The published figures are obtained from information from the Survey Platform (2021 and 2022 data), the websites of each company consulted in 2022.

(D) Figures obtained through the D&B Hoovers platform. Official figures based on financial reports originated by some operating companies. Data consulted until October 16, 2022.

(Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

57

58

FACILITY MANAGEMENT COMPANIES 2022 RANKING BY REGION

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

59

Mexico COMPANY

SEGMENT

REPRESENTATIVE

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

780 million

2

$71,070,000 (D)

PLANIGRUPO

Commercial

Karime Garza +52 55 9177 0870 kgarza@planigrupo.com www.planigrupo.com.mx

JLL

Corporate, hotel, industrial, commercial, residential

Javier Prieto +52 55 5980 8749 javier.prieto@am.jll.com www.jll.com.mx

427 million (Global Figure)

37,500 (Global Figure)

$19,37 billion (D) (Global Figure)

CBRE

Corporate, hotel, industrial, commercial

Gabriel Díaz Infante +52 55 4165 7418 gabriel.diazinfante@cbre.com www.cbre.com.mx

213 million (Global Figure)

NA

$27,75 billion (D) (Global Figure)

4

COLLIERS

Corporate, industrial, logistics, mixed use, commercial, hotel

Mariana Tapia +52 55 5209 3616 mariana.tapia@colliers.com www.colliers.com/es-mx

200 Million (Global Figure)

70,000*

$4,09 billion (D) (Global Figure)

5

CUSHMAN & WAKEFIELD

corporate, commercial

Enrique Lome +52 55 8525 1400 enrique.lome@cushwake.com www.cushmanwakefield.com/es-mx

80 million

NA

$12,53 billion (D) (Global Figure)

6

GRUPO CORTINA

Corporate, commercial, residential, industrial

Ernesto Su Aguilar +52 55 5540 6983 esu@cortina.com.mx www.cortina.com.mx

4 millions

NA

$2,500,000 (E)

7

GGI - GIGANTE GRUPO INMOBILIARIO

commercial, parking lots

Sergio Montero +52 55 5269 8000 smontero@gigante.com.mx www.ggi.com.mx

3.7 million

128

NA

Commercial

Alberto Farías Solorio +52 55 4170 1400 asolorio@thorurbana.com www.thorurbana.com

1.5 million

NA

1,910,000 (D) (Modelled)

1

2

3

8

60

THOR URBANA

Mexico COMPANY

9

10

SEGMENT

REPRESENTATIVE

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

1 Million (Global figure)

1,154 (Overall figure)

$432,000,000 (E)

HINES

Corporate, residential, commercial, industrial

Ricardo González +52 55 5242 8809 ricardo.gonzalez@hines.com www.hines.com/locations/mexico

GESTIÓN RED

Corporate, commercial, residential

Cynthia Chapa Serna +52 81 8335 4242 info@gestionred.com www.gestionred.com

362

23

NA

120

800

NA

11

AC BIENES RAÍCES

Residential

Miriam Villegas +52 55 1163 0100 mvillegas@acbienesraices.com.mx www.acbienesraices.com.mx

12

IR SERVICIOS PROFESIONALES

Corporate, commercial, residential

Gerardo Iturbide +52 55 5524 4646 gerardo.r@ir-sp.com www.ir-sp.com

ND

NA

121,420 (D) (Modelled)

ADPROCON

Residential

Jorge Cámara +52 55 5812 6400 jorge.camara@adprocon.com www.adprocon.com

NA

260

2,480,000 (D) (Modelled)

14

ISS FACILITY SERVICES

Corporate, industrial, hospital

Jorge Rivera Franco 55 5764 6666 jorge_rivefra@hotmail.com www.mx.issworld.com

NA

40,500 (Global Figure)

NA

15

EULEN

Corporate, industrial, hotel, hospital

María Alejandra Leal +52 55 5002 7000 maleal@eulen.com www.eulen.com/mx

NA

300

385,460,000 (D) (Modelled)

13

The position is given by the values of managed meters, the last places are occupied by those who do not have data corresponding to the number of managed meters and it is ranked according to the number of managed properties. *: corresponds to the figures provided by the companies dated 2020.

Note: The published figures are obtained from information from the Survey Data Platform, the websites of each company were consulted in 2022. The companies that do not have any of the two data are ranked in alphabetical order.

(E): Correspond to the income data given by the companies.

(D): Revenue data taken from the Dun & Brandstreet platform (Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

61

Central America COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

PANAMA

427 Million (Global figure)

37,500 (Overall figure)

$19,37 billion (E) (Global Figure)

JLL

Corporate, hotel, industrial, commercial, residential

Victor Espino 507 6983 3986 victor.espino@am.jll.com www.latinamerica.jll.com

CBRE

Corporate, hotel, industrial, commercial

Luz Molina 506 8833 0447 luz.molina@cbre.com www.cbre.com/latin-america-region

COSTA RICA / PANAMA

213 Million (Global Figure)

NA

$27,75 billion (D) (Global Figure)

COLLIERS

Corporate, industrial, logistics, mixed use, commercial, hotel

Pablo Fernández 506 2257 3000 pablo.fernandez@colliers.com www.colliers.com/es-cr

COSTA RICA / PANAMA

200 Million (Global Figure)

70,000 (Global Figure) *

$4,09 billion (D) (Global Figure)

4

HINES

Corporate, residential, commercial, industrial

Alejandro Hernández 507 2820 7375 ahernandez@hines.com www.hines.com/locations/panama

PANAMA

1 Million (Global figure)

1,154 (Overall figure)

$90,3 billion (E) (Global Figure)

5

ACCURO PRIME

Corporate, commercial, residential

Olga Lucía Parra 507 6677 4609 oparra@accuroprime.com www.accuroprime.com

PANAMA

250,000 *

NA

NA

1

2

3

62

Central America COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

6

PROPERTY MANAGEMENT SOLUTIONS

Residential

Itzui Pui 507 204 5674 infopms@pmsolutionspanama.com www.pmsolutionspanama.com

PANAMA

NA

85 *

2,460,000 (D) (Modelled)

7

H & H FACILITY MANAGEMENT

Corporate, commercial, residential

Gianela Caballero 507 393-2720 info@hhfacilitymanagement.com www.hhfacilitymanagement.com

PANAMA

NA

eleven *

NA

8

HÁBITAT ADMINISTRACIÓN DE CONDOMINIOS

Corporate, commercial, residential

Óscar Céspedes 506 2228 1323 info@condominios.co.cr www.condominios.co.cr

COSTA RICA

NA

NA

303,320 (D) (Modelled)

9

SMART PROPERTY

commercial, residential

Shirley Jiménez 506 4700 4092 shirley@smartpropertycr.com www.smartpropertycr.com

COSTA RICA

NA

NA

374,990 (D) (Modelled)

PROPERTY MANAGEMENT INC

commercial, residential

Joanna Hidalgo +506 2220 3717 jhidalgo@pmicr.com www.costaricapropertymanagementinc.com

COSTA RICA

NA

NA

NA

10

The position is given by the values of managed meters, the last places are occupied by those who do not have data corresponding to the number of managed meters and it is ranked according to the number of managed properties. *: corresponds to the figures provided by the companies dated 2020.

Note: The published figures are obtained from information from the Survey Data Platform, the websites of each company were consulted in 2022. The companies that do not have any of the two data are ranked in alphabetical order.

(E): Correspond to the income data given by the companies.

(D): Revenue data taken from the Dun & Brandstreet platform (Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

63

Andean Region COMPANY

SEGMENT

REPRESENTATIVE Julián Martínez +57 300 555 1271 +51 952 900 343 julian.martinez@am.jll.com ernesto.saldarriaga@am.jll.com www.jll.com.co www.jll.pe

COUNTRY

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

COLOMBIA / PERU

427 Million

38

$19,37 billion (EN) (Global Figure)

ANDEAN REGION

213 Million (Global Figure)

NA

$27,75 billion (D) (Global Figure)

COLOMBIA / PERU

200 Million (Global Figure)

70,000 *Global Figure

$4,09 billion (D) (Global Figure)

1

JLL

Corporativo, hotelero, industrial, comercial, residencial

2

CBRE

Corporativo, hotelero, industrial, comercial

Eduardo Borbon +52 33 3809 6134 eduardo.borbon@cbre.com www.cbre.com/latin-america-region

COLLIERS

Corporativo, industrial, logística, usos mixtos, comercial, hotelero

Alexander Salazar +57 1 594 2333 +51 1 443 4343 diana.matiz@colliers.com alexander.salazar@colliersrems.com.pe www.colliers.com/es-co www.colliers.com/es-pe

4

BINSWANGER

Corporativo, industrial

Bruno Quiroz La Torre +51 1 719 7414 blatorre@binswanger.com www.binswanger.com.pe

PERU

3 Millions

1

6,840,000 (D)

5

GRUPO VALCAS

Corporativo, comercial, residencial, industrial

Alejandro Pichardo 3157524343 contacto@grupovalcas.co www.grupovalcas.co

COLOMBIA / PANAMA

3 Millions

100

NA

ACCURO

Corporativo, comercial, residencial

Olga Lucía Parra +57 316 831 1791 oparra@accuro.com.co www.accuro.com.co

COLOMBIA

2.5 Million

NA

1,440,000 (D)

TGESTIONA

Corporativo, comercial, educativo

Luis Vivar +51 1 311 6600 lvivar@tgestiona.com.pe www.tgestiona.com.pe

PERU

2. 1 Million

2

59,150,000 (D)

ACEIS

Corporativo, industrial, residencial, hotelero, hospitalario

Carlos Saavedra +57 4 448 3468 gerenciageneral@aceis.com.co www.aceis.com.co

COLOMBIA

1.5 Million

70 (2020)

2,120,000 (D)

3

6

7

8

64

Andean Region COMPANY

9

10

REPRESENTATIVE

COUNTRY

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

Paola Andrea Martínez +57 1 651 6141 comercial@oikos.com.co www.dimensionvertical.com

COLOMBIA

600,000*

NA

32,570 (D)

Corporativo, comercial

Sandra Milena G 57 6014864911 comercial@isarco.com.co www.isarco.com.co

COLOMBIA

94. 273 *

NA

NA

PERU

NA

13,000*

NA

SEGMENT

Comercial, DIMENSIÓN VERTICAL – residencial, GRUPO OIKOS industrial

ISARCO

11

ADMINIO

Residencial

José Mestanza +51 927 130 275 comercial@adminio-peru.com www.adminio.pe

12

INTEGRO 365

Corporativo, comercial, residencial

Renzo Vidal +51 1 299 0603 rvidal@integro365.com www.integro365.com

PERU

NA

13,000*

NA

13

BLUE HOUSE PERÚ

Residencial

Jorge Tejeda +51 1 444 5118 jtejeda@bluehouseperu.pe www.bluehouseperu.pe

PERU

NA

150*

NA

14

ABELARDO YEPES S.A.S

Comercial, residencial, industrial

Ricardo Yepes +57 4 448 31 49 ryepes@abelardoyepes.com www.abelardoyepes.com

COLOMBIA

NA

110*

900,000(E)

15

GESTIÓN INMOBILIARIA HK

Residencial

Maria Teresa Salazar Ballesteros 57 601 2154140 gerencia@gestioninmobiliariahk.com www.gestioninmobiliariahk.com

COLOMBIA

NA

94*

234,980 (D)

The position is given by the values of managed meters, the last places are occupied by those who do not have data corresponding to the number of managed meters and it is ranked according to the number of managed properties. *: corresponds to the figures provided by the companies dated 2020.

Note: The published figures are obtained from information from the Survey Data Platform, the websites of each company were consulted in 2022. The companies that do not have any of the two data are ranked in alphabetical order.

(E): Correspond to the income data given by the companies.

(D): Revenue data taken from the Dun & Brandstreet platform (Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

65

Southern Cone COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

JLL

Corporativo, hoteles, industrial, comercial, residencial

Facundo Gago +54 11 3984 8600 facundo.gago@am.jll.com www.jll.com.ar

ARGENTINA

427 million

38

$19,37 billion (EN) (Global Figure)

CBRE

Corporativo, hoteles, industrial, comercial

Patricio Letelier +54 11 4590 5700 +56 2 2280 5454 vanesa.pirani@cbre.com patricio.letelier@cbre.com www.cbre.com.ar www.propiedadescbre.cl

ARGENTINA/CHILE

213 Million (Global Figure)

NA

$27,75 billion (D) (Global Figure)

COLLIERS

Corporativo, industrial, logística, usos mixtos, comercial, hoteles

Alejandro Badino Juan Diez +54 11 4819 9530 +56 2 2496 1553 alejandroh.badino@colliers.com juan.diez@colliers.cl www.colliers.com/es-ar www.colliers.com/es-cl

ARGENTINA / CHILE

200 Million (Global Figure)

70,000 * (Global Figure)

$4,09 billion (D) (Global Figure)

4

GESTA CHILE

Comercial, residencial, industrial

Joaquín Baranda +56 2 2225 8712 propiedades@gestachile.cl www.gestachile.cl

CHILE

700

4

7,540,000 (D) (Modelled)

5

ACSA

Corporativo, comercial, residencial

José Luis Díaz Sapelli +598 2908 0241 acsa@acsa.uy www.acsa.com.uy

URUGUAY

NA

3

NA

1

2

3

66

Southern Cone COMPANY

SEGMENT

REPRESENTATIVE

COUNTRY

MANAGED SQUARE METERS

PROPERTIES ADMIN

INCOME (USD)

CHILE

NA

400

144,160 (D) (Modelled)

ARGENTINA

NA

NA

10,830,000 (D) (Modelled)

ARGENTINA / CHILE

NA

NA

$12,53 billion (D) (Global Figure)

6

ÁREA CERO

Residencial

Javier Lavín +56 9 8340 5022 jlavin@areacero.cl www.areacero.cl

7

BAIGÚN OPERACIONES INMOBILIARIAS

Comercial, residencial

Matias Chirom +54 11 4821 1100 matiaschirom@baigun.com.ar www.baigun.com.ar

8

CUSHMAN & WAKEFIELD

Corporativo, comercial

Herman Faigenbaum +54 11 5555 1113 herman.faigenbaum@sa.cushwake.com www.cushmanwakefield.com/es-ar

9

ENGEL & VÖLKERS

Comercial, residencial

Horacio Martín Cafici +56 2 2273 0700 horacio.cafici@engelvoelkers.com www.engelvoelkers.com/es-cl

CHILE/URUGUAY

NA

NA

NA

10

FACILITY SERVICE

Corporativo, industrial

Verónica Scotti +54 810 220 4080 veronica.scotti@facilityservice.com www.facilityservice.com

ARGENTINA

NA

NA

10,930,000 (D)

The position is given by the values of managed meters, the last places are occupied by those who do not have data corresponding to the number of managed meters and it is ranked according to the number of managed properties. *: corresponds to the figures provided by the companies dated 2020.

Note: The published figures are obtained from information from the Survey Data Platform, the websites of each company were consulted in 2022. The companies that do not have any of the two data are ranked in alphabetical order.

