Mexico—Local Content Study

Client: National Organization

Duration: 2017-2018

Region: Latin America and the Caribbean

Country: Mexico

Solutions: Sustainable Business

In 2013, constitutional reforms opened Mexico’s oil and gas sector to foreign investment for the first time in nearly 80 years. These reforms included minimum national content requirements intended to promote local employment and infrastructure investment. In response to concerns from the private sector that the new requirements might stifle economic growth, a locally based client turned to DAI’s Sustainable Business Group (SBG) to conduct a two-part study.   An initial analysis of the national content plan identified opportunities to simplify the current model’s methodology and used consultation workshops to improve understanding of the policy’s intent. This was followed by a gap analysis using SBG’s proprietary Local Content Optimization Model to assess the ability of local suppliers to compete for contracts and to forecast their potential economic value. These results informed strategies to maximize the use of local supply chains in the oil and gas sector.

SBG used these studies to support policy recommendations and to demonstrate how a fit-for-purpose national content policy could benefit Mexican workers, supply chains, and communities.



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The Sustainable Business Group has in-house capacity and experience working with public and private petroleum clients in the Middle East.

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