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Our World
Wednesday, July 20, 2011
COLOMBIA
Working hand in hand
towards a new era
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INTERNATIONAL RELATIONS
President
Santos steps
up foreign
relations
drive
Colombia’s President
is engaged in global
efforts to mitigate the
impacts of climate
change, and is also
working with other
nations to improve
multinational
understanding in
the region
Presidents Santos and Obama met in April 2011 to discuss cooperation between the two nations in security, economic and social issues
olombia and the
United States have
built a strong, longstanding relationship based upon
respect, cooperation, and common goals. Some of the values
both countries share are
democracy, individual freedom
and freedom of the press, the
rule of law, economic prosperity, and the expansion of opportunities for all. Now is time
for the next step.
When Juan Manuel Santos
Calderon was elected President
in August 2010, he took over
the reins of a very different coun-
C
try than the one his predecessor Alvaro Uribe had inherited
in 2002. Colombia’s transformation over the past decade has
been extraordinary, and where
former president Uribe was
faced with the task of regaining
control of conflict-torn territory, President Santos presides
over one of Latin America’s most
successful and prosperous
economies, and a regional leader
in peace, justice and security.
While continuing with Mr.
Uribe’s pro-market economic
platform and democratic security policies, President Santos’
path since taking office has dif-
fered from his predecessor’s in
several ways.
Restoring relations with
Venezuela and Ecuador, the
new President has depolarized
divisions within the country
that marked Mr. Uribe’s presidency. He has also turned his
attention to judicial reform, and
launched a corruption probe
into the national anti-drug trafficking agency.
He has worked to amplify
the agenda with the U.S. beyond the free trade agreement,
and has initiated important
new legislation, such as the Victims’ and Land Restitution Law,
which has been globally applauded.
In May this year, Congress
approved the new anti-corruption law, hailed by President Santos as the most
ambitious ever seen in Colombian Congress. Prohibiting the
state from contracting political campaign contributors
while the supported candidate
is in office, the law aims to close
the revolving door between
public and private sectors.
Through this anti-corruption
initiative, coupled with others
in matters of security, Colombia has proven to be not only
a regional leader, but a global
trendsetter to watch.
President Santos has also
made moves to ensure a more
equitable distribution of the
country’s mineral and hydrocarbon wealth through his
‘Prosperity for All’ national development program, while
working to guarantee best practice and the protection of human
rights. The President’s economic
platform is focused on the sustainable development of five
economic engines: agriculture,
infrastructure, housing, innovation and energy, and targets
annual GDP growth of 5%.
Ready for business and new open doors with U.S.
Human rights, democracy, energy, technology, and social and economic development are listed in the new agenda between the U.S. and Colombia
‘TODAY,
COLOMBIA IS
A COUNTRY
THAT HAS THE
CAPACITY
AND THE
EXPERIENCE
TO
COLLABORATE
IN REGIONAL
AND GLOBAL
ISSUES’
GABRIEL SILVA LUJAN,
Ambassador of
Colombia to the U.S.
After more than a decade of
Plan Colombia – the country’s
successful strategy to combat
drug terrorism in collaboration with the U.S. – Colombia
is ready for a new era in its relations with its northern ally
and largest trading partner.
In September 2010, President Santos met with President
Obama to discuss a wider agenda between the two countries
that moves beyond security issues to include democracy and
human rights, energy, environment and climate change,
economic opportunities, culture and education, and sci-
ence and technology. Colombian ambassador to the U.S.
Gabriel Silva Lujan says, “Safety and security are still of great
relevance but now we are looking to expand into a meaningful and substantive bilateral
agenda.”
This new agenda will even
move beyond the free trade
agreement between the two
countries, which is awaiting approval from the U.S. Congress.
“Today, Colombia is a growing, stable and safe country,
and one that is highly important for companies in the U.S.,”
says the ambassador.
Perhaps one of the most important aspects in which
President Santos has distinguished himself from the outset has been in Colombia’s
foreign relations.
Upon his election, analysts
predicted the new President
would work to increase
Colombia’s influence in the
region and place a greater
emphasis on regional integration. Many believe that
President Santos could fulfill the vacancy in Latin
American leadership left by
former Brazilian president
Lula da Silva.
Indeed, since taking office
less than a year ago, the
Colombian President has restored ruptured diplomatic
relations with Venezuela and
Ecuador, acted as a mediator in securing Honduras’ return to the Organization of
American States, and pushed
for greater international involvement in the reconstruction of Haiti in the
United Nations (Colombia
was elected last October as
a non-permanent member
of the UN Security Council
for the 2011-2012 term).
A UNITED WORLD
SUPPLEMENT
PRODUCED BY:
Gemma Gutierrez,
Alvaro Buenaventura,
Carlos Rodriguez-Villa,
Irama Vega, Alberto
Mariscal, and Saturnino
Izquierdo
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this report is available at
http://unitedworld.
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COLOMBIA
A country dedicated to human rights
In Juan Manuel Santos’ 2010 presidential inaugural speech he promised to pass a land restitution law to return stolen lands and to help the victims of violence
President Santos appointed
German Vargas Lleras as his
Interior and Justice Minister
to oversee the enactment and
implementation of a key piece
of legislation, which the minister has described as “the
most ambitious human rights
project in Colombia and an
example to the world”.
The country’s Senate approved the Victims and Land
Restitution Law in May this
year. The legislation will provide reparations to the victims of violence during the
conflict among the government, guerrillas and drug traffickers, and return stolen land
to people forced off their
property.
President Santos and Mr.
Vargas Lleras are working
hard on other reforms as well.
GERMAN VARGAS LLERAS, Minister of Interior and Justice
One important area is changing the law which governs the
distribution of royalties generated by extracting the country’s mineral wealth. The new
legislation will divide the
country into six regions and
ensure that each one receives
royalties from the minerals
taken from within its borders.
Transparency in government and in the justice system is another project for the
ministry. The goal is to provide
citizens, companies and investors with a level playing
field, and to fight the scourge
of corruption. The new rules
will prevent businesses or people who have been involved
with past corrupt practices,
for example, from getting
more work with the government.
To provide even more certainty, the government has
proposed a change to the
Constitution that will end the
possibility of retroactive sentences regarding taxation and
on penal matters. There is also a plan to strengthen arbitration as a means of solving
legal conflicts, which will provide a faster alternative to the
courts.
“President Santos is setting
an example of democracy,
unity, of a new Colombia
where his main focus is not on
solving the past problems, but
on looking straight ahead,”
says Horacio Velez de Bedout, president of telecommunications company UNE.
“I don’t think we need to return to gain momentum, the
momentum is in ourselves.”
Big reduction in violence has put economy
back on the foreign investment map
Terrorist acts are down
84% from 2002.
Homicides and
kidnappings have
dropped 45% and 88%,
respectively, from 2002
through 2009, marking
the lowest rates in 22
years. The Plan Colombia
is proving effective and
the result is higher
confidence at home and
abroad
During the 1970s and 1980s,
Colombia became famous as a
source of cocaine and as a
country scourged by political
violence. The country, whose
biggest legal exports are oil,
coffee and coal, was embroiled
in a guerrilla war against several different armed groups that
sought to overthrow the government.
The biggest insurgent group,
the Revolutionary Armed
Forces of Colombia, or FARC
in its Spanish initials, in the
1990s began to move into drug
trafficking and production to
fund its efforts, sparking further
violence and forcing the government to develop a much
stronger response to the FARC
and other groups.
The Plan Colombia was developed by the Colombian and
U.S. governments to help train
and equip the South American country’s police and armed
forces for the fight against the
armed groups. The plan has
been a great success, cutting
the murder rate from 77.5 per
1,000 inhabitants in 1999 to 34
per 100,000 in 2010.
“The Plan Colombia has allowed us to gain military and
police capacities that we didn’t have before,” says Rodrigo
Rivera Salazar, Colombia’s Defense Minister. “These capacities have been fundamental
to our success against drug trafficking, terrorism and illegal
drug cultivation. It’s not a plan
that was conceived to last indefinitely, but rather with the
goal of improving Colombian
capacities, and that goal has
been achieved.”
President Juan Manuel Santos has continued most of the elements of Plan Colombia put in
place by his predecessor, Alvaro
Uribe. The gains from Mr.
Uribe’s policy of democratic se-
curity, and from President Santos’ focus on promoting the
country’s economy, have managed to change the business
community’s opinion of the
country, and are helping to at-
tract investments from abroad.
“Mr. Uribe turned the country around 180 degrees,” says
Pedro Miguel Estrada, president of Compañia de Empaques. “In regards to foreign
While serving as Defense Minister, President Santos gained popularity for his successful fight against FARC
investment, Uribe created trust,
and the will to invest and believe
in the country.”
The military is also doing its
part to help the economy. The
Defense Ministry has organized
the companies it owns, which
provide logistic, social and security services to the armed
forces, into the Social and Business Defense Group (GSED).
The GSED, which oversees
18 different companies, is tasked
with contributing “in an efficient
and measurable way” to peace
and public safety in Colombia by
supplying the armed forces with
needed goods and services. The
emphasis at the group is on increasing efficiency and productivity, to better help the military,
security apparatus, and ultimately, Colombian citizens.
“Colombians have become
increasingly demanding, they
are demanding more and more
results, better actions,” says Mr.
Rivera Salazar. “This represents
a major cultural change because
it guarantees the continuity of
this policy.”
Colombia’s reinvention has
Stock market named ‘the best
led to great economic growth in the world’
Ricardo Triana of the
Council of American
Enterprises points out that
economic stability has
defined and distinguished
Colombia amidst the
global economic crisis
The global crisis that shook
many of the world’s biggest
economies in 2007 and
2008 had less of an effect
on Colombia, which had
learned its lesson earlier, during a crisis in the 1990s. The
country’s financial system is
well regulated and stayed
strong during the recent difficulties, and the central bank
used a steady hand when it set
interest rate policy to help control growth.
“Two major factors have
contributed to the financial
health of Colombia: a strongly anti-cyclical monetary policy and a sound financial
system thanks to the lesson
learned in the crisis of the late
90s,” says Jose Dario Uribe,
manager of the central bank,
or Banco de la Republica de
Colombia.
That situation has made
Colombia an ideal place for
investors seeking opportunities. The country was ranked
39th in the World Bank’s 2011
edition of its Doing Business
survey, which ranks 183 countries based on a series of
criteria. The area where
Colombia ranked highest in
the survey was ‘protecting in-
vestors,’ where it was ranked
fifth overall.
“I’d encourage all American
companies to come and invest
because there are opportunities in Colombia in nearly every
field,” says Juan Pablo Jimeno,
country manager at CB&I
Colombia, one of the world’s
leading engineering, procurement and construction firms.
Colombia’s gross domestic
product has had solid growth
in recent years, as have its
banks, making the financial
sector an area with strong potential for outside investors.
One indicator of the country’s
financial stability is that Standard & Poor’s raised Colombia’s
credit rating to investment
grade earlier this year.
Between 2001 and 2007, the Colombian Stock Exchange grew fourteen-fold, and it
has embarked on a project that unites the Peruvian, Chilean and Colombian markets
This has been a good year for
the Colombian Stock Exchange,
or BVC in its Spanish initials.
The steady rise of its benchmark index, spurred by robust
economic growth and demand
for good investment opportunities, prompted Morgan Stanley in April to call it ‘the best
stock market in the world.’
The BVC rose an annual average of 35% over the past 10
years, the best such record in
the world, followed by the Peruvian market which rose 24%
per year over the same period,
according to analysts at the U.S.
investment bank. The BVC’s
benchmark index will probably
rise about 22% this year to 17,500
points, Morgan Stanley said.
The exchange also added
seven new foreign companies
to its Global Colombian Market, where the total number of
international shares listed rose
to 28 and now includes global
giants such as McDonald’s, Intel, AT&T and Microsoft.
The BVC is now part of a
new stock exchange that
unites the Colombian, Peruvian and Chilean bourses, providing a larger pool where
business can seek capital.
Launched on May 30, the new
exchange is called the Integrated Latin American Mar-
ket and is the second biggest
exchange in Latin America,
after Brazil, in terms of combined market capitalization
of the companies listed.
The bigger market will provide many advantages for companies that list their shares
there, explains Jose Dario
Uribe, manager of the Banco
de la Republica de Colombia,
the country’s central bank.
“The integration of the stock
exchange with Chile and Peru
will open great opportunities
for investment in the three
countries and will increase
business competitiveness in
the region,” he says.
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Wednesday, July 20, 2011
COLOMBIA
3
Booming banks ready to take on world
Colombia’s financial solidity since the beginning of the millennium has positioned it well to play a more important role nationally as well as internationally
While many of the world’s banking sectors are struggling to recover from the global economic
crisis, Colombian banks are
thriving in both the local market and more recently, the international market, even making
a recent bid to join the Organization for Economic Cooperation and Development (OECD).
The South American country
learned a valuable lesson about
its financial sector during the
1998 national economic crisis,
which the rest of the world is
discovering now: there needs to
be more regulation and transparency.
“As a result of the crisis better
legislation and regulations were
created,” explains Luis Carlos
Sarmiento Gutierrez, the president of Grupo Aval, the largest
Colombian bank controlling
around 30% of the country’s financial assets. “As far as banks
were concerned, they stopped
being so naïve. New rules for
loans appeared.”
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Mr. Sarmiento (who is the son
of Colombia’s wealthiest man
and 135th in the world, Luis Carlos Sarmiento Angulo) went on
to say that Colombians have
learned that they need to maintain control of the system and
become international while still
being managed by Colombians.
Unlike Mexico and Peru, who
have not maintained local control, the three largest banking
groups in Colombia, Grupo Aval,
Bancolombia and Davivienda,
who control more than 60% of
all banking operations, are all in
the hands of Colombians.
As a result of the solidity in
Colombia today, the financial
system’s assets totaled $666.58
billion, meaning a quarterly
growth of 4.19% and an annual
growth of 19.04%. The Colombian banks’ success and stability on a local level positions them
to move into the international
sphere.
Moves for economic expansion are seen both on a private
and public level, as a result of
the growing economy. The
Colombian government put in
a bid in January to join the
OECD, which Colombian President Santos refers to as “a club
with good practices.” The OECD,
an international organization
that works to promote responsible economic policies, is comprised of 34 countries, primarily
economically advanced nations.
President Santos assures that
OECD membership will be a
very important qualitative jump
in the country’s ongoing development and a way to move into
the international scene. “We do
not want to compare ourselves
only to Latin America, we want
to compare ourselves with the
world. We have the potential and
we have the means to emerge
not only in Latin America, where
we are already emerging, but also in the world.”
OECD member countries
are seen as solid economies
and more attractive to investors. According to Michael
Shifter, president of the InterAmerican Dialogue, the
OECD is a privileged club.
“Membership is a measure of
a certain level of economic development and a commitment
to sound policies and goodgovernance practices,” he says,
pointing to Colombia’s qualifications for membership including a banking sector with
strong fundamentals and
macroeconomic stability.
Colombia’s bid has also received a vote of confidence from
the U.S.
“I am very impressed that the
Santos administration has adopted this as a goal,” says U.S. Secretary of State Hillary Clinton,
who visited the OECD headquarters in Paris in June and
highlighted her support for
Colombia’s admission to the
international entity. “The U.S.
wants to support this impressive
investment in the Colombian
people and to look for how we
can reach out to all Colombians.”
The economic development
in the country in part is related
to the strict banking regulations
already in place, but also the control of the growing influence of
the three main Colombian banks.
Grupo Aval, consisting of
Bogota, Occident, Popular
and AV Villas banks, has
assets valued around $32
billion. Its recent purchase
of BAC- Credomatic, a
company in the British
Virgin Islands, for $1.9
billion will give the company more prevalence
throughout South
and Central America
and is expected to
make a profit of $200
million this year. The group
looks to expand through further bank acquisitions and is in
the process of starting to sell its
shares in the NYSE.
Bancolombia, the second
largest banking group, is experiencing enormous success on
a global scale with its policy since
2006 of universal banking, expanding their investment porfolio. When Bancolombia
started selling their bonds, they
received 235 investors from Europe, North America and Latin
America totaling $2.7 billion and
making them one of the most
important Colombian players
in the global market.
Of these three most important economic players, Davivienda, a member of Grupo Bolivar, is the
leader in credit card operations
having 1.6 million of the 8 million in Colombia. Just like Grupo
Aval, Davivienda has opened a
branch in Miami, focusing on
international trade. Among its
growing global success, the company is also famed for its unbeatable working conditions:
Davivienda president, Efrain
Forero, was awarded the prize
of best employer in 2010.
Although growth is important
for the banks on an international scale they also are committed
to giving back to Colombia. An
example is Grupo Aval’s foundation Colfuturo, which helps
send 1,000 students overseas
every year with scholarships for
Masters and PhD
programs.
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Colombia’s
financial system
has shown
annual growth
of 19.04%
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COLOMBIA
Ambitious infrastructure plans open
up opportunities for the private sector
The government is planning major investments in various rail, road, air and port infrastructure projects that are needed to keep the country’s economic growth on the move
President Juan Manuel Santos
has ambitious plans for his country’s economic growth, and he
and his team have identified the
five main ‘locomotives’ that will
drive expansion. The sectors
where the government wants to
attract and focus investment are
infrastructure, agriculture, energy, housing and innovation.
Colombia’s economy has
managed to grow steadily over
the years, even during the worst
times of political and drug-fueled violence, and now that the
armed groups have been reduced to nuisances in most regions, the country is ready to
advance and make the kind of
progress that will improve the
lives of millions.
Colombia needs investment
in transport infrastructure to
help economic growth continue. Cargo exports have increased more than 35% in the
past five years, while the country’s geographic location, with
Pacific and Atlantic coasts, give
it great potential to be a transshipment hub in the region.
The Transport Ministry expects investments of more than
$45 billion on transportation
infrastructure throughout the
country over the next 10 years,
and has plans to attract private
companies both in Colombia
and from abroad to provide
more than 30% of the targeted
investment.
“We are inviting all investors
in the world to come and think
of great works because we want
to have a lot of private equity,
and we are promoting it within and outside the country,” says
German Cardona, Colombia’s
Minister of Transport.
The Ministry is planning to
invest in road, rail, air and port
The Colombian government is issuing more than $562 million in tenders for road and rail projects
projects to improve the flow of
goods and people around and
into and out of the country.
Colombia’s airports will be the
focus of one area of the Ministry’s plans, with the goal of
providing the country with
modern passenger and cargo
facilities by the end of 2015.
One group of projects, for
example, will grant a 20-year
operating concession for the
airports in the cities of Santa
Marta, Cucuta, Bucaramanga,
Barrancabermeja, Valledupar
and Riohacha in return for investments of about $55 million to improve various areas
of their infrastructure.
The number of passengers
using Colombian airports nearly doubled, from 8 million to
15.6 million, between 1991 and
2009. Air traffic is expected to
continue to grow by about 5%
a year, according to Aerocivil,
Colombia’s civil aviation agency,
which plans major investments
to improve air traffic control
and other parts of the country’s
aeronautic infrastructure.
“We want the aviation sector to be the mainstay of the ‘locomotive’ of infrastructure,”
says Santiago Castro, Aerocivil’s director.
In a country the size of
Colombia, air transport is very
important for moving people
and goods around, but as a pro-
ducer of bulky products such
as coffee and bananas, and heavy
materials including coal and
nickel, rail and road transport
are also vital to the smooth functioning of the economy.
The government is in the
process of issuing more than 1
trillion pesos ($562 million) of
tenders for projects, most of
them in the roads sector, while
tenders for building the Carare
rail line and improving the Central rail system will be issued
later this year. In total the government hopes to build 785
miles of new rail.
Chinese builders are mulling
a project to build a rail line linking Colombia’s Pacific and At-
lantic coasts to provide an alternative to the Panama Canal.