(E): Correspond to the income data given by the companies.

(D): Revenue data taken from the Dun & Brandstreet platform (Modelled) correspond to estimates and projections made over the last year in which data were available.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

67

CHAPTER 4 68

CLEANING AND FACILITY MANAGEMENT SERVICES GROWTH IN LATIN AMERICA

Both the Cleaning and Facility Management sectors have played a key role in managing security in administrative spaces where pandemics threaten the health of staff.

For years, we have understood Facility Management as managing a company’s costs without compromising the employee experience. Today, companies need to be increasingly efficient, both financially and in terms of energy, and at the same time, they must have more flexible workspaces and more qualified, multicultural and intergenerational teams, and of course, biosafety.

The relationship between the growth of Facility Management and the Cleaning sector is given by the projections that the global market for Home Cleaning services has estimated, as well as by the real estate rents, in addition to other variables that generate effects on the industries. It is worth remembering that by 2020, the growth of Household Cleaning services was USD 5.6 billion, and is expected to reach a size of USD 10 billion in 2026, with a compound annual growth of 9.6%.

Cleaning market

Also, consumer demand for residential Cleaning services is increasing at a significant rate due to the number of dual-income households.

Internationally, the U.S. Home Cleaning services market is estimated to grow by USD $1.5 billion by 2021. The country currently represents a 22.3% share of the global market. According to the CleanTec website, “China is expected to reach an estimated market size of USD 1.4 billion by 2026, at a CAGR of 13% during the analysis period.”

On the other hand, the production and sales of the sector have presented a decrease compared to 2020 and the results differ from the dynamics of the total industry. In relation to them, it stands out that exports in May reached USD $23 million, which contrasts with previous months, with figures close to USD $40 million. It is important to note that the main destination countries are those of the Pacific Alliance, such as Peru, Chile, Mexico and Latin America in general.

Regarding imports, in 2020 they were worth USD $547.2 million, which represents a decrease of 11.5% compared to 2019. For the results so far in 2021 (January to April), the value of imports was USD $196.3 million, registering a marginal increase of 0.02 % compared to the same period in 2020.

The effects of currency devaluation in several Latin American countries are making imports less competitive. In fact, in the coming years, imports will not exceed exports, so we can say that this will improve the trade deficit and, conversely, the economy will show a surplus.

Nevertheless, it is important to note that imports can affect the behavior of a nation’s GDP in two ways: first, in the short term, they can be detrimental to GDP growth, because by increasing imports, external demand is harmed or damaged.

According to the article “The resilience of the professional cleaning sector,” “the tensions in the supply of raw materials was causing an increase in the prices of products marketed by distributors, to which has been added the considerable rise in the price of energy, gas and oil, which has triggered inflation and further pushed up the prices of all kinds of items.”

The article adds that: “the escalation of gasoline prices has a knock-on effect on transport costs, affecting distribution to the full. The sanctions against Russia, necessitated by the invasion, are having an impact on the pulp sector. We know that distributors are making a great effort to take care of their customers and hope that stability will soon return to the national economy.”

Argentina’s National Institute of Statistics and Census, INDEC, reported that Cleaning items are among the 10 items with the highest price increases during the first months of 2022. “In May alone it reported an increase in this segment of 5 % and year-on-year from 60 % to 115 %, depending on the type of product.”

There have also been significant increases in the prices of cleaning products in the Aztec country. According to El Economista newspaper, washing soap leads the list in April 2022, when it was marketed

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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Real estate market general report

Comparative vs LATAM (Competitiveness index)

Costa Rica: Inventario: 1.351.169 m2 Tasa de Vacancia: 9.0%

Colombia: Inventory: 2,330,892 m2 Vacancy rate: 12%

Mexico Inventory: 7,299,944 m2 Vacancy Rate: 17.6%

Panama: Inventory: 1,983,333 m2 Vacancy rate: 30%

Peru: Inventory: 1,225,972 m2 Vacancy Rate: 15.4%

Chile: Inventory: 3,356,605 m2 Vacancy Rate: 6.6%

Brazil: Inventory: 3,773,116 m2 Vacancy Rate: 17.3% Argentina: Inventory: 1,942,772 m2 Vacancy Rate: 8.9%

70

26.2 % more expensive than the same month last year. Fabric softeners and cleaners registered an increase of 11.2% in their price level, bleaches 9.6%, among other products in the sector.

In Colombia, the National Federation of Merchants, Fenalco, warned “that household cleaning products have had an increase even higher than the Consumer Price Index, CPI, which stood at 8.42% for May, while these products increased by 10.53%.”

On the other hand, the Facility Management market, specifically, throughout 2021, presented a mixed behavior, where absorptions improved in general, as they registered less negative numbers compared to 2020.

It is worth noting that this market globally reached a value of USD $48.9 billion in 2020. It is, in turn, expected to grow at a compound annual rate of 13.2% during 2021-2026.

If we associate this growth to the real estate market, we can describe that the volume under construction increased by more than 450 thousand square meters, closing the year at 2.95 million square meters.

According to different analyses, the emerging trend of digitalization, along with the increasing adoption of Internet of Things (IoT) and cloud-based software, currently represent the key factors driving the market growth. Moreover, the emergence of Integra-

ted Facility Management (IFM) is acting as another growth inducing factor.

However, the scenario may be affected by the inflation that is being experienced internationally, as a result of several external shocks that have increased the appreciation of the dollar and the depreciation of the different Latin American currencies, as has been happening in the Cleaning industry, specifically in products.

It is also important to note that the outsourcing of Facility services (services associated with the maintenance of facilities) has increased mainly in emerging markets in Latin America and Asia Pacific. In the case of Chile, according to the consulting firm Page Interim, 25.7% of companies outsource this type of services, of which 31.6% correspond to large companies and 4.2% to SMEs. Different studies show that companies that outsource this type of services increase productivity levels by 30 % and manage to reduce fixed costs by 20 %.

Additionally, “it is expected that the outsourcing culture will continue to advance in Latin America, mainly due to the pressure to reduce costs, the search for standardization of services, the internal concerns of companies for the retention of their employees and complex labor scenarios; and the need to increase productivity rates and to concentrate resources on the operational Core Business.”

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

71

Cleaning and real estate market growth in Latin American countries as central axes of Facility Management Mexico

Inflation as of April 2022 and with an interannual rate of 7.68%, this has caused that basic services and other fundamental generics inside homes continue to increase in price.

According to the newspaper El Economista, cleaning products have annualized inflation rates significantly higher than the general rate. Washing soap leads the list; in April 2022, it was marketed 26.2% more expensive than in April 2021.

Fabric softeners and cleaners recorded an 11.2 % increase in their price level, bleaches 9.6 %, pesticides 8.0 %, detergents 7.4 % and air fresheners 6.7 %.

Facility Management

In the case of Facility Management, we can say that there was a 67% increase in the demand for residen-

72

tial, commercial, industrial, office and land for sale and rent in the first four months of 2021 versus the first four months of 2020 due to an accumulated demand that did not make an investment decision last year due to the high levels of economic uncertainty, thus generating a positive outlook for the growth of the real estate sector in 2021.

According to the real estate platform, La Mudi, “at a national level, we can see that the online real estate offer and its real estate situation concentrates more than 80% of participation in Mexico City, State of Mexico, Queretaro, Nuevo Leon, Yucatan, Jalisco, Puebla, Quintana Roo, Veracruz, Guanajuato, Coahuila de Zaragoza and Baja California Norte.”

By sub-sector, the real estate supply has a greater participation in Residential with 73.2%, followed by Land with 13.1%, Corporate and Commercial with 5.3% and 5.2% respectively, and Industrial with 3.2%

Costa Rica The study “Demand for cleaning products in the institutional channel in El Salvador,” conducted by the Foreign Trade Promoter of Costa Rica (PROCOMER), details that the sale of products obtained a total value of “$143 million Costa Rican colón (USD $218. 321.82), which means that 7.1 % of this value which represents in nominal terms $10.2 million Costa Rican (USD $15,572.61) corresponds to sales of the institutional channel, a category that has shown an average annual growth (CAGR) of 3.6 % between 2015 and 2020. Costa Rica has a large market share in the Cleaning Chemicals market, with exports of $10.4 million Costa Rican (USD $15,877.95) in 2020.”

The analysis argues that “the main institutional purchases are in the commercial sector (39%) followed by the industrial sector (37%) and the State (24%).

By 2027, this channel is projected to grow with a dynamism of 4.2 % vs. the 1.1 % projected for the retail channel, which shows the importance of the category.”

From another point, it is highlighted that the competent market for hygiene and personal care products is valued at $614 million Costa Rican (USD $937,409.76) as of 2019 and an average annual growth of 5% is projected to 2025. Also, exports have grown at an average annual rate of 21 % between 2016 and 2020.

Real estate market

El Economista states that: “the commercial and office real estate markets will receive the year 2022 with oversupply, as they register an availability rate of 21.53 % and 12.8 % respectively, according to the last report of this year prepared by the specialized firm Newmark Central America. The figure considered healthy is 10%.”

It should be noted that, in turn, the industrial inventory was established at 6,512,874 square meters (m2) of total leasable area and an availability rate close to 8%.

19,17% 16,38%

6,79%

Mexico City

Mexico state

Queretaro

6,56%

Yucatan

5,76%

4,59%

New Leon Quintana Roo

4,28%

4,27%

3,85%

3,56%

Puebla

Jalisco

Veracruz

Morelos

SALE 31,20%

15,01%

Mexico City

Mexico state

7,02%

5,99%

4,41%

4,37%

3,95%

3,73%

3,72%

2,80%

Queretaro

New Leon

Puebla

Guanajuato

Jalisco

Veracruz

Quintana Roo

YucatAn

RENT Source: The Mudi.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

73

El Salvador It has shown a growth of +12.5% from 2019 to 2020, in sales of cleaning products.

El Salvador is the third-largest importer of Cleaning Chemical Products (PQL) in the region, sourcing 42% from Guatemala (with products such as washing and cleaning preparations, toilet soap and ethyl alcohol), 23% from Honduras (soap except toilet soap), 8% from Costa Rica (scrubbing pastes, washing and cleaning preparations) and 8% from Mexico (toilet soap and disinfectant).

Real estate Market

The real estate sector, linked to urban inclusion and vulnerable groups, is among the Government’s pro-

jects through the implementation of housing programs and infrastructure projects, which could become relevant after the last crisis. According to the agency SCRiesgo, “part of the investment in public infrastructure will be limited by the high indebtedness aimed at attending the pandemic.”

Likewise, the agency indicates that the “various real estate development projects aimed at offices, apartments, shopping centers, hotels and developments in exclusive areas faced weakened demand during 2020 and the first half of 2021, mainly explained by the uncertainty of the real impacts of the pandemic.”

Real estate Participation with respect to GDP 10.0%

600

9.0% 500

8.0% 7.0%

400

6.0% 5.0%

300

4.0% 200

3.0% 2.0%

100

1.0%

real estate

Fuente: BCR

74

Real Estate/GDP

dic-19

jun-19

dic-18

jun-18

dic-17

jun-17

dic-16

jun-16

dic-15

jun-15

dic-14

jun-14

dic-13

jun-13

dic-12

jun-12

dic-11

jun-11

dic-10

jun-10

dic-09

jun-09

dic-08

jun-08

dic-07

jun-07

dic-06

0.0% jun-06

0

Panama Construction

According to the most recent data from the INE (2020) “the number of companies engaged in Cleaning activities amounted to 34,649 (1,618 more than the previous year) and employment to 3,337,646 people. In 2018, total turnover amounted to 10,790 million euros (1.8% more than in 2016).”

Currently, there are about 82,386 square meters (m2 ) of projects under construction in Panama, of which 93% belong to the industrial sector and 7% to commerce.

There are also new infrastructure projects proposed for the next 5 years that also guarantee expansion.

In fact, the 76,345 m2 under construction represent a growth of almost 20% with respect to the new supply registered in 2021.

The reduction observed in the group, furniture, household and ordinary maintenance articles was due to declines in four of its eleven classes. The largest variations were in the classes: ‘household utensils’ by 0.8%, and ‘non-durable household goods’ by 0.6 %, caused by the decrease in the price of Cleaning and conservation products.

Meters built in the districts of Panama and San Miguelito

3,069,673

2,885,973

2,747,626 2,471,393 2,290,668

1,355,008 1,127,581

2015

2016 Overall Construction

1,251,064

2017

1,195,379

2018

1,348,004

2019 E

Apartment building

Source: Grupo Valor.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

75

Dominican Republic One of the figures that highlights the growth of the Facility Management sector is the collection of the General Directorate of Internal Taxes (DGII). As of January 2022, it registered a year-on-year increase of 56.9%, some $294 million Dominican (USD $4,702,121.64) more for real estate concepts with relation to 2021.

It is worth noting that in 2019, the contribution of the real estate sector to the Gross Domestic Product (GDP) was 10.6 %. The real estate activity was the one that contributed the most to this increase in the Dominican GDP in the last two years.

As for the number of real estate transactions up to January 2022, transfers and mortgages presented an increase of 41.4% which corresponds to 1,853 more transactions compared to the same period of 2021.

It is noteworthy that up to August 2021, the Dominican Republic totals 932 trust projects reaching RD $159,688 million (USD $3,015,575.03) in assets under management, according to data from the Association of Dominican Trust Companies (Asodofidom).

Collections from real estate operations January 2019- 2022 In millions of dollars

900 800 700 600 500 400 300 200 100 0

2019

2020

Source: General Directorate of Internal Taxes (DGII) of the Dominican Republic

76

2021

2022

Guatemala In terms of growth in the acquisition of cleaning products, there is a higher increase in the average prices paid per product (8%), which is considered a very significant number.

In 2020, with the strongest economic crisis in 40 years for Guatemala, this activity reflected a growth that, although moderate (0.5%), performed better than most industries nationwide.

Real estate market

According to the above data, this economic activity is equivalent to 25.3 % of GDP, or Q1 of every Q4 of the economy. The official statistics of Guatemala refer that around 3 million square meters per year of construction for private use (i.e., construction not related to governmental purposes) are authorized in the country, either for residential or commercial purposes.

Regarding the real estate sector as a contributor to the facilities management market, it can be said that the sector leaves an added value for the country of approximately Q74 billion annually (USD $9,545.30), growing in real terms between 4 % and 6 % each year.

Profitability expectations of the investors themselves in the real estate market of Guatemala City

4.3%

2.8%

1.2%

-0.3%

-1.8%

100% Occupancy

75% Occupancy

50% Occupancy

25% Occupancy

Empty house

Source: Universidad Francisco Marroquín.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

77

Andean Region Bolivia In terms of Cleaning, based on information from companies associated with the Chamber of Industry, Commerce, Services and Tourism of Santa Cruz (Cainco) and public information available from the National Institute of Statistics, “for the case of powder detergent, estimated smuggling of more than USD $55 million in 2021, a figure that represents approximately one third of the market for that product.”

