Export Preview | Digital Logistics Capacity Assessments (2024)

Overview

Due to the revolution in communications and the ease and accessto information on the internet and social networks, it has servedfor companies to offer their services and transcend their locationsor environments. Service companies are those that have increased inPeru and you can find all kinds of companies or services throughdigital channels or social networks. Service companies offerintangibles to their clients to satisfy a specific need. Their end,like the companies that offer products, is profit.

For example, companies that provide gas, water or electricity orlinked to sectors such as tourism, hotels, culture orcommunications. These companies are characterized by having a highlevel of specialization within the activity or branch of businessthey offer. They tend to focus on offering a single response to theneeds of their potential clients, although there are cases ofcompanies that provide more than one service or that combine thegeneration of products and services. The services that companiescan offer are characterized by being Intangible, Inseparable,Expiring, Accessible to customer participation andHeterogeneous.

The types of uniform activity service companies. They offerservices in specific and common sectors on a continuous andperiodic basis. Due to this quality, on many occasions thesecompanies maintain exclusive agreements with their clients, to whomthey offer discounts or special rates. For example: Repair,Maintenance, Cleaning, Audit, Consulting, Messaging, Telephony,Insurers, Management, Water, Gas, Telecommunications, Electricityand Banks.

Of specific activities or by project, where their clients appealto them occasionally, to satisfy a specific need, which does notlast over time. The relationship between the company and thecompany is temporary and there is no contract that guarantees a newhire. For example: Plumbing, Carpentry, Design, Scheduling,Personnel Selection, Catering and Event Organization.

Combined activities companies offer a service together with thesale of a tangible product, such as Hotels, Advertising Agencies,Cinemas, Nightclubs, Restaurants, etc. The important thing is thatthe end user in Peru has access to a complete range of services andthey are served by many companies in the local market and it iseasy to communicate via networks or search for them on theinternet.

For more information on company contact details, please see thefollowing link: 4.11Additional Services Contact List.

Accommodation

The hotel business has four main sources of business: corporatetourism, domestic tourism, inbound tourism, and convention andevent tourism.

According to data published by the World Tourism Organization(UNWTO), in 2017 there were 21,702 hotels and similarestablishments in Peru, information published in 2019. The Nationaland International Guilds or Associations of the hotel industry.

• Peruvian Association of Travel and Tourism Agencies –APAVIT
• Peruvian Association of Youth Tourist Hostels – APATJ
• Peruvian Association of Hotels, Restaurants and Related –NOW
• Peruvian Association of Incoming and Internal Tourism Operators– APOTUR
• Peruvian Association of Adventure Tourism and Ecotourism –APTAE
• Peruvian Association of Agents Affiliated to IATA – APAAI
• National Chamber of Tourism – CANATUR
• Association of Receptive Tourism Operators of Peru,ASOTUR-PERÚ
• Society of Hotels of Peru
• World Tourism Organization – UNWTO
• World Travel and Tourism Council – WTTC
• Andean Community - Andean Tourist Routes

Electricity and Power

The main source of electrical energy in Peru is hydroelectric,thanks to the country's geography, we have many rivers and basinsthat are used for the energy produced. There are 38 electricitygeneration companies in Peru, 6 transmission companies and 22distribution companies. The transmission of electric power in Peruis carried out through the National Interconnected Electric System(SEIN) and the Isolated Systems, both systems have a total of21,589 km of transmission lines, with voltage levels above 30kV.

The SEIN Transmission System is made up of lines of theguaranteed and complementary transmission system, as well as linesof the main and secondary transmission system. In this order, atthe end of 2014, the SEIN registered 21,311 km of lines oftransmission, of which 18% belong to the guaranteed system, 14% tothe complementary system, 13% to the main one and 55% to thesecondary transmission system; These lines transported electricalenergy to the north, center and south of the country. On the otherhand, the Isolated Systems registered 278 km of transmissionlines.

