Why Does 1 in Every 4 E-commerce Products in Brazil Come from Extrema, MG?

A small town in the south of Minas Gerais is becoming the beating heart of Brazilian e-commerce. Extrema, with less than 40,000 inhabitants, is responsible for shipping one out of every four products sold online in the country, a surprising statistic that reveals the strategic importance of this location for the national e-commerce.

The rise of Extrema as a logistics hub is not by chance. Its privileged location, close to major consumer centers such as São Paulo and Rio de Janeiro, combined with generous tax incentives offered by the state of Minas Gerais, has created an ideal environment for e-commerce companies.

One of the main attractions is the significant reduction in ICMS rates. While states like São Paulo apply a rate of 18% for interstate sales, in Extrema, this value can be as low as 1.3%, representing a substantial saving for companies.

In addition to the tax benefits, the city has developed an advanced logistical infrastructure capable of meeting the demands of large e-commerce operations. This combination of factors has not only attracted companies to the region but has also generated thousands of jobs, driving the local economy.

Industry experts, such as Cubbo Brasil, a fulfillment and logistics company for e-commerce, highlight that Extrema offers a unique opportunity for companies looking to reduce costs and increase logistical efficiency. The combination of tax incentives, strategic location, and cutting-edge infrastructure makes the city an ideal destination for businesses wishing to expand their operations in the Brazilian e-commerce market.

With the continuous growth of e-commerce in Brazil, it is expected that Extrema will further consolidate its position as a logistical epicenter, significantly contributing to the evolution of the sector in the country.