It is worth remembering that in 2020, “Bolivia exported $1.99M in Insecticides, rodenticides and other anti-rodents, fungicides, herbicides, germination inhibitors and regulators, making it the 94th exporter of Insecticides, rodenticides and other anti-rodents, fungicides, herbicides, germination inhibitors and regulators... in the world. In the same year, Insecticides, rodenticides and other anti-rodents, fungicides, herbicides, germination inhibitors and regulators... were the 95th most exported product in Bolivia,” according to the same entity.

Real estate market

Regarding the real estate sector, the country is in a stage of recovery of the prices that existed at the end of 2019, the prices of its real estate were growing steadily throughout the decade of 2010.

But the pandemic arrived and generated an impact on property prices, as well as rents.

“All this caused that during 2020, real estate prices dropped by 10% to around $1,000/m2 in residential and commercial areas. The impact was bigger on rents, which dropped around 30 % from the prices they had at the end of 2019.”

During 2021, real estate began to recover its value, and in many cases saw sales prices almost reach prepandemic levels, but not in all areas or cities, nor for all types of properties.

Evolution of housing prices since 2008 index 2015=100

New construction

Second hand

General

170 160 150 140 130 120 110 100 90

J D J D J D J D J D J D J D J D J D J D J D J D J 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Source: BBVA Research based on the INE

78

Colombia This year, the category ‘goods and services for the home and for its ordinary maintenance’ is the second one that has grown the most in prices, with an increase of 5.6% only between January and February. This group, moreover, is also slightly above the current total inflation (8.01 %) and in February reached an annual variation of 8.86 %.

“The market for cleaning products moved in Colombia around $3.2 trillion COP (USD $729,584.06) during 2021,” according to Euromonitor figures, and within this, “products intended for laundry work contributed $1.8 trillion COP (USD $410,598.32).”

The bleach market was responsible for COP $387.1 billion (USD $88,262.19), while dishwashers generated purchases of COP $300.3 billion (USD $68,465.71) and surface care products moved COP $107.4 billion (USD $24,487.41) in 2021.

Real estate market

In the real estate market, in 2021 more than 227

2 millions This was the number of houses that were built from 2011 to 2020

thousand new properties were marketed in the country: “which shows a year with historical record for the sale of projects, with an increase of 19% compared to 2020 (190 thousand) and more than 45% (156 thousand) compared to 2019” as exposed by the report of Cien Cuadras.

During the first quarter of 2022, there is evidence of a good performance in housing sales nationwide, compared to the same period of the previous year.

The sale of VIS housing grew by 6% (43,984 units) and Non VIS increased by 5% (19,506 units). Likewise, sales values increased in higher proportions: those sold in VIS grew by 18% and in Non VIS by 10%.

This confirms the 8% year-over-year increase in housing prices.

With respect to unit availability, it decreased by 27 % versus the previous year as a consequence of the large volume of sales in 2021 and the few projects that started the construction phase. This trend will continue to decline, given the increase in the price of inputs.

$ 37.2

80%

4.5%

2022

billions in housing in 2020

growth from 2011 to 2020 in leasing

56.3% non-VIS housing 34.6% VIS housing 9.1% VIP housing growth in construction and 2% in real estate activities

Construction of 5,000 homes with an investment of 120 billion pesos.

Source: Finca Raíz.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

79

Ecuador The Ecuadorian market registered a 44% growth in 2021 compared to 2020 according to figures from the Association of Real Estate Developers of Ecuador (APIVE).

the variation of reserves in the first quarter of 2022 is analyzed with the same period of the best year of the sample (2012), the annual variation is -59.6 %.

In 2021, the placement of mortgage loans in the country was USD 1,753.2 million, which represents an increase in mortgage loan placement of 53.7 % (USD $612.2 million) with respect to 2020.

The annual variation of net reserved units in the first quarter of 2022 reflects a decrease of -10.5 % with respect to the same period of 2021 and -17.3 % with respect to the same period of 2019, the pre-pandemic year.

In the first quarter of 2022, mortgage loan placements were USD $424.9 million, representing an increase of 11.9% (USD $45.3 million) compared to the same period of 2021.

If the variation of the first quarter of 2022 is analyzed with the worst year of the pre-pandemic sample (2016), a growth of 6.1 % is evidenced. Likewise, if

Evolution and projection (M2) Office rental in the city of Quito Period (DEC2010-DEC 2020) Offices A

Offices AA

Offices AAA Projection 2020

17,82

18,00

16,56

16,00 14,10 14,00

13,19

12,75

11,29

8,50 8,00 6,00

10,10

10,0

10,00 7,50 5,80

8,20

8,35

8,05

10,05 8,03

11,56 10,18

10,05

8,79

8,70

7,20 6,15 5,30

13,44

13,10

13,09

12,02

11,50

12,00

13,20

6,82

6,79 5,49

4,00 2,00 Dec 2010 Dec 2011 Dec 2012 Dec 2013 Dec 2014 Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019 Dec 2020

COMMERCIAL AND PROJECTED INDEX Stable corporate market Growing corporate market Downward corporate market Source: MarketWatch

80

Peru Grupo Eulen Peru, reported that the sector dedicated to Cleaning activities in the country, “is becoming increasingly relevant in the face of the Covid-19 pandemic, moving up to s/ 4,000 million soles per year (USD $1,027.99).”

“Within the services offered in the market are conventional, industrial and hospital Cleaning, however, due to the pandemic, Cleaning has always been an important part of the various sectors such as Communications (ports, airports and trains) Banking, Retails, education (universities).”

Real estate market

The real estate market in general could grow 15 %

(this year) in all its segments. This is a reasonable figure considering that last year 40% more homes were sold.

According to the Urbania portal, “the sales dynamics is not only in the districts of Lima Top, but it is also covering other places such as Lima Moderna, being these an excellent option to invest and an important boost for the real estate sector.”

It is worth mentioning that the price per m2 in Lima in March 2022 was 6,699 million soles (USD $1,724.43), 0.3 % more than the previous month and 7.6 % higher compared to the same period in 2020.

Evolution of units sold

Crecimiento del 10% respecto a Ago-19 1400

1,337

1200 1,131

1,245

1,223 1,084 1,059 1,056

1,158 1,157

1000

887

800 600

488

475

400 200

163

0 ago-19 sep-19 oct-19 nov-19 dic-19 ene-20 feb-20 mar-20 abr-20 may-20 Jun-20 Jul-20 Ago-20

Source: ASEI Real Estate Analytics Report Information coverage: 80% of the real estate market for new housing in Metropolitan Lima and P.C. From Callao.

Report of units sold with signed purchase agreement LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

81

Venezuela There are reasons to think that a formal financial dollarization of the banking system could be under consideration, which would have fiscal and tax implications, on the one hand, but at the same time would open the possibility of articulating mortgage loans.

If this were to happen, it would not occur in the short term or on a massive scale, but precedents would be set for a revitalization of the real estate sector.

In 2022, the economic projections for the real estate sector for that country are based on a lower growth than that of other sectors, which is influenced by the slowdown in the construction sector, which is not being supplied to the primary market. Also, the very nature of the real estate market and its long-term frame of reference will make it one of the last to perceive the aggregation of economic improvements.

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“The real estate sector will continue to be dominated by an oversupply of real estate, to which will be interposed a demand from more and more clients who will be in increasingly better socioeconomic conditions. Even so, the demand will be insufficient for the oversupply and many segments of the population will not participate as actively in this market.”

Therefore, prices are not expected to recover soon and, on the other hand, there will be an increase in the volume of operations, the latter being the factor that would point to an eventual growth of the sector.

Low prices will continue to be an incentive for opportunity buyers, who will not only find several housing options, but also investment options.

No graph available due to data availability.

Southern Cone Argentina Argentine real estate activity rose 39% in April. The Argentine Chamber of Rural Real Estate (CAIR) pointed out that there was an important increase for the reactivation of the sector.

“However, despite the improvement, these are still historically low monthly figures for the activity, which reached a peak of almost 6,000 monthly transactions in 2018.”

However, CAIR insisted that “the activity is still 7.4% below the average of the last five years for the same period. It should be noted that this index reflects the activity of the rural real estate market throughout the country.”

According to the monthly survey of deeds conducted by the Notary Public Association of the city of Buenos Aires, “in May, 2,866 deeds of sale were finalized for an amount of $35,955 million Argentine pesos (USD $254.70).”

At the same time, the real estate market started to show signs of recovery, in May 2022 more than 2,800 purchase and sale transactions were finalized in the city of Buenos Aires, 50.8 % than the same month of the previous year and close to pre-pandemic levels.

Compared to April 2022, deeds grew by 11.7%. On average, the transactions were for about $12 million (USD $101,962), according to the official exchange rate: it grew 52.6% in one year in pesos, and in US currency it rose 23.5%.

Offer value of m2 per Real Estate Report November 2014 to November 2020

3.5K 3K 2.5K 2K 1.5K 1K 0.5K 0 Barrio Norte

Recoleta

Nov-14

Nov-15

Palermo Nov-16

Belgrano C Nov-17

Nuñez Nov-18

Caballito Nov-19

Villa Urquiza

Nov-20

Source: Reporte Inmobilario LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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Chile In the midst of the COVID-19 pandemic, Chile’s home care industry has achieved its strongest growth in a decade. According to Euromonitor International’s market research reports, “sales in the home care industry in the country have increased by 24.1 % in the last five years. If the total amount in 2015 was USD $719.9 million, by 2020 this figure will increase to USD $884.5 million. Undoubtedly, a higher growth than in Colombia and Peru, which were 7.7% and 13.2%, respectively.”

Real estate market

According to Toctoc data, as of the third quarter of 2021, the average rental price in Greater Santiago

is 21.2 UF, while at the beginning of this year it was 15.8 UF. In other words, a growth of 34%. This increase is closely related to a significant increase in occupancy, which reached 98.3% in October of this year. Regarding housing sales prices, apartment prices increased from an average of 66 UF/M2 in the RM to 70 UF/M2 in the RM, a variation of 4.9%.

As for houses, it went from 53 UF/M2 in 2020 to 62 UF/M2 in 2021, i.e. an increase of 16.8%. Here there is a relevant factor of increase in the demand for houses, in which the teleworking experience may have had an important effect. However, there is another series of economic factors that explain this generalized price increase.

Annual Home Sales in Greater Santiago Units 53.580 40.941

37.772 29.370

32.552

28.593

34.089

37.381

39.863

34.123 31.942

35.228

32.911 16.992

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

Evolution of housing supply Units 55.000 50.000

FINANCIAL CRISIS COVID 19

45.000 40.000

VAT EFFECT

35.000

SOCIAL OUTBURST

TERREMOTO 27F

30.000 25.000 20.000 2007

2008

2009

2010

Source: GFX Adimark Real Estate Supply Report

84

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

85

CHAPTER 5 86

RISING FREIGHT AND CARGO RATES: REASONS AND FORECASTS

FREIGHT AND CARGO MOVED ON DIFFERENT ROUTES FROM LATIN AMERICA

From

07-Sep-2016

to

14-Sep-2022

$10.000 $7.500 $5.000 $2.500 $0 01-Jan-17

01-Jan-18

01-Jan-19

01-Jan-20

01-Jan-21

01-Jan-22

Source: Freight Baltic Index (FBX).

Nota: Price growth (in USD) for the last 5 years.

Rising product prices, shortages of raw materials and high container shipping costs are other concerns for industry integrators in terms of distribution and logistics. In addition, it is possible that the supply of some integrated systems, equipment, among others, may decrease. In relation to this, if there is an increase in demand in this scenario, the price increase would be much higher.

Alessandro Nicita, economist at the UN trade agency (Unctad), explains that the strong recovery of exports in the world is what is generating a real shock: “If trade were depressed, there would be no crisis.”

Before the pandemic, shipping a container from Asia to Latin America and vice versa cost an average of

$2,000 USD and sometimes as much as $1,500 USD. By 2021, it was hardly feasible to get sea freight on that route for less than $8,000 USD. The Asia-Europe corridor, on the other hand, by that time was fetching rates in excess of $10,000 USD and up to $14,000 USD for a single voyage. In 2022, fares have started to decrease at the international level. It is noteworthy that in May 2022 it was above $8,000 USD, since that month it has been decreasing month by month. By October 2022, pressure had dropped by more than 50%, showing a price of $3,540 USD. From another point, according to figures from Drewry, a global logistics research and consulting firm, in the last week of September 2022 the freight rate for a 40-foot container fell to $4,014 USD.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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From

22-Oct-2021

to

14-Oct-2022 $10.000

$7.500

$5.000

$2.500 01-Nov-21

01-Jan-22

Source: Freight Baltic Index (FBX).

01-Mar-22

01-May-22

01-Jul-22

01-Sep-22

Note: The price increases (annual: November 2021 to September 2022) evidenced in the graph are related to the Global Container Freight Index (USD values).

The above represented a 61% decrease in the last year, when compared to September 2021 when the value for freight in that same container was at $10,377 USD. Likewise, the average composite rate for the year to date is $7,597 USD per 40-foot container, which is $3,884 USD higher than the five-year average ($3,714 USD).

Rising and falling freight rates the uncertainty of economic recovery

by 7.5%. In the Least Developed Countries (LDCs), consumer price levels could increase by 2.2%.

Supply chains will be affected by the rising costs of maritime trade. Low value-added goods produced in smaller economies, in particular, could suffer a serious erosion of their comparative advantages.

A 10 % increase in container freight rates, coupled with supply chain disruptions, is expected to decrease industrial output in the United States and the euro area by more than 1 %, while in China output is expected to decline by 0.2 %.

What is forecast

The United Nations Conference on Trade and Development (UNCTAD) warned that “global consumer prices will increase significantly in 2023 until supply chain disruptions, port constraints and port terminal deficiencies are resolved.”

The UN agency stresses that the increase in goods exports was mainly due to higher commodity prices, especially for minerals, hydrocarbons and agro-industrial products, rather than to an increase in the volume exported.

The impact of higher freight rates will be greatest in Small Island Developing States (SIDS), which could see import prices rise by 24% and consumer prices

It also indicates that regional exports of services continue to fail to recover from the drop they suffered due to the coronavirus pandemic.

88

“In particular, regional dependence on tourism far exceeds the world average, so the uncertainty about the reopening of this sector negatively conditions the prospects of several economies, especially in the Caribbean,” warns the Economic Commission for Latin America and the Caribbean (ECLAC). “In sum, the recovery of regional trade in 2021 shows important weaknesses.”

In relation to this last point, the agency calculates that the global average cost of container freight by sea has risen by more than 660 % from June 2019 to date.

On the other hand, the value of regional imports of goods would register an increase of 32 % with an expansion of 20 % in volume and 12 % in prices.

Looking ahead to 2022 forecasts, the agency projects growth in the value of regional exports and imports of 10 % and 9 %, respectively.

The highest trade activity was recorded with China and at the regional level. The projected annual varia-

tion in regional exports to the Asian country is 35%, followed by 33% intra-regional, and a growth in shipments of 23% to the European Union and 19% to the United States.

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CHAPTER 6 90

TRENDS DRIVING DIGITAL TRANSFORMATION IN FACILITY MANAGEMENT AND CLEANING INDUSTRY

In recent decades, in the Facility Management sector, as in the Cleaning industry, the well-being of people has become a priority over technological trends and assets, since investment in the prudential value of human capital not only generates its own benefit but also increases productivity levels and strengthens processes within the industry.