The main concession companies that carry out the electricitytransmission activity are: Red de Energia del Perú S.A. that it has4 660 km (22% of the national total); Consorcio Transmantaro S.A.(10%), the Abengoa Group made up of ATN, ATS and ATN1 (10%), RedEléctrica del Sur. S.A., Eteselva S.R.L., ISA Perú ElectricalInterconnection, Consorcio Energético Huancavelica S.A., EtenorteS.R.L. and Transmisora ​​Eléctrica del Sur S.A. totaling a lengthof 11,249 km of lines (52% of the national total).

Among other transmission, generation and distribution companiesin the electricity market as well as companies that generate energyfor their own use, they have 10,340 km of lines (48% of thenational total) at various voltage levels greater than 30 kV. Wehave enough electric power to meet the needs. It is necessary toexpand the network towards the jungle of the country that we havemany towns and cities with energy produced by generators (diesel),and some others where electricity still does not reach. The voltagein the country is 220 Volts, we have very few interruptions in theinterconnected system.

FinancialServices

Non-Banking entities, are entities that are distinguished fromthe previous ones by not being authorized to collect cash, althoughthey can carry out transactions similar to the previous onesthrough the use of financial instruments of another nature. TheSuperintendency of Banking, Insurance, and Private Pension FundAdministrators is the entity that regulates and supervises thefinancial system, insurance and private pensions in Peru. Itspurpose is to guarantee the stability, solvency and transparency ofoperations.

The Peruvian financial system is made up of banks, financialcompanies, insurance companies, private pension fundadministrators, Banco de la Nación, Corporación Financiera deDesarrollo S.A., stock exchange, investment banks, and the NationalSociety of Stock Brokers. Non-banking entities include ruralsavings banks, municipal credit banks, SME development entities,financial leasing entities, services provided by financialinstitutions. the regulations of the governing body in financialmatters (SBS), the services provided by financial institutions inPeru can be summarized as Credit Cards, Debit Card, MortgageCredits, Compensation for time of services, Bank checking account,Savings accounts, Fixed term account, etc.

BancoDe Credito

Banco de Crédito del Perú is the largest bank and the largestsupplier of integrated financial services in Perú withapproximately US$ 39 billion in total assets and a market share of30.4% in total loans and 33.5% in total deposits. BCP has more than127 years of presence in the country. Its network of more than8,340 points of contact serves more than 6 million clients. BCP isthe main subsidiary of Credicorp (NYSE: BAP), the largest financialholding in Peru.

BCP’sWholesale Bankingcompetes with local andforeign banks and provides its customers with short and medium-termloans in local and foreign currencies, foreign trade-relatedfinancing,leasefinancing, underwritingandfinancial advisory. Its currently the market leader with amarket share of more than 40% in corporate loans. BCP’sRetailBankingserves individuals and small-sized companies with awide range of high value-proposition products with a market shareof over 20%. In addition, BCP is the largest capital market andbrokerage distribution system in Peru; its main activitiesincludeasset management, foreign exchange transactions,treasury, custody and trust, investment advisory services, andresearch activities.

Clearing and Forwarding Agents

The Freight Forwarder or Freight Agents are the transportorganization that is in charge of offering international logisticsservices to clients, exporters or importers, in a personalized wayand attending to specific needs. Freight forwarders or freightforwarders are experts in the field of logistics and they managethe physical movement of goods and products for exporters andimporters, in other words, they perform the cargo transportationservice. In Peru, with the opening of imports at the beginning ofthe 90's, many national and international companies that providethis type of services appeared.

Freight forwarders fulfill an important task in solving theproblems of merchandise transport that international trade poses.In short, its function is to connect the available autotransporters with the exporter's cargo to be transported. Legalentity whose corporate purpose includes, among others, thefollowing activities: Coordinate and organize shipments,consolidate export cargo or deconsolidate import cargo, issue orreceive from abroad the transport documents related to itsactivity.

This procedure must be done before the Customs Administrationwhere the merchandise will be dispatched, attaching, among others,the following documents Commercial Invoice, Packing List (ifrequired), Sanitary Records or Good Views (if required), Documentof Transport. Freight forwarders fulfill an important task insolving the problems of merchandise transport that internationaltrade poses. In short, its function is to connect the availableauto transporters with the exporter's cargo to be transported.