Another project would expand
the capacity of a rail line used
to ship coal to the Atlantic
coast, a key to boosting exports
of high-quality thermal coal.
The plans for roads and highways through 2014 will focus
on four corridors, and will build
or improve about 3,045 miles
of roads for about 9.85 billion
pesos. The projects include the
construction of bridges and
tunnels, widening of existing
roads and the building of new
highways.
The new roads and railways
will increase the flow of goods
to Colombia’s ports, and the
government has ambitious
plans in that area as well. About
2 billion pesos will be spent over
the next four years to improve
access to ports, and the government hopes to increase their
capacity by 30% annually by focusing on building a few megaports, rather than many smaller
ones.
Finding financing for major
infrastructure projects can be
a challenge, and the government is working to make the
process easier. It announced
last year that the development
financing agency, known as
Findeter, will be converted into the National Infrastructure
Bank, or BNI, to improve access
to funding.
Findeter lent more than 7 billion pesos from 2007 through
2010, including 1.8 billion pesos for housing, 1 billion pesos
for healthcare infrastructure,
759 million pesos for education
facilities and 221 million pesos
for tourism infrastructure.
The government has the financial muscle to finance a big
part of its ambitious infrastructure investment plans, but
it also welcomes the participation of the private sector, which
can participate in big projects
and help build the transportation system Colombia needs
for future economic growth.
“Our doors are open to
multinational companies in order for them to come and see
the great opportunities in infrastructure, in both rail and
ports systems, airports and
road concessions that will help
make our country more competitive and our economy more
efficient,” says Juan Miguel Duran, Ports and Transport Superintendent.
Natural resource wealth counted
in the billions
From hydroelectric potential through minerals and petroleum, Colombia’s bounty of resources is a huge magnet to foreign investors
The expression ‘an embarrassment of riches’ can easily be
applied to Colombia’s mineral
wealth. The country possesses
the largest coal reserves in Latin
America, is the world’s biggest
producer of emeralds, and has
significant amounts of gold and
nickel. Colombia also produces
copper, iron ore and bauxite, the
main source of aluminum.
As if that weren’t enough,
Colombia also has the secondbiggest hydroelectric potential
in South America, after Brazil,
and proven oil reserves of about
2 billion barrels. That figure
could rise by as much as 6 billion barrels by 2020, if exploration continues at the current
pace, according to officials at
Ecopetrol, Colombia’s state-controlled oil company.
President Juan Manuel Santos wants energy and mining to
be one of the five ‘locomotives’
of growth, and is acting accordingly. Colombia welcomes
foreign investment in these sectors, and especially hopes to attract more money to its oil
industry, which has the potential to grow quickly.
“There have been very important signals that the Colombian government understands
that under private sector development, the oil sector will
experience very significant
growth,” says Carlos Arturo
Espinosa, general manager of
Thorneloe Energy Colombia, a
privately owned oil exploration
and production company.
The most obvious signal that
the government wants to attract foreign investment was a
change to the legal code in January of this year, which opens
up foreigners’ access to the stock
market and gives Colombian
companies seeking financing a
new and much bigger potential
market to tap.
The emerald mining industry is ripe for investment, with
recent studies indicating that
only 7% of potential deposits in
the Boyaca region have been
mined. Boyaca is the source of
some of the highest-quality
emeralds mined today, but its
mines need investment to seek
out deeper and deeper deposits.
Gold is another industry
where new financing could
greatly boost output. Colombia
already has the most proven
gold reserves in South America, and many promising areas
have barely been explored. Production is mostly small-scale,
but new discoveries and better
security have allowed rapid increases in output.
Colombia also has great potential as an exporter of hydroelectric energy. Already
about 70% of the country’s electricity comes from hydroelectric sources, and Colombia’s
many rivers give it the potential to increase production beyond its domestic needs.
Hydroelectric and other
forms of renewable energy are
clearly the future for the industry, and Colombia boasts
abundant conditions to generate electricity from the wind
and the sun. Focusing on those
sources would also help protect the environment, another
one of the government’s goals.
“The great challenge that the
country faces is to promote the
mining sector with environmental responsibility, and to
achieve that balance there must
be a midpoint between social
development and environmental preservation,” says Cesar E.
Díaz, executive director of the
Colombian Mining Chamber.
Colombia boasts the biggest coal reserves in the continent, as well as generous
quantities of nickel, gold, iron ore, copper and bauxite
“Innovative” social housing
plans to raise quality of life
The construction sector, one of the main drivers of the country’s economic expansion,
is getting a further boost with the government’s drive to create more social housing
President Juan Manuel Santos
has announced various different plans to spur economic
growth and improve the standard of living of his countrymen. None are more important
than the housing program,
which will provide the poorest
Colombians with what they
need most, homes and work.
“This is an ambitious project not only socially, but also
economically, as the figures
show that construction is the
most dynamic sector in employment generation,” says
Beatriz Uribe, Minister of
Housing, Environment and
Territorial Development.
The government housing
initiative goals are to build
quality social housing, devel-
op the water supply, sanitation,
drainage and energy infrastructure that accompanies
new home construction, make
government land management
more efficient and build up the
management capacity of the
construction sector.
Construction is currently
one of the main drivers of economic expansion in Colombia, and the forecast by the
Colombian Chamber of Commerce for Construction, or Camacol, is for growth of 4% in
the sector this year. The government’s investment in the
housing sector is an important
factor.
“Social interest housing is gaining great importance in the market,” says Martha Pinto de Hart,
former president of Camacol.
“The impetus that the government is giving to the ‘locomotive’
of housing shows a positive outlook for these projects.”
The government is encouraging private-sector involvement in the construction
program, which will build four
to six macro projects in cities
around the country. The initiative recently gained the important support of the World
Bank, which approved a $40
million loan to help finance it.
The World Bank’s regional director, Gloria Grandolini,
praised the “innovative” plan
and pledged to continue to
support housing programs to
improve living conditions for
those in need.
Our World Insert is produced by United World. USA TODAY did not participate in its preparation and is not responsible for its content
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Wednesday, July 20, 2011
COLOMBIA
5
Huge tracts of land hold
An insatiable appetite
major agricultural potential for innovation
Famed for its fine coffee beans, Colombia’s varied terrain and climate make it
ideal for a wide range of crops
From medical developments to education, information technology and biodiversity,
programs to spur innovation are taking Colombia forward
Colombia has enormous potential to become an agricultural super power. The country
boasts huge tracts of undeveloped land in its interior and,
with the proper investment,
can become as productive and
successful as the development
of Brazil’s Cerrado, which
turned Colombia’s neighbor
into one of the biggest agricultural exporters in the world.
The government has plans
to encourage that development, and is working to attract private investment
alongside the state spending
that will provide potential agricultural areas with the transport and storage infrastructure
necessary to move large
amounts of food commodities from farms to export markets.
“Colombia has significant
potential to contribute as a
pantry of food for which there
is increasingly strong demand
in the world,” says Juan Camilo Restrepo, Colombia’s Minister of Agriculture and Rural
Development.
Colombia’s varied terrain
and climate conditions make
it an ideal country for growing tropical crops as well as
plants that grow better in tem-
The government’s program to
transform the Colombian
economy is well thought out
and tackles several different,
and complementary, sectors
at the same time. Investments
in agriculture and extractive
industries will boost output,
while spending on transport
infrastructure will make it easier to get those products to
their markets, at home and
abroad.
One of the five main ‘locomotives’ identified by the government as vital to growth will
have a broad effect on the
economy. Programs to spur
innovation will help make the
whole economy more efficient
and operate more smoothly,
producing gains for people
and business all along the production chain.
The country already has organizations that are leading
the way. One such pioneer is
Corbic, a Colombian company that develops cardioneurovascular medical technology. Founded six years ago,
it is the brainchild of five cardiologists and a business manager who saw a niche in the
healthcare market.
“Innovation has been the
flag of our organization,
perate climates. Colombia’s
best known and most important agricultural export is coffee, which grows very well in
the country’s warm, rainy,
mountainous regions.
Colombian coffee is famous
for its smoothness and aroma, and commands a premium on world commodities
markets. The U.S. buys about
half of the country’s coffee exports, but Colombia also sells
‘COLOMBIA HAS
SIGNIFICANT
POTENTIAL TO
CONTRIBUTE AS A
PANTRY OF FOOD
FOR WHICH THERE
IS INCREASINGLY
STRONG DEMAND
IN THE WORLD’
significant amounts of the
beans to Germany, the
Netherlands, Spain and other
countries.
Other warm-weather crops
the country produces – and
can produce more of with the
proper development – include
bananas and plantains, rice,
cotton, sugar cane, tobacco
and corn. In cooler areas the
country’s land is also very fertile and can produce a wide
variety of fruits, vegetables
and other crops, such as beans,
cocoa, wheat, barley and potatoes.
The government recently
approved a project that will
invest about $450 million in
underdeveloped regions to
help them take advantage of
their agricultural potential.
Most of the money coming
from the state will be spent to
build up the regions’ road networks, while the government
expects private investors to
step in and invest as the transport conditions improve.
Investment in infrastructure
is another important part of
the government’s plans to spur
the economy, and all the five
so-called ‘locomotives’ of
growth will interact with each
other to boost expansion
further. Another of the government’s most important
policies, the redistribution of
land to Colombians, will also
help encourage agricultural
development around the country.
“The distribution of land
has a historic opportunity to
turn the country into a major
player in food production
globally, as Brazil is also doing,”
says Alejandro Santos, the director of Semana Magazine.
thanks to new government
guidelines, we are exporting
patents and innovative ideas
to the U.S.,” said Carlos Ignacio Granada, co-founder and
general manager of Corbic.
The government takes its
commitment to innovation
very seriously, and is spending
accordingly. One project will
invest about 5.5 billion pesos
($3 million) on telecommunications infrastructure, to im-
THE GOVERNMENT
HAS A PLAN TO
LAUNCH A SATELLITE
THAT WILL BRING
COMMUNICATIONS
SERVICES TO MORE
THAN 22,000
RURAL
COMMUNITIES
prove the ability of the country’s
business schools and universities to share information and
teach a new generation.
To help Colombians in the
remotest part of the country
gain access to the Internet, the
government has a plan to
launch a satellite that will bring
communications services to
more than 22,000 rural communities. The government’s
goal is to put the satellite in
space during 2013.
The government wants researchers to specialize in areas where Colombia has a
competitive advantage. With
its abundant forests, mountains, coastline and rivers, the
country has immense biodiversity, and last year a data
center was opened that provides a single repository of information on Colombia’s
plants, animals and other
forms of life.
Even before the government
started focusing on innovation, there was already a big appetite to use information
technology. In the first half of
2010 investment in the Internet increased 50% from a year
earlier, and the country’s market for software doubled in
size in the three years through
the end of 2009.
Colombia has already had
success exporting technology. The country’s software developers specialize in business
management and security applications, and software exports grew 6% in 2009 from a
year earlier, proving that
Colombia is already an innovative country, and with stimulus from the government is
ready to become even more
forward-looking.
Our World Insert is produced by United World. USA TODAY did not participate in its preparation and is not responsible for its content
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COLOMBIA
The turbulent events Colombia has witnessed in the past
few decades, while giving off a negative image in the
international arena, have in turn made the country more
self-sufficient in many ways. Local entrepreneurs often
had to set out on their own without the help of foreign
investors. In doing so, they became independent and
strong, and came to understand the local market like no
outsider ever could. Moreover, managers tend to infuse
their business activities with social responsibility, lending
a helping hand to their fellow Colombians in need.
As a result, Colombia’s private sector is solid and
businesspeople here play a vital role in the country’s
social and economic development. And now that
Colombia has returned to a more stable state, foreign
investors are taking notice of the local talent, success
stories, innovation and ethical behavior. Add to this
cocktail a transparent and well-regulated financial
sector, a wealth of natural resources and attractive
T P
companies
investment incentives, and the global business
community is thrilled to have a new market with such
vast potential. Some of the world’s biggest and most
powerful multinational companies – from the U.S.,
Canada, Europe, Brazil, China and Korea, among
others – are heading Colombia’s way to take
advantage of these still early stage developments.
On the following three pages, 11 companies are
highlighted for their contributions to the local economy.
Some began from a grassroots level and are now sector
leaders, such as Servientrega, Inversiones Mundial and
Olimpica, while others became key allies of foreign
brands in Colombia, like Hyundai Colombia. Some of
these companies, including Grupo Bolivar, Grupo Aval
and UNE, began as a response to fulfill a clear demand.
In addition, Pacific Rubiales, Procafecol, Grupo Nutresa
and Grupo Aviatur are four local companies that have
very successfully harnessed Colombia’s natural wealth.
HYUNDAI COLOMBIA
GRUPO AVIATUR
A key ally for Korea in Colombia
Tourism has
never looked
so bright
Business entrepreneur Carlos Mattos linked up with Hyundai, taking the Korean brand to unforeseen heights
In the early 1990s, Harvard
MBA student Carlos Mattos
attended a conference given
by the president of the American-Korean Chamber of
Commerce president, and was
struck by the idea of importing Korean products into his
native country of Colombia.
After the talk, Mr. Mattos approached the Korean and inquired what brands were
looking to be globalized. After
receiving the answer that several automotive makers wished
to enter foreign markets, a young
Mr. Mattos got in contact with
Hyundai and by 1992 had been
chosen to be the Korean company’s distributor in Colombia.
Through inspiration, and some
CARLOS MATTOS
President of Hyundai Colombia
rather unconventional marketing tactics at a local car show,
Mr. Mattos managed to sell 200
vehicles, surpassing even his
own expectations and impressing the Koreans.
Today, Mr. Mattos’ Hyundai
empire comprises 36 dealers
and 54 outlets, and sales exceed
$1 billion. Hyundai Colombia is
the third company in the country, and ranks first in imports.
“We’ve been named Best Distributor for Latin America seven times, and two times as the
Best Distributor Worldwide,”
boasts Mr. Mattos. “We’ve always fulfilled the annual sale
goals that Hyundai has set for us.”
Seeing opportunities in other areas, Mr. Mattos has taken his
business shrewdness beyond the
automotive sector. He has already entered the U.S. market
with real estate projects and this
year Mr. Mattos, who ranks
among Colombia’s wealthiest
men, has teamed up with Poma
Group in a local project that will
have a positive social impact.
“We are in a joint venture to
improve a run-down area in
Cartagena de Indias, called
Chambacu. We want to develop a residential complex in a sixhectare lot as a point of reference
for the local citizens and the national and foreign tourism in the
city,” he explains. “The project is
at an advanced stage and will
help the community interact
more and provide many jobs.”
Grupo Mattos, the company that holds the exclusive dealership rights to Hyundai in Colombia, is participating in talks to set up a Korea-Colombia free trade agreement
Grupo Aviatur is eager to lead Colombia as the
world’s next favorite tourist destination
Colombia is a beautiful country, with much of its natural
areas still intact, lovely cities
and towns, and thousands of
square miles of marine area.
Aviatur is the country’s most
famous travel agency which
has been developing tourism
routes to unexplored places
and making the country accessible to Colombians and
foreigners alike for over half
a century.
Established by Jean Claude
Bessudo, Grupo Aviatur currently has 29 companies,
some 4,400 collaborators and
298 offices in the country.
Abroad, Aviatur is represented in Quito, Caracas, Havana, Panama City, Paris and
Miami.
Mr. Bessudo is highly optimistic about Colombia’s role
in the global tourism market
in the very near future. “During the Vietnam War, nobody
thought that one day Vietnam would become a main
tourist destination. Those of
us who knew about Lebanon
during its toughest times,
who experienced the time of
Khmer Rouge in Cambodia,
did not imagine the importance they would bear. Therefore, I consider that Colombia
will be next in line,” he says.
One of the group’s flagship
subsidiaries is Avia Hotels.
Founded in 2006, Avia stands
JEAN CLAUDE BESSUDO
President of Grupo Aviatur
out for having been the first
to apply for permission to establish lodgings in Colombia’s national parks. “Our
proposal aimed to improve
park facilities in a way that
they would welcome both
backpackers and wealthy
travelers, and has been highly successful,” explains Mr.
Bessudo. “We like ecological
tourism and our four projects
are located in the Tatacoa
Desert (which is already in
operation), Cartagena, Santa
Marta and in La Guajira.”
Aviatur has also developed
a charming seaside hotel in
Gorgona, an Alcatraz-style
prison island that in 1985 was
turned into a National Natural Reservation Park.
OLIMPICA
PACIFIC RUBIALES
Neighborhood shop to
superstore giant
Colombia’s independent
oil and gas company
Olimpica is an excellent
example of how one man
can turn a family business
into a mega-business
Some companies, though
humble in origin, seem destined for greatness. Such is the
case of Olimpica, which started out as a simple Barranquilla
pharmacy.
Ricardo Char Zaslawy, a Syrian immigrant, opened his first
shop in 1953 and by winning
the loyalty of his clients, was
able to open two more shops
over the following year. However, as a result of a car accident in 1955, he was unable to
continue working at the shop
and so his son, Fuad, took over
at the young age of 17.
Though still a teenager and
largely inexperienced, the
young Mr. Char soon demonstrated an innate business acumen, turning the small chain
around and conquering the
Barranquilla market, along
with the help of his brothers
Jabib, Farid and Simon who
formed the company Char
Hermanos Ltda.
“I had to open my father’s
store on July 31, 1955. Fiftysix years have almost passed
and I am still there, managing
that store and more than 200
other stores that we have all
around the nation,” recalls Fuad
Char, president of Olimpica.
In 1968, he inaugurated the
first Olimpica superstore under the motto “Sell more for
FUAD CHAR
President of Olimpica
less”. In the early 1970s, Mr.
Char opened another Olimpica superstore, this time pioneering the self-service system,
an idea heretofore unseen in
Barranquilla. From here on
out, Olimpica’s growth was unstoppable.
Today, shoppers can find
nearly everything they need
at any of Olimpica’s superstores
– from fresh produce, meat,
bakery and deli products to
home appliances, clothing, furniture, hardware, toys, pharmaceuticals and cosmetics.
The Olimpica chain has surpassed COP2.6 billion ($1.5
million) in sales and today
ranks 13th among Colombian
companies. Moreover, the
Char Group has investments
in a wide variety of other areas, including media, finance,
construction, real estate, fast
food, packaging, advertising,
rice and poultry production,
concentrates, security services,
and telephony.
In Colombia and beyond, Mr.
Char is known as a savvy businessman and retailer as well as
the long-time owner of Junior
de Barranquilla, one of the most
successful Colombian soccer
clubs, and the nationwide radio
station Olimpica Estereo.
Mr. Char is also widely considered Barranquilla’s most famous politician. He was
named Governor of Atlantico State and Minister of Economic Development by
former President Virgilio Barco, in 1987, and in 1991 was
voted senator for the Liberal
Party. Reelected to Senate in
1994, 1998 and 2002, with the
backing of Alvaro Uribe Velez
(Colombia’s president from
2002 till 2010), Mr. Char later
served for a year as the Colombian Ambassador to Portugal.
He decided to return to his
hometown of Barranquilla,
from where he once again ran
for Senate, this time under the
Cambio Radical party. The
business magnate and politician’s sons, Arturo and Alejandro, have also gone into
politics, the latter having
served as Governor of Atlantico State in 2003 and Mayor of Barranquilla from 2007.
Meanwhile, another son, Antonio, has taken charge of the
family businesses.
Pacific Rubiales is one of the most famous investments thanks to its successful hit rate
Colombia is one of six Latin
American countries that have
the most significant energy
resources for the future. Listed on the Toronto and Colombian stock exchanges, Pacific
Rubiales is Colombia’s largest
independent oil and gas exploration and production
company.