In addition, many of the major changes resulting from the impact of Covid-19 have led to the transformation of services. For example, there was a trend to implement hybrid work models and the issue of health in spaces became more important, which had a greater impact on the Cleaning and Facility Management sectors.

Industry experts agree that Facility Management

must take into account that “the buildings where people are housed, whether for work, leisure or living, must, on the one hand, continue to be maintained regardless of their capacity, but of course they have to be increasingly more efficient (in terms of operations and maintenance), which will result in caring for the environment (resource efficiency: energy, water, waste, etc) which ultimately influences the welfare of people.”

In addition, they add: “They must continue to offer services to users (cleaning, catering, security, etc) In both aspects, technology is the lever that makes it possible to adapt according to needs or demands.

The disruptive technology available to the sector will allow the Facility Manager to act in a predictive manner, anticipating inconveniences”.

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Facility Management Market - Growth Rate by Region (2019-2024)

Regional Growth Rates High Mid Low

Source: Mordor Intelligence

Other trend-setting solutions Several companies have been implementing numerous IoT solutions in healthcare, building and office management. Industries have agreed that buildings and services have begun to digitize. This has deployed a need to optimize the maintenance, upkeep and durability of facilities in organizations.

It is worth noting that Facility Management has been an industry of continuous growth, according to estimates by McKinsey & Company, it will move 1.9 trillion dollars globally in 2024, 6% more than in 2018.

The incorporation of new technologies has enabled support management and tracking compliance indicators. Tools that collect information related to quality and ISO standards, waste management, circular economy processes and, very importantly, the calculation of the footprint, both carbon and water have been facilitating Corporate Social Responsibility (CSR) and the disclosure of all these data in an automated and agile way and using indicators, both standard and from the companies themselves.

The development of comprehensive solutions that have all the necessary information, focusing on the user, is another key element for Facility Management. It is worth noting that these digital solutions allow improving the competitiveness of companies operating in these sectors.

92

On the other hand, it is important to mention that within market segments, the real estate industries, from design and construction to Facility Management itself, are among those that have been slowest to adapt to digital transformation.

According to experts, the generational change will favor “the adoption of digital tools in the sector.”

Likewise, a 2019 ARC study already pointed to the fact that 40% of existing FM professionals would be retiring over the next eight years.

In this context, new players have emerged that operate in real estate business models with a strong digital component, such as colivings, coworkings or build-to rent. These new players, according to various sources, may end up dragging the rest of the sector towards the maximum digitalization of business processes.

In contrast, it should be emphasized that the automation of business processes is usually more complex than other types of automation, since they use software systems to automate repeatable business operations, which implies making the process in several steps.

On the other hand, and referring to the current competition, Facility Management companies are forced

to work with smaller margins to stay in the market, which generates higher and higher costs.

Therefore, for facility management companies, the integration of digital solutions in their delivery model is essential to differentiate themselves, to be able to compete efficiently and to be able to provide a reliable service.

Cleaning innovation in Facility Management

Cleaning was considered by many as a commodity before the pandemic. However, in the wake of Covid-19, cleaning has become an essential service, which has strengthened its visibility and strategic importance in the decision-making process of any Facility Manager.

This is a sector that has traditionally been poorly digitized compared to others: little traceability of operations and the use of static and inflexible models.

However, the pandemic has revealed many things, including one very relevant one: the importance of innovation applied to cleaning.

According to specialized sources, “in the professional cleaning industry there are three clear trends that companies in the sector must be aware of and take into account: the advance of new technologies, the

growing importance of sustainability, not only environmental but above all social, and the need to collaborate with clients.”

The data show that the people who make up the core of professional cleaning represent 80% of the industry’s costs. With regard to the sector’s relationship with new technologies, it has become evident that “the development of systems that allow cleaning staff to enter information in real time on their schedule, tasks performed, needs to be detected, etc. makes it possible to create dashboards and analyses to speed up the evaluation of the quality provided.”

These new service models, “based on innovation, make visible the technological advances in the sector and seek to ensure the highest levels of efficiency, while providing greater welfare to the personnel in charge of their execution and to the rest of the people involved.”

Electronic commerce, an opportunity for industries

The Covid-19 pandemic favored the growth of electronic commerce in Mexico as a consequence of the virus prevention measures and the social isolation of the population. This increased the demand for products for personal use and hygiene, household cleaning and the purchase of food, which evidenced the change in consumer habits online.

However, large segments of the population do not have access to or use online commerce due to various factors related to the digital divide, such as insufficient income, low levels of schooling, ethnic origin, gender, rural or urban place of residence, lack of digital skills, among others. Added to the high rates of informal employment and the low levels of banking, together, they restrict the expansion of digital commerce.

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CHAPTER 7 94

LATIN AMERICAN ECONOMIES WILL BE RECOVER GRADUALLY BY 2022

Latin America and the Caribbean (33 countries): GDP growth rate projection, 2022 (Percentages) Guyanese

46,0

St. Lucia

15,8

Caribbean

11,0 8,5

Bahamas Barbados Panama

7,5 7,3

Belize The Caribbean (excl. Guyana)

6,2 6,1 5,7 5,7

Trinidad and Tobago Jamaica Dominican Rep Dominica

5,5 4,6 4,6

Central America Honduras Guatemala Antigua and Barbuda

4,5 4,3 4,2 4,0 3,9

Grenade Saint Kitts and Nevis El Salvador

3,8

Paraguay

3,8 3,7

St. Vincent and the Grenadines Costa Rica Colombia

3,7 3,7 3,5 3,3

Cuba Central America and Mexico Bolivia (Plur. State of) Uruguay

3,2 3,1

Nicaragua Venezuela (Bol. Rep. of) Peru

3,0 3,0 3,0 2,9 2,6 2,2

Mexico Ecuador Argentina

2,1

Latin America and the Caribbean Latin America

2,0 1,9

Chile Suriname South America

1,5 1,4

Haiti Brazil

1,4 0,5 0

5

10

15

20

25

Source: Economic Commission for Latin America and the Caribbean (ECLAC) on the basis of official figures.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

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In 2022, following the contraction of world GDP in 2020 as a result of a generalized fall in economic activity in both developed and emerging economies, the effects of the war between Russia and Ukraine, the rise in prices and the impact on trade chains in Europe, will also be reflected in some Latin American countries.

Likewise, the crisis has triggered a contraction in international trade and, in turn, has led to sharp fluctuations in (high) prices as a result of volatility in the financial markets, which has translated into lower profitability and greater risk aversion.

In addition, the measures taken in the vast majority of countries around the world to contain the pandemic have had a significant impact on tourism and commercial aviation activities and restaurant and hotel services.

However, such measures implemented by some of the governments of Latin American countries to deal with the effects of the pandemic have helped to mitigate the economic impact on the social and business fabric of the region. The case of the fiscal monetary packages, for amounts close to USD 12 trillion in fiscal actions and USD 7.5 trillion in monetary action announcements, have cushioned the fall in economic activity, but this has also led to high levels of liquidity, which has had repercussions in the increase of indebtedness at a global level.

These disparities and asymmetries affect not only the dynamics of short-term growth, but also the capacity to sustain medium-term growth. According to International Monetary Fund (IMF) estimates, “the group of advanced economies is the only one that in 2022 would resume the growth trajectory registered before the pandemic, and even surpass it. The other groups of countries will remain, in the medium term (until 2025), on a much lower growth trajectory than projected before the pandemic”.

It is worth noting that during 2021, commodity prices continued the upward trend that began in May 2020, and are estimated to have grown by 42% over the 2020 average level. In 2022, prices are expected to remain high, although a slight decline (-3.2 %)

96

compared to 2021 would be observed.

For the global economy, 2022 starts in weaker conditions as a result of higher energy prices and supply disruptions, inflation is higher and more widespread than expected, especially in the United States and in many emerging markets and developing economies.

In addition, the ongoing contraction in China’s real estate sector and the unexpectedly slow recovery in private consumption have limited growth prospects.

The baseline forecast is for growth to decelerate from 6.1% last year to 3.2% in 2022, 0.4 percentage points lower than in the April 2022 World Economic Outlook.

According to the latest Monetary Fund projections, published in July 2022, “slower growth earlier this year, reduced household purchasing power and tighter monetary policy prompted a downward revision of 1.4 percentage points in the United States.”

Against this, it emphasized, “In China, new confinements and the deepening real estate crisis have caused growth to be revised down by 1.1 percentage points, with significant global contagion effects.

And in Europe, significant downgrades reflect the side effects of the war in Ukraine and tighter monetary policy. Global inflation has been revised upward due to food and energy prices, as well as persistent supply-demand imbalances, and is forecast to reach 6.6 percent in advanced economies and 9 percent in emerging market and developing economies this year - upward revisions of 0.9 and 0.8 percentage points, respectively.”

According to ECLAC, “in sub regional terms, both South America and Mexico and Central America show a slowdown in the expansion rates in the first quarter of 2022 with respect to the same quarter of the previous year.”

It is worth noting that in 2021, both sub-regions presented recovery processes in line with the magnitude of the impact caused by the pandemic crisis, in which the internal shocks were of similar magnitude, while the intensity of the external shock was different. The magnitude of the external shock was grea-

ter in Mexico and Central America, given that their economies are mainly linked to the pace of expansion in the United States, a country that was strongly affected by the pandemic.

volatilities linked not only to the evolution of the pandemic, but also to uncertainty about the inflation outlook and the possibility of early withdrawals of monetary stimulus. This has increased the likelihood that central banks in developed economies will reduce their monetary stimulus, which may have adverse effects on emerging markets.

In 2023, disinflationary monetary policy is expected to take effect, with global output growth of only 2.9 percent.

The lower exchange rate corrections recorded in 2021 were also accompanied by lower volatility in the exchange rate, relative to the average absolute value of inter-daily exchange rate variations during the first three quarters of the year.

Volatility in financial markets

International financial markets performed favorably in 2021, despite some brief episodes of increased

Volatility index in financial markets (January 2018- October 2021) VIX, V2X and VXEEM indices of financial volatility, January 2018 to October 2021 70 60 50 40 30 20

2018

2019

2020

2021

Oct

Jul

Apr

Jan

Oct

Jul

Apr

Jan

Oct

Jul

Apr

Jan

Oct

Jul

Apr

0

Jan

10 VXEEM Index VIX index EURO STOXX V2X Index

Source: Economic Commission for Latin America and the Caribbean (ECLAC), based on Bloomberg.

Note: The VIX index, compiled by the Chicago Board of Options (CBOE), measures the expected volatility for the next 30 days based on the prices of the call and put options of the S&P 500 index. CBOE also produces the VXEEM index, which measures volatility in emerging markets, and Deutsche Börse, together with Goldman Sachsa, produces the V”X index, which measures volatility in the euro zone.

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Impact on trade and value chains

In line with global GDP growth dynamics, the volume of world trade in goods would also grow less in 2022 (by 4.7 %, compared to a figure of almost 11 % in 2021), according to estimates from the outlook for Latin American and Caribbean countries, the region’s exports grew by 25 % in value in 2021, with a 17 % increase in export prices and an 8 % increase in the volume exported. Meanwhile, imports would have grown by 32% in value, representing the largest increase since 2010, when they expanded by the same amount.

After the collapse of 2020, it is estimated that import volumes grew by 20%, in line with the expansion of domestic activity in the region, both consumption and investment, and that import prices rose by 12%.

Although the favorable evolution of commodity prices in 2021 translated into an estimated increase in the terms of trade of around 5% in the region, there are differences at the subregional level.

Notably, the terms of trade fell by 5% in the Caribbean (excluding Guyana, Jamaica and Trinidad and Toba-

go) and by 1% in Central America, partly as a result of the large weight of energy in the import basket of these countries. According to the Economic Commission for Latin America and the Caribbean, “the group of countries whose terms of trade increased the most is precisely that of hydrocarbon exporters (15%). Remittances continue on an upward trajectory and, after having increased by 8% in 2020, they would have increased by almost 30% in 2021”.

According to ECLAC, “they continue to be a very important source of external resources for the countries of the region, particularly for Central America, Mexico and some Caribbean countries. The services balance deficit worsened in 2021, influenced mainly by a deterioration in the transport and other services account, whose imports increased in line with the rise in goods imports”.

The World Trade Organization (WTO) forecasts world merchandise trade volume growth of 10.8% in 2021, up from 8.0% forecast in March, followed by a 4.7% increase in 2022. Supply-side challenges, such as semiconductor shortages and port delays, affect in certain areas, but are unlikely to have a material

North America CIS b Asia

South America parts Africa

Europcar Middle East

North America CIS b Asia

South America parts Africa

Europcar Middle East

Note: a. Comprises Central and South America and the Caribbean. B. Comprises the Commonwealth of Independent States (CIS), including certain former member states and associate member states.

Fuente: WTO and UNCTAD.

98

2022T4

2022T3

2022T2

2022T1

2021T4

2021T3

2021T2

2021T1

2020T4

2020T3

2020T2

2020T1

70

2019T4

70

2019T3

75 2022T4

75 2022T3

80

2022T2

85

80

2022T1

85

2021T4

90

2021T3

90

2021T2

95

2021T1

100

95

2020T4

100

2020T3

105

2020T2

105

2020T1

110

2019T4

115

110

2019T3

115

2019T2

120

2019T1

120

2019T2

Imports

2019T1

Exports

Balance of financial flows

impact on global aggregates. The greatest downside risks come from the pandemic itself Against this, Director-General Ngozi Okonjo-Iweala argued, “Trade has been an essential tool in combating the pandemic, and this strong growth underscores the importance of trade in underpinning global economic recovery.”

The income balance deficit, on the other hand, increased in 2021 mainly due to higher profit remittance by foreign investment companies, in a context of rising commodity prices. As a result of the aforementioned trends, after exhibiting a small surplus in 2020 (0.2 % of GDP), the current account of the balance of payments turned into a deficit again in 2021 and stood at 0.6 % of GDP.

The high annual growth rate of merchandise trade volume recorded in 2021 primarily reflects the sudden drop in the previous year, which bottomed out in the second quarter of 2020. Starting from a low point, year-on-year growth in the second quarter of 2021 was 22.0 %, but the figure is forecast to fall to 10.9 % in the third quarter and 6.6 % in the fourth quarter, due in part to the rapid recovery of trade in the last two quarters of 2020. Only 0.8 % quarter-on-quarter growth averaging 0.8 % each quarter in the second half of this year, equivalent to an annualized rate of 3.1 %, is needed to meet the forecast for 2021.

Indeed, debt issuance in the international markets by the region continued to rise and, in the first ten months of 2021, increased by 12.3 % compared to the same period in 2020, although this time with greater prominence of private debt and lower growth in sovereign issuance. Non-bank private sector issuance grew by 77 %, while sovereign issuance increased by 14 %, after experiencing strong dynamism in 2020.