HandlingEquipment

Regarding the rental of cargo handling equipment due to theincrease in the volume of cargo mobilized annually both for importsand exports in addition to the internal movement of cargo in Peru,there is a varied offer of service companies that offer this typeof equipment for rental or financial leasing. More than anything,these types of services are provided close to large cities, portsand airports, but the number of companies that offer this equipmenthas increased.

Postal and Courier Services

The Postal Service is a set of activities carried out by postalconcessionaires, authorized by the Ministry of Transport andCommunications, through the General Directorate of Concessions inCommunications, which includes the admission, classification,dispatch, transport and delivery of correspondence shipments, smallpackages, parcels, remittances or money orders and others. Thepostal concessionaire is the natural or legal person, national orforeign, empowered in accordance with the Law, to provide thepostal service in the requested area. There is also the postalremittance service is the sending of money, for whose delivery, thepostal operator is responsible.

The postal delivery is considered as such, the sending ofletters, postcards, forms, frames, small packages, postal parcels;as well as the sending of valued documents, remittances and othersclassified as postcards by the pertinent regulations. Theadditional services that the postal concessionaire can provide isthe personalized pick-up at home. When the envelopes or packagesare admitted, the concessionaire proceeds to bag it and place thecharge sheet on it.

Printing and Publishing

For publishing and printing services now in Lima and nationwidewe have a wide variety of companies offering printing services,there are even some that can make prints in 24 hours. Thesebusinesses grew in the early 90's when import duties were loweredfor all these equipment used for printing. Having a good resultsince prices have dropped a lot and there is a lot ofcompetition.

TaxiCompanies

The offer of the online taxi service has been strengthening inPeru. Today there are around eight companies - between Peruviansand foreigners - that offer Peruvian customers the opportunity torequest a taxi through a smartphone. The main ones are: Easy Taxi,Cabify, Taxibeat, Ask for 1 Taxi, Taxi Rider and Taxi Satelital. Inaddition, Uber and Tappsi have recently announced the start oftheir operations. Lima is an excellent market to grow due to thehigh number of taxis and the growing need for security for thetransfer of passengers.

It is estimated that 240 thousand taxi drivers circulate dailyin the capital, both formal and informal. With this service byapplication, passengers no longer have the need to negotiate thefare on the street, wait too long for a unit and above all theywill travel safely. It has also been identified that women are theones who use these applications the most, which is why they haveworked hard on the issue of security. For the affiliation of a taxidriver, their criminal and police records are requested. Likewise,passengers can send a relative of theirs, with just one click, thelicense plate of the car they boarded and the route followed by thedriver.

VehicleRental

Despite the informality that reigns in the Peruvian market, thecar rental business maintained a positive evolution during 2019,thanks to the corporate segment and domestic tourism that mostlyopted for this service, on the offer of digital platforms thatlittle little by little they continue to gain ground. In thissense, it is expected that business trips will continue to drivethe growth of Rent a Car in the coming months, as it has been doingsince the beginning of last year. The constant growth of businesstravellers, motivated by Peru's positioning as a country ofopportunities within Latin America, will support this trend.

There are four brands that dominate the car rental sector inPeru, with Lima being the main market. Budget Rent a Car and ZugigRent a Car remained the leading car rental brands in 2019. Butwhile both companies posted higher sales in the prior year, theysaw a decrease in shared value. He argued that Avis Peru, whichranks third in the national ranking, and Hertz, in fourth place,celebrated their fourth year of double-digit growth in 2019. Whileridesharing platforms demonstrate rapid growth in the market;however, for now they do not pose a threat to the car rentalbusiness in Peru.

Waste Management and Disposal Services

In Peru, the waste management and elimination services are incharge of local governments as entities in charge of offeringpublic services have been acquiring greater functions, competenciesand resources. After 15 years of enactment of the General Law onSolid Waste, Peru still suffers from serious public cleaningproblems. Every day we are more urban inhabitants (now 75% ofPeruvians live in cities) and every day in cities Peruvians producemore garbage (on average a Peruvian generates more than half a kiloper day).

The volume of garbage produced in Peru is increasing; 10 yearsago, it was 13 thousand tons per day, today it reaches 18 thousandtons. 50% of this waste is not properly disposed of. To face thisproblem, a long-term public policy is required, instrumented withnorms, incentives, emblematic projects, new technologicalsolutions, technical assistance and training at a decentralizedlevel, massive education and citizenship programs.

