Mexico opens to world markets

Mexico, is one of the countries with the largest number of free trade agreements, we have a network of 13 trade agreements with 52 countries that together represent 61% of world GDP, almost 20% of the world population and more than 50 % of our planet’s trade.

The European Union, which represents 28 countries, has the most commercial treaties, with 37; followed by Eastern Europe representing 4 countries with 26 treaties; Singapore with 26; Chile with 21; Turkey with 20; Japan with 17; South Korea with 16; Peru with 15 in both the United States and Canada have 14 trade agreements each, our country ranks 11th with the largest number of free trade agreements in the world.

Really for Mexico, the commercial opening began only in the decade of the 80s, with its incorporation to the GATT known as the General Agreement on Trade and Tariffs; This after living a decade in the 70s, where protectionist policies were implemented that caused a loss of competitiveness in the economy, and higher consumer prices of goods and services produced in the country where there was no comparative advantage.

It was in 1994 when Mexico made a fundamental change in its foreign policy with the signing of the North American Free Trade Agreement (NAFTA). From then on, the Mexican economy gradually ceased to depend on oil production and gradually became a more diversified economy, predominantly manufacturing activity and also agri-food activity growth. Today, automobile exports account for 33 percent of the total, while oil exports account for only 6 percent.

Mexico exported in 2018, more than 450 billion dollars, when in 1995 we only exported 80 billion, we currently have a deficit in the trade balance with the world of little more than 13 billion dollars.

Since the entry into force of NAFTA, Mexico exported about 2 billion dollars from the agri-food sector, by 2018 we exported more than 35 billion dollars, with a surplus in the agrifood trade balance of more than 6 thousand five hundred million dollars .

It is true, Mexico is one of the most open countries in the world, but our exports are very concentrated in the United States market, where we send 80% of the total.

It is fundamental and necessary that Mexico can take advantage of the commercial platform that is available, diversify our markets, and also promote new negotiations that broaden the horizon of our products and may have comparative advantages in world trade.

For the agri-food sector there are great opportunities in markets such as Japan, China, South Korea, Arab markets, among others; Mexican agri-food products are increasingly recognized for their quality, taste, and safety, which is guaranteed by the different certifications that our products have.

It is important to continue working jointly between the Government and the economic and productive sectors, in the consolidation of our markets and the conquest of new destinations, the growth of Mexican exports, more and better jobs, greater foreign exchange, generates development, greater investment and generates greater welfare. for the entire population.

Source: General del Consejo Nacional Agropecuario, el sol de mexico

The Mazatlan Post

Facebook Comments