The Perfect Equation: Oil = Money = Infrastructure
Released On 20th Sep 2018
Importing IT hardware in Guyana’s developing economy
At Mouse & Bear Solutions we like to look ahead, keeping abreast of developing economies globally to predict the next emerging market for IT infrastructure.
Such forward thinking allows us to prepare, ensuring we provide our clients with Importer of Record services into the places they will need it most, without delay. Staying ahead of the market in this way enhances our ability to offer value-added solutions that are way ahead of other trade compliance propositions.
Guyana: why its IT infrastructure is set to boom
This month we have identified Guyana as a place where the demand for IT infrastructure is going to increase exponentially.
Guyana is set to become the richest corner of South America after EXXON’s ninth significant discovery of proven hydrocarbon reserves offshore. In simple terms, this means oil, and lots of it.
Guyana, a small country set in South America’s North Atlantic coast, doesn’t have much in the way of significant trade; as a nation most of their economy comes from the export of sugar, bauxite, rice, and gold, accounting for 70–75 per cent of export earnings. Guyana’s imports consist largely of petroleum, food and machinery.
With EXXON’s oil discoveries, the country is set for change, but the lack of existing infrastructure will prove a challenge for oil companies that want to invest in the region.
Where there is oil, there is money; banks will also, inevitably, want to open their own sites to capture the flow of money in the region.
Without an existing footprint, all businesses will have to start from the beginning and purchase and install entirely new IT systems. Oil companies will require offshore and onshore operations for their personnel and their rigs to operate: data centres, systems to run the highly complex drilling operations, automated systems to pump the oil and so on. The banks will need to install a modern IT infrastructure to open branches and handle 21st century financial transactions.
What are the challenges of importing to Guyana?
This demand for goods in Guyana will produce another challenge: importing. Guyana will most likely seize the opportunity to grow their economy from this new need to import goods. They will enforce their import requirements and costs on the corporations importing to Guyana.
The timescales for the import and construction of the new infrastructure will be long-term; demand and pressure will be high. Companies seeking to establish themselves in Guyana’s developing economy will need to establish reliable, time-efficient methods to import technological hardware.
The value of a trusted partner for global trade compliance
For a corporation, the value of being able to trust their Importer of Record provider to avoid compliance issues and delays in the supply chain simply can’t be under-estimated.
An IOR service provider like Mouse & Bear Solutions eliminates the potential for delays and costly mistakes with customs procedures and permits; this becomes even more important when importing dual-use IT hardware to build and protect the new business on the ground.
Our professional expertise ensures that imported goods will be cleared efficiently and seamlessly, enabling our client to focus on other areas of their operations.