Universal Power Group (UPG), a Texas-based distributor and supplier of batteries and related power accessories, has launched its new Latin America Group in collaboration with Castelmec, an export direct management (EDM) company.

As per the terms of the agreement, Castelmec will provide UPG with sales offices and back office functionality to support the sale of UPG’s batteries and related power accessories across all of South America, including Argentina, Colombia, Uruguay, Chile, Brazil and Peru.

UPG will leverage Castelmec’s EDP platform, which bypasses traditional indirect export channels, to realize the entire market potential for its energy storage products.

EDM is expected to offer UPG the ability to create transparency, safeguard brand integrity and minimize manufacturer risk, enabling UPG to navigate the challenges of doing business in South America.

UPG has already commenced operations in its three initial markets – Argentina, Uruguay, and Chile – with plans of eventual expansion into the additional markets across South America.

UPG president and CEO Ian Edmonds said that the company’s new agreement with Castelmec marks an important step forward in the development of UPG’s global business, as it seeks to meet the demands in emerging markets for its core line of batteries and related power accessories.

“Given their extensive experience, we are convinced that Castelmec is the right partner to provide UPG with the local business and logistics expertise and cultural insight necessary to successfully expand our business into this key regional market,” Edmonds said.