Opportunties in Mexican market by Ari Virtanen, Advion Group

1. Opportunities in water, waste management and
energy in Mexico
Ari Virtanen, Advion Group
Advion Group Oy
18.5.2017

2. Contents:
- The reasons and situation of water scarcity in Mexico
- Waste management market – or is there market
- Alternative energy sources
- Advion Group in the market

3. The main drivers
Aquillian Investments, LLC

4. The main drivers – Urbanization in Latin America and in particular in Mexico
The estimated population of Mexico is
120,000,000, the largest Spanish speaking
country in population and 11th largest
population in the world.
Urban population occupies 80 % of the
total population , more than 50 % is living
in the 55 large and middle side cities, and
near 30 % of population lives in Mexico
City
Immigration to the USA has created
challenges of increasing the old age
population - 6% are above 60 year old. The
retuning population doubles the challenge.

5. One of the main drivers of global Circulation Economy; FOOD PRODUCTION & LOSS
• Mexico is the second largest global exporter of fresh and chilled vegetables ( 580 M$)
• About 25 % of the food consumed in the USA comes across the Mexican border
• Tons of food is dumbed every day ( only in the town of Nogales) because of volatile price and cosmetic reasons
• Approximately 89.000 tons of solid waste is produced in Mexico every day, corresponding 0,88 kg/person/day, very close to the European average. Of the
total waste generated daily, 87 percent is collected and 13 percent is dumped illegally.
Roughly one third of the food produced in the world for
human consumption every year — approximately 1.3
billion tons — gets lost or wasted.
The food currently lost or wasted in Latin America per
year could feed some 300 million people.
The Latin American cities consume on average 264 l / of
water person per day ( European average of 288 l /
person per day).
There are significant problems in water supply and yet, it
is abundant in the water masses.
Water leakage in Latin America , on the other hand, is
high, at an average of 35 %

6. The needs for raw materials are increasing even though the world is full of waste
Why do we throw away about 80 % of consumer goods and use
materials so inefficiently
10% -15 % of construction
material is thrown away as waste
during the construction period
31 % of food is waste in the value chain.
Finland is wasting 300-400 million Kg/ a
As an average,
materials are used
only once in Europe
The average
utilization rate of
cars 8 %
The use of office space 40 %
The global needs for raw materials is
increasing in the following 20 years
Energy 32 %
Steel 57 %
Water 137 %
Land for agriculture
use > 200%
Source : EEA, GSA, UN FAO, Luke, Tekes , Sitra

8. Where is the water
•In the first bar, only 2.5% of Earth's water is freshwater:
the amount needed for life to survive.
•The middle bar shows the breakdown of freshwater.
Almost all of it is locked up in ice and in the ground. Only
a little more than 1.2% of all freshwater is surface water,
which serves most of life's needs.
•The right bar shows the breakdown of surface
freshwater. Most of this water is locked up in ice, and
another 20.9% is found in lakes. Rivers make up 0.49%
of surface freshwater. Although rivers account for only a
small amount of freshwater, this is where humans get a
large portion of their water from.

9. The map shows the 14 states in Mexico where less
than 90 % of the population has potable water in the
homes.
Is there potable water in México

11. No space wasted
Sprawling Mexico City, Mexico, population 20
million, density 24,600/mile (63,700/square
kilometre), rolls across the landscape,
displacing every scrap of natural habitat
About 33,000 people dies / year in México due
to pollution and contamination ( in comparison
to 20,000 killed in violence )

12. Waste management business Opportunities
The following schematics is an illustration of the Circular Economy discipline. Advion Group is introducing the model in Mexico during 2017 -2018 and is looking for companies and
partners to the initiative.

13. Various companies will benefit in each part of the Waste to Energy segment value chain
Component in the value
chain
Primary Collection and
Segregation
Separation of wet organic /
non organic waste
Transportation & Logistics
Storage and Secondary
Collection
Waste Recycling
Municipal Waste to Energy
recovery
Management of Waste at
Landfills
Companies that could benefit from the waste to energy sector
Companies that could benefit from the waste to energy sector
Companies that could benefit from the waste to energy sector
Companies that could benefit from the waste to energy sector
Companies that could benefit from the waste to energy sector
Companies that could benefit from the waste to energy sector
Companies that could benefit from the waste to energy sector
Companies that could benefit from the waste to energy sector

14. Potential for power generation
Source: Pro-México

15. Solar potential
Source: Pro-México
Wind potential

16. Advion in action – A two way road
Advion has the competences and resources to assist, manage and lead the processes for the Latin American companies to establish businesses
in the Baltic Sea Region and for Finnish, Scandinavian and Baltic businesses to establish businesses in the Latin America .
Latin American companies are welcome to join the Eurasian Economic Union (EEU) also through Finland. Advion’s activities in Russia and other
EEU member states will pave the wave to Latin American products in the EEU market.
Finland offers a safe EU environment for HQ operations to the Eastern Regions.
Advion Group Ltd. connecting the Baltic Sea region to
Latin America

17. Advion in Action – Your strongest link in the chain
Market
Intelligence
Sales &
Marketing
Negotiations
Agreements
Financial
Arrangement
Production
Relocation
Service &
Maintenance
Market Intelligence involves all background
information of the market segments, size and the
trends; the clients, competitors and even persons
involved in the business. It means also contacting
the key players, target marketing, face to face
sales and advertising. In short: MARKET ENTRY
PLANNING
FINDING FACTS & POSSIBILITIES
Legal and Fiscal planning, needed
documents and agreements for the
market entry and actions in the market
Launching the product in the market,
adaptation of the product to the
market, e-Commerce, SOME, sales
campaigns, distribution network.
STAKEHOLDER MANAGEMENT
Arrangement for equity finance, involving
desired / needed PE companies, debt finance,
Mezanine and other instruments.
Customer service policies,
product maintenance
outsourcing, 3-PL Logistics
management . Factory
maintenance management
Property arrangements and permissions,
plant development, production ramp-up,
SCM , Co-producers, production
partners, JC-arrangements, licensed
production , production takeover process,
production management
Distribution
& Logistics
Advion acts as a
distributor, also looks for a
local company to act as a
distributor and establishes
the entire marketing,
sales and service network

18. Advion Group Ltd. For the Mexican market
Advion Group Ltd. is a management services provider, working
predominantly with SME size companies in the global market place. Advion
provides tangible management assistance such as preparation of marketing
strategies, production strategies, business and investments plans. Our key
offering and competences, the KSF’s are in implementation of the plans.
We work closely with the client organizations, bridging the possible cultural
gaps between the parties, provide interim management during the business
take over periods, during the construction and relocation of production sites
and during the ramp-up processes.
Advion Group Ltd.'s business objectives in the Mexican market during 2017 -
2018 relate to three main business segments, which all benefit the entire
Mexican population, consumers, businesses and help to resolve the growing
needs to energy and clean water and increases the possibilities of disposal of
waste.
Your Time – Your Business – Your needs - Our Solutions
Interim Managers
with their own faces
Accelerating your
business success
Challenging decision
making situations
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Advion Group Ltd is formed by 11 partners.
The combined experience exceed 260 years in the international market, on all continents.
The segment competence covers technology, healthcare, ICT, agriculture, forestry, mining, water, clean-
tech etc.

19. YourSuccess™
Advion Group
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