It has 100% ownership of
Pacific Stratus and Meta Petroleum Ltd., two important
local oil and gas companies
that operate and hold interests
in the Rubiales and Piriri oil
fields in the Llanos Basin, as
well as the La Creciente natural gas field in the northern
part of the country.
Pacific Rubiales hasn’t always been this large and successful. According to
company CEO Ronald Pantin, this is “a company that
three years ago started with an
initial capital of $280 million
and today has $10 billion; we
are talking about outstanding
growth.”
“Speaking of lands to be explored, today we have almost
the same amount as Ecopetrol
[the state-owned company],
that is, 14 million acres in 35
blocks in Colombia,” he adds.
“With this success rate we
have had and with the extrapolated experience from
Venezuela, I think this company’s fate is to have huge
growth.”
Pacific Rubiales is partici-
pating in various projects to
transport crude oil, including
the Bicentenary Oil Pipeline,
which it is developing in collaboration with Ecopetrol.
While this line leads to an outbound port on Colombia’s
Caribbean coast, Mr. Pantin
forecasts the need to also
build a pipeline to the Pacific coast, to better fulfill the
demands of the rapidly growing Asian markets.
The company is also responsible for the greatest nat-
ural gas inland discovery in
Colombia. “We are planning
for huge growth, especially in
relation to exports to the
Caribbean and Central America, which may place Colombia
as the main energy provider in
these regions,” says Mr. Pantin.
Although oil and gas comprises Pacific Rubiales’ key activity, the company is also
active in gold, coal, and asphaltite mining, as well as
renewable and alternative energies.
Our World Insert is produced by United World. USA TODAY did not participate in its preparation and is not responsible for its content
RONALD PANTIN
CEO of Pacific
Rubiales
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COLOMBIA
7
UNE
GRUPO BOLIVAR
Dialing into the U.S.
Financial group goes
from strength to strength and EU markets
Exciting changes are in the air for Grupo Bolivar, one of Colombia’s key financial groups
Local telecoms player UNE has found success in venturing abroad
In 1939, just three months before the outbreak of World
War II, a group of Colombian
investors founded one of the
most important insurance
companies in the country: Seguros Bolivar. Strong growth
over the next several years
helped Seguros Bolivar grow
into a financial group, and two
more companies were estab-
UNE is a Colombian telecoms
company established in 2006
as part of Empresas Publicas
de Medellin (EPM), Medellin’s
55-year-old public utilities company. UNE was founded as
Colombia’s response to foreign
telecoms giants, such as Spain’s
Telefonica and Mexico’s Telmex
and America Movil.
It was no coincidence that
UNE’s 2006 break into the market coincided with the FIFA
World Cup. A television spot
came on directly after the final
game on August 9 for the greatest impact and largest viewing
audience, under the promise:
“All in UNE for a simpler world”.
For the rest of the year, UNE
nearly doubled its revenues, and
by 2007 it had become one of
the leading providers of broadband services.
A reference in Colombia’s telecoms sector, UNE is pursuing an
ambitious internationalization
strategy, making incursions into the U.S. and Europe through
its business unit Orbitel, which
offers prepaid phone cards, cellular plans, and virtual numbers,
among other services.
“When we began the process,
we activated our prepaid companies in the U.S. We used these
products as our spearhead to
understand the behavior of these
markets, not just to sell cards,”
explains Horacio Velez de Bedout, president of UNE. “Simultaneously, we began working on
prepaid mobiles since we noticed the Latin-American communities abroad transferred
money using online payments
or remittances. We achieved a
high level of reliability in our
card; we now are introducing a
SIM card that users can take
with them abroad to be able to
ucafe S.A., Bancafe Panama
and Bancafe Internacional Miami, thus strengthening its
presence abroad.
At home in Colombia, the
group is one of the most important players in the financial
sector, and as such, is the partner of choice for a good number of foreign companies.
“Many American and Euro-
pean companies we work with
come here,” explains Mr.
Cortes. “I think that we are
the ones who mostly work
with U.S. and European insurance companies and
banks.”
The year 2011 brings two
important changes in the
company’s direction. In
March, Jose Alejandro Cortes
stepped down as
president, leaving
the group in the
capable hands of
his son, Miguel.
Earlier in the year
Grupo Bolivar
added a new activity to its portfolio when it
established VivaColombia, a lowcost airline, with
partners Grupo
Fast, Iamsa and
VivaColombia, Grupo Bolivar’s newest project, is expected to take flight by the end of 2012
Irelandia.
JOSE ALEJANDRO
CORTES, former
President, and
MIGUEL CORTES
KOTAL, current
President of Grupo
Bolivar
lished in 1948 – a general insurance company and a savings
and capitalization corporation.
The next several decades
witnessed huge expansion for
the Bolivar group under the
leadership of Enrique Cortes,
one of the original founders,
and later under his
nephew, Jose Alejandro Cortes.
In 1972, Grupo
Bolivar, along with
various other insurance companies and a
bank, set up Banco Davivienda, a savings and
mortgage bank. Four
years ago, Grupo Bolivar
bought 99% of Banco
Davivienda’s shares, and
with this purchase also
acquired affiliates Fid-
use our company services while
they are traveling.
“We have a relatively small
company in the U.S. and it has
spread throughout different
states. From there we reached
Canada, and from Spain we got
to England. Since we can offer
our international services from
a duty-free zone, it means we
do not have to pay taxes in
Colombia, and services can be
exchanged for equipment importation. It also means we can
import and export minutes
from a duty-free zone under
the Vallejo policy.”
So as to become more competitive and achieve an even
higher rate of customer satisfaction – the company already
ranks number one in many
categories) – UNE has begun
deploying HP network management technology to improve service quality. UNE’s
diverse networks, which include fixed and mobile telephony, VOIP, high-speed
Internet, cable TV, entertainment and business services, will
benefit from consolidated service assurance thanks to HP’s
operations support system.
HORACIO VELEZ DE
BEDOUT
President of UNE
PROCAFECOL
GRUPO NUTRESA
Coffee firm delivers a global fix
Foreign sales
are sweet for
business
Juan Valdez is synonymous
with a good ‘cup of Joe’.
The company behind the
growing international chain
of Juan Valdez Cafes,
Procafecol S.A., is less
famous yet no less important
Over half a century ago, Juan
Valdez and his trusty mule,
Conchita, made a humble appearance on the world marketing stage, representing
Colombian coffee as a friendly and accessible commodity.
Today, 51 years later, a new
version of Mr. Valdez continues his journey throughout
the world, reminding people
of the pleasure they can get
from each sip of the rich, velvety and life-infusing brew.
Procafecol was established
in 2002 by the National Federation of Colombian Coffee
Growers, coinciding with the
inauguration of the first Juan
Valdez Cafe in Bogota. From
HERNAN MENDEZ
President of Procafecol
2004 onwards, Procafecol began opening more shops in
Colombia and in 2006, once
it had created a holding company, it started distributing
high quality Juan Valdez products through new distribution
channels, including department stores.
The year 2005 marked Pro-
cafecol’s expansion into the
international arena, when it
opened Juan Valdez Cafes in
the U.S. and Spain. Now, coffee lovers in Chile and
Ecuador can also enjoy a freshly brewed cup of Colombian
coffee, a coffee shake, a frozen
coffee drink, and a tempting
variety of bakery goods.
The shops also sell packages of Juan Valdez “gourmet
selection” sustainable coffee
to prepare at home. When the
fictitious Juan Valdez turned
50 last year, the company
launched various initiatives
to reinforce the brand around
the world.
The legendary coffee grower got his very own website
(www.juanvaldez.com) where
visitors can learn more about
the character and the coffee
growers he represents. In line
with his newer image, Juan
Valdez has his very own Twitter and Facebook accounts.
In the first half of 2010, Juan
Valdez took to the road and
visited the U.S., where Procafecol’s 100% Colombian
Coffee program has been a
hit. New Yorkers, Chicagoans,
Los Angelinos, Miamians and
Seattleites were served 4,800
free cups of 100% Colombian
coffee. Lest Juan’s compatriots
be miffed, he also visited 18
cities and towns around
Colombia on a “Juan Valdez 50
years: the road ahead” tour.
The 100% Colombian coffee advertising campaign,
with the slogan “What’s behind the world’s best coffee?”
reached 84 million people in
the U.S. between 2009 and
2010, through the printed
press (People magazine), television, and Internet (Facebook, Twitter and YouTube).
Coffee drinkers were reassured that Juan Valdez represents quality, taste and
sustainability.
INVERSIONES MUNDIAL
A tradition of advancing investment
Since 1921 Inversiones
Mundial (IM) has actively
participated in wholesale
commerce – bringing
commercial and industrial
development to all corners
of Colombia, expanding
operations to a global
market
With client focus as a starting
point, IM commits to permanent revision of human talent,
importance of procedure, and
generation of spaces for development. “You don’t develop for
growth unless you also grow
for production,” states Ernesto
Fajardo Pinto, president of IM.
Operating 34 companies in
11 countries, exporting to 17
nations, and delivering to 700
municipalities in Colombia, IM
leads its field and cultivates activities in the chemicals, paints,
commerce, dyes, containers,
tubing, logistical and service
sectors. The firm registers annual sales of $1-2 billion, with
a labor force of 5,000 people
ERNESTO FAJARDO PINTO, President of Inversiones Mundial
and a presence in Mexico, Argentina, Chile, Central America, the Caribbean and most
recently, Brazil.
Under the guidance of Mr.
Fajardo, IM is a conjunction of
companies with international
character. Leaders in the Latin
American marketplace, they
“turn up the volume of action
every day with emphasis on the
strength of operations and the
search for new commerce”.
Economists and journalists
alike turn to Mr. Fajardo for
projections of social and industrial market trends, perhaps
because of IM’s significant devotion of 15-20% of business
towards new investments and
international negotiations.
Quality is Mr. Fajardo’s lead-
ing factor. He aims to participate in every market sector, present solutions according to each
need, aggressively target innovation, and market reengineering.
“Our history,” he says, “derives from innovation and the
creative capacity to invent a
business.” There are four strategic units: commerce based on
the branding and distribution
of imports; paints, for which
IM ranks first in Colombia and
second in Ecuador and
Venezuela; chemical resins and
tubing; and water services and
treatment.
IM will build 10 model houses this year and Mr. Fajardo is
currently working with engineers from Brazil, Spain and
Denmark to develop materials
from eco-friendly polyester
resins. “We are focusing on producing less expensive infrastructure to support local and
national governments in the
construction of more sustainable cities through time,” he says.
Grupo Nutresa’s international growth means high
quality treats for a larger market
Originally called Grupo Nacional de Chocolates, the
conglomerate very recently
changed its name to Grupo
Nutresa to better reflect its
broadened focus on cold
cuts, coffee, ice cream, cookies and pasta, in addition to
chocolate.
Today with a 60% market
share, Nutresa is Colombia’s
leading processed food company and ranks among the
Latin American food sector’s
top 10 regional players. Sales
hit $2.52 billion in 2010 and
though this was lower than
the 2009 results ($2.59 billion) – due to the devaluation
of the Venezuelan currency
– shareholder dividends rose
by over 5%.
Aside from venturing into
new foods, the 90-year-old
group has also been
exploring opportunities
abroad.
“In the last decade we’ve
made over 15 investments
from Peru to the U.S., going
through Panama, Costa Rica
and Mexico, where we have
industrial operations,”
says
Carlos
Piedrahita, president of Grupo Nutresa. “We have
built a commercial web in 11
countries in the region, successfully taking our brands
and products to millions of
consumers and also exporting to Europe, Africa and
Southeast Asia.”
Despite recent acquisitions
in the U.S. and the
Dominican Republic, Mr.
Piedrahita, who has led Nutresa’s aggressive internationalization policies for over
a decade, says that the group’s
foreign sales represent just
30% of the total, a number
he plans to increase if it is to
become a truly global company.
Earlier this month, Nutresa broke records on the
Colombian Stock Exchange,
when its sale of 25 million
shares was met with a demand 17 times higher. The
group sought to raise $295
million, yet investors eagerly responded with offers topping $5 billion.
Other merits this year include the group’s inclusion
in the SAM Group’s Sustainability Yearbook 2011,
the world’s most comprehensive report regarding
corporate sustainability. Nutresa is the only
Latin American food
company and the first
Colombian firm to be
highlighted in this list.
Our World Insert is produced by United World. USA TODAY did not participate in its preparation and is not responsible for its content
CARLOS
PIEDRAHITA
President of
Grupo
Nutresa
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COLOMBIA
GRUPO AVAL
SERVIENTREGA
Financial holding hopes
Family run cargo firm
retains its personal touch to attract investment
Starting from the ground
up, Servientrega is more
than a mere courier service
Servientrega is a true success
story of hard work, dedication
and sacrifice. It is a small cargo
transport and logistics company that was built by a brothersister team from the countryside
who discovered an underserved
niche in the market, and though
they started with practically
nothing, their company now
boasts an international presence. Co-founder and president
of Servientrega Luz Mary Guerrero recalls the initial days when
they would get up at 4am to
stand in line for the shared shower at the Bogota boarding house
where they rented rooms.
“We traveled by foot because
we couldn’t afford public transportation,” she says. “We would
personally pick up deliveries and
send them to their destination,
where we had contacts
that would pick them
up and take them to
our clients. We financed our company
through loan sharks,
pawn houses and
our own savings because we didn’t qualify for a loan from
the financial system.”
Once business
started to pick up,
Miss Guerrero and her
brother, Jesus, bought a small
vehicle to make deliveries, and
then eventually leased a small
fleet of vehicles. With time,
they expanded to Cali,
Medellin and Barranquilla.
Advertising was done via
word of mouth at neighborhood
parties, flyers, microphones, and
any other basic communication
means available. “A sort of magic began to grow around
Servientrega,” says Miss Guerrero, and thus business boomed.
“Servientrega is a family business, maybe that is why we are
so close to our people, to our
clients. We are an extended family, not a cold and exclusive com-
pany where the executive level
is distanced from the rest of the
employees. On the contrary, our
closeness, our warmth and our
teamwork distinguish us,” claims
Miss Guerrero.
“We have a succession plan so
that our people’s legacy may be
multiplied by every collaborator that works with future generations in preparing them to
embrace new challenges inside
the organization whether it is
in Colombia or in any other
country.”
LUZ MARY GUERRERO
Co-founder and President of
Servientrega
Today, Servientrega manages
most of Colombia’s express deliveries, including documents,
merchandise, and valuables,
and also provides storage, incompany solutions, and an international moving service.
Servientrega’s Global Box is a
unique service that allows clients
to send their documents, merchandise and Internet purchases to Global Box’s physical
address in Miami, from where
Servientrega then forwards it
on to the client’s destination.
The Colombian company has
already consolidated itself at
home and abroad in countries
including Ecuador, Venezuela
and Peru. Its business model in
Panama has been so successful
that the Guerrero team plans to
copy it in Brazil and the rest of
Central America. “For Panama
to keep on growing, we need to
be present in the rest of the region; it is a two-way business,”
explains the company president.
Plans for the business include a continuation of the restructuring of the company’s
infrastructure, maintaining
ownership and control over
one part and outsourcing the
rest. “This makes it possible for
us to be more flexible and light,
guaranteeing short and longterm self-sufficiency, capacity
and security,” she adds. “We
now move our operations with
absolute liberty, sharing part
of our space with our national and international colleagues.
This has undoubtedly been
a positive move that has given us strength and independence in the region.”
Servientrega is also
committed to helping fellow Colombians in need,
especially in areas the
government is unable to
cover. The Guerrero
siblings created the
Successful Women
Foundation (Fundacion
Mujeres de Exito) to help involve women in science, politics and culture, improving
their quality of life. The company also founded the Give
Yourself to Colombia Corporation (Corporacion Entregate a Colombia), which
promotes the founding of new
businesses by offering training.
Miss Guerrero says other initiatives include the Giving Festival to encourage ecological
consumption, and the Giving
Philosophy, in which Servientrega delivers “lives, dreams,
love, ideas, businesses, and
hopes. This is the true essence
of any package we deliver.”
Owned by Colombians, Grupo Aval is spreading its reach throughout the region
LUIS CARLOS SARMIENTO GUTIERREZ, President, and LUIS CARLOS SARMIENTO ANGULO, CEO of Grupo Aval
With transparent financial
statements, solid profits and
prudent regulation, Colombia’s financial sector today is
chiefly controlled by local
players. This is due in large
part to historical events of
the 1980s, which deterred
many foreign investors from
entering the country.
“Our financial system was
not eagerly or desperately
waiting to be bought by big
international banks and today it is almost completely
managed by Colombians,” explains Luis Carlos Sarmiento Gutierrez, president and
son of the CEO of Colombia’s largest banking conglomerate, Grupo Aval
Acciones y Valores S.A.
The holding owns controlling interests in four leading Colombian banks (Banco
AV Villas, Banco de Occidente Credencial, Banco de
Bogota, and Banco Popular),
as well as a merchant bank,
Colombia’s largest pension
fund manager, and several financial subsidiaries.
Although Grupo Aval has
around $100 billion in assets
under management and represent nearly one-third of all
assets in Colombia’s financial sector, the group shows
no signs of slowing down.
Last year, Grupo Aval purchased 100% of BAC-Credomatic – formerly controlled
by General Electric Co. – for
$1.9 billion.
This investment increased
Grupo Aval’s presence in the
region, strategically placing it
in seven Central American
countries where it had not
previously been. “We have
also obtained higher participation in credit card insurance in Central America. We
bill about 33% of all the credit cards at BAC and now we
have 62% market share in the
so-called acquisition,” says
Mr. Sarmiento Gutierrez.
More recently, in May this
year Grupo Aval’s board of
directors approved an operation to increase its participation in Colombia’s Banco
Popular from 30.7% to 93.7%.
In addition, Grupo Aval is
preparing to list its shares on
Wall Street, becoming the
10th Colombian company
with American Depositary
Receipts (ADRs) on the
North American stock exchange. With this move, the
holding company expects to
raise between $500 million
and $1 billion in funds which
can then perhaps be used
to acquire more banks in
Central America and the
Caribbean.
“We would love to have
foreign investment now,” says
Mr. Sarmiento Gutierrez. “At
Grupo Aval you would
achieve a solid investment
based on 30 years of experience and constant growth.
Besides, we offer safe dividend distribution policies
and asset-value increment
policies.”
Thanks to its organic
growth and new capitalizations, the group’s president
expects Grupo Aval’s profits
to rise by 60% to $834 million
in 2011.
A more extensive version of
this report is available at
http://unitedworld.usatoday.
com/ourworld.htm
Our World Insert is produced by United World. USA TODAY did not participate in its preparation and is not responsible for its content
COLOMBIA USAT pages 9-14.qxd
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COLOMBIA
Mutually beneficial
free trade agreements
Since 2006, when the free
trade agreement (FTA) was
signed with the United
States, Colombia has been
on the verge of entering
into the biggest market in
the world
Once ratified, the comprehensive free trade agreement
(FTA) between the United
States and Colombia will eliminate tariffs and other barriers
to trade in goods and services,
promoting economic growth
and job creation for both nations.
“The FTA is an opportunity for Colombia to move itself
onto a positive fast track,” says
Alvaro Uribe Velez, 58th President of Colombia from 20022010, under whom the
proposed U.S.-Colombia FTA
was originally signed. “The
agreement will challenge and
enable Colombia to start projects on its infrastructure that
we have always wanted to do
but have not been able to execute.”
Colombia’s economy is the
third largest in Central and
South America and already has
an important economic relationship with the U.S. Goods
and services exports from the
U.S. to Colombia in 2010 were
Wednesday, July 20, 2011
$12 billion. Both economies
are largely complementary regarding the goods exchanged.
