Uruguay became the new mecca for many Argentine businessmen. The brand Argentine Customs is steps away from landing on this side of the river, with its first location abroad. Its objective is to open more than 20 branches in Uruguay during the next two years.
The proposal of Customs Argentinas includes bakery products, bills, dry pastry, fresh pastry, pizzas, sandwiches and empanadas. The “hot product” concept is a system that offers freshly baked croissants and bread throughout the entire opening hours – from the opening to the closing of the store. It will arrive in Uruguay in confectionery format.
With an investment of more than $500,000, Luis Videla, owner of Grupo Almar, landed in Uruguay. Although his goal was to open the first branch in October last yearpermits and bureaucratic procedures -according to the company- delayed the inauguration, which is now scheduled for before the end of the year.
“We have been working very hard with the format of master franchise In uruguay. The goal is to open our first store this year to open six more in 2023 to reach 15 stores in 2024″Explain Lucas Hurtado, manager of Expansion of Argentine Customs.
Argentine Customs
The company has its own processing plant in Don Torcuato, Buenos Aires.
The company has its own production plant, of 14,000 square meters (m2) in the town of Don Torcuato, province of Buenos Aires. There, it employs a total of 600 workers: 290 in the factory and the rest distributed throughout its 88 branches.
“With the opening of the store in Uruguay, we will export 60% of our products that are manufactured in the country. The remaining 40% will be substituted with Uruguayan suppliersHurtado explains.
The brand seeks to give a strong boost to its landing in Uruguay. In fact, its owner, Videla, has been living in that country for months. “That will give more impetus to the growth of Argentine Customs. Once it starts, the development will be very fast,” says Hurtado.
Chile, next on the list
With inflation and the systematic devaluation of the peso, no matter how much we continue expanding and expanding our production, the profit in dollars is getting smaller and smaller. That’s why we need to expand: to start having a return in dollars”Videla had explained last year to The chroniclerwhen he announced the decision to open new borders.
Although, initially, the arrows pointed to the United States, and Miami was the chosen city, the course changed and, currently, the objectives are Uruguay and Chile, countries with markets and consumers more similar to those of Argentina.
“Investments in Chile continue. We calculate that the disbursement will also be US$ 500,000 and we estimate a total of 20 branches in the next two years“, highlights Videla now.
“The idea is to invest with its own premises so that, later, the franchise system is installed and it continues to grow. But already with local money“explains the businessman.
At home
Meanwhile, while it advances with its expansion plan abroad to generate billing in dollars, borders insidethe brand plans to open, at least, 40 new locations.
“The target that we set ourselves this year is to reach the 300 operating branches in 24 months. Today, we have 88 local and eleven in construction. We are opening an average of four stores per month“, graphic Videla.
The factory still has between 20% and 25% of available capacity. If the goal is achieved, 2024it would arrive at 100 percent.
On average, each franchise bills between $2 million and $3 million a month. And an investment of US$40,000 is calculated for each store.
The Chronicler RIPE
