Argentina remains 'key market' for industrial software provider Aveva

Industrial software provider Aveva, part of Schneider Electric, expects to continue growing in Argentina thanks to the expansion of key industries such as mining and energy.

“Many companies have important expansion plans for next year,” VP for Latin America Federico Hernández told BNamericas.

In particular, Hernández predicts growth in the energy and mining sectors, where the company's main clients include Rio Tinto and Pampa Energía.

Pampa Energía is planning to expand its oil footprint with the Rincón de Aranda license being a central pillar. The company expects oil production to increase to around 48,000b/d by 2027.

In Q2, oil output was up 7% year-on-year to 5,400b/d, accounting for around 5% of its hydrocarbons production.

“Argentina is a key market in [Aveva’s] global strategy,” added Hernández.

In the last five years, Argentina has oscillated between second and third position in terms of business volume for Aveva. Brazil is first in terms of market size, followed by Mexico, Argentina, Chile and Colombia.

Although the company has not reported public results since it was acquired by Schneider Electric, Hernández said the business has been growing at a “double-digit rate over the past six years.”

This growth is driven by client demand to make processes more efficient and secure, and have more information for decision-making.

Hernández also sees a growth driver in the need for companies to adapt to market changes. Change management is one of the main challenges facing companies, he added.

Aveva is promoting its new cloud-based industrial intelligence platform Connect in the Latin American market, which uses artificial intelligence to optimize decision-making and improve operations.

Although the platform has been available since last year, the company launched new versions and capabilities this year. “We have a constant investment in development,” Hernández said.

Aveva has launched Connect in Brazil and Argentina, and next will be Chile and Mexico.