Colombia imports grains from
the U.S. while it exports a
number of tropical fruits. The
U.S. exports cotton, yarn,
and fabric to Colombia that
is used in many apparel items
that Colombia exports back to
the U.S.
The International Trade
Committee has estimated that
the tariff reductions in the
passing of this agreement will
provide significant new access
to Colombia’s $166 billion service market, supporting increased opportunities for U.S.
service providers. In general,
the agreement will support
more American jobs, increase
exports, and enhance competitiveness.
Camilo Reyes, the executive
director of the ColombianAmerican Chamber of Commerce, says, “The FTA not only
has all the meaning of the
world from the point of view
of exports, trade and investment; it also has a meaning
from the political point of view
– to overcome a vision in
which the U.S. and Latin
America were not able to work
together as two major blocs
and furthermore there was a
certain polarization between
them.”
“Signing the FTA will help
us work tirelessly on the areas
of common interest such as
the environment, technology
transfer and education,” says
President Santos. The United
States has to look south more
often. That is where their true
strategic interests lie. There is
great potential waiting at the
south of Rio Grande to exploit
the goods the world is de-
ON JULY 7 THE U.S.
SENATE FINANCE
COMMITTEE VOTED
TO APPROVE THE U.S.COLOMBIA FTA BILL
THAT WAS SIGNED IN
2006 AND APPROVED
BY COLOMBIA’S
CONGRESS IN 2008
manding right now such as
energy, biodiversity, and food
production amidst a young
population and a growing market. There is a natural synergy amongst the Americas and
I believe it should be exploited more efficiently.”
The FTA is a huge historical opportunity for Colombia
for many reasons. Over 80%
of U.S. exports of consumer
and industrial products to
Colombia will become duty
free immediately, with remaining tariffs phased out over
10 years.
Many agricultural commodities will also benefit from
the agreement, as more than
half of the current U.S. farm exports to Colombia will become
duty free immediately and all
remaining tariffs will be eliminated within 15 years.
In addition to the FTA with
Colombia, the U.S. has pending trade agreements with
Panama and South Korea also waiting to be ratified. Currently, however, these trade
agreements with all three
countries remain stalled in the
U.S. Congress as a result of ideological differences between
the Republican and Democratic parties.
According to the International Trade Committee, total
net benefits that would come
from these trade agreements
amount to around $13 billion.
On July 7, the U.S. Senate
Finance Committee voted to
approve the U.S.-Colombia
FTA bill in a mock markup session.
“We applaud the bipartisan
majorities in the U.S. Senate
committee in favor of the FTA,”
responded President Santos.
9
Quotes
‘THE FTA IS UNIQUE IN THE SENSE
THAT IT NOT ONLY COVERS TRADE
IN GOODS AND SERVICES, BUT
ALSO CONTAINS A WORK CHAPTER
THAT GUARANTEES THE RIGHTS OF
WORKERS IN BOTH COUNTRIES’
JUAN MANUEL SANTOS, President of the Republic of Colombia
‘YOU HAVE TO VISIT THE COUNTRY
AND TALK TO THE UNIONS WHO
SUPPORT THE AGREEMENT AND
NOT JUST TO THOSE WHO ARE
AGAINST IT IN ORDER TO GET A
REAL IDEA OF WHAT THE TRADE UNION
SITUATION IS IN COLOMBIA’
JAVIER DIAZ MOLINA, President of Analdex
‘THE FREE TRADE AGREEMENT (FTA)
MEANS AN ADVANTAGE FOR
FOREIGN INVESTORS. WE ARE ONLY
TWO HOURS AWAY FROM THE U.S.,
AND COMBINED WITH THE
KNOWLEDGE THAT OUR PROFESSIONALS
HAVE IN ADDITION TO THE FACILITIES
OFFERED BY THE INEXHAUSTIBLE RAW
MATERIALS THAT THE COUNTRY HAS,
COLOMBIA IS AN EXCELLENT CHOICE FOR
FOREIGN INVESTORS. BARRANQUILLA WILL
UNDOUBTEDLY PLAY AN IMPORTANT ROLE
IN THIS NEW RELATIONSHIP THAT OPENS
WITH THE U.S. THANKS TO THE FTA’
FUAD CHAR, Senator and President of Olimpica
‘THE FTA IS IMPORTANT BECAUSE IT
WILL OPEN FOR COLOMBIA A
MARKET OF 300 MILLION
INHABITANTS WITH AN INCOME
PER CAPITA OF ABOUT $30,000 PER
YEAR. THAT IS THE POSSIBILITY OF ENTERING
A MARKET WITH NO TARIFFS FOR
COLOMBIAN PRODUCTS AND WHERE THE
AGRICULTURAL SECTOR HAS IMPORTANT
NICHES TO WORK’
JUAN CAMILO RESTREPO, Minister of Agriculture and Rural Development
‘THE SIGNING OF THE FTA IS A
SUCCESS TO STRENGTHEN AND
CONSOLIDATE COLOMBIA’S TRADE
AGENDA WITH THE UNITED STATES,
OUR LARGEST TRADING PARTNER.
MANY OF THE THINGS THAT THE WORLD IS
DEMANDING CAN BE OFFERED BY
COLOMBIA: FOOD, BIOFUEL, BUSINESS
OPPORTUNITIES, EXPANSION OF
INVESTMENT. WHAT COLOMBIA OFFERS THE
WORLD TODAY ARE OPPORTUNITIES’
SERGIO DIAZ GRANADOS, Minister of Industry, Tourism and Commerce
‘THE RELATIONSHIP BETWEEN
COLOMBIA AND THE UNITED
STATES HAS CHANGED AND
CHANGED FOR GOOD. NOW IT IS,
AND MUST BE, A RELATIONSHIP OF
TWO-WAY OPPORTUNITIES. AN INVESTMENT
RELATIONSHIP. A RECIPROCAL TRADE,
DEFENSE OF DEMOCRACY, AND FREEDOM
OF PEOPLE RELATIONSHIP. IT HAS ALWAYS
BEEN A RELATIONSHIP IN WHICH COLOMBIA
HAS BEEN A GREAT POLITICAL ALLY, BUT
NOW IT MUST BECOME AN ALLY OF JOINT
PARTNER OPPORTUNITIES’
Goods and services exports from the U.S. to Colombia in 2010 amounted to $12 billion
CARLOS ENRIQUE PIEDRAHITA, President of Grupo Nutresa
The most competitive free trade zones in the region
Colombia’s economy is on the rise giving foreign investors many reasons to be a part of its growth and Proexport is helping investors get the most out of its free trade zones
Colombia has gone to great
lengths to improve its business environment. In the past
five years, the economy grew
by 4% each year and in 2009
the country’s GDP registered
an increase of 0.4%, a positive
growth in the time of recession.
In addition, Colombia is also an ideal export platform,
with the advantage of having
signed trade agreements. This
gives a company preferential
access to markets that extend
to more than 1.5 billion consumers, a circumstance that is
only enhanced by Colombia’s
ideal location.
Lastly, Colombia provides
incentives for investors. In its
2011 Doing Business Report,
the World Bank ranked
Colombia as the third most
business-friendly country in
Latin America and the first
country in the region that best
protects investors. Some of
these incentives for investors
include: free trade zones, a 50%
tax break on sales in the local
market, legal stability contracts, and a 125% income tax
deduction over investments in
scientific and technological developments, to name but a few.
The most competitive free
trade zones in Latin America
are in Colombia. Permanent
free trade zones are geographical areas of no less than
20 hectares, where various
companies can establish themselves to operate.
Free trade zones serve very
specific purposes, all of which
must be used for the develop-
ment of industrial goods and
services or commercial activities. These zones must be an
instrument for job creation and
attract new capital investments. They must develop
highly productive and competitive industrial processes,
within the parameters of security, transparency, technology,
gota is likely one of the largest
zones that helps to generate investments and provide jobs.
Presently, the 226 companies
that make up the Bogota Free
Trade Zone generate 16,000
direct jobs for call center positions. This particular free trade
zone has contributed to employment generation and the
national and international offices, Proexport provides support and integrated financial
services and advice for international trade activities, while
facilitating the design and execution of each investor’s strategy that aims to generate,
develop and close business
deals.
MARIA CLAUDIA LACOUTURE, President of Proexport
clean production and sound
corporate practices.
Under new regulation, free
trade zones are conceived not
only as mechanisms to attract
new investments and create
jobs, but as an incentive to develop highly productive and
competitive industrial processes with a substantial technological innovation component.
The free trade zone in Bo-
arrival of new foreign and domestic firms belonging to this
service sector.
One agency that has been
very versatile in working with
interested investors in free
trade zones is Proexport.
Proexport is in charge of promoting non-traditional exports, international tourism,
and foreign investments in
Colombia. With a network of
They promote the effective
insertion of Colombian companies into international markets and seek international
trade opportunities through:
identifying market opportunities, designing market penetration strategies, assisting in
the design of action plans, contact with both sellers and buyers, and specialized services
to foreign companies inter-
ested in acquiring Colombian
goods and services.
Proexport supports foreign
investors by serving as a contact with the public and private
sectors and organizing agendas and accompanying the
potential investor while in
Colombia. The agency also escorts investors through the installation process. Proexports
provides all their services free
of charge and keeps all information confidential.
Foreign investors that went
through Proexport were divided into six sectors in 20092010. Financial investors made
up 35%, manufacturers 25%,
commercial, restaurants and
hotels 23%, and construction
11%. Community services and
agriculture made up 4% and
almost 2% respectively.
With the help of Proexport,
companies like Starwood Hotels, Hewlett Packard (HP),
SEB, and Siemens have all been
a success in Colombia.
Starwoods Hotels and Resorts has begun construction
on their Ocean Towers project
in Cartagena, a large Caribbean
beach resort city on the northern coast of Colombia, and
opening is slated for next year.
HP has launched Center
Global Services, a project with
the most important investments that have been made in
Colombia in a company by a
multinational leader in technology.
SEB, a French company that
sells home products bought
68% of the Colombian Firm
IMUSA, also a home products
store. With this transaction the
French company is waiting to
make an aggressive move into
the national market through
its recent strategy in purchasing a local market player.
Siemens opened a technology factory with high-speed
productivity after a €70 million
investment.
Proexport deals with promoting international tourism,
direct foreign investments and
direct foreign exports. Today
there are more than 2,500
multinational businesses operating in Colombia with openings for more. The agency has
identified 14 hotel projects in
Bogota, Girardot, Pereira, and
Cartagena that need investors.
Despite the fact many
economies have taken hard
hits, Colombia’s economy has
demonstrated its resistance.
In September 2010, the U.S.
made up 34.4% of the total
foreign investments in
Colombia. That said, 40% of
investment from the U.S. is
in the industrial sector.
Websites
www.ceacolombia.com
www.investincolombia.com.co
www.ccc.org.co
www.probarranquilla.org
www.investinbogota.org
www.acimedellin.org
Our World Insert is produced by United World. USA TODAY did not participate in its preparation and is not responsible for its content
COLOMBIA USAT pages 9-14.qxd
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Wednesday, July 20, 2011
COLOMBIA
Colombia, at the regional
forefront of ICT
Colombia has embarked
on a plan to expand
technology infrastructure
and Internet usage,
especially among
businesses and rural
communities, through
greater fiber-optic
networks
Straight out of the gate in October of last year, President Santos announced that the
government would invest $3
billion over the next four years
in ICT infrastructure as part of
the new President’s Democratic Prosperity platform, which
aims to create equality of opportunity and narrow prosperity gaps.
Entitled Vive Digital (Digital Living) Colombia, the program aims to significantly
expand Colombia’s ICT industry and infrastructure while
promoting increased nationwide Internet usage.
Vive Digital aims to strengthen the entire digital
ecosystem, from infrastructure, services,
and applications to
end-users.
“Vive Digital is a
model of inclusion and
digital-gap reduction
by means of an ecosystem which identifies development levers for the
new economy, that
is, the economy
of knowledge, information and
clean technologies,”
says Minister of Telecommu-
nications Diego Molano Vega.
“This forms part of the main
objectives that President Santos has established for his government, which include poverty
reduction, job generation and
peace consolidation through improvements in the country’s
competitiveness and productivity. It is not about turning
Colombia into a Silicon Valley.
It is about providing a logical
balance between its rapid
growth and technology penetration in society.”
Vive Digital aims to increase
Internet connections across the
country from 3.2 million to 8.8
million, connecting at least half
of the nation’s households, and
will more than triple the number of communities connected
to the web (from 200 to 700)
through fiber-optic networks.
The plan also intends to increase
Internet connections among
small and medium-sized companies, which make up 96% of
the Colombian economy, from
a current penetration low of 7%
to 50% by 2014.
Colombia is already at the regional forefront of various ICTrelated initiatives. Last summer,
the country inaugurated a new
bioinformatics center, one of the
first in Latin America. Expected to be a vital tool in Colombia’s technological development,
the center will process and store
data, as well as develop software
and offer technical and scientific support to companies.
Colombia was the Latin
American country with the
greatest growth in Internet
use in 2009, with more than a
million new subscribers, of
which 915,000 were cell phonebased. In the first quarter of
last year, investment in the Internet grew 50% over the same
period in 2009. Bogota’s Museum of Modern Art can now
be accessed through an iPhone
application, another Latin
American first.
Similarly, though Colombia
is already number one in electronic government in the region according to a UN study,
the government has declared its
intentions to set an example by
digitalizing all its departments
and eliminating paper use by
2014. In addition, Colombia’s
new communications satellite,
Satcol, will be launched at the
beginning of 2013, providing
telecommunications access to
more than 22,000 rural communities.
Diego Molano Vega,
Minister of
Telecommunications
Plan Vive Digital widens connectivity
The government is incentivizing the private sector to help Colombia extend its digital infrastructure and bring in new
technologies and software
Colombia is offering international companies $200 million to help develop its
Internet infrastructure as it
launches a nationwide ITC
development program called
Vive Digital, or Digital Living.
This opens up a range of opportunities for U.S. companies wanting to move in,
especially those with an eye on
the larger regional market as
neighboring countries, especially Brazil, are likely to follow Colombia’s example.
“The implementation of
Vive Digital will create several business opportunities. As
far as infrastructure is concerned, we need to build a
large fiber-optic information
highway to connect more than
700 communities. Consequently, we will send out a
tender, and we are hoping for
the involvement of both national and international investors. The project has an
Distributed by USA TODAY
estimated cost of $600 million and the government will
make an initial investment of
$200 million,” explains Minister of Telecommunications
Diego Molano Vega.
‘WE NEED TO BUILD
A LARGE FIBER-OPTIC
INFORMATION
HIGHWAY TO
CONNECT MORE
THAN 700
COMMUNITIES...THE
PROJECT HAS AN
ESTIMATED COST OF
$600 MILLION’
“Similarly, we will widen the
infrastructure scope to offer
third and fourth generation
services and we will expand
connectivity coverage to rural areas with diverse technologies.”
The government has said it
will also offer at least two new
4G licenses later this year. Al-
though cell phone penetration in the country is 100%
(there are more cell phones
than people in Colombia),
new technologies will allow
for the introduction of smart
‘WE MUST OFFER
APPLICATIONS THAT
SUIT THE NEEDS OF
COLOMBIANS AND
THEIR BUSINESSES
IN ADDITION TO
OFFERING QUALITY
SERVICES AND
APPROPRIATION
STRATEGIES’
phones and new cellular applications. The government is
also intent on developing its
budding software development sector, and in particular,
is targeting the creation of new
applications that will make
connectivity more appealing
to the nation’s small and medium-sized companies.
“In order to boost Internet
use, we must offer applications that suit the needs of
Colombians and their businesses in addition to offering
quality services and appropriation strategies that lead to
increasing use of technology
among Colombians,” adds the
Minister.
New companies moving into Colombia will join the ranks
of the many international
names already operating
there, such as Spain’s Telefonica, Paraguay’s Tigo, and
Mexico’s America Movil and
Telmex – as well as national
leaders UNE and Comcel – in
an increasingly sophisticated
market.
Still, Colombia is interested in the arrival of U.S. technology and the government
has already been in talks with
several American companies, including Verizon and
AT&T.
BPO boosted by a rising
knowledge-based economy
Colombia is becoming a popular new base for business
process outsourcing (BPO) and contact centers
“We are not a country that is
especially adept at languages,
but the government has made
an effort to develop this ability in the country in order to
make us more competitive,”
says Jose Roberto Sierra Velez,
president of Allus Global BPO
Colombia.
Government efforts to increase Colombia’s capacity as
a knowledge-based society
have boosted new industries,
such as business process outsourcing (BPO). Recent initiatives include last year’s
launch of Vive Digital Colombia, as well as Medellin’s center for the promotion of
innovation for knowledgebased industries Ruta N, and
the new Colombian Center for
Bioinformatics and Computational Biology in the city of
Manizales for data processing
and software development.
Providing online and onsite
language training through
SENA, the Ministry of Social
Protection’s national learning
service, is another of the initiatives that have turned various Colombian cities, such as
Manizales, into new global
BPO hubs.
“Manizales has become a
wonderful hub for call centers
and BPO companies. Many
foreign investors have chosen
this city to invest their money
and set up their businesses,”
says Caldas Department Governor Mario Aristizabal about
his region’s capital.
These developments have
not gone unnoticed by the
world’s largest BPO conglomerates. Colombia now boasts a
number of multinationals operating in the sector including
France’s Teleperformance, considered to be a global BPO
leader, in addition to a number
of companies from India – the
world’s largest BPO industry –
including Sutherland Global
Services and Flatworld Solutions (operating as Colombia
Outsourcing Solutions). Genpact, India’s largest BPO company, is set to arrive soon.
Spanish companies Avanza,
Konecta, Emergia and Telemark are also present, and the
U.S. has a presence through
companies such as Manpower and Convergys.
“The arrival of new customers in the country has
prompted companies to expand their installed capacity,
with an impressive increase
in call center jobs, mainly located in Medellin, Pereira and
Manizales,” says Rodrigo Ferreira Londoño, director of
Emtelco, one of Colombia’s
largest telecoms services companies.
Emtelco won the Frost &
Sullivan Award for Growth
Leadership in the contact center/outsourcing services market last year for demonstrating
excellence in capturing the
highest annual compound
growth rate for the previous
three years. Emtelco increased
its revenues close to 20% in
2009, which placed it among
the country’s top five BPO
companies for the first time.
Indeed, Colombia’s contact
centers alone generated revenues of $550 million in 2009,
or roughly 60% of the sector’s
total revenue, and the industry
is hoping to up this to $2 billion by 2012. A sign of the sector’s rapid growth is also seen
in its number of employees. In
2008 it employed 55,000 people. Within the next three years,
this figure is expected to reach
155,000. Analysts concur that
the government’s clear policies have been a significant
contributor in the growth of
BPO in Colombia, in addition
to a solid legal framework and
a favorable business climate.
“We intend to support and
strengthen two industries that
are fundamental for Colombian technological development: software and BPO. The
government is promoting
ANA KARINA QUESSEP, Executive
Director of the Colombian Association
of Contact Centers and BPO
many incentives to provide a
space where both industries
may flourish,” says Minister of
Telecommunications Diego
Molano Vega, who adds that
Colombia’s returning expats
will also contribute to the development of knowledgebased industries. “There is
talent in Colombia. There was
an exodus of Colombians at
the end of the 90s. Now all
these professionals are coming back en masse and bringing with them a global vision
and international experience.”
The efforts of people like
Ana Karina Quessep have also been essential in developing
the sector. The executive director of the Colombian Association of Contact Centers
and BPO was awarded the International Teleservices Champion Award in Florida last
October for her efforts in the
positioning, strengthening and
expansion of Colombia’s contact centers and BPO industry.
It was the fourth consecutive
year that the award went to
Colombia.