New economic instruments are also required to executeinvestments (an Investment Fund and the promotion of Public-PrivatePartnerships when feasible), to provide the service in an adequateway and carry out the OYM of the infrastructure (payment of taxesand effective collection via receipts of light) and incentives(charge more to those who produce more, charge less to those whoproduce less; promote the minimization and re-entry of waste intoproduction cycles).

The municipalities are those who are responsible for thecollection, transportation and safe final disposal service of solidwaste to all residents. In addition, they have the role of chargingfor this service and of ensuring public health, keeping cities freeof vectors. We must support them in developing their capacities,since the municipalities are the entities in charge of providingthe service of collection, transportation and safe final disposalof solid waste. Today we have a large deficit, since around 30% ofthe garbage remains on the streets and more than 50% of the garbagedoes not reach a sanitary landfill, a safe final disposalspace.

The registry of services of Solid Waste Service Providers(EPS-RS), of the Directorate of Environmental Health of theMinistry of Health. http://www.digesa.minsa.gob.pe/Expedientes/EPS-REGISTROS.asp

Non-Hazardous Waste Disposal

In relation to non-municipal waste (Non-Hazardous), the latestinformation corresponds to 2015, mostly with information from themanufacturing, fishery, aquaculture, agriculture and healthsectors; determining that for the year 2015 a total of 11.03million tons was generated, being the manufacturing sector the onethat contributed the most with 80% of the generation.

The final disposal of solid waste according to currentlegislation, the provincial municipalities must regulate andcontrol the process of final disposal of solid and liquid waste andindustrial discharges at the provincial level; as well as thedistrict municipalities must provide the public cleaning servicedetermining areas of accumulation of waste, sanitary landfills andindustrial use of waste.

Hazardous Waste Disposal

Before purchasing the input or material, the suppliers shouldrequest the MSDS sheet of the hazardous materials or supplies tobuy. The MSDS sheets must be derived to those responsible forregistering the hazardous material, and those responsible forrequesting the material.

When hazardous material request is generated, those responsiblemust:

Place the container or storage container according to the degreeof compatibility of the hazardous material to be deposited. Pack ordeposit the hazardous material in containers or containers thatmeet the safety conditions. Classify and label liquid RESPELs. Itmust be carried out based on the United Nations-UN classificationof Hazardous Materials.

The Head of each Unit must carry out the monthly control of theHazardous Material by unit or type. Keep the monthly record of thechain of custody of the hazardous materials. The Responsible Partymust keep the monthly record of the hazardous materials chain ofcustody.

During internal storage, the person in charge must store thehazardous materials in safe conditions and in areas, containers orbins that are duly identified until they are taken to temporarystorage. For the transport, there must be a person responsible forthe internal transport of the hazardous materials within theentity. Empty containers that have contained hazardous materialsand any object that has had contact with a hazardous waste. Theymust be correctly marked and separated.

For the Final Disposal Stage. The person in charge receives thehazardous materials and proceeds to register them according to theinformation required in the Chain of Custody. The EPS-HazardousWaste to be contracted must comply with the delivery of thefollowing documents:

• Registration of the EPS-RS or EC-RS with DIGESA.
• Operational Plan of the routes and schedules established by thecompetent municipal authority for the transfer of RESPELs.
• Authorization for the transport of Hazardous Waste, byDIGESA.
• Delivery of the Manifests of final disposition of the HazardousMaterials, document issued after the entry of the securitylandfill.

The Documents related to the management of Hazardous Materialsthat must be taken into account are:

• Monthly control of Hazardous Materials
• Hazardous Materials chain of custody
• Labelling of the Hazardous Materials
• Hazardous Materials Storage
• Flowchart of Hazardous Materials Management

Disclaimer: Inclusion of company information in theLCA does not imply any business relationship between the supplierand WFP / Logistics Cluster, and is used solely as a determinant ofservices, and capacities.

Please note: WFP / Logistics Cluster maintaincomplete impartiality and are not in a position to endorse, commenton any company's suitability as a reputable serviceprovider.