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Supply Chain Risks in the Nuevo León Industrial Sector
March 26, 2020
For the industry of Nuevo León, the growth of the coronavirus outbreak on a global scale is of great concern. the outbreak of the coronavirus on a global scale; while considering the protection of the population's health as the main priority, it is also important to focus protection of the health of the population, it is also important to focus efforts on keeping the economy active and reducing the the economy and reduce the possible implications that this virus could have on the manufacturing industry. the manufacturing industry.
In a survey conducted by CAINTRA on the impact of the pandemic on the manufacturing industry in manufacturing industry in Nuevo Leon, 24% of the sector have complications in their value chain due to COVID-19. value chain as a result of COVID-19; where 41% are large companies, followed by 28% of medium sized companies, 28% of 28% of medium-sized companies, 21% of small companies and 10% of micro companies.
Among the effects, the most frequently mentioned were: Delays in the delivery of inputs or raw materials with 62% and increases in the costs of their inputs and raw materials with 62%. or raw materials with 62% and increases in the cost of inputs and raw materials with 24%. with 24%. Other problems identified by the industrial sector include the cancellation of orders, stoppages and orders, the stoppage and complication of exports, or the substitution of suppliers. suppliers.
In view of this situation, CAINTRA reiterates the series of recommendations it has made to its partners to generate and implement a contingency plan to members to generate and implement a contingency plan to mitigate these effects, including among them are the following: The identification of inputs and raw materials that come from affected countries. countries affected; the constant review of the inventory levels of its suppliers in the affected areas; and the suppliers in the affected areas and any transportation complications they may face. and transportation complications they may face; the search for local suppliers of these inputs; and investment in innovation and training. innovation and training.
The estimated economic impact of the effects of COVID-19 on CAINTRA's industrialists cannot yet be estimated. CAINTRA's industrialists cannot yet be quantified, but we believe it is an enormous challenge that the the industrial sector will face in 2020. CAINTRA is focusing its efforts on closely following closely monitor the evolution of this issue, contributing to the mitigation of impacts on value chains and avoiding value chains and avoiding further complications for the country's economy.
CAINTRA NUEVO LEÓN