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Wednesday, July 20, 2011
COLOMBIA
11
A Pacific Ocean gateway
to Colombia
Located in southwestern Colombia, the Department of Cauca Valley is one of the country’s most pristine places
FRANCISCO JOSE LOURIDO, Governor of Cauca Valley Department
While economic and social developments, growing companies, and the civil mindset of the
residents all contribute to this region’s appeal, its geographic position is perhaps its most
profound advantage. Located
near the Pacific Ocean, Cauca
Valley has the greatest potential
to explode economically compared to its neighbors.
Francisco Jose Lourido, Governor of the Cauca Valley, is determined to help this region
reach its fullest potential. “Reactivating production with so-
cial responsibility, improving the
quality of education and health,
generating employment with
the development of new productive activities and transforming the export capacity of
the region are only some of the
goals the Valley is facing to put
itself in the national export leader
position that it deserves,” he stated in his article A Competitive
Department: An Effort From
Everyone.
Two substantial projects are
currently in motion that will
consolidate the Pacific Region
and open up many doors to Cauca Valley and its agricultural and
business economies.
The first is a new road that
connects the south of the country to Buenaventura, one of the
primary routes on the Pacific
coast, that will reduce time and
distance, becoming the most efficient road and way of importing and exporting goods.
The second project is a road
to the Orinoquia Region, the
eastern plains of Colombia, that
could connect the port of southern Colombia to Venezuela in
the future, opening up more possibilities for the economy to
flourish. “These two ambitious
projects will greatly impact the
infrastructure of the national
government and will without
a doubt contribute to the
strengthening of the department’s economy,” Mr. Lourido
said about the road building.
With the help of these two
roads, the consolidation of this
region will ultimately see development of two more important
projects: the Integral Plan and
the Integral Education Plan.
Cable expert Centelsa connects to the community
Centelsa’s five state-of-the-art production plants have supplied cable to multiple energy and telecom companies internationally and provide invaluable community support
Since 1955, Centelsa has become a large part of the domestic technology industry
and has maintained its leadership by being the first and
most prominent Colombian
manufacturer of cables (low,
medium and high voltage copper and aluminum cable) for
energy and telecommunication. During this period, the
company has sealed technology agreements with several
worldwide firms, been recognized for its leadership in research, development and
technical assistance, and has
exported to countries including the U.S., Brazil and the UK.
This has put Centelsa in an
ideal position, making itself
one of the most dynamic companies in Latin America.
Centelsa is currently involved in multiple energy and
telecommunication projects
in Colombia and other countries of South America. Some
of these projects include generation, transmission and distribution of electrical energy
in the oil and petrochemical
industries; the development
of the industrial and mining
industries in construction;
manufacturing industrial appliances; building the automotive industry; and placing
satellite transmissions in the
central telephone networks in
urban and rural radio projects.
Through these projects, Centelsa has become a transcontinental company.
While headquarters and
main manufacturing facilities
for Centelsa are located in Cali
(Colombia), commercial operations are located in Caracas (Venezuela), Ecuador and
Peru. In addition, there is a
network of strategically located commercial offices. The
wide array of locations permits ample coverage of regional,
national,
and
international markets, allowing for timely service and deliveries.
Centelsa’s mission emphasizes dedication and responsibility towards its community,
region and country. The company’s contribution to generating jobs and progress in the
Colombian economy is
demonstrated through its support of academic and recreational programs, as well as in
the developing of its surrounding communities, such
as its work in Valle del Cauca
to improve the quality of life
of its people.
Alfonso Muñoz, president
of Centelsa, expands on this
mission: “As far as community and responsibility is concerned, we contribute to job
generation constantly. We
support people’s development
through educational and
recreational programs intended for the continuous improvement of their life quality.
We actively participate in the
social and business responsibility project, which was implemented in conjunction
with other important companies from the region.”
Mr. Muñoz goes on to explain the importance of supporting these projects under
way in Valle del Cauca in order to strengthen Colombia’s
economy as a whole. “Valle del
Cauca plays a significant role
in Colombia’s development.
It is the undeniable leader of
the agricultural sector and it
has first-class product manufacturing companies,” he says.
“Moreover, its geographical
location, with a path to the
Pacific Ocean, is
strategically
valuable.
Therefore, it is
absolutely
necessary to
continue
updating
Buenaventura’s port
and road infrastructure,
which will significantly benefit
competitiveness
in Valle del Cauca and Colombia. For some years we were
behind in infrastructure development, but fortunately
this government seems to
have an important action
plan and the aforesaid infrastructure works might be
completed.”
Today, Centelsa uses five
state-of-the-art production
‘WE CONTRIBUTE
TO JOB
GENERATION
CONSTANTLY.
WE SUPPORT
PEOPLE’S
DEVELOPMENT
THROUGH
EDUCATIONAL
AND
RECREATIONAL
PROGRAMS
INTENDED
FOR THE
CONTINUOUS
IMPROVEMENT
OF THEIR LIFE
QUALITY’
ALFONSO MUÑOZ,
President of
Centelsa
plants in a total area of
70,000m2 in Colombia. In addition to the ample space, Centelsa seeks to inspire creativity
and to encourage its employees to work as a team and work
towards these same goals:
working towards strengthening and supporting the country and region as a whole.
With this mindset, Centelsa has the ability to guarantee
quality products and provide
a stable foundation for the
company to reach these goals.
Mr. Muñoz explains, “The mix
of a qualified team, modern
machinery structures, productive processes, sophisticated test equipment and over
50 years of experience in the
cable industry allowed us to
participate in important
Colombian and foreign projects. These cables have been
installed at every company that
generates, transmits and distributes energy, as well as many
telecommunication companies and industries.”
Centelsa has been recognized on numerous occasions
for its work and products, one
of the most prestigious acknowledgements being from
the Autonomous Regional Corporation. The award acknowledged the company’s adoption
of clean production strategies
that contributed to the environmental performance improving the quality of life for the
residents of Valle del Cauca.
From the Port of Buenaventura, on Colombia’s Pacific coast, exports of oil, coffee, sugar, timber, gold and platinum depart
Colombia’s main port
to the west
The opening of the Panama Canal in 1914 grew Buenaventura’s status as a port city,
and today investors are contributing to consolidate the port’s relevance in global trade
Location can make or break
any economy. A country’s accessibility plays a huge role in
its growth, and that growth
can even be entirely dependent on this factor. This in itself is the principal reason
Buenaventura has such an advantage over other areas. Positioned right on the Pacific
coast, the city’s booming economy has turned it into a special economic zone.
The Buenaventura port is
one of the primary coastal
routes of the commercial
world. With location as its major advantage, Buenaventura
is fighting to strengthen the
economy and to bring itself
front and center in establishing the primary commercial
corridors of the Pacific Ocean.
In doing this, Buenaventura
will position itself as the main
platform of foreign trade on
Colombia’s western coast.
Being in such an ideal location, many companies have
recognized the potential of
this region and have made
commitments to help the area
gain the momentum it is looking for in order to really take
off economically.
“As I have said on repeated
occasions, this opportunity
[to develop Buenaventura’s
port and] to open up the Pacific is going to change the direction of this region,” says
Francisco Jose Lourido, Governor of the Department of
Cauca Valley. “It deserves to
have the priority in investments because there, in Buenaventura, there’s a huge
social debt that is owed.”
Cauca Valley plays a significant role in developing this
port. The region offers very
diverse opportunities including its competitive performance in global markets. The
region participates in the national manufacturing industry, namely the production of
sugar, ethanol, paper and cardboard, among others.
The development of sugar
is one of the sectors that generate the most jobs. For every
job created in the sugar production plant, 28.4 jobs are
created and needed in other
sectors of the economy.
The region’s participation
in this array of markets enables the value of the economy to significantly rise. With
these new developments, Buenaventura is becoming a place
in high demand, seeing much
more traffic to import and export goods. Buenaventura has
the potential to become the
main port on the Pacific Coast
and could be the focal point
of trade routes that are connected with more than just
Colombia.
All of these factors combined, the Port of Buenaventura becomes the complete
center of not only coastal
routes on the Pacific, but also on land with roads that pass
from Buenaventura through
Colombia, to its bordering
neighbors. Buenaventura
serving as the gateway to the
Pacific Ocean seems to be just
the beginning for this region.
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COLOMBIA USAT pages 9-14.qxd
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Distributed by USA TODAY
COLOMBIA
A medium-sized city in the Department of Cauca Valley, Buga is one of the oldest cities in Colombia, founded in 1555. It is home to the beautiful Basilica del Señor de los Milagros
Industrial development
in Cauca Valley
A socially responsible
department
The department is home to blossoming high-tech industries
Cauca Valley has several initiatives underway to improve quality of life for its residents
Industrial development has skyrocketed in Cauca Valley. The
wide variety of activities and
projects it is involved in and the
powerful companies that are
based in the area have enabled
multiple industrial areas to consolidate. In addition to 14 products the region already develops
– including sugarcane, special
coffees, tourism and health –
four more industries recently
have taken off. Bio-industry, environmental services and technologies, ICT (information and
communication technology),
BPO (business process outsourcing), and the aerospace
industry have become a part of
the region’s development as
well. These industries in Cauca Valley have found an effective way to reduce costs and
provide efficient productivity.
Cali has maintained its stability and remained the part of
the department that has the
most influence, and in recent
years there have been no signs
that show this will soon change.
In 2005, the commercial sector took first place having 46%
of the registered updated companies. Industry and real estate activities came in second
and third places respectively.
With these percentages, and
the fact that this area is highly
influential, Cali has converted
itself into the motor of development and a source for generating jobs.
Industrial development in
the Cali region has had so much
success because its leading
companies have gone through
extensive processes to modernize their technology in order to be more competitive. As
a result of this, the potential of
this region is surfacing thanks
to the participation of numerous companies.
Maria Fernanda Meija, president of leading battery manufacturer MAC, entered the
company in 1985. She has since
made her main focus “to renew energy and protect the
Social services and awareness is another aspect of the
Department of Cauca Valley
that is proving successful.
More than 100 social entrepreneurships have joined
forces to develop projects to
strengthen social housing and
the education system. The
department’s objective as a
whole is to regain the position
it had as a national model.
Cauca Valley’s Social Responsibility Association
(SRA) began to grow in 2002
in the heart of the Andi Industrial Association. From
there, it took off with the help
of 23 companies, two of
which were Comfandi and
Comfenalco Valley.
The committee that established this association
identified its chief objective
as achieving a more fair and
equitable society, starting
with the integration of social
responsibility at the management end of companies.
Since this association was
started, both Comfandi and
Comfenalco Valley have
shown their social commitment to the department: first
with the Regional System of
Social Responsibility (RSSR),
and second with the Valley’s
School of Responsibility.
These two projects have
worked to shorten and eventually remove gaps in all social aspects: education, living
situations, health, and recreation.
Armando Garrido, administrative director of the
Comfandi Compensation
Bank, explains the direction
and objectives of his program,
the RSSR. “We have determined the fundamental necessity to work towards
sustaining economic, social,
and environmental aspects.
This is included in our strategies and implicated in the
transformation of our actions
that add value to our public
interest. The SRA has permitted us to focus on an integrated policy in the
programs, actions, and initiatives that we have fulfilled
with our services.”
According to statistics taken
A more extensive version of
this report is available at
http://unitedworld.usatoday.
com/ourworld.htm
The Cali Tower in Cali, Cauca Valley Department’s capital city
environment” with the batteries that are produced in her factories. MAC batteries contain
lead-free acids, which is in accordance with the characteristics to meet global standards.
MAC batteries make up
around 54% of the national market for batteries and provide
91.5% of original battery equipment to the most prominent
factories in the country. It is the
leading producer in Colombia
and the Andean Community.
More than 40% of vehicles
that are made in the Andean Region for the main Japanese,
American, and European
brands use MAC batteries.
Ms. Meija has been at the
head of the company during its
expansion and development.
Thanks to her team’s commitment to the job, the plan to construct the biggest battery plant
of the country and region was
executed.
Due to MAC’s environmentally friendly products, in 1995
they were awarded by General Motors for being the best
provider of conventional batteries in the world. They have
also been recognized for being
the only company in Colombia
with the technology to recycle
100% of batteries of any brand.
Other important contributors in the Cali region include
heavyweight companies such as
Centelsa, Sidoc, Manuelita, Tecnoquimicas, Smurfit, Carvajal,
Colombina, Belleza Express,
Coomeva, Incauca.
Within all of these companies, efforts are being made to
improve the Cauca region and
to strengthen its economy and
various sectors. Activities the
companies focus on include
taking iron and steel scraps and
recycling them for the fabrication of products, producing sugar at the highest level of quality,
producing bio-ethanol gas,
manufacturing cardboard and
paper, thus creating more job
opportunities and to improve
quality of life for the region’s
families.
These powerful companies,
and those still growing and expanding in the Cali region, develop their projects and reach
the goals that each has set. The
support in the Cauca Valley by
all of these companies shows
their commitment to prove the
economy to have more potential now than ever before.
in November of 2009, the
RSSR invested total of $121.6
million a year in environmental programs. Annually,
around $133 million is
planned to go towards social
benefits for workers.
“Cauca Valley’s commitment to develop this region
is being taken very seriously
and the active involvement
in the RSSR is evident in its
constant participation in developing enterprises in the
region,” Mr. Garrido says.
COMFANDI AND
COMFENALCO
VALLEY ARE TWO
COMPANIES THAT
ARE INVESTING
HEAVILY IN CAUCA
VALLEY’S SOCIAL
RESPONSIBILITY
ASSOCIATION,
WHOSE CHIEF
GOAL IS TO
ACHIEVE A
MORE FAIR AND
EQUITABLE SOCIETY
THE REGIONAL
SYSTEM OF SOCIAL
RESPONSIBILITY
AND THE SCHOOL
OF SOCIAL
RESPONSIBILITY
ARE WORKING
TO REMOVE GAPS
IN EDUCATION,
HEALTH, AND
QUALITY OF LIFE
Through Comfandi’s participation in the SRA by way
of its own personal program,
the RSSR, Mr. Garrido’s main
goal is “to be recognized as
a responsible, political corporation that has joined
forces with and is defined by
the main guidelines of SRA,
and to be accepted on an international field, like the UN
Global Pact that involves human labor rights and methods to combat corruption.”
Felice Grimoldi, administrative director of Comfenalco Valley, similar to
Comfandi, since 2010 has
invested $222.6 million in
housing projects, recreation,
and education among others.
Fundamentally, the SRA
wants to reach out to the entire community through the
School of Social Responsibility, inviting people to
make a bigger effort to advance true developments
and to assure the sustainability of the companies of
the region.
“Cauca Valley has a lot of
interesting potential – not
only on a national level but on
an international one as well.
Advantages like its geographic location, a port right
on the Pacific Ocean, its infrastructure, roads, and the
people’s work ethic are what
make it very competitive,”
says Mr. Grimoldi.
The private and public sectors have joined in environmental and social projects
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COLOMBIA USAT pages 9-14 p13 nueva.qxd
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Wednesday, July 20, 2011
COLOMBIA
13
Taking education higher
A top priority for both the private and public sector in Colombia is education, and the Santos administration has targeted rural areas, scholarships and higher education as key areas
ber of spaces for new students;
assuring resources for disabled
people and students of ethnic
minorities; and assisting low-income families who want to send
their children to college.
Paralleling President Santos’
objectives, Colombian Minister
of Education Maria Fernanda
Campo wants to reform education policy to ensure continued
financial stability in the sector.
She has recently proposed reform that would allow an additional 2.4 billion pesos ($1.3
million), half originating from
public funds and the other half
coming from the private sector.
However, she affirmed that
Colombian universities would
maintain autonomy over their
research, and that investments
from corporations would not
mean the government will privatize its universities.
These funds, according to Ms.
Campo, would be used to emphasize regionalization, continued improvement of quality,
preparing and educating professors, and finally investigation.
She hopes that private funding
will specifically go toward the
development of research projects in order to make Colombia
even more competitive on an
economic international level.
“Colombia is making a great
effort in postgraduate programs
because we believe that the country’s competitiveness depends
heavily on these educational programs,” says Moises Wasserman,
president at the National Uni-
versity of Colombia, a public university with campuses in some
of the major cities across the
country, including Colombia’s
capital Bogota and its secondlargest city, Medellin.
Medellin is also the home of
the University of Antioquia research facility, which is one of
the most successful and selective institutions in Colombia. It
leads in investigations in fields
ranging from medicine to agriculture to music. Medellin has
been awarded the most educated city by the Quality Education
Network.
“Research undertaken by universities in conjunction with the
production sectors of the country is very important for competitiveness and the nation’s
The essence of Colombian talent
According to the President, Colombia is a ‘born entrepreneur’ but the nation also excels in the arts
Multimillion-dollar companies,
world-famous singers and important research at renowned
universities are a small sample of
the fruits of the talent found in
Colombia.
But when searching for the
extra essence that this South
American country has, giving it
a propensity for a unique and capable population, the one word
that can be used to describe it is
passion. Like their slogan says:
“Colombia is Passion”.
This can be seen not only in
Colombians everyday zeal for
life, but also in their innate talent to push forward and improve
their own lives and the lives of
their fellow citizens.
“Colombia is a born entrepreneur. Here we say it has a great
capacity for ‘moonlighting’, i.e.
to find a way to survive, to succeed,” explains President Juan
Manuel Santos Calderon, who
puts great importance on the
university system to foment the
minds of the citizens. “We have
an innate capacity. Foreign investors coming into the country
are impressed with our ability.”
The country attracts investors
from world-famous companies
such as 3M and Hyundai, as well
as boasting highly successful national entities. On this year’s list
of Most Global Companies in
Latin America, Colombia’s main
airline conglomerate, AvaincaTaca, holds the number 15 position, rising from last year, and
the chocolate company Nutresa comes in at 18.
ucation of our students. Topics
such as music, dance and painting are fundamental for the education for human beings.”
The holistic approach to education is also evident at the Pontificia Universidad Javeriana in
Bogota, which has been lauded
by President Santos for being
“inextricably linked to the history of Colombia, because for the
past eight decades since its
restoration, it has been dedicated to forming complete human
beings and professionals of the
highest quality for the nation.”
The university’s president Father
Joaquin Sanchez Garcia adds,
“We investigate the actual use of
technology in order to bring education to the entire country and
to improve classroom education.”
Corbic sparks
technological innovation
in cardioneurovascular
development
Six years ago the founders of Corbic seized the
opportunity to advance innovation in
cardioneurovascular healthcare
From R&D, education and business to art, culture and music, Colombian talent impresses on a global scale
But this talent is not just apparent in business; art and culture also thrive. Nobel prize
winner Gabriel Garcia Marquez,
famous for his novel One Hundered Years of Solitude, was born
in the small northern town of
Aracataca. Famed musician
Juanes and reggaeton artist J
Balvin, who recently won four
awards at the Nuestra Tierra Music Awards, are both from
Medellin, the second largest city.
While some generalize about
Colombia as a whole, the president of Hyundai Colombia, Carlos Mattos, breaks the country
into its various regions, highlighting each with unique characteristics. He says whereas
Antioquia is hard working and
enterprising, paralleled by Santander’s strong personalities and
entrepreneurial spirit, the
Caribbean region is full of happy people, full of joy and cele-
bration. He describes the city of
Cali as a “live city”, where people
enjoy salsa.
“And in Bogota we find the
five regions together but we also find the typical person from
Bogota, which we call ‘cachaco’,
which is quite sophisticated,” explains Mr. Mattos, adding it is
the differences people can discover in each corner of the country that makes it so successful,
unique and thriving.