The recovery in financial flows has, however, been accompanied by a deterioration in credit ratings in several countries in the region, with 12 credit rating downgrade actions in 2021, in addition to downward outlook revisions for almost all countries in the

Trade volume growth is expected to be accompanied by market-weighted GDP growth of 5.3% in 2021 and 4.1% in 2022 (instead of the 5.1% and 3.8% previously forecast).

Cumulative 12-month net portfolio capital flows to emerging markets and financial volatility in emerging markets, March 2011 to September 2021 (In millions of dollars)

2011

2012

2013

2014

2015

2016

2017

2019

2020

Sep

Mar

Sep

Mar

Sep

Sep

2018

Mar

Mar

Sep

0

Mar

-100

Sep

10

Mar

-50

Sep

20

Mar

0

Sep

30

Mar

50

Sep

40

Mar

100

Sep

50

Mar

150

Sep

60

Mar

200

Portfolio capital flows Financial volatility index in emerging markets

2021

Source: Economic Commission for Latin America and the Caribbean (ECLAC), on the basis of information from the International Monetary Fund (IMF), 2021 and Bloomberg LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

99

region, as well as a slight increase in sovereign risk, which even so still remains well below the figures recorded during much of 2018 and 2019.

Growth dynamics in 2021 were led by domestic demand. Private consumption was a key driver and contributed around half of second-quarter growth.

On the other hand, although exports grew significantly, the net external sector (exports minus imports) presents a negative contribution to output growth, due to the sharp increase in imports.”

According to ECLAC, “from a sectoral perspective, the expansion of economic activity was led by the recovery of the sectors of economic activity most affected by the pandemic (construction, commerce, manufacturing, and transport and communications), all of which showed a generalized increase. The rest of the sectors of economic activity also recorded recoveries during the second quarter”.

GDP evolution in Latin America

In this context, the projected growth of the world economy for 2021 was 5.8 % and, for 2022, a slowdown to 4.9 % is expected. In the cases of the United States and China, substantially lower growth rates are expected in 2022 than those observed in 2021.

According to the Economic Commission for Latin America and the Caribbean, “the group of developed economies would have grown by 5.2% in 2021.

The United States is estimated to have grown by 6.0% and the euro zone by 5.2%, while Japan is estimated to have grown by 2.4% and the United Kingdom by around 6.8%. In the group of emerging and developing economies estimated to have grown by

100

6.4 % this year, China, with a growth of 8.0 %, and India, with 9.5 % stand out”.

From another point, and in a less optimistic scenario, the negative developments since the release of the October 2021 WEO report mean that the world economy is starting the year in weaker conditions than expected.

Supply disruptions continued during the fourth quarter, sowing obstacles for international manufacturing, particularly in the United States and Europe. A resurgence of COVID cases (particularly in Europe) also hinders a broader recovery. In China, disruptions caused by COVID outbreaks, disruptions to industrial production caused by power outages, falling real estate investment and the unanticipated acceleration of public investment retrenchment contributed to a cooling of the economy in the second half of the year.

In sectoral terms, ECLAC states that although the current economic situation has had a negative impact on all sectors, it has done so with varying intensity depending on the sector. The most affected were manufacturing, construction, commerce and transportation, and the least affected were agriculture, essential services, financial services and mining.

The analysis presented by ECLAC at the country level indicates that Chile and Brazil are the most indebted economies in the region (263% and 229% of GDP for the third quarter of 2020, respectively).

This is why liquidity expansion policies have succeeded in lowering the cost of financing for the nonfinancial corporate sector. The interest rate spread for the corporate sector has narrowed substantially since the beginning of the pandemic for high yield and investment grade bonds.

Selected regions and countries GDP growth rate for 2020 and projections for 2021 and 2022 (In percentages)

13 6,8 5,8

4,9

5,2

6,0 4,2

3,9

3

5,0 2,4 3,0

5,2 4,6

-2 3,1 -7

-3,4

6,4

5,1

5,7

-2,1

7,9 5,9 3,8

2,3

-0,8

-2,0

4,1 4,1

-2,8

3,7 3,8

-1,7

-4,7 -6,3

-7,3

2020

2021

Sub-saharan Africa

Middle East and North Africa

Emerging and developing countries in Europe

India

China

Emerging and developing countries in Asia

Euro zone

United Kingdom

Japan

United States

Advanced economies

-9,7 World

-12

-4,5

6,4

9,5

8,0

7,2

Emerging and developing economies

8

2022

Source: Economic Commission for Latin America and the Caribbean (ECLAC), on the basis of Organization for Economic Cooperation and Development (OECD), OECD Economic Outlook, Interim Report, Keeping the Recovery on Track, September 2021; International Monetary Fund (IMF), World Economic Outlook (WEO), October 2021; European Central Bank (ECB), “Eurosystem staff macroeconomic projections”, September 2021 and Capital Economics. a Figures for India are for the fiscal year, beginning in April and ending in March of the following year.

ESTUDIO DE MERCADO PARA EL SECTOR DE LA LIMPIEZA Y EL FACILITY MANAGEMENT EN LATINOAMÉRICA 2022

101

World Economic Outlook Update, January 2022 growth projections

World economy

5,9

2021

4,4

2022

Advanced economies

3,8

2023

5,0

2021

Emerging market and developing economies

6,5 3,9

2022

4,8

4,7

2022

2023

2,6

2023

2021

Source: International Monetary Fund

Future perspectives From another perspective, the growth projections for the economies of Latin America and the Caribbean in 2021 are positive (subject to changes due to the current situation). An average regional growth rate of 3.7% is estimated. In fact, 3.1 points of the projected growth rate for the region in 2021 correspond to statistical carryover, which means that 3.7% would make it possible to recover 44% of the GDP loss recorded in 2020.

of 1.8%. In this scenario, recovery to the 2019 GDP level would be reached in 2024.

In the Economic Survey of Latin America and the Caribbean, 2020, ECLAC projected a scenario in which the region picks up in 2021 and then returns to its average growth trajectory of the last decade

The forecast is based on poor health indicators falling to low levels in most countries by the end of 2022, assuming immunization rates will improve internationally and more effective therapies will emerge.

102

From another angle, the International Monetary Fund expects global growth to moderate from 5.9% in 2021 to 4.4% in 2022; that is, half a percentage point lower in 2022 than forecast in the October edition of the WEO report, largely due to the cut in the projections of the two largest economies.

ESTIMATES 2020-2021 AND PROJECTIONS 2022 - 2023 Estimates

Projections

Difference with Update of the WEO report of October 2021 1/ 2022 2023 -0.5 0.2 -0.6 0.4 -1.2 0.4 -0.4 0.5 -0.8 0.9 -0.4 0.0 -0.4 0.6 -0.6 1.2 0.1 0.4 -0.3 0.4 -0.8 0.2 -0.1 0.0

2021 5.9 5.0 5.6 5.2 2.7 6.7 6.2 4.9 1.6 7.2 4.7 4.7

2022 4.4 3.9 4.0 3.9 3.8 3.5 3.8 5.8 3.3 4.7 4.1 3.6

2023 3.8 2.6 2.6 2.5 2.5 1.8 2.2 3.8 1.8 2.3 2.8 2.9

-2.0

6.5

4.8

4.7

-0.3

-0.9 -7.3 -3.4

7.2 9.0 3.1

5.9 9.0 5.6

5.8 7.1 6.0

-1.8

6.5

3.5

-2.7 -6.9 -3.9 -8.2 -2.8 -4.1 -1.7 -1.8 -6.4

4.5 6.8 4.7 5.3 4.2 2.9 4.0 3.0 4.6

-3.5

Projections

2021 4.2 4.4 5.3 4.8 1.9 5.0 6.2 4.9 0.4 6.3 3.5 3.8

2022 3.9 3.5 3.5 3.2 4.2 1.9 2.5 5.0 3.6 3.8 3.9 3.4

2023 3.4 1.8 2.0 1.8 1.6 1.7 1.7 2.5 1.1 0.5 1.9 2.5

0.1

4.0

4.3

4.8

-0.4 0.5 -0.2

0.1 0.5 0.0

3.7 4.3 3.5

5.4 5.8 5.6

5.7 7.5 5.9

2.9

-0.1

0.0

5.8

2.2

3.0

2.8 2.4 0.3 2.8 4.3 4.8 3.7 2.7 1.9

2.1 2.6 1.6 2.7 3.6 2.8 4.0 2.7 1.4

-0.1 -0.6 -1.2 -1.2 0.2 0.0 -0.1 0.0 -0.3

0.1 0.1 -0.4 0.5 -0.2 0.0 -0.1 0.1 0.0

4.2 3.7 0.6 2.9 ...

5.2 ...

2.4 1.3

2.1 1.8 1.5 3.4 ...

5.3 ...

2.1 2.6

1.8 2.6 1.4 1.9 ...

2.8 ...

2.3 0.9

5.6

4.2

3.4

-0.5

0.3

4.2

3.9

2.8

0.1

3.1

5.3

5.5

0.0

0.0

...

...

...

Volume of world trade (goods and services) 6/

-8.2

9.3

6.0

4.9

-0.7

0.4

...

...

...

Advanced economies advanced economies Emerging market and developing economies Commodity prices (US$ USA.) Petroleum 7/ Non-combustible (average based on world import weights of raw Materials) Consumer prices Advanced Economies

-9.0

8.3

6.2

4.6

-0.7

0.6

...

...

...

-6.7

11.1

5.7

5.4

-0.7

0.0

...

...

...

-32.7

67.3

11.9

-7.8

13.7

-2.8

79.2

-4.7

-6.8

6.7

26.7

3.1

-1.9

4.0

-0.4

17.2

1.5

-1.6

0.7

3.1

3.9

2.1

1.6

0.2

4.8

2.8

2.0

world product Advanced economies USA Euro zone Germany France Italy Spain Japan United Kingdom Canada Other advanced economies 3/ Asian emerging market and developing economies China India 4/ ASEAN-5 5/ Emerging and developing economies of Europe Russia Latin America and the Caribbean Brazil Mexico Middle East and Central Asia Saudi Arabia sub-saharan africa Nigeria South Africa informative items World growth according to market exchange rates Low-income developing countries

2020 -3.1 -4.5 3.4 -6.4 -4.6 -8.0 -8.9 -10.8 -4.5 -9.4 -5.2 -1.9

Estimates

Note: Real effective exchange rates are assumed to remain constant at current levels between December 10, 2021 and January 7, 2022. Economies are listed by size. Aggregate quarterly data is seasonally adjusted. WEO = World Economic Outlook.1/ Difference based on rounded figures in both forecasts in this update and the October 2021 World Economic Outlook. Countries whose forecasts have been revised as of the October 2021 WEO correspond to about 90% of annual global production weighted by purchasing power parity.2/ For global production, quarterly estimates and projections correspond to around 90% of annual world production weighted by purchasing parity.

For emerging market and developing economies, the quarterly estimates and projections correspond to about 80% of the group’s annual output weighted by purchasing power parity.3/ Excludes the Group of Seven (Canada, France, Germany, Italy, Japan, UK, US and US) and euro area countries.4/ For India, data and forecasts are based on fiscal year, with fiscal year 2021/22 as of April 2021.

In the January 2022 WEO Update, India’s growth is projected at 8.7% in 2022 and 6.6% in 2023 on a calendar year intensive basis. The 2021 column of the table includes the impact of the omicron variant. 5/ Philippines, Indonesia, Malaysia, Thailand, Vietnam.6/ Simple average of growth rates of export and import volumes (goods and services).7/ Simple average of U.K. crude oil prices.

Brent, Dubai Fateh and West Texas Intermediate. The average price of oil was USD 69.07 in 2021; the assumed price based on futures markets (as of January 10, 2022) is USD 77.31 in 2022 and USD 71.29 in 2023.8/ The inflation rate for the euro zone is 3.0% in 2022 and 1.7% in 2023, for Japan it is 0.7% in 2022 and 2023, and for the United States it is 5.9% in 2022 and 2.7% in 2023, respectively.9/ Excludes Venezuela.

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GDP GROWTH RATE (2020) AND PROJECTIONS (2021-2022) Countries

December 2020

2021 projections %

2022 projections %

Growth Difference (2020-2021)

Growth Difference (2021-2022)

Paraguay

-0.6

4

4

-85

100

Panama

-17.9

2.6

7.8

788.4

66.66

Brazil

-1.2

3.7

6.5

132.4

43.07

Costa Rica

-4.5

2.9

4

-55.17

27.5

Honduras

-9

4.5

5.2

300

13.46

Uruguay

-5.9

2.7

3.1

318.51

12.9

Guatemala

3.6

3.1

3.4

-16.12

8.82

Dominican Republic

-6.7

4.8

4.5

239.583

-6.66

El Salvador

-7

5

4.4

240

-13.63

Bolivia

-6.2

4.4

3.5

-40.9

-25.71

Colombia

6.1

5.1

3

-19.6

-70

Mexico

3.1

5

2.5

38

-100

Chile

3.2

6.2

3

48.38

-106.6

Peru

0.51

8.5

3.9

94

-117.9

Argentina

-9.9

5.8

2.5

270.68

-132

Ecuador

-7.8

8.8

1.3

11.36

-576.9

Source: based on official information from the region’s central banks. Own calculations and graph.

Note: The difference in growth expressed in percentage units is obtained by estimating the current GDP (projection with the previous GDP).

104

Inflation expectations 2021-2022 ECLAC estimated in 2020 that year-on-year (December-December) average inflation in CARD countries stood at 2.3%, 0.4 percentage points below that recorded in 2019 (2.7%). This slowdown was the result of a significant contraction in domestic demand, due to the temporary closure of economic activities.

The August 2020 expectations surveys conducted by the region’s Central Banks indicate that the simple average of growth expectations for 2020 decreased 0.1 percentage points from -5.9 % to -6.0 % and the simple average of inflation expectations increased 0.1 percentage points from 3.1 % to 3.2 % with respect to the July surveys. Changes in both inflation and growth expectations are heterogeneous among the countries analyzed.

In the case of expectations for 2021, the August 2020 surveys indicate that the simple average of growth expectations increased 0.1 percentage points from 3.8 % to 3.9 % and the simple average of inflation decreased 0.1 percentage points from 3.8 % to 3.7 % with respect to the July surveys.

The countries where growth expectations for 2021 increased were Brazil, Mexico, Paraguay and Peru.

In the case of inflation, Brazil, Paraguay and Uruguay recorded a drop in inflation expectations.

High inflation is expected to continue higher than anticipated in the October edition and supply chain disruptions and high energy prices are expected to persist in 2022. Inflation would remain elevated in the near term, averaging 3.9% in advanced economies and 5.9% in emerging markets in the 2022.

Futures markets indicate that oil prices will rise by about 12% and natural gas prices by about 58% in 2022 (both increases being considerably lower than those seen in 2021), before falling back in 2023 as supply-demand imbalances are further corrected. Similarly, food prices are projected to advance at a more moderate pace of around 4% in 2022 and reverse in 2023.

In many countries, nominal wage growth remains subdued, even though employment and participation have almost recovered to pre-pandemic levels).

