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Mexicom Logistics Newsletter
Dear clients, suppliers and business partners:
We're thrilled to bring you our seventh edition of this newsletter. The goal of this newsletter is to provide you with quick, useful information for your business in Mexico.
As a company, we value your opinion and we encourage you to contact us in case you have questions or comments through:
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Infrastructure Directives
President of Mexico, Enrique Pe�a Nieto will present its Infrastructure, Transport and Communications Investment Programme 2013-2018.
In transport, the construction of three passenger trains (Mexico-Toluca, Mexico-Queretaro and Merida-Punta Venado), entailing an investment of 92,000 million pesos, is the president's primary commitment. The processes are