Innovation finds a welcoming
home in Colombia
From biology and medicine to anthropology to technology, companies enjoy a conducive environment for innovation
In 1968, scientist Dr. Spencer
Silver invented a peculiar adhesive that would softly stick
to different surfaces without
doing damage, but did not at
first see a practical use for his
new invention. One day, his fellow choir member, who always
had difficulty turning the pages
of his choir books because the
little markers often fell out, remembered his friend’s invention. The two put the adhesive
on to the little pieces of paper.
And the result: the Post-it note.
Dr. Silver was a scientist at
3M at the time and the Post-it
became one of the premiere
products in the successful company’s line, which was famed
already for its innovations in
Scotch Tape and Scotchgard.
For more than 100 years, the
Minnesota Mining and Manufacturing Company – better
known as 3M – has invented,
produced and sold their more
than 55,000 products in more
than 200 countries.
In Bogota, 3M Colombia follows the inspiration and innovation of its parent company.
Its facilities combine a showroom and training and testing
areas, where products are continually researched and developed.
This facility is a leading example of the investigation and
innovation present in Colombia
today. Ana Maria Noreña, president of 3M in Bogota, pointed
to diversification and innovation as the motors for constant
growth, especially in emerging
markets: “These are the countries that are driving the growth
development,” says the president
of the University of Antioquia,
Alberto Uribe Correa.
His university’s research has
led to breakthroughs that include
an anti-venom serum for the
deadly tropical diseases of
dengue fever and malaria, as well
as the discovery of a plant with
immunosuppressive properties
that can be used in organ transplants. This has subsequently led
to patents on an international
level including the U.S. and Spain.
Juan Luis Mejia Arango, president at the University of EAFIT,
a private college also located in
Medellin, insists on interdisciplinary study for continued development of Colombian
students: “At EAFIT we are very
interested in the humanistic ed-
in the world. Asia is growing
just as fast as Latin America,
which is generating great opportunities.”
Other companies follow suit
and contribute to this growth
and innovation, such as Corbic,
a successful healthcare company and research facility focused
on the cardioneurovascular
system. Founded in 2005, Corbic has obtained international
recognition in large part because of its innovations through
research in the medical field.
One of Corbic’s founders,
Carlos Ignacio Granada, says
that Colombia is experiencing
a historical moment where it is
investing in innovation and is
making improvements to move
out into the global market as an
important player.
“Latin America is gradually
emerging as an enterprising and
innovative region,” he says. “Right
now, when Colombian universities focus on innovation and
the development of new ideas,
it is very important to design
processes for intellectual protection and marketing.”
Jose Alberto Garay, president
of Acoplasticos, says, “It is imperative that the country does
not stop innovating. To do this,
we must make major education
projects and large financing efforts. In Acoplasticos, we understood that long ago, and the
result of our work on innovation
is the Plastics Institute in
Medellin that we have.”
Innovations at Colombian
universities permeate fields from
biology and medicine to psychology and anthropology. Dis-
INNOVATION AND
RESEARCH IN
COLOMBIA HAS A
PERSISTENT HISTORY.
SMALL START-UP
COMPANIES,
UNIVERSITIES AND
BIG ENTERPRISES
ALIKE ARE ALL
LEADING THE
COUNTRY IN THE
CHARGE FOR
PROGRESS
coveries by researchers at the
University of Antioquia have led
to anti-venom serums against
tropical diseases such as dengue
and malaria, both of which can
be fatal. Also in the medical field,
Colombian researchers found a
plant with immunosuppressive
properties that can be used in organ transplants, a discovery that
received a patent in the U.S.
“Today we have the opportunity to do scientific exchange
in biological methods of control about diseases, like tuberculosis, that come back and
attack the U.S. population,” says
Diego Miguel Sierra Botero,
general director of the Corporation for Biological Investigation (CIB).
Meanwhile in agriculture, discoveries made by a team of
Colombian university researchers include a substance
to combat a disease that attacks
the banana crop in Colombia,
a major export in the country’s
economic market.
Because of its geographic position in the northwest of South
America, pre-Colombian archaeological sites shed light on
indigenous cultures before European settlement. This location also lends itself to place
Colombia as some of the leading researchers on volcanology
and seismology.
Innovation and research in
Colombia has a persistent history. Small start-up companies,
universities and big enterprises
alike are all leading the country
in the charge for progress.
“Colombian human talent is
passionate and is easy to work
with because they are thirsty for
knowledge, to innovate and create, and that makes it very special,” says Ms. Noreña.
One of the biggest hopes for lack of mechanisms to facilitate
Carlos Ignacio Granada is that the successful execution of such
his medical team’s business suc- ideas.”
cess story will be an example for
Corbic specializes in carfurther innovation not only in dioneurovascular diseases and
Colombia, but also throughout has received more than 70,000
Latin America. The Colombian patients, including people who
entrepreneur is the general would not have had access to
manager and member of the health care. This is particularfounding team who established ly significant because carCorbic, a young company fo- dioneurovascular disease is
cused on the development of a the leading cause of death in
unique technology develop- Colombia.
ment platform in cardioneuPatients, however, are only
rovascular healthcare.
one aspect of Corbic’s success:
Corbic is the quintessential “From the moment the medexample of detecting a need for ical center opened its doors,
innovation in the market and we have focused on research by
seizing the opportunity through taking advantage of the congood ideas and persistence. It nections established with acawas founded in 2005 by the demic centers in the U.S.,”
group of five cardiologists and a business
manager who realized
that patients were sometimes unable to obtain
access to innovative lifesaving technologies to
treat their respective
heart conditions. By creating a state-of-the-art
medical center and
aligning inventors, medical device developers
and scientists, Corbic
has created a unique
platform to foster inno- Corbic was established six years ago as an
innovative, state-of-the-art medical center
vation.
“Corbic’s creation was
based on two essential reasons. affirms Mr. Granada, adding
The first one was born from with pride that his company’s
the needs of the Colombian findings have been published
population,” says Mr. Granada, in prominent publications such
who explains that this prompt- as the Wall Street Journal and
ed the group to find alterna- the Journal of the American
tives to facilitate access to College of Cardiology.
Corbic has an enduring parttechnology. “The second reason
had to do with the interest to nership with General Electric
develop a clear innovation cul- Healthcare, who supplies their
ture in a country where the technology, including imagnumber of patents registered ing, monitoring systems and
anesthesia-related devices. In
by year is unsatisfactory.”
Corbic has used the strategy terms of research and educaof goodwill and results to tion, the pioneering company
achieve credibility and accep- has already forged a strong retance in the international busi- lationship with various Amerness world at a time when ican research centers, including
Colombia may not be instinc- the Jack H. Skirball Center for
tively thought of as a place for Cardiovascular Research
(SCCR) which forms part of
the commerce of knowledge.
“We hope that this strategy the Cardiovascular Research
will help local innovators in the Foundation in New York.
In just six years, Corbic has
future to take advantage of its
benefits, and to be able to de- not wavered from its princivelop their own ideas,” says Mr. ples and has stuck to its goals,
Granada. “We believe the deficit being rewarded with business
in the region is not caused by success and satisfied patients all
lack of ideas, but rather by a over the world.
PROPERTY OF CORINDUS
There is a general consensus that
research and innovation at university level will both improve the
conditions both in Colombia,
through educated citizens working together, and in the world,
with businesses being able to
compete on a global scale.
Last year during his presidential political campaign, President Juan Manuel Santos toured
the country calling innovation
one of the ‘locomotives’ that
mark the nation’s future. Explaining that academic university education is the base of
economic development for his
country, the President highlighted his goals which include
closing the gap in the quality of
education between urban and
rural areas; increasing the num-
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COLOMBIA USAT pages 9-14.qxd
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COLOMBIA
Training workers for nearly
every need in the economy
SENA works to increase
the competitiveness of the
economy and to promote
social inclusion of even the
country’s most vulnerable
populations
Every economy needs an educated workforce to grow
and advance. Most countries’ education systems are
set up to help provide the
workforce needed by businesses, the government and
other employers, but often
more training is needed before graduates can move on
to a fruitful life of employment.
In Colombia, the government established the National Training Service, or
SENA in its Spanish initials,
to help give Colombians the
skills and experience they
need to get and keep a job,
and to provide themselves
and their families with the
income they need to improve the quality of their
lives.
SENA is an institution that
functions through the cooperation of the government, companies (such as
Spain’s Telefonica) and
workers. It was set up 54
years ago, and since June 21,
1957, millions of Colombians have benefited from
its vocational training in
classes and in the workplace,
from its job placement service and the many other
ways that the institution
helps workers find jobs.
SENA’s main goal is to provide a high-quality education to workers. Another
important objective, though,
is to promote economic
growth through technical
support to companies and
by backing innovative projects, providing technological ser vices to the
productive sector and helping small businesses.
At its 116 training centers
throughout
Colombia,
SENA’s job is to make sure
Colombians get the training
they need to succeed in the
country’s labor market.
Coffee is one of Colombia’s biggest exports, and
SENA has an extensive program in place to make sure
the country has the skilled
workers it needs to produce,
process and export the vital
agricultural commodity.
Classes include teaching
how to choose the best
seeds, and new and innovative ways to market the
beans.
The coffee program was
set up with the input of the
National Federation of Coffee Growers, a typical strategy of SENA. The institution
also recently signed an
agreement with General
Motors, to train employees
to work on the carmaker’s
automated production lines
at the GM Colmotores plant
in Bogota.
Providing Colombians
with training for the use of
new technologies is a growing part of SENA’s mission.
In 2006 the institution started Tecnoparque, a system
that entrepreneurs and students can use to get the
equipment, tools and technological knowledge they
Agreement
with the
German
BIBB
SENA is constantly
working to improve its
systems and methods,
and earlier this year during a visit to Germany
by President Juan
Manuel Santos, SENA
Director Father Camilo
Bernal signed an agreement with its German
counterpart, the Federal
Institute for Vocational
Education and Training,
or BIBB.
The agreement is intended to promote joint
activities and information exchanges in the
area of vocational education and training.
Some of the areas covered include institutional modernization,
qualification requirements, training qualifications and the
development of national
testing standards.
Father Camilo Bernal, general director of SENA, and Germany’s BIBB president Manfred Kremer sign an agreement in April this year
SENA INVESTS IN
THE SOCIAL AND
TECHNICAL
DEVELOPMENT
OF COLOMBIAN
WORKERS
THE INSTITUTION
WILL OPEN A
TECHNOPARK, WHERE
PEOPLE WILL BE ABLE
TO PUT TOGETHER
THEIR BUSINESS IDEAS
SENA offers long and short
courses developed around
the needs of different sectors of the economy, and
around the social needs of
the areas around the centers. When finished, the students have gained the
knowledge and skills they
need for the job, and the
ability to learn and adapt to
changing requirements in
the sector.
SENA has also carried out
important work in setting
standards and norms for job
training that permit workers to be evaluated, trained
and certified based on the
same requirements in all of
Colombia, upholding the
level of excellence for workers throughout the entire
country.
SENA was created to give
all Colombians a chance to
gain work skills, to make
themselves more employable and to help themselves
and the country to grow economically. After 54 years of
non-stop work, the institution continues to provide
government and businesses
with the high-quality employees they need.
Sector specific
training
programs
SENA focuses on
preparing Colombians
to work in the country’s
most important existing
economic sectors, while
at the same time
keeping an eye on the
technologies and needs
of the future
In brief
need to judge if their business ideas will work.
Tecnoparque helps people with an idea formulate a
clear plan to create a product unit, which they can then
put into practice with the
help of a business incubator.
The Tecnoparque system
gives them access to marketing, management and financial advisers, and helps
put them in touch with potential clients.
SENA has many different
programs to help train and
educate Colombians. It also provides training and facilities to instructors, to help
them improve their teaching skills, and to give their
students the best education
possible. As part of its commitment to excellence, businesses also have access to
SENA resources, to help
them be as efficient and productive as possible.
SENA targets
social and
economic
inclusion
Moving SENA forward
through Vision 2020
Social inclusion, training
and physical, information
and human resources
infrastructure are the
bases of SENA’s strategic
plans and foci for the next
four years
When a new leader comes in to
run an organization, one of the
first orders of business is frequently to study the place, ascertain its strengths and
weaknesses and develop a strategic plan based on the findings of
the study and the goals of the institution.
Father Camilo Bernal was
sworn in as director of the National Training Service, or SENA,
in January, and since then he has
set in motion his plan, called Vision 2020, to decide how the institution will move forward, its
main goals and strategies, its image in the country and in which
projects it will participate.
Father Bernal is
uniquely qualified to
head the organization.
He has a strong background in
education, having been a rector
at the Minuto de Dios University before moving to SENA. He
helped start up Community Development Centers in the towns
of Cartagena and el Carmen del
Bolivar, and has a university degree in computer and systems
engineering.
Father Bernal and the heads
of different units of SENA have
carried out a series of meetings
to exchange ideas and suggestions for the strategic
plan. The institution’s
employees have been
encouraged to con-
tribute to the plan, to make sure
SENA benefits from the full
breadth of experience of its staff.
“I want us to build this strategic plan with the participation of
many people here at SENA,” Father Bernal says. “From the different sections, from apprentices
to instructors, unions and businesses, we should all think about
the SENA that we want.”
SENA will be carrying out a
massive consultation, at the national level, on the Internet. The
institution expects to include
tens of thousands of Colombians
in various exercises to clarify, define and validate its vision and
strategic plan. Nearly 1,000 invitees will participate in nationwide focus groups, more than
10,000 will participate in leading
polls, and all Colombians will be
invited to participate in a broad
variety of polls on the Internet.
By the end of the process, work
groups will have personally visited SENA offices in 10 or more
of Colombia’s regions, and will
have held videoconferences with
at least another 18 regions. The
goal is to get input from as many
perspectives as possible.
After all of the meetings, the
goal is to develop and define
SENA’s strategic lines, the impact they hope to have, and how
to support and carry out that
mission to make the institution
as efficient and effective as possible for all
Colombians.
Colombia is a very diverse country and the
Santos administration
seeks prosperity for all
through more jobs, a reduction in poverty and
greater security.
The country also has a
wide range of socioeconomic levels, and
the government is determined to provide
economic, social and
educational inclusion
for all Colombians.
SENA is an important
part of the effort to promote inclusion. The institution provides free
training and education
to all Colombians who
need it, preparing them
for a productive working life.
The NanoProfessor
Nanoscience
Education and
Training
Program
Promising new fields of
economic activity are always of interest to
SENA. Nanotechnology
is an area that has the
potential to be a source
of innovation, jobs and
profit for decades to
come. Last year SENA invested in a U.S.-developed
system to train high
school and university
students for careers in
nanotechnology.
The system, called the
NanoProfessor
Nanoscience Education
and Training Program,
gives students the
chance to learn about
the uses of the developing technology and at
the same time provides
them with hands-on experience with the same
up-to-date equipment
used by researchers in
the area.
Nanotechnology is a
rapidly growing field
and it will need a constantly growing force of
trained and experienced
workers and researchers.
This is an area where
SENA hopes to get in on
the ground floor and
provide some of the expertise needed in the areas of biotech,
electronics, energy and
medicine, among others.
SERVICIO NACIONAL DE APRENDIZAJE SENA
A World-Class Entity
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Wednesday, July 20, 2011
COLOMBIA
15
Latin America’s top healthcare system
Colombia’s excellent healthcare system has been applauded by the World Health Organization and its affordable prices are luring in patients from abroad
IT IS ESTIMATED THAT
AN AVERAGE OF SIX
TO SEVEN MILLION
AMERICANS WILL
TRAVEL ABROAD IN
2011 FOR MEDICAL
TREATMENT, A
NUMBER THAT COULD
RISE TO ABOUT 23
MILLION BY 2017
HOSPITALS SUCH
AS HOSPITAL
UNIVERSITARIO SAN
IGNACIO TAKE A
PATIENT-BASED
APPROACH AND
PRIORITIZE HUMAN
CARE ABOVE ALL,
INFUSING THEIR
SERVICE WITH THE
COLOMBIAN PEOPLE’S
CHARACTERISTIC
WARMTH
Of Latin America’s 35 highest ranked hospitals, eight are located in Colombia
Enrique Arboleda, president
of Cafesalud. “This positions
Colombia as the most efficient
on the continent in this regard.”
Despite the current success of
the country’s healthcare, its goal
is to further improve the quality and equity of access, while aspiring to provide universal
coverage in the future.
Dr. Julio Cesar Castellanos,
general director of Hospital Universitario San Ignacio, aims to
provide the freedom of choice for
medical clients and to set up
quality assurance indicators in all
hospitals. “The first key element
in quality is human attention, to
listen to the patient,” Mr. Castellanos says. “For this, all systems
have been established to hear
the user, meet the user, receive
complaints, suggestions, etc.”
To improve patient management in terms of diagnosis, Mr.
Castellanos supports the generation of a network service
provider or other entity to improve quality and efficiency of
health services. He aims to take
on the challenge of improving
service networks so that each
entity serves in its strengths in
the fastest way possible to avoid
administrative delays for the
patient.
The Hospital Universitario
San Ignacio has an advantage in
which it is a non-profit entity
and receives numerous donations. The hospital administration has decided to invest all
donations into technological development, making service faster,
more efficient, and more beneficial for the patient.
PROEXPORT
When it comes to health systems, Colombia is a world leader,
even surpassing more developed countries like the U.S.,
Switzerland, Canada, and Germany, according to the WHO’s
World Health Report.
The country has made significant progress in terms of
healthcare coverage, reaching
approximately 42 million
Colombians to date. “There are
important strengths in Colombia in the health sector, not just
in the field of aesthetics, but also in the area of highly complex
systems,” says Dr. Sergio Rada,
director of Rada Clinic. “The
quality of our physicians and
the warmth of the team with
whom they work have increased
international interest to come to
have surgery in Colombia.”
Colombia is not only known
for its tradition of cosmetic
surgery, but it also has the best
healthcare system in Latin America, offering a range of complex
health services. Many industry
leaders believe that what has
helped the current Colombian
system become so successful is
the constitutional nature of
healthcare in Colombia.
CafeSalud Prepaid Medicine
contributes to the welfare of
Colombian families through a
broad range of health services.
Its services and opportunities
supplement basic social security schemes in the country and
have helped make the national
system more successful. “In
Colombia, the ‘pocket money’
that citizens spend outside the
health system is 7%, unlike other countries in the region that
are close to 50%,” says Jairo
Even though Latin America
is becoming an emerging interest for developed countries like
the United States, Norway, or
Austria, Mr. Castellanos warns
that developing countries must
be very careful about investing
in technology to avoid becoming an exporter of net dollars.
“One sees a growing interest in
Latin America, and though this
is currently the era of Asia, Latin
America must be prepared to
become the next emerging economy,” says Mr. Castellanos.
“Therefore the responsibility of
leaders in this country is to prepare for the change.”
It is expected that an average
of six to seven million Americans
will leave the country in 2011 for
medical treatment and about 23
million by 2017. Colombia is lo-
cated strategically close to the
U.S. and many major Latin
American capitals, as it is only
a three hour flight from Miami,
and under six hours from New
York, Houston, Washington, Sao
Paulo, Mexico and Buenos Aires.
This allows for many foreigners
to take advantage of high quality treatment close to home;
however there is yet much to
improve in the area of exporting health services, as the economy rankings still do not indicate
that Colombia is a first choice
destination.
“We have problems communicating with the world, but with
President Santos I think we will
improve more,” Mr. Castellanos
says.
Nonetheless, he proposes improved communication to bet-
ter gauge the patients’ needs in
the future. In the coming year,
the hospital will launch a teleconference system through
broadband to build an open dialogue which allows the hospital staff to learn more about
prospective patients.
To further aid in communication, Colombian hospitals are
working to improve qualities
beyond medical knowledge in
order to treat foreign patients.
Language skills and personalized treatment are areas doctors
are specially trained in. “We
have a group called SIPE [International Services and Special
Plans] that is fully bilingual,” Mr.
Castellanos says.
In Colombia hospitals like
Hospital Universitario San
Ignacio take a patient-based approach and prioritize human
care above all. “In general, we
have better quality and warmth
than in many other countries
due to the characteristics of
Colombia, as we are friendly,
warm, close to people, and affectionate,” claims the hospital’s general director. In
Colombia, one is sure to find
quality patient care that is
unique to other countries, with
standards that have measured
up to the quality of more developed nations. “Come to
Colombia to be healthy,” he says.
“Be surprised, as we saw in all
the patients we treated. People
are pleasantly surprised.”
A more extensive version of
this report is available at
http://unitedworld.usatoday.
com/ourworld.htm
The charitable hospital
Cosmetic medicine pioneers
The San Vicente de Paul Hospital has a century-long history of attending to the
healthcare needs of those in need, as well as to those of paying patients
Clinica La Font has grown from a clinic to a medical complex devoted to beauty
and health, and the country’s only ISO-certified cosmetic surgery organization
“Hospital San Vincente de
Paul was founded by generosity and generosity itself
has been maintaining the hospital,” says Julio Toro, general director of Fundacion San
Vincente de Paul.
Hospital San Vincente de
Paul was founded 100 years
ago by a man who belonged
to one of the most renowned
families from Medellin. He
said to himself when his wife
fell ill, “If I, having money, suffer with my wife being sick,
what is it like for poor people?” He went on to found the
biggest hospital in Antioquia
which has been able to assist
all of Antioquia’s children regardless of social class. “When
he died, he left a legacy in the
institution,” Mr. Toro says.
Since its founding, Hospital San Vincente de Paul has
functioned as a non-profit private institution, generating
benefits for the community
and serving people with limited resources. It operates in a
duty-free zone so costs are reduced and services become
cheaper. The community definitely appreciates the institution, as it has an open-door
policy and does not exclude
anyone from its services.
The hospital makes sure that
all their healthcare professionals are educated, training
Clinica La Font is a renowned
institution at both the national
and international level, having earned many prestigious
awards for quality of service
and care in science-art cosmetic surgery. The clinic has
been awarded ISO quality
certification, becoming the
only plastic surgery organization in the country with this
recognition.
Dr. Fernando Pedroza and
Dr. Lina Valero, both directors of Clinica La Font, have
created many surgical techniques that set La Font apart
from other clinics. “There are
surgeons who use well known
procedures but are not able
to give the body a natural look,
and ruin it because they do
not have the sense of art that
labels our job,” Mr. Pedroza
says. “It has to do with shaping the human appearance,
and avoiding removal of necessary tissues. In our medical
center, we just mold the existing tissues.”
In addition to being a
clinic, Clinica La Font is also a university. Mrs.
Valero was actually the
pioneer who brought
specialization studies
to Colombia. “There
was nothing similar
in Colombia or
Latin America.
JULIO TORO, General Director of
Fundacion San Vincente de Paul
much of their staff from the
University of Antioquia. “Here,
they find a way to carry out
their internships with high
quality and a generous reception,” Mr. Toro says. “As a result, we are deeply related to
Colombian people’s feelings.”
Mr. Toro believes that the
hospital will be used long into the future due to its connection to the community and
foundation of generosity that
has kept it alive for many years.
He not only foresees the hos-
pital’s long-term success, but
he also welcomes future expansion and care for foreigners as they build a new clinic
at Rio Negro.
“We cannot expand in this
place and therefore we bought
some land next to the airport
to build specialized centers in
areas we know, such as transplants, cardiovascular matters,
emergency service and appointments,” he says.
The Hospital San Vincente
de Paul holds patient safety in
the highest esteem, as it is
backed by the best medical expertise and comparable to
other high quality medical institutions. “We have efficiency, efficacy indicators, as well
as hospital mortality indicators comparable to the best
hospitals worldwide,” Mr. Toro
says. “We assure healthcare
risks are avoided, namely, intra-hospital infection, which
our hospital was the first to
manage. We assure patient
safety.”
The hospital has made great
developmental contributions
to the community and has become a long-standing quality
hospital serving the region. “If
I had to go through the emergency room, I would ask to be
sent to this hospital,” Mr. Toro
says. “There is no greater guarantee than that.”
Therefore, I thought we had to
found an academy here because not everybody has the
chance to go and study in the
U.S.,” she says. “So I decided to
create this specialization program.” The program was designed at CES, which led the
university to place first in the
evaluation for the best medicine faculty in Colombia.
Clinica La Font has benefited from medical knowledge from abroad,
receiving specialists from around
the world, and
now the medical complex is
catered to
give the highest care and
comfort to both national and
foreign patients. Patients
have the possibility to stay
in a hotel with all the features of a spa, giving all kinds
of medical treatments to prevent prolonged post-surgery
inflammation, giving the patient the best results.
“Customers are our best
friends; that is the way we treat
them,” says Dr. Valero. “We
spoil them, we are aware of
their needs. We have designed
hospitalization and nursing
care to ensure patients receive special and comfortable treatment.”
Our World Insert is produced by United World. USA TODAY did not participate in its preparation and is not responsible for its content
DR. FERNANDO PEDROZA
and DR. LINA
VALERO,
Directors of
Clinica La
Font
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COLOMBIA
Strategic
objectives to
protect the
environment
Investments in water and sanitation infrastructure will be
focused on society’s most vulnerable and initiatives
launched to reduce Colombia’s exposure to climate change
In January, Beatriz Uribe Botero,
the current Minister of Environment, Housing and Territorial Development of Colombia,
presented the strategies that will
be included in the National Development Plan (NDP) for her
ministry’s corresponding sectors over the next four years to
President Santos.
“The goals are ambitious
and challenging,” she affirms.
“One of these challenges is consolidating the structural reforms
of the drinking water sector and
basic cleanup.”
With regard to the NDP, Mrs.
Uribe says, “The project needs
an efficient and sustainable management team that can contribute to the social development,
economy, and environment of
the country. We will invest in the
water and sewage infrastructure,
with our focus on the most vulnerable population.”
The environment sector’s objectives will be concentrated on
guaranteeing the conservation
of biodiversity and ecosystems.
This will be achieved through
the coordination of urban, en-
vironmental and administration sectors, including production agents, the government and
society.
The private sector is also an
involved and responsible partner of environmental protection. Acoplasticos, the 50-year
old Colombian association representing companies in the plastics, chemical, petrochemical,
rubber, paint, ink and fiber sectors, stands firmly behind responsible consumption of
products.
“A responsible consumption
shall lead to three lines of action,
the first one of which is consumption rationalization, which
is in essence an issue of individual awareness,” says Carlos
Alberto Garay, president of
Acoplasticos. “The second concept is reuse. It is true that plastic containers are made for a
short life, but they are indeed
reusable.”
“The third message is to recycle when possible. The recycling process in Colombia is a
process that has an important
social impact,” he concludes.
Strategies included in the National Development Plan (NDP) include efforts to guarantee the conservation of Colombia’s massive biodiversity and intricate ecosystems
‘100% of Renault and GM vehicles in
Colombia use MAC products’
MAC is the leading
battery manufacturer in
Colombia. Created in
1957, it now has close to
54% of the national
battery market and
91.5% of MAC batteries
come from the original
battery assembly lines
Maria Fernanda Meija, president of MAC, has plans to
build the biggest modern battery plant in the country and
region, equipped with top-ofthe-line technology, for the
production and ability to recycle batteries without damaging the environment. Here,
she shares more information
about MAC and its developments and achievements.
In 1957, your father bought
his boss’s workshop and
turned it into a battery man ufacturing workshop. After wards, he obtained a position
in the region and created sig nificant liaisons worldwide.
What have been MAC’s basic
and unique features through out its career?
When my father returned
to Cali, Colombia, he got a job
in the same business he had
learned in Argentina, that is, in
an electrical service workshop
called Battery Distributor. My
father obtained great recognition because he modified vehicles to fix them and offered
outstanding customer service.
He worked there from 1955
to 1957 until the owner suggested that he buy the business for 4,000 Colombian
pesos ($2.27), paid in installments. The company later became MAC, a battery and
car-part trading company in
the vehicle market.
However, it was not only
until the 70s that the company had an industrial-like facility. A tire manufacturing
company, Icollantas, decided
to close the battery production
line and my father bought it.
During the early 70s he became a supplier of the vehicleassembly industry. This was
a decisive role because the vehicle industry defines the
technological line for car-part
complements.
Vehicle-assembly companies were so demanding in
quality processes that we had
to develop improvement
processes, which already have
been implemented. We think
that although economic profit is not high in this trade re-
lation, there is compensation
through the learning experiences we have obtained from
them.
Our relationships with assembly companies still remain
strong today; 100% of Renault
and General Motors’ vehicles
assembled in Colombia use
our brands. Some of the production in Ecuador and
Venezuela has MAC products,
as well.
share there for many years.
There is a chance to exchange
products with Johnson’s customers through the partnership we are developing. In fact,
we have already exported to
the U.S. this year.
What specific actions does
MAC carry out to protect the
environment?
A significant benefit for the
environment comes from our
Maria Fernanda Meija, President of MAC
Both internationalization and
entrance in new markets such
as Uruguay, Bolivia and the
U.S. are vital. Why did MAC
enter these markets? How important is the U.S. market for
the company nowadays?
The internationalization
processes started in 1992. It
first began with raw materials
because the product was not
ready to enter the international
market yet.
Our natural market is the
Andean Pacific, which covers an area from Panama to
Chile and every country of
the Andean Community. Our
secondary market is in Continental Central America and
its islands.
Even though we are not
widely known in the American market, we have had a
modern sustainability approach. We can pick up used
batteries that may have been
disposed of inappropriately
and may be harmful. We can
process them and recover
100% of lead and polypropylene. We can also treat the electrolyte appropriately, which is
sulfuric acid and water, to use
it subsequently in other tasks
at the same plant. If it must
run through the sewer system,
we can ensure adequate conditions to avoid any inconvenience.
We can also guarantee a safe
process in social, environmental and labor terms.
We have the necessary technological conditions to achieve
it. Not only do we have the adequate filters but also an industrial waste treatment plant,
inside-process controls and
training for our staff.
Our goal is to reach what
we call ‘closed cycle’. This
means that everything can remain here at the plant. It is
the capacity to process incoming hazardous waste and
finally generate raw material
to create new products. At the
end of the process, remains
should be sent to another industry. Meanwhile, we have a
landfill in proper conditions
that meet environmental regulations.
MAC has received a lot of
prizes. What does MAC mean
to you after its history of
growth and success? Where is
MAC now and where do you
dream it will be in the years to
come?
I have worked for MAC
since a very young age because
we used to come and work on
several things during school
breaks. I have been working in
auditing in MAC’s financial
area since 1985 because I studied accounting. I have been
running the business since
2001, when I took over my
brother’s position as he was
appointed Minister of Mines
and Energy. This job has been
a fascinating learning experience.
I am interested in people and
their professional growth. I find
great satisfaction when I visit
the plant and see people who
are satisfied with our achievements and their fulfilled individual goals.
As businesspeople, we are
responsible for providing the
company with sustainability
to last in time. However, it is
important for businesspeople
to have a soul. I mean, workers must appreciate them and
they must struggle for themselves and for the company.
In the years to come, I see a
huge company with the market share we currently have. I
was lucky to celebrate our first
million batteries and reach 3
million in an even shorter term.
This has not happened by
chance at all, but it is rather
the result of hard work. After
reaching 3 million, we ought to
take the risk to achieve 6 million batteries. This is a risky
growth process where we had
better be confident about a
market which will buy this
product once it is made. Additionally, we must have both
equipment and well-trained
staff to face this challenge.
The benefits of
‘Social Business
Responsibility’
Now under way, the Social Business Responsibility
project aims to meet the basic needs of the
population and protect the environment
To understand what ‘Social
Business Responsibility’ is,
the structure of the Colombian society needs to be understood first.
Each citizen is a part of numerous branches including
academics, the government
and companies. Each one has
a role to play inside the construction, transformation and
development of its society.
Such roles are related to each
person’s personal activities
that move each individual
forward with the rights and
responsibilities that each citizen should have and carry
out in society. These responsibilities would be respecting each other, society,
culture and nature, abiding
by the law, and the duties of
each citizen. The survival and
sustainability of a society
largely depend on how each
individual executes his or her
role.
Currently, the Social Business Responsibility of every
company demands that they
contribute positively to their
neighbor, community or to
society in general. This is the
beginning of developing business participation from an
ethical perspective that recognizes human dignity and
plays a substantial role in economic and social success.
Colombia’s Social Business
Responsibility project was
started to combat multiple
arising problems in the country – changes in the environment, the decrease in
quality of life, corporate scandals due to lack of business
edict, and the violation of human rights, among others.
As the World Business
Council for Sustainable Development defines it: “It is a
permanent commitment of
businesses to behave ethically and to contribute to
the economic development
while at the same time bettering the quality of life of
workers and their families in
the local community and for
families in general.”
Now under way, the Social
Business Responsibility project has numerous objectives:
to satisfy the fundamental
needs of the population, to
protect natural resources by
means of employing clean
technology, not sacrificing
present or future generations,
and to facilitate the construction of a people-centered society.
This voluntary commitment that organizations and
businesses take on, setting
up expectations in the matter of integral human development that are generated
with the interested parties
including workers, clients,
suppliers, social agents, and
communities. It permits the
organizations to assure the
economic growth, social development, and a balanced
ecology.
Social Business Responsi-
THE SOCIAL
BUSINESS
RESPONSIBILITY
PROJECT AIMS TO
SATISFY PEOPLE’S
FUNDAMENTAL
NEEDS, TO PROTECT
NATURAL
RESOURCES BY
USING CLEAN
TECHNOLOGY,
AND TO CREATE A
PEOPLE-CENTERED
SOCIETY
bility is divided into six parts:
suppliers, corporate government, community, employees, environment, and goods
and services. Each part operates with specific guidelines to strengthen social and
economic communication.
Benefits in every area are
seen due to the practice of
the Social Business Responsibility. With human and
workers rights, work hours
have been distributed differently, which has resulted in
less truancy and less stress.
Costs have been reduced, and
the culture within the work
environment strengthened.
In the goods and services sector, clients and consumers
are seeing many changes. The
quality of goods and services
have increased, raising the
satisfaction level, client loyalty has been generated and
the understanding of the
market has improved.
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Wednesday, July 20, 2011
COLOMBIA
17
The FIFA
Under-20
World Cup
2011
Between July 29 and August 20, eight Colombian capital
cities will host the world’s finest young soccer players as
24 countries take part in the FIFA U-20 World Cup
The FIFA U-20 World Cup
Colombia 2011 will be the 18th
edition since FIFA launched its
World Youth Championship in
1977. Prepared with a wide selection of tourism offers in addition to the sports event, the
Colombian cities involved will
offer packages such as history
and culture, nature, sun and
sand and adventure as part of
a ‘Discover Colombia through
Soccer’ campaign organized by
the country’s investment promotion agency, Proexport.
Host cities include the lively
and warm Barranquilla, known
for its tropical climate, World
Heritage carnival and thriving
gastronomic and cultural offer.
Barranquilla will kick off the
tournament on July 29 with the
Brazil-Egypt match, and the
first 25 games of the championship will be held there in
Colombia’s largest stadium.
The 2011 championship represents the largest sporting
event ever hosted by Colombia.
“Investment in infrastructure
in the stadiums has exceeded
$100 million,” says Rodrigo Jose
Cobo Morales, director of the
FIFA U-20 World Cup.
In addition to Barranquilla,
the other host cities are Bogota, Cali, Medellin, Pereira,
Cartagena, Manizales, and Armenia.
Well known for its musical
heritage, Cali boasts a long tradition of various musical styles,
including merengue, vallenato, currulao, meneito, reggaeton and latin jazz. Since the
1990s, however, it is the global
capital of salsa, with more than
8,000 dancers and 50 dance
schools, and the city’s streets
are alive with Caribbean beats.
Cartagena de Indias, with its
romantic cobbled streets and
colonial architecture, is sure to
delight visitors. Meanwhile the
nation’s capital Bogota, which
the New York Times named
one of its ‘31 Places to Visit in
2010’, reflects the emerging
modern urban face of Colombia’s transformation with its office towers, parks and ample
choice of hotels, shopping and
cultural exhibits.
Medellin, Colombia’s second-largest city, is a busy commercial and industrial hub with
lively nightlife. It is also a global fashion hub due to the region’s thriving textile industry
and boasts a number of excellent Colombian designers. Finally, the Coffee Triangle of
Manizales, Armenia and
Pereira is a verdant and prosperous region, with majestic
landscapes dotted with coffee
plantations and a number of
options for nature
tourism.
Expected to attract more than
350,000 visitors – by
early May of this year,
250,000 tickets had
already been sold –
President Santos has
promised the 52match tournament
will be the best in its 34-year
history.
A highly emotive event, FIFA’s U-20 World Cup 2011 will see soccer fans and players from 24 countries around the world proudly wearing their national colors
During the April draws, the
President said, “We will all continue to work hard so that
through this sports event the
whole world realizes how wonderful this country is.”
Since it was chosen in 2008
as host country for this year’s
event, beating neighboring
competitor Venezuela, Colom-
THE OFFICIAL
MASCOT FOR THIS
YEAR’S FIFA U-20
WORLD CUP IS
THE RED MACAW,
ONE OF SOUTH
AMERICA’S MOST
COMMON PARROTS
THE MASCOT’S WIDE
SMILE AND ATHLETIC
STANCE REFLECT THE
JOIE DE VIVRE OF
THE HOST NATION
‘INVESTMENT IN
INFRASTRUCTURE IN
THE STADIUMS
HAS EXCEEDED
$100
MILLION’
‘A GREAT
LEGACY TO
LEAVE IS THAT
THE WHOLE
WORLD WILL SEE
COLOMBIA WITH
DIFFERENT EYES’
bia’s Soccer Federation and its
federal government, through
an inter-institutional commission, have implemented a comprehensive work plan to ensure
the event’s success and a quality tournament.
“The most important legacy
after the World Cup is over is
the culture of watching football live without nets, safe, and
with the whole family,” says Mr.
Cobo Morales. "Football is a
phenomenon which manages
to unite people, nations, and if
used as a weapon to pacify the
world it would surely be the
most effective of all.”
Measures taken include a solid national security plan, specially designed for the event,
which will ensure the safety of
Colombians and foreign visitors both in and out of the stadiums. More than 56,000
uniformed officers will patrol
the stadiums, training grounds,
hotels, restaurants and streets
of the host cities. In addition, a
special World Cup elite com-
mando unit has been created
that comprises dozens of security groups expressly trained to
deal with exceptional circumstances, such as natural disasters and terrorist acts. Indeed,
in recent pre-tournament inspections, Colombia was given
the thumbs up by FIFA representatives, who said that overall the country was well
prepared for the event.
“What is amazing about football is the binding effect it causes: if we take 10 people from
very different countries, who
do not speak the same language
and are not governed under the
same social rules, and give them
a ball, they won’t take 10 minutes to set up a game in which
everyone understands perfectly the rules. That’s the magic of
football,” says Fernando Panesso, manager of World Cup
U-20. “Apart from the infrastructure created for the event,
a great legacy to leave is that
the whole world will see Colombia with different eyes.”
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COLOMBIA
PHOTOS BY ALVARO BUENAVENTURA
Regions of Colombia
From soaking up the sun on
virgin beaches to diving into
a rich variety of cultures to
getting drenched in one of
the wettest places on Earth,
Colombia has so much to
whet the appetite of the
adventurous visitor
Each one of the country’s six natural regions has much to offer the
inquisitive tourist. The geological
contrasts to be discovered here
could not be starker. Frozen highlands in the mighty Andean mountain ranges, or cordilleras, are more
than 15,000 feet above sea level,
whereas Colombia’s pristine
beaches line its coastlines lapped
by both the Pacific Ocean and the
Caribbean Sea. The three Andean
cordilleras that run north-south
separate the western coastal lowlands from the almost empty eastern plains.
Colombia also has some incredible islands on both its Pacific and Caribbean sides that have
fascinating combinations of nature and history. Gorgona Island,
a former island prison, is now a
unique ecotourism destination,
whereas San Andres has beautiful
white-sand beaches and all-inclusive resorts.
The nation’s rainforests teem
with wildlife and biodiversity, as
well as being the home to numerous indigenous ethnic groups.
City life is no less spectacular.
The capital Bogota is the country’s largest city and the third-
VISITORS CAN COMBINE
EXPERIENCING THE
SOPHISTICATED CITY
ATMOSPHERE OF
BOGOTA WITH A SWIM
IN CRYSTAL WATERS OR
TREK THROUGH
RAINFOREST, AS
COLOMBIA TRULY IS A
DIVERSE DESTINATION
highest in the world. It has some
of the continent’s best museums,
universities and restaurants, and
is taking on an even more international character as increasing
numbers of multinationals set up
shop there.
Cali, in western Colombia and
the capital of the Cauca Valley Department, is the second largest city
in the country and the number one
place for salsa music. Medellin is
one of Latin America’s most progressive and innovative cities, while
UNESCO-listed Cartagena de Indias on the northern coast is a national treasure with magnificently
preserved colonial architecture.
Amazon Region
Experience the rainforests
and indigenous wildlife
Covering around 33% of the country but only 1% of its population, the region consists
mostly of traditional indigenous tribes and is a gem for those with a spirit of adventure
lthough the Amazon
occupies a third of
Colombia, it is the the
country’s most secluded and least populous
area. It forms a part of the great South
American region of the Amazon
rainforest, which Colombia shares
with Bolivia, Suriname, Guyana,
Ecuador, Peru, Brazil and Venezuela.
To the west, the Amazon region of
Colombia is surrounded by the Andes Mountains, which are known as
the Amazonic ‘piedemonte’.
The Colombian Amazon is home
to various ethnic groups, many of
which are Indians who work hard to
preserve their customs and regions
in which they live. The Amazon region also boasts a unique and incredible biodiversity. While boating
or trekking, you can spot alligators,
boa constrictors, jaguars, and caymans. Visit the Laguna de Tarapoto, the area of the Pink Amazonian
River Dolphins or experience piranha fishing, an activity which has
become increasingly popular among
visitors to the Amazon.
During a stay in the Amazon, many
choose to visit Letizia, the capital of
Colombia’s Amazon region. The
small jungle town on the border of
Brazil and Peru is the gateway to
Colombia’s Amazon rainforest and
A
THE ETHNICAL
AND
BIOLOGICAL
DIVERSITY OF
THE AMAZON
REGION
OFFERS A
UNIQUE
EXPERIENCE
is a good place to start rainforest
tours. There are many tour operators
in Letizia and good hotels there, such
as Hotel Anaconda. Colombian travel agency Aviatur has also built houseboats so tourists can enjoy the
Amazon’s beauty in tranquility. These
luxurious houseboats give visitors
the option to move the boat to different locations of their choice.
For those who choose to venture
out in the jungle a little more, Letizia
is only a two hour boatride away
from Puerto Narinho. The
small village is a good base
for visitors to Amacayacu National Park, as well
as for backpackers, kayakers, and pink dolphin
watchers. Casa Selva Hotel is a popular and comfortable choice of hotel in
Puerto Narinho.
The Amazon Region boasts
an amazing biodiversity
that enables visitors to see
alligators, boa constrictors
and jaguars while boating
or trekking
Caribbean Region
Discover both the vibrancy
and relaxation of the nation
The Caribbean
region of Colombia is
on the northern
coast, next to the
Sierra Nevada de
Santa Marta and by
the Andes mountain
range, making for
some of the most
unique landscapes
in the world
he Caribbean region’s 1,000-mile
coastline, pristine
waters, Caribbean
rhythms, and tropical ambience create an ideal location for comfort and relaxation.
Not only does the natural beauty of the Caribbean offer tranquility and hospitality, but also a
bustling nightlife, daytime activities, folklore and history.
Baranquilla, the most densely populated city in the region,
is famous for its annual Carnival, which is among the biggest
worldwide, coming only second
to the carnival in Rio de Janeiro.
With its advanced infrastructure
T
COLOMBIA’S
COLONIAL
CHARACTER IS
PRESERVED
VERY WELL IN
CITIES LIKE
MOMPOX OR
CARTAGENA
DE INDIAS
and developed industry, Baranquilla is also very multicultural,
as early settlers included groups
of Arabs, Jews, Germans, Italians, British, and Asians. This is
also reflected in the local food,
which is as diverse as its people.
For a more tranquil setting,
visit Capurgana for its seafood
and amazing jungle landscapes
next to the sea. Even more secluded is Cabo de la Vela, a
desert beauty with quiet beaches, inhabited by the indigenous
Wayuu people.
The city of Cartagena de Indias, with its colorful walls and
colonial architecture, was declared a UNESCO Heritage Site
in 1984 and has hosted events like
the International Film Festival
and the International Music Festival, to name but a couple. Famous author Gabriel Garcia
Marquez also spends much of his
time in this city, and there are
many tours to familiarize yourself with some of the places that
have inspired his writing.
Well-preserved Cartagena de Indias was declared a UNESCO Heritage Site in 1984
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Wednesday, July 20, 2011
COLOMBIA
Orinoquia Region
Vast plains sweep eastern Colombia
The huge Orinoco River forms part of the border between Colombia and Venezuela and is flanked by huge plains rich in flora and fauna
o the east of the
Andes is a vast
plain crossed by
countless rivers
that flow into the
mighty Orinoco River. The
Orinoquia region is known
as the eastern plains from
the Spanish llanos orientales
and includes the states of
Arauca, Casanare, Meta and
Vichada. The climate is hot
and dry, resulting in savannah vegetation, natural
grasses, and a rich and varied fauna.
The region is rich in oil,
with deposits discovered in
Arauca and Casanare attracting many new settlers,
T
VISITORS FROM
BOGOTA STAY
ON BEAUTIFUL,
TRADITIONAL
FARMS DURING
HOLIDAY
WEEKENDS
AND CATCH
SPECTACULAR
SUNSETS
COLOMBIA’S
ISLANDS ARE
HOME TO
BREATHTAKING
COVES AND
OUTSANDING
NATURE IN
TWO SEAS
The massive eastern plains are also suitable for extensive ranching
and is also apt for extensive
ranching.
Covering around 270,000
square miles, or three-fifths
of the country’s area, the
llanos (plains) are sparsely
populated and the majority
of settlements are situated in
the foothills of the eastern
cordillera (mountain range)
of the Andes. Here you can
find a launch pad to the region at Villavicencio, known
as the ‘gateway to the plains’.
Colombia’s agricultural
heartland is known for its
beautiful sunsets and traditional fincas (farms), which
draw in visitors from Bogota during holiday weekends.
The region is unbroken by
highlands except in the state
of Meta, where the Macarena Sierra, an outlier of the
Andes, has piqued scientists’
interest as its vegetation and
wildlife are believed to be
reminiscent of those that
once existed throughout the
Andes mountain range.
Insular Region
Serve time on a desert island
Various groups of small coastal islands in both the Pacific Ocean and Caribbean Sea make up the Insular Region
n the Pacific side,
Malpelo Island
attracts swarms
of hammerhead
and silky sharks,
making it a highly popular
sharkdiving expedition location. In 2006 it was declared a
UNESCO World Heritage Site
and visitors to the island need
to obtain a written permit from
the Colombian Ministry of Environment.
In 1985 the Colombian state
acquired the rights to Gorgona
Island, also in the Pacific Ocean,
and it was established as a National Park. A former prison
O
Colombia’s islands appeal to tourists
looking for somewhere unique
island, in a similar vein to Alcatraz Island, and famed for its
venomous snakes, it has since
been developed as an ecotourism center and whalewatching hotspot. Trips to the
old prison can be arranged, as
well as a host of other activities.
On the Caribbean side, the
archipelago of San Andres,
Providencia and Santa Catalina consists of two island
groups and eight outlying
banks and reefs. The main island of San Andres and Providencia is highly influenced by
English, French and African
heritage. In addition to its
amazing beaches, the island is
surrounded to the northwest
by a small coral reef and several keys that are home to varied fauna and flora that attract
tourist in droves.
Pacific Region
Unique ecosystems
and natural resources
The area boasts diverse geography, unique ecosystems and unexploited natural resources
ordered by Panama to the north
and Ecuador to
the south, the
Pacific region
forms the western slice of
Colombia along the Pacific Ocean.
The area has vast ecological, hydrographic, mining and forestry wealth, and
boasts diverse geography,
unique ecosystems and unexploited natural resources.
It is regarded as one of the
wettest and most biodiverse
places on the planet, with
rainfall of about 157.5 inches per year, according to the
B
ONE OF THE
WETTEST
AND MOST
BIODIVERSE
PLACES ON
EARTH, MIGHTY
RIVERS CUT
THROUGH THICK
JUNGLES IN THE
PACIFIC REGION
Rainfall has been known to exceed 523
inches in one year
Ministry of Mines and Energy, although 523.6 inches
were recorded one year at
Lloro in the region’s Choco
Department.
With such large levels of
precipitation, the region
is crossed by numerous
mighty and deep rivers
cutting through dense, humid jungle areas. Some of
them are the only ways
through the largely forested region. Intrepid explorers have discovered
pristine, virgin beaches lining the coast here.
Popayan is a beautiful
white-washed city that is perhaps second only to Cartagena de Indias in terms of
the splendor of its colonial
architecture. Meanwhile,
Cali claims to have unrivalled
nightlife.
Andean Region
A geographically diverse and
culturally rich land of contrast
The Andean region is home to the majority of people in the country and is its most economically active
olombia’s most
populated region
is characterized
by its dramatic
topography and
climatic diversity. Home of the
most famous coffee growing
area (the Eje Cafetero), the
Andean region covers the
Colombian section of the continent’s Andes mountain range.
Close to the Ecuadorian
border in the southwest of
Colombia, the Andes divides
into three distinct, approximately parallel chains called
C
Environmental conditions in the tierra
templada (temperate land) make it
the most arable and populous part
of Colombia’s Andean region
cordilleras (mountain ranges)
that span the country northeastwards to almost reach the
Caribbean Sea and are referred
to as the western, central and
eastern mountain ranges.
In addition to its eponymous highlands, the region
features plateaus, valleys and
desert areas. Climate and vegetation vary considerably according to altitude, from the
hot river valleys and basins below 3,300 feet to the more populous and productive lands in
the temperate zone between
6,500-9,800 feet altitude, right
up to the frozen lands at 15,000
feet and above.
Nestled at an elevation of
8,700 feet above sea level is
the nation’s capital Bogota. A
mix of Spanish, English and
Indian influences, some 8.62
million people now live in the
third-highest capital in the
world, and it is a city rich in
culture and contrasts that has
been referred to as the ‘Athens
of South America’ for its collection of universities and libraries.
BOGOTA, MEDELLIN
AND CALI – THE
THREE MOST
POPULAR AND
ECONOMICALLY
POWERFUL CITIES
IN THE COUNTRY –
ARE IN THE REGION
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COLOMBIA
A heady cultural mix brings out the
best in Colombia’s arts, music and food
It is difficult to encompass all of what Colombian culture is, as the culture is as diverse as its ethnic populations
Colombia’s diverse cultural influences include
those from Amerindian, African, Asian, Middle Eastern, and European roots which reflect
heavily on the diversity in Colombian art, music, literature and food. Most would agree that
this makes the Colombian cultural sectors all
the more interesting to explore.
Over the years, Colombia has made great efforts to increase the diffusion of various cultural areas throughout the country. This effort
began by means of radio more than half a century ago. H.J.C.K., The World in Bogota, F.M.
Stereo was one of the first radio channels in
Colombia. The station was founded on September 15, 1950 with the aim of raising the cultural level of the Colombian radio. This has
since become a reality, thanks to the management of Alvaro Castaño Castillo and his wife Gloria Valencia. Mr. Castaño, a man with one of the
most remarkable memories of the country, has
been a pioneer in carrying out collections of
recordings of the great poets and famous peo-
ple of Colombia, immortalizing the treasures of
Colombian culture. One of the famous figures
to be on the station was Argentine writer, essayist and poet, Jorge Luis Borges. Like Mr.
Borges, dozens of poets, writers, musicians and
entrepreneurs have been in front of the microphones of the H.J.C.K The World in Bogota.
Colombia has a culture rich with literature and
has been the cradle of great writers like Novelist
and Nobel Prize winner Gabriel Garcia Marquez
and Novelist Alvaro Mutis Jaramillo. The literature of the country has had influences from the
Catholic religion, its rocky colonial history, and
even from traditional folk tales and oral legends.
A big part of Colombian oral culture can be
seen in its music. Colombian music consists of
many music genres and in general, music is a
part of the common Colombian’s everyday life.
In Colombia there are many prominent music
styles in every region. Every part of Colombia
has its own genre of music, with different dances
and histories behind each variety. Bambuco,
which is the national dance of Colombia, is very
well known among the people as well as other
Latin rhythms like vallenato, cumbia, and even
salsa. More modern genres include hip-hop,
pop, and rock music. Colombians even celebrate rock music with a yearly festival, Rock al
Parque, which apart from celebrating the genre,
dedicates its cause to environmental sustainability. Many Colombian musicians have risen
to international fame in recent years with groups
like ChocQuibTown and Bomba Estereo, and
artists like Shakira, Juanes and Carlos Vives.
If you want to see real artistic craftsmanship,
beauty and history, Colombia holds endless possibilities. Colombia holds a long tradition of the
performing arts in the country with the bi-annual Iberoamerican Theater Festival, which is
the biggest and most important theater festival
in the world. There are also numerous museums where you can view sculptures and paintings from famous Colombian artists like
Fernando Botero and Alejandro Obregon.
Not to be outdone, one of the most anticipated aspects of Colombian culture is the
Colombian food and dining experience. The
food varies across the different natural regions
of Colombia, due to the different ethnic influences. Colombian food has gained worldwide
acclaim, as figures like Leo Katz, Harry Sasson
and Andres Jaramillo have helped jumpstart
the Colombian culinary industry, highlighting
the quality food people will find in this very
unique country.
Colombians can boast a truly diverse culture
of many influences. At present, one can see
that it is a combination of tradition, history and
modernity. Colombians have developed in each
of its cultural sectors, having thrived due to
their effectiveness, sophistication, and abundant
resources. Up to this point, Colombian artisans of all natures have really begun to export
their talents and events worldwide, leading to
the successful spread of Colombian culture in
both the national and international arena.
Colombia has a
culture rich with
literature and has
been the cradle of
great writers such as
Novelist and Nobel
Prize winner Gabriel
Garcia Marquez, left,
and Novelist Alvaro
Mutis Jaramillo
Museums
Colombia’s museums are true
treasures in themselves,
while holding an important
part of this country’s heritage. Colombia’s Botero Museum is considered one of the
most important museums in
the country with 85 works on
display from representative
artists like Picasso, Renoir,
Dali, Matisse, Monet and
Degas, to name a few. The
founding artist, Fernando
Botero, famous for his ‘fat
people’ series of and a satirical rendition of the Mona
Lisa, gave his own collection
of artistic works to the city of
Bogota, which resulted in the
formation of this museum.
The Gold Museum is one of
the most important museums in the world, as it preserves Colombian culture in
20,000 stones and in more
than 34,000 pieces of this
valuable element. Just a
stone’s throw away from the
Gold Museum is the Emerald
Museum, where one can see
some of the finest quality
emeralds in the world. As
Colombia is the world’s
largest emerald producer,
producing about 60% of all
emeralds, one can see the science and value behind
Colombian emeralds, which
are said to possess a bluish
tinge in addition to the usual
green color. One of Colombia’s oldest museums is the
National Museum, holding
one of the best collections in
Colombia. It boasts 17 exhibition rooms, 20,000 pieces
ranging from 10,000 B.C. to
the 20th century. Lastly, one
cannot overlook the Salt
Cathedral, an architectural
wonder built 650 feet inside a
mountain in Zipaquira,
about 30 miles north of Bogota.
Literature
Colombian-born author and
journalist Gabriel Garcia
Marquez, or “Gabo”, as he is
warmly referred to by his
readers, is believed to be one
of the world’s greatest writers. He won the 1982 Nobel
Prize for Literature and was
one of the leading figures of
the literary boom in Latin
America. He’s the author of
the world-famous novel, One
Gastronomy
Hundred Years of Solitude,
which has sold millions of
copies and has been translated into many languages. He
has gripped the literary
world with his rich and imaginative storytelling, and with
his masterpiece, he has established himself as a major
Latin American writer of
20th century literature.
In light of his own great
achievements, Gabriel Garcia
Marquez describes his close
friend and fellow Colombian
novelist, poet, and essayist Alvaro Mutis Jaramillo as “one
of the greatest writers of our
time.” Mr. Mutis has received
numerous literary awards for
writing the compendium The
Adventures and Misadventures of Magroll.
Colombian cuisine is as varied as its regions, from Creole fusions on the coastal
areas to innovative restaurants like El Cielo opening
up. This 21st century restaurant in Bogota is sure to surprise its visitors by using
chocolatherapy and other
unique fusions. Plus, Leo
Katz, also known as King Midas for his knack for turning
his restaurateur projects to
gold, has successfully created
restaurants like Cafe Renault
and Club Colombia with fellow famed restaurateur Harry Sasson, serving the best
food of every region.
Theaters
Every two years, the city of
Bogota hosts the Iberoamerican Theater Festival (FITB),
which is acknowledged as the
biggest and most important
theater festival in the world.
For 17 days, the city celebrates all genres of the performing arts. Renowned
artists and over 200 companies from all over the globe
are welcomed and presented
in disciplines such as theater,
dance, circus, music, puppetry, pantomime, multimedia and performance art.
FITB even provides workshops, courses, seminars and
forums by dramatists, producers, directors, actors and
theater professionals, allowing for reflection and exchange among the artistic
community.
Colombia has benefitted
greatly from the FITB over
the past 18 years, as its sector
of performing arts has developed and become an important part of life in Bogota. For
the duration of the festival,
the city and all of its performance venues are utilized to
give space for artistic expression, drawing in audiences
ranging between 4,000 and
8,000 people per show.
The range and diversity of theater and music in Colombia has proven it to be one
of the most vibrant nations in these arenas
Music
ChocQuibTown, a Colombian
music group, has used funk,
hip-hop, Jamaican ragga, and
electro music together with
Colombia’s traditional sounds
to become an international
success. Newer groups like
Bomba Estereo have also been
very successful, nationally and
internationally, receiving rave
reviews from The New York
Times and even being named
‘The Best New Band in the
World’ by MTV. Numerous
musicians have put Colombia
on the map, like Juanes who
has earned many major international awards by mixing
folklore, rock, pop and guitar.
In addition to mesmerizing the
crowds with amazing dance
moves, Shakira has reached
out to her audiences in both
Spanish and English with her
music and compassion. The
star is an ambassador for
UNICEF and dedicates much
of her time to Fundacion Pies
Descalzos, promoting education and helping children who
are victims of violence. A fellow Colombian philanthropic
musician, Carlos Vives, has
used his celebrity to raise money for the Herbalife Family
Foundation that provides nutrition programs for at-risk
children. Bogota will soon host
Rock al Parque, the largest free
open-air festival in Latin
America, which will also promote environmental sustainability.
A more extensive version of
this report is available at
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com/ourworld.htm
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