In the United States, however, the situation is different: the dramatic fall in unemployment is accompanied by a vigorous rise in nominal wages. This suggests a degree of saturation of U.S. labor markets not seen elsewhere.

Consequently, in December 2021, the Federal Reserve announced that it would accelerate the gradual tapering of asset purchases and hinted that the federal funds rate would likely rise to 0.75-1.00% by the end of 2022; that is, about 50 basis points higher than previously suggested.

On the other hand, ECLAC argues that “global average inflation reached 7.2% in May, a level that had not been recorded since mid-2008, in the midst of the world economic and financial crisis.

For its part, average inflation in emerging economies reached 7.1% and that of the advanced economies 7.5%. Among these, inflation in the United States reached a 40-year high (9.1%) in June 2022, while in the euro area it reached 8.6% in that same month, the highest level since the creation of that currency”.

In other words, inflationary pressures have led central banks to withdraw monetary stimuli and increase monetary policy interest rates faster and more intensely than expected at the beginning of the year.

The United States Federal Reserve has raised the policy rate by 150 basis points in the first seven months of the year (to a range of between 2.25% and 2.50%) and a level of between a 3.25% and 3.50% by the end of the year (at the end of 2021 the level expected by the market for the end of 2022 was only 0.7%).

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EXPORT GROWTH AND TRADE BALANCE IN MEXICO AND CENTRAL AMERICA 2020 - 2021 % EXPORT GROWTH 2020 - 2021

2,24% -9,04%

-12,05%

-8,55%

Nicaragua

-22,58%

El Salvador

-4,49%

-9,45%

Source: ECLAC

TRADE BALANCE 2020* Mexico 24.422

(Surplus)

Costa Rica 2.768 (Deficit)

In US Dollars. *Estimate by ECLAC * Note: latest available data (2020 - 2021).

106

Guatemala 6.637 (Deficit)

Honduras 2.138 (Deficit)

Nicaragua 1.521 (Deficit)

Panama 5.002 (Deficit)

El Salvador 5.563 (Deficit)

Mexico, Central America and the Caribbean

MEXICO: GDP AND UNEMPLOYMENT, 2018-2020

Mexico The Organization for Economic Co-operation and Development (OECD) lowered its growth forecast for the Mexican economy from 3.3% to 2.3% for 2022.

6

4 2

5

0 -2

4

-4

In its “OECD Economic Survey of Mexico”, the international organization also estimated that the gross domestic product will grow by only 5.3 % in 2021, after a previous estimate of 5.9 %.

On the other hand, the OECD anticipated a 2 % growth in private consumption in Mexico for this year, in addition to a 6.5 % increase in exports and 6 % in imports. At the same time, the organization estimated that the unemployment rate will stand at 4 %, which in comparison would not make much difference with the 4.1 % of 2021.

C IM

-6

3

-8 -10

2

-12 -14

1

-16 -18 -20

T1

T2 T3 2018

T4

T1

T2 T3 2019

T4

T1

T2 2020

T3

0

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

During January 2022, the National Institute of Statistics and Geography (Inegi) informed that the National Consumer Price Index (NCPI) presented a variation of 0.59 % with respect to the previous month.

In this way, annual general inflation in the first month MEXICO: GDP AND of the year reached 7.07 %, which represents a slight UNEMPLOYMENT, 2018-2020 decrease compared to December 2021, when it reached 7.36 %, this was reported on Wednesday. 6 4

So

CLEANING EQUIPMENT IMPORTS

2 0 5 The Bank of Mexico (Banxico) warned that by 2022, -2 Mexican economy will continue to face an uncerthe 4 -4 tain environment, so it recommended that the coun-6 try -8 has an environment conducive to investment 3and boost economic growth after the health crisis.

-10

2

-12 -14

1

-16 -18 -20

T1

T2 T3 2018

T4

T1

T2 T3 2019

T4

T1

T2 2020

T3

0

GDP, VARIATION RATE OVER 4 QUARTERS.

81,00% USA

5,00% GERMANY

10,00% CHINA

4,00% KOREA, HUNGARY, JAPAN

INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

JANUARY 2022 TO JULY 11, 2022.

Source: Descartes Datamyne - Inegi.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

107

Costa Rica The Costa Rican economy has continued to grow at a faster-than-expected pace. Since the second quarter of 2021, economic activity surpassed the levels observed prior to the pandemic, and the strong rebound continued in the second half of the year. As a result, the Central Bank of Costa Rica (BCCR) revised upwards again the estimated growth for 2021, to 7.6%, from 5.4% in the projection presented last October.

The Central Bank projects a continued expansion, with a Gross Domestic Product (GDP) variation of 3.9% in 2022 and 4.0% in 2023. These rates reflect a gradual normalization of economic growth, but remain above the long-term trend.

COSTA RICA: GDP AND UNEMPLOYMENT, 2018-2020 5 4 3 2 1 0 -1 -2 -3 -4 -5 -6 -7 -8 -9 -10

T1

T2

T3

T4

T1

T2

2018

T3

T4

T1

2019

T2

T3

C I 24 22 20 18 16 14 12 10 8 4 4 2 0

2020

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS.

The unemployment rate moved visibly downward throughout 2021 to stand at 14.4 % in the moving quarter ending in November, but that rate is still 2.2 percentage points (p.p.) higher than observed before the pandemic.

Like economic activity,GDP the fiscal accounts show COSTA RICA: AND much more favorable results, not only compared to UNEMPLOYMENT, 2018-2020 2020, but also compared to the forecast. As of December 2021, the Central Government accumulated 5 24 a primary deficit (excluding interest payments) equi4 22 3 valent to 0.3 % of GDP (0.9 % projected in October), 2 20 considerably lower than that recorded in the same 1 18 0 16 period of the previous year (3.4 %), while the finan-1 cial-2 deficit was 5.0 % of GDP (5.8 % projected in 14 Oc12 -3 tober and 8.0 % recorded a year earlier).

-4 10

Source: ECLAC, based on official data

CLEANING EQUIPMENT IMPORTS

-5 8 -6 These results helped to contain indebtedness, but4 as -7 4 -8 a consequence of the still high financial deficit, 2the -9 Central Government debt to GDP increased in 2021 -10 0 T1 T2 T3 T4 T1 T2 T3 T4 T1 T2 T3

by 1.1 p.p. 2018 with respect to2019 December 2020, to close 2020 at 68.3 %.

53,10% USA

5,80% JAPÓN

GDP, VARIATION RATE OVER 4 QUARTERS.

25,80% CHINA

2,40% MEXICO, ITALY, COSTA RICA

INFLATION, VARIATION RATE OVER 12 MONTHS.

12,90% GERMANY

UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

108

JANUARY 2022 TO JULY 11, 2022.

Source: Descartes Datamyne - National Customs Service.

S

El Salvador

EL SALVADOR: GDP AND INFLATION, 2018-2020

After a sharp contraction in 2020, the Monetary Fund projected that the economy would grow by approximately 10% of GDP in 2021, and 3.2% in 2022.

This has much to do with the rebound in external demand and El Salvador’s response to the pandemic. The country recorded one of the lowest rates of COVID-19 infections and deaths in the region, and has a relatively high vaccination rate.

Medium-term growth rates in El Salvador will slow to about 2% as stimulus policies in the United States are withdrawn.

CLE IMP 3

4 2

2

0 -2

1

-4 -6 -8

0

-10 -12 -14

-1 -2

-16 -18 -20

T1

T2 T3 2018

T4

T1

T2 T3 2019

T4

T1

T2 2020

T3

-3

36

32

On the other hand, the 64.8 % growth of gross fixed capital formation during the second quarter of 2021 was related to the continuity of investment in infrastructure of buildings, roads, improvement of hospitals and schools, among others; and by investment in machinery and equipment through the acquisition of communications equipment, mainly computers related to teleworking and online service provision; transportation equipmentGDP for services; EL SALVADOR: ANDequipment for electricity generation, among others.

INFLATION, 2018-2020

15

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

Source

CLEANING EQUIPMENT IMPORTS

Additionally, exports grew 113.5 % in the second 3 4 quarter of 2021, in response to the higher demand 2 coming from Central American trading partners2and 0 -2 the United States; while private consumption, which 1 -4 constitutes the most important expenditure compo-6 0 nent -8 within GDP, grew 39.2 % in the period thanks to -10 the higher income that households are obtaining -1 -12 through family remittances and wages; the latter -14 show wor-16 as of June 2021 a growth of 7.3 % among -2 -18 kers contributing to the Salvadoran Social Security -20 -3 Institute T1 (ISSS).

T2 T3 T4 T1 T2 T3 T4 T1 T2 T3 2018

2019

2020

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

BY DEC

36,0% USA

9,0% GERMANY

32,0% CHINA

8,0% MEXICO

15,0% GUATEMALA

BY DECEMBER DE 2020

Source: ITC - Central Reserve Bank of El Salvador.

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109

Panama

PANAMA: GDP, INFLATION AND UNEMPLOYMENT, 2018-2020 3

The World Bank forecasts real GDP growth of 9.9% in 2021 and then a convergence to a potential growth rate of about 5%. The budget deficit will remain high in 2021, but will be below the deficit reduction path established in the revision of the Social and Fiscal Responsibility Law (7.5% of GDP by 2021).

On the other hand, Panama’s statistical institute reported that the performance of the economy in the third quarter of 2021, measured through the Quarterly Gross Domestic Product (GDPT), showed an increase of 25.5 %, with respect to the period of the previous year.

The GDP, valued at 2007 prices, registered an amount of $103.4 billion USD for the compiled quarter, which corresponds to an increase of $210.07 billion USD. They also indicated that the behavior observed in the different economic activities was a reflection of thePANAMA: economic reactivation since the elimination GDP, INFLATION AND of the sanitary restrictions imposed by the health UNEMPLOYMENT, 2018-2020 3 authorities due to the COVID-19 pandemic.

5 0

2

-5 1

-10 -15

0

-20 -1

-25 -30

-2

-35 -40

T1

T2

T3

T4

T1

T2

2018

T3

2019

T4

T1

T2

T3

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

CLEANING EQUIPMENT IMPORTS

0 2 Imports of Digital Signage equipment to Panama as -5 of December 2020.

1

-15

0

-20 -1

-25 -30

-2

-35 -40

T1

T2

T3

2018

T4

T1

T2

T3

2019

T4

T1

T2

T3

-3

2020

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

110

-3

2020

5

-10

CL IM

46,10% UNITED STATES 35,30% MALAYSIA 18,60% CHINA JANUARY 2022 TO JULY 11, 2022.

Source: Descartes Datamyne - National Customs Authority

JA

Sourc

Dominican Republic According to estimates by the Economic Commission for Latin America and the Caribbean (ECLAC), the Dominican economy would register 8.0% growth in 2021. “The recovery would be due in part to the successful vaccination campaign and the expected growth of the U.S. economy, the main source of income from family remittances and tourists.”

Increased economic activity would result in higher revenues, which, together with the gradual elimination of tax exemptions, would reduce the non-financial public sector fiscal deficit to 3.0% of GDP. The current account deficit is expected to narrow to the equivalent of 1.4% of GDP, close to its pre-pandemic level. Inflation would close the year at around 5%, close to the upper end of the target range.

As of April 2021, total exports grew at a year-onyear rate of 22.9%. Imports also recorded a positive variation of 21.2%. Remittances maintained their dynamism, with an increase of 17.9% year-on-year compared to June 2020.

No data available

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Honduras

HONDURAS: GDP AND INFLATION 2018-2020

In the first quarter of 2021, total central government revenues registered a real year-on-year growth of 10.9%, in the face of an increase in tax revenues (13.5% real year-on-year). This was due, in part, to the collection of the December 2020 installment of income tax payments on account, which was postponed to January 2021.

CLE IMP

5

6

4 2 2

5

-2

4

-4 -6

3

-8 -10

2

-12 -14

1

-16

Expenditure rose by 4.5% (0.5% real) year-on-year, due to higher spending on wages and salaries and an increase in current transfers. As of March 2021, the public sector external debt balance contracted by 0.6% (USD 58.5 million) compared to the December 2020 balance, due to a net amortization of USD 22.0 million and a favorable exchange rate variation.

In March, the Government acquired new debt of USD 220 million with the World Bank’s IDA and USD 44.7 million with the IDB. Exports of services reached USD 722 million, 38.7% below the value accumulated in 2019. In addition to the notable contraction inGDP travelAND revenue (-65.8 %), HONDURAS: there was a drop in the export of communications INFLATION 2018-2020 services (-18.9 %) and business services (-6.2 %).

5

-18 -20

T1

T2

T3

T4

T1

T2

2018

T3

T4

T1

2019

T2

T3

2020

4

1

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

CLEANING EQUIPMENT IMPORTS

6

5 As of April 2021, exports had decreased by 13.1%, compared to the same period in 2020.

This behavior -2 4 -4 is associated with the drop in exports of bananas, -6 3 melons, watermelons and sugar, four crops that, -8 -10 improved prices, negatively affected by trodespite 2 pical -12 storms.

Imports increased at a year-on-year -14 1 rate of -16 27.6% to April 2021. Consumer goods grew -18 by 29.5%, especially non-durable goods.

T1

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T3

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0

2018 2019 2020 Imports of capital goods totaled USD 553.4 million, up 42.2 % from April 2019, as a result of increased purchases of transport vehicles and machinery for RATEindustry.

OVER 4 QUARTERS. the textileGDP, andVARIATION agricultural

INFLATION, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

112

45,00% CHINA

1

JANU

Source:

4 2 2

-20

0

11,60% BRAZIL

15,50% USA

8,10% GERMANY

12,90% CANADA

6,90% ITALY

JANUARY 2022 TO JULY 11, 2022.

Source: Descartes Datamyne - National Customs Authority.

Guatemala ECLAC estimates that Guatemala’s GDP will grow by 4.6% in 2021. The central government deficit will close the year at around 3.5% of GDP, as a result of a gradual recovery of revenues. The current account surplus is expected to be around 2.5% of GDP, mainly due to the recovery of imports as a result of the reactivation of consumption and investment.

Year-on-year inflation (December to December) would close at around 3.8%, within the central bank’s target range (4%, with a one percentage point tolerance in both directions), due to fewer restrictions on the supply of goods and services. The open unemployment rate is expected to decrease in 2021, to the extent that progress is made in vaccination and the dynamism of economic activity recovers.

For 2021, a fiscal policy with a strong execution of public spending is expected towards the second half of the year, so that, as of the first four months of the year, a surplus is recorded. Total public revenues experienced a real year-on-year growth of 12.3% as of April 2021.

No data available

Tax revenues expanded by 13.3 % in real terms, while non-tax revenues fell by 5.2 %, also in real terms.

As of the first four months of 2021, total expenditures recorded a real annual decline of 3.4%. Capital expenditures, on the other hand, showed an increase of 0.4% in real terms.

