Taking Over the Gulf One Shipment at a Time

Q: How has Inchcape Shipping Services (ISS) weathered the downturn in oil prices?

A: We have over 260 offices worldwide and the Mexican office has been functioning for 10 years now. Our offshore business has grown a great deal in the past five years, something that happened organically since we did not have any specialist in this segment when we opened our first office in Mexico. We then created an entire team of offshore specialists to cater to our clients’ needs. The past two years have been challenging due to the downturn in oil prices. Mexico was not immune to these effects and we saw our market shrink a little. However, we have a far more positive perspective now and we see an upward spiral coming for the industry.

Q: With the industry picking up, what is ISS doing to take advantage?

A: Although we depend mostly on global oil prices, we see great potential in the country given that we have a good share of clients coming from China and Europe. We are quite optimistic about the future of the industry and we are waiting expectantly to see how things turn out after the election, with a new line drawn for the industry’s future. This is a fast-paced industry that moves more quickly than politics. ISS is no exception and despite the political situation we are involved in different tenders and processes to expand our business. We feel confident due to the company’s huge advantage in terms of services, compliance, transparency and its world-class status. 

The south of Tamaulipas is becoming the new Ciudad del Carmen as deepwater trends are moving to the northern part of the Gulf of Mexico and projects are focusing on this area, from Coatzacoalcos to Tampico.

Q: What does the opening of ISS’ fifth office in Mexico imply for your future growth plans?

A: Our expansion plans go beyond the oil and gas sector. We are present in the most important ports in the country except for Tuxpan. We are working with subagents to extend our services arm since we are looking to the Pacific to continue our expansion. Oil and gas on that side of the country is not as developed as it is in the Gulf, but we are positive about the potential of areas such as La Paz or Topolobampo to grow the business. At the moment, we are evaluating our options on who could be the best partner and the next step is to set up offices in Progreso and Tuxpan so that we have full coverage of the Gulf of Mexico.

Q: How did the experience of creating your own offshore segment from scratch change your vision as a company?

A: Offshore is quite a particular industry as it requires 100 percent attention. Therefore, it is mandatory to have experienced people in customs and logistics if we plan to make the team grow. We rely heavily on the support from our offices overseas to strengthen this part of our operation. We leapfrogged to take our quality standards and procedures to new heights. We did a lot of due diligence to avoid questionable practices such as bribery so we could continue to be a fully-transparent company. Timing is key in this industry and we called the relevant authorities to align their objectives and to have a unified perspective on what direction the future of the industry should head toward.

Q: How does ISS maintain its competitive edge amid fierce competition in the shipping industry?

A: The financial support from our headquarters and ISS’ global reputation are the two fundamental aspects of our competitive advantage. We also offer different types of certificates in quality, health and trace, among others. We have the reinforcement of our global operations to provide us with expertise in different areas. Regardless of the location of our partners, we serve their objectives around the globe and that is what defines our brand as a competitive asset.