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113

EXPORTS AND TRADE BALANCE IN THE ANDEAN REGION AND THE SOUTHERN CONE 2020 - 2021 % EXPORT GROWTH 2020 - 2021

23,10%

Venezuela

TRADE BALANCE 2020 - 2021

-4,60%

Bolivia 64.800 (Deficit)

Colombia

Colombia 12.481 (Deficit)

2,29%

Ecuador

Brazil 3,07%

3,02%

Peru

Ecuador 2.267 (Surplus) Peru 6.314 (Surplus) Venezuela 1. 530 (Deficit)

0,18%

Bolivia

Brazil 43.602 (Surplus) 5,02% Chile

Source: IADB and ECLAC

114

3,22%

Argentina

Argentina 12. 530 (Surplus) Chile 12.695 (Surplus) In US Dollars *Estimation by ECLAC

Andean Region

Bolivia

BOLIVIA: GDP, INFLATION AND UNEMPLOYMENT, 2018-2020

In the first months of 2021, the economy has shown important signs of recovery due to the improvement of the international environment and the relaxation of the isolation measures adopted at the beginning of the pandemic.

According to ECLAC, “high public indebtedness and modest international reserves could limit efforts to invigorate the economy through expansionary policies alone, especially if the private sector does not play a more active and sustained role.”

In 2021, Bolivia’s average inflation rate was projected to register one of its highest points, at over 3.8%.

Additionally, from 2024 onwards, the inflation rate is also expected to remain stable at 3.5% until 2026.

6

6

5

2 -2

4

-6

3

-10

2 -14

1

-18 -20

T1

T2 T3 2018

T4

T1

T2

T3 2019

T4

T1

T3 T2 2020

0

4

GDP, VARIATION RATE OVER 4 QUARTERS.

2

INFLATION, VARIATION RATE OVER 12 MONTHS.

1

UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

BOLIVIA: GDP, INFLATION AND

CLEANING EQUIPMENT IMPORTS

6

6

5

2 -2

4

-6

3

-10

2 -14

1

-18 -20

T1

T2 T3 2018

T4

T1

T2

T3 2019

T4

T1

T3 T2 2020

0 42,0%

CHINA

10,0% GERMANY

GDP, VARIATION RATE OVER 4 QUARTERS.

25,0%

BRAZIL

10,0% INDIA

INFLATION, VARIATION RATE OVER 12 MONTHS.

13,0%

USA

UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

BY DE

Source:

The 2022 General State Budget (PGE) establishes an economic growth of 5.1%, inflation of 3.4%, public investment of USD 5,015 million and a fiscal deficit of -8%.

Imports will approach USD 8 billion, with USD 7.424 UNEMPLOYMENT, 2018-2020 billion reported for October 2022.

CLE IMP

BY DECEMBER DE 2020

Source: ITC - Pro-Bolivia

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

115

Colombia

COLOMBIA: GDP, INFLATION AND CLE UNEMPLOYMENT, 2018-2020 IMP

The Colombian economy grew by 10.6% in 2021, after plummeting 7% in 2020 due to the ravages of the pandemic, according to official data from the National Administrative Department of Statistics (DANE).

Both figures are historic. Last year’s is the largest increase in gross domestic product (GDP) in the country, at least since the statistical authority has been keeping records, in 1975.

In the region, Colombia’s growth is only below the current projections of the Organization for Economic Cooperation and Development (OECD) for Chile (12%), and is above Argentina (8%) or Mexico (5.9%). The OECD also updated its projections for Colombia, and expects it to grow 5.5% in 2022 and 3.1% in 2023.

4

20

2

18

0

16

-2

14

-4

12

-6

10

-8

8

-10 -12

6

-14

4

-16

2

-18

T1

T2 T3 2018

T4

T1

T2 T3 2019

T4

T1

T2 2020

T3

0

4

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

COLOMBIA: GDP, INFLATION AND CLEANING EQUIPMENT IMPORTS

In turn, consumption, especially private consumpUNEMPLOYMENT, 2018-2020 tion, has been leading the recovery: it will grow 12.2%4 in 2021 and 4.1% in 2022, with a gradual 20 rebalancing from spending on goods to services. 18 2 16

-2

Investment, despite growing 13.1% in 2021, will14not -4 12 be able to recover its pre-pandemic levels. In 2022, -6 10 investment will grow 4.5%.

-8 8

-10

6

-12 By 2022, the moderation of domestic demand,4 the -14 reactivation of services exports and higher oil 2pro-16 duction defi-18 will help moderate the current account 0 T1 T2 T3 T4 T1 T2 T3 T4 T1 T2 T3 cit to 4.5% of 2018 GDP. 2019 2020

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

116

44,50% USA

7,10% ITALY

33,50% CHINA

4,00% BRAZIL, SPAIN,

10,90% GERMANY JANUARY 2022 TO JULY 11, 2022

Source: Descartes Datamyne - DIAN.

1

JANU

Source:

In terms of unemployment, the year 2021 closed with an unemployment rate of 13.7%, a reduction compared to 15.9% in 2020. The informality rate for 2021 reached 48.4%.

0

3

CANADA, MEXICO

Ecuador

ECUADOR: GDP, INFLATION AND UNEMPLOYMENT, 2018-2020

According to the latest report of the International Monetary Fund (IMF), “the latest growth expectations for the region at the end of 2021 rose to 6.3%, compared to July’s estimates (5.8%) mainly due to the reopening and progress in vaccination. Ecuador would have an economic growth of 2.8% by the end of 2021 and 3.5% by 2022”.

Similarly, the inflation projection for 2022 is 2.1%, which evidences a potential recovery of prices. Similarly, the IMF estimates a 0.4 p.p. reduction in unemployment between 2021 (4.6 %) and 2022 (4.2 %). This scenario is explained by the increase in oil prices, the easing of restrictions and the boost in the export of raw materials.

On the other hand, foreign direct investment (FDI) reached USD 364 million between January and June 2021, i.e. 19.9 % (USD 91 million) lower than in the same period of 2020, according to the Central Bank of Ecuador. The sectors that received the highest FDI were: business services (USD 143 million); consECUADOR: GDP, INFLATION AND truction (USD 85 million); and manufacturing (USD UNEMPLOYMENT, 2018-2020 52 million).

5

5

3

4

1

3

-1 -3

2

-5

1

-7 -9

0

-11

-1

-13 -15

T1

T2

T3

T4

2018

T1

T2

T3

T4

2019

T1

T2

T3

-2

2020

6

GDP, VARIATION RATE OVER 4 QUARTERS.

2

INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

CLEANING EQUIPMENT IMPORTS

Despite3 the performance in this first semester,4 the 1 government mentioned its interest in increasing FDI, 3 -1 progress is shown in the willingness to invest in in-3 2 ternational companies, mainly from Peru, Colombia -5 and Mexico. These companies highlight Ecuador’s 1 -7 low inflation, current political stability, economic re-9 0 activation, commitment to fiscal adjustment and le-11 -1 gal security.

-13 -15

T1

T2

T3

2018

T4

T1

T2

T3

T4

2019

T1

T2

T3

-2

2020

GDP, VARIATION RATE OVER 4 QUARTERS.

66,20% CHINA 21,10% USA

INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

JANU

Source:

5

5

CLE IMP

10,70% BRAZIL 2,00% GERMANY, SPAIN AND JAPAN

JANUARY 2022 TO JULY 11, 2022

Source: Descartes Datamyne - National Customs Service.

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117

Venezuela ECLAC estimates that the Venezuelan economy will grow by 1% in 2022, as a result of a greater availability of external assets that imply increases in both crude oil prices and exported volumes, due to the normalization of Venezuelan crude oil commercialization processes as a result of the greater growth of the main destinations of said product, and a possible relaxation of the sanctions imposed by the United States.

GDP graph not available due to lack of data

Private consumption could recover as a result of a greater dynamism in remittances and the end of restrictions on mobility within the country. In this scenario, the Venezuelan economy would put an end to an episode of contraction that has lasted eight years and that, by the end of 2021, would bring Venezuelan GDP to represent just over 24% of what it was in 2013.

Venezuelan exports of goods and services fell by nearly 50 % in 2020, after falling by 33 % in 2019.

This further plunge in exports in 2020 reflects the considerable decline in the average price of the Venezuelan crude oil basket, which fell by 50 % compared to the average value in 2019 (USD 56.6 per barrel).

Similarly, the reduction in the volume exported, estimated at 36 %, also contributed to the sharp decline in Venezuelan exports during 2020. Imports of Venezuelan goods and services decreased by more than 40% in 2020, reflecting the sharp contraction in aggregate demand, as well as the lower availability of foreign currency implied by the drop in exports and the sharp decline in remittances sent by Venezuelans working abroad during 2020.

CLEANING EQUIPMENT IMPORTS

46,10% CHINA

6,80% BRAZIL

30,40% GERMANY

5,00% ITALY

11,70% USA FROM JANUARY 2022 TO JULY 11, 2022

Source: Descartes Datamyne with information from partner countries.

118

Peru

PERU: GDP, INFLATION AND UNEMPLOYMENT, 2018-2020

For 2021, the Economic Commission for Latin America and the Caribbean (ECLAC) projected a growth of 10.6%. With the data available for 2021, it can be seen that in the first half of the year, domestic production accelerated and presented a growth of 20.9%, registering positive results in practically all sectors, although it is necessary to take into account the low base of comparison.

10

4 1

8

-2 -5 -8

6

-11 -14

4

-17 -20 -23

2

-26

The reopening of all productive sectors and the recovery of aggregate demand, particularly domestic demand, contributed to this rebound.

In July, the fiscal account showed a primary deficit of 4.5% of GDP in the 12-month accumulated period, a progressive decline from a deficit of 7.3% at the end of the previous year. This was due to the gradual recovery of tax revenues at a higher rate than the increase in spending after the application of tax relief measures, higher taxes from the mining sector and the gradual recovery of activity.

PERU: GDP, INFLATION AND

The central bank also projected that in 2021 the UNEMPLOYMENT, 2018-2020 public deficit will be halved and public debt will remain stable at 34.4% of GDP (compared to 34.8% 10 in 4 2020).1

CLE IMP

-29 -32

T1

T2

T3

2018

T4

T1

T2

T3

T4

T1

2019

T2

T3

0

2020

67

GDP, VARIATION RATE OVER 4 QUARTERS.

22

INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

Source:

CLEANING EQUIPMENT IMPORTS

8

-2

Revenues rebounded to 19.2% of GDP due to a re-8 6 bound -11 in activity and higher tax and royalty collec-14 tions from the mining sector. Non-financial expendi4 tures-17 declined to 23.9% of GDP as a result of lower -20 current -23 expenditures, which more than offset higher 2 -26 capital expenditures. The fiscal deficit narrowed to -29 4.9%-32of GDP. 0 -5

T1

T2

T3

2018

T4

T1

T2

T3

2019

T4

T1

T2

T3

2020

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS.

67,10% CHINA

5,80% GERMANY

22,50% USA

4,60% ITALY

UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

Source: Descartes Datamyne - National Customs Service.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

119

Argentina In the first half of 2021, the Argentine economy showed a recovery after the gradual lifting of the restrictions on circulation implemented since the end of the previous year. The Monthly Estimator of Economic Activity (EMAE), published by the National Institute of Statistics and Censuses (INDEC), grew by 9.7% year-on-year in the accumulated of the first six months of the year, placing 3.9% below the value of the same period of 2019, before the irruption of the pandemic.

Inflation in the first seven months of the year accelerated to 45.7 % year-on-year, in the context of the increase in international commodity prices, the unfreezing of a set of regulated prices and the economic recovery.

In the same period, the trade surplus in goods narrowed, as a result of an increase in imports (51 %) that was greater than that of exports (31 %). In any case, the high foreign exchange liquidation of the exportARGENTINA: sector and the crediting special drawing GDP, ofINFLATION rights (SDRs) issued by the International Monetary AND UNEMPLOYMENT, Fund (IMF) resulted in international reserve s(a key 2018-2020 variable6 in the context the external crisis afflicting 55 4 50 the country)since the beginning of 2018 increasing 2 45 to about USD 46.2 billion at the end of August 2021.

0

6

55

4 2

50 40 35

-4 -6 -8

30 25

-10 -12 -14

20 15 10 5

-16 -18 -20

T1

T2 T3 2018

T4

T1

T2 T3 2019

T4

T1

T2 2020

T3

In the first half of 2021, the central bank kept un30 changed the annual nominal monetary policy inter25 -10 20 est rate (38 %), the minimum guaranteed rate for -12 15 30-day-14time deposits of individuals up to 1 million 10 pesos -16 (37 %) and the minimum guaranteed rate 5for -18 all other -20 time deposits (34 %). During this period, 0 T1 T2 T3 T4 T1 T2 T3 T4 T1 T2 T3 the interest rate for personal loans also remained 2018 2019 2020 stable at 52.7% nominal annual rate.

INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

CLEANING EQUIPMENT IMPORTS

45,20% CHINA

11,60% BRAZIL

15,80% USA

8,10% GERMANY

INFLATION, VARIATION RATE OVER 12 MONTHS.

12,90% CANADA

6,90% ITALY

Source: ECLAC, based on official data

JAN

Source

GDP, VARIATION RATE OVER 4 QUARTERS.

UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS.

0

GDP, VARIATION RATE OVER 4 QUARTERS.

35

-4 -6 -8

CLE IMP

45

0 -2

40

-2

120

ARGENTINA: GDP, INFLATION AND UNEMPLOYMENT, 2018-2020

JANUARY 2022 TO JULY 11, 2022

Source: Descartes Datamyne - National Customs Service.

Uruguay The markets for Uruguay’s main products have shown favorable signs, and the reactivation measures in the central countries have generated a context of high international liquidity. The Uruguayan economy is expected to grow by 4.1% in 2021, driven by a recovery in the level of activity in the manufacturing industry, gross fixed capital formation, and goods exports.

URUGUAY: GDP, INFLATION AND UNEMPLOYMENT, 2018-2020 4

12

2 0

8

-2 -4 -6

4

-8

The IMF projected economic growth of 3.4% in 2021 and 3.2% in 2022. The reopening of borders and the resumption of tourism could support growth in 2022, although the outlook remains uncertain. Inflation is expected to close 2021 at around 7.2% and to remain on a downward trajectory, reaching 5.8% by the end of 2022.

External demand also had a negative contribution to growth (-2.1 %) due to the sharp drop in exports (-16.2 % YoY) above the drop in imports (-10.8 % YoY). The services sector, led by tourism, was one of the hardest hit by the sanitary emergency and the URUGUAY: GDP, INFLATION continued border closure will continue to severely AND affect thisUNEMPLOYMENT, branch of activity.

2018-2020

-10 -12

T1

T2

T3

T4

T1

T2

2018

T3

T4

2019

T1

T2

T3

0

2020

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

CLEANING EQUIPMENT IMPORTS

12

Given the temporary closure of businesses and in4 dustries and the consequent reduction in income, 2 consumption in the country fell 6.9% in 2020, but a 0 recovery is expected for 2021, reaching 1.7%. 8 -2

-4 Investment will maintain positive indicators in 2021, -6 a result of the progress of the third pulp mill 4 as project in the country (UPM II) and the FFCC works.

This -8 would place investment at 11.7% versus 8% in 2020.

-10 -12

T1

T2

T3 2018

T4

T1

T2

T3 2019

T4

T1

T2

T3

0

2020

40,70% BRAZIL

9,30%

ITALY

GDP, VARIATION RATE OVER 4 QUARTERS.

21,70% USA

8,90%

ARGENTINA

INFLATION, VARIATION RATE OVER 12 MONTHS.

12,10% CHINA

7,30%

ISRAEL

UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

JANUARY 2022 TO JULY 11, 2022

Source: Descartes Datamyne - National Customs Service.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

121

Chile

CHILE: GDP, INFLATION AND UNEMPLOYMENT, 2018-2020

For 2022 and 2023, the growth ranges are corrected downwards, given the higher base of comparison, the gradual decline in the impulse to consumption and a limited dynamism of investment.

7 5 3 1 -1 -3

In the central scenario, GDP will grow between 2 and 3 % in 2022, and between 1.75 and 2.75 % in 2023.

The annual increase in private consumption will moderate significantly over the next two years, largely reflecting the temporary nature of the current income support measures.

-5 -7 -9 -11 -13 -15

T1

T2

T3

T4

T1

T2

2018

T3

T4

T1

2019

T2

T3

CLEA IMPO

14 13 12 11 10 9 8 7 6 5 4 3 2 1 0

2020

57

In investment, significantly lower rates of expansion are expected for 2022-2023 than in 2021. This is mainly due to the low dynamism of construction and works, the slow incorporation of new projects to the cadastres, the maintenance of uncertainty at high levels, the higher indebtedness of companies and the evolution of local financial conditions.

Underlying inflation will close the year slightly below 4CHILE: % annually.

RisingINFLATION energy prices will continue GDP, AND to dominate the volatile component. Thus, after reUNEMPLOYMENT, 2018-2020 aching higher values in the second half of the year, 7 14 total annual CPI inflation will be 4.4% in December 13 5 12 2021. 3

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

CLEANING EQUIPMENT IMPORTS

11 10 9 -1 and 2023, as the fiscal and monetary impulIn 2022 8 -3 se normalizes, inflation will converge towards 3%, 7 to -5 6 remain at that value by the end of the policy horizon, -7 5 in the-9second quarter of 2023.

4 3 -11 2 -13 1 -15 0 T2

T3

2018

T4

T1

T2

T3

2019

T4

T1

T2

T3

2020

GDP, VARIATION RATE OVER 4 QUARTERS. INFLATION, VARIATION RATE OVER 12 MONTHS. UNEMPLOYMENT, VARIATION RATE OVER 12 MONTHS. Source: ECLAC, based on official data

122

9

JANUA

Source: D

1

T1

18

57,70% CHINA

9,30% ITALY

18,10% USA

5,50% SPAIN

9,40% GERMANY JANUARY 2022 TO JULY 11, 2022

Source: Descartes Datamyne - National Customs Service.

LATIN AMERICA CLEANING AND FACILITY MANAGEMENT INDUSTRY MARKET STUDY 2022-2023

123

Index of references Sources cited: Asociación Nacional de Industriales (ANDI), “COLOMBIA: BALANCE 2020 Y PERSPECTIVAS 2021” , 2021.

Banco de la República de Colombia, “Informe de política monetaria”, February 11, 2022.

Central Reserve Bank of El Salvador, “Economía salvadoreña creció 24.5% en el segundo trimestre de 2021”, 01 October 2021.

Inter-American Development Bank, “Broadband policies for Latin America and the Caribbean”.

World Bank, “Panama: overview”, October 6, 2021.

World Bank, “Bolivia: overview”, October 11, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “The Paradox of Recovery in Latin America and the Caribbean. Growth with persistent structural problems: inequality, poverty, low investment and low productivity” , July 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Preliminary Overview of the Economies of Latin America and the Caribbean”, 2021 (LC/PUB.2022/1-P), Santiago, 2022.

Economic Commission for Latin America and the Caribbean (ECLAC), “The Paradox of Recovery in Latin America and the Caribbean Growth with Persistent Structural Problems: Inequality, Poverty, Low Investment and Low Productivity”, July 8, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Economic Survey of Latin America and the Caribbean” , Santiago, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Informe Macroeconómico- Honduras”, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Informe Macroeconómico-Perú”, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Informe Macroeconómico-Venezuela”, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Informe Macroeconómico- Brasil”, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Informe Macroeconómico-uruguay”, 2021.

Economic Commission for Latin America and the Caribbean (ECLAC), “Prospects for International Trade in Latin America and the Caribbean”, 2021.

CleanTec Shows Americas, “Notable increase in the global home cleaning services market”.

124

CleanTec Shows Americas, “Inflation in Latam countries affects cleaning products”.

El Nuevo Siglo, “Pandemic increased consumption of household cleaning and health products”, August 9, 2021.

El País, “El PIB de Colombia creció 10,6% en 2021, la mayor subida anual desde que hay registros”, February 15, 2022.

Infobae, “OECD reduced to 2.3% its forecast for Mexico’s GDP growth in 2022”, February 21, 2022.

Infobae, “Real estate sector remains attractive despite political crisis”, April 1, 2022.

Facility Management Services, “Nuevos modelos de servicios y negocios en Facility Management a partir de la tecnología”, March 3, 2022.

International Monetary Fund (IMF), “World Economic Outlook Update, July 2022: Grimmer and More Uncertain”, July 2022.

International Monetary Fund (IMF), “El Salvador’s recovery is constrained by rising risks”, February 16, 2022.

Forbes, “El desarrollo de construcción inmobiliaria del país crece a pasos agigantados y su monto de facturación no disminuyó durante la crisis”, January 21, 2022.

La Nación, “Costa Rica arrancará el 2022 con sobreoferta en edificios de oficinas y comercios”, December 2021.

World Trade Organization (WTO), “La recuperación del comercio mundial supera las expectativas, aunque con divergencias regionales”, October 4, 2021.

World Trade Organization (WTO), “Trade can help put UN Sustainable Development Goals on track: Director-General Okonjo-Iweala” , July 6, 2021.

Portfolio, “Comercio internacional crecerá 10,8 % este año, según la OMC”, October 4, 2021.

Presidency of Costa Rica, “BCCR ESTIMATES ECONOMIC GROWTH FOR 2021 AT 7.6% AND PROJECTS 3.9% FOR 2022 AND 4.0% FOR 2023”.

Procomer, “PRODUCTOS QUÍMICOS DE LIMPIEZA TIEN TIEN OPORTUNIDAD EN EL MERCADO SALVADOREÑO”, 2021.

Revista Semana, “FMI redujo perspectiva de crecimiento de la economía mundial para 2022”, January 25, 2022.

Limpiezas Magazine, “El reto del Facility Management es convertir los entornos de trabajo en espacios inteligentes”, May 11, 2020.

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Databases: International Trade Center (ITC). With information from UN Comtrade (United Nations Organizations Trade Statistics Database) and official sources: • El Salvador: Central Reserve Bank.

• Guatemala: Central Bank of Guatemala.

• Paraguay: General Directorate of Customs.

• Rep. Dominicana: UN Comtrade.

Descartes Datamyne. With information from official sources and partner countries: • Argentina: General Directorate of Customs.

• Brazil: Latin American Integration Association (Aladi).

• Chile: National Customs Service.

• Colombia: National Tax and Customs Directorate (Dian).

• Costa Rica: National Customs Service.

• Ecuador: National Customs Service.

• Honduras: General Directorate of Customs Franchise Control.

• Mexico: National Institute of Statistics and Geography of Mexico (Inegi).

• Panama: National Customs Authority.

• Peru: National Superintendence of Customs and Tax Administration (Sunat).

• Uruguay: General Directorate of Customs.

Harmonized Tariff Classification Codes (HS-code) analyzed* for Cleaning: HS-Code 84 8424 8424.89 8479 8479.89 8508 8508.11 8508.19 8508.60 96 9603 9603.10 9603.50 9603.90

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Description Nuclear reactors, boilers, machinery and mechanical devices; parts of them.

Mechanical apparatus for projecting, dispersing or spraying liquids or powders; fire extinguishers, spray guns, steam, sandblasting machines.

Mechanical apparatus; to project, disperse or spray liquids or powder, which are different from those for agricultural or horticultural use, for manual use or not..

Machinery and mechanical apparatus; with individual functions, n.e.c. in this chapter.

Mechanical machines and apparatus; having individual functions, n.e.c. or included in this chapter.

Vacuum cleaners.

Vacuum cleaners with a built-in electric motor, with a power not exceeding 1,500W and with a dust bag or other receptacle with a capacity not exceeding 20L. Vacuum cleaners with built-in electric motor, n.e.c. in item no. 8508.1.

Vacuum cleaners, without self-contained electric motors.

Miscellaneous manufactured items.

Brooms, brushes (including parts of machines), hand sweepers, mops and dusters; knots and tufts to make brooms or brushes; paint pads and rollers; rubber scrapers.

Brooms and brushes; consisting of twigs or other vegetable matter tied together, with or without handles.

Brushes, which are part of machines, devices or vehicles.

Brooms, brushes, mops, feather dusters, rubber scrapers, hand-operated mechanical floor sweepers (not motorized); knots and tufts prepared for brooms or brushes n.e.c.

Harmonized Tariff Classification Codes (HS-code) analyzed for Facility Management *: HS-Code** 84 8414 8414.51 8415

8415.81

8415.82 8415.83 8424.89 8479 8479.89 85 8508 8508.11 8508.19 8508.60 8518

8518.21 8518.22 8518.29 8521 8521.90 8523

8523.21

Description Nuclear reactors, boilers, machines and mechanical apparatus; parts of them.

Air or vacuum pumps, air or other gas compressors and fans; ventilation or recycling hoods incorporating a fan, with or without filters.

Fans; table, floor, wall, window, ceiling or roof, with a self-contained electric motor with a power not exceeding 125 W. Air conditioning machines; that have a fan driven by a motor and elements to change the temperature and humidity, including those machines in which the humidity cannot be regulated separately.

Air conditioning machines; containing a motor-driven fan, other than window or wall mounted, incorporating a refrigeration unit and a valve for reversing the cooling/heating cycle (reversible heat pumps).

Air conditioning machines; containing a motor-driven fan, other than window or wall type, incorporating a cooling unit.

Air conditioning machines; containing a motor-driven fan, other than window or wall type, not incorporating a cooling unit.

Mechanical apparatus; to project, disperse or spray liquids or powder, which are different from those for agricultural or horticultural use, for manual use or not.

Machinery and mechanical apparatus; with individual functions, n.e.c. in this chapter.

Mechanical machines and apparatus; having individual functions, n.e.c. or included in this chapter.

Electrical machines and apparatus, and their parts; sound recorders and players; television image and sound recorders and reproducers, parts and accessories thereof.

Vacuum cleaners.

Vacuum cleaners with a built-in electric motor, with a power not exceeding 1,500W and with a dust bag or other receptacle with a capacity not exceeding 20L. Vacuum cleaners with built-in electric motor, n.e.c. in item no. 8508.1.

Vacuum cleaners, without self-contained electric motors.

Microphones and their stands; loudspeakers, whether or not mounted in their cabinet; headphones and earphones, whether or not combined with a microphone, and microphone sets and one or more speakers; amplifiers and sets of audio frequency and electrical sound.

Speakers; alone, mounted on his cabinet.

Multiple speakers, mounted in the same cabinet.

Speakers; it is not mounted on the cabinet of it.

Video recording or playback devices.

Video recording or reproducing apparatus; not magnetic tape type.

Disks, tapes, non-volatile solid-state storage devices, smart cards, and other media for recording sound or other phenomena, recorded or unrecorded, including dies and masters for the production of disks, excluding products of Chapter 37.

Magnetic media; Cards with magnetic stripe, engraved or not, except products of chapter 37.

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8523.52 8525

8525.80 8528

8528.62 8528.71

8528.72

8531 8531.10 90 9027

9027.10 94

9405

9405.10 9405.60 96 9603 9603.90

Semiconductor media; Smart cards, recorded or not, excluding products of chapter 37.

Radio broadcasting or television transmission apparatus, whether or not it incorporates sound receiving, recording or reproducing apparatus; Television cameras, digital cameras and camcorders.

Television cameras, digital cameras and camcorders.

Monitors and projectors, not incorporating television reception apparatus; reception apparatus for television, including radio broadcast receivers or sound or video recording or reproducing apparatus.

Projectors; capable of direct connection and designed for use with an automatic data processing machine of item 84.71.

Reception apparatus for television, including or not radio broadcast receivers or apparatus for recording or reproducing sound or video; not designed to incorporate a display or video screen.

Reception apparatus for television, including or not radio broadcast receivers or apparatus for recording or reproducing sound or video; incorporating a display or color video screen.

Signaling apparatus; electrical or visual sound (for example, bells, sirens, indicator panels, burglar or fire alarms), excluding those of heading no. 8512 or 8530.

Signaling apparatus; Electronic, sound or visual, anti-theft or fire alarms and the like, other than those of heading no. 8512 or 8530.

Optical, photographic, cinematographic, measuring, checking, medical or surgical instruments and apparatus; Parts & Accessories.

Instruments and apparatus; for physical or chemical analysis (e.g. polarimeters, spectrometers), to measure or check viscosity, porosity, etc., to measure quantities of heat, sound or light.

Instruments and apparatus; Gas or smoke analysis apparatus for physical or chemical analysis.

Furniture; beds, mattresses, mattress supports, cushions and similar stuffed furniture; lamps and lighting accessories, n.e.c.; illuminated signs, illuminated name plates and the like; prefabricated buildings.

Lamps, lighting apparatus; including reflectors, projectors and their parts, n.e.c.; signs, identification plates and similar articles, luminous, with a fixed light source and their parts n.e.c. or included.

Chandeliers and other electric ceiling or wall lighting fixtures; except those used for lighting open public spaces or pathways.

Lamps and lighting apparatus; electric, n.e.c. in game no. 9405.

Miscellaneous manufactured items.

Brooms, brushes (including parts of machines), hand sweepers, mops and dusters; knots and tufts to make brooms or brushes; paint pads and rollers; rubber scrapers.

Brooms, brushes, mops, feather dusters, rubber scrapers, hand-operated mechanical floor sweepers (not motorized); knots and tufts prepared for brooms or brushes n.e.c.

* For the import graphs, only the tariff classification codes of products related to Air Conditioning, Electronic Security and Audio and Video equipment were taken, for transactions carried out until December 2021.

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** It is important to bear in mind that some of these tariff classifications include equipment, components and spare parts for professional equipment along with consumer products, since the customs agencies of each country do not differentiate between the two types of equipment. and components when carrying out the import process.

Technical Sheet Survey “Brands most used by cleaning companies in Latin America 2021” Data collection dates: May 18 to July 31, 2021.

Data collection technique: Online survey on the Encuestados.com platform, directory of companies and websites.

Method: multiple choice and open questions.

Subjects to which it refers: Selection of one or several of the most used equipment brands in cleaning and grooming.

Target group: Exclusively the companies of the Top 50 Latin American Cleaning Companies 2021 and Facility Management Companies.

Survey developed by Latin Press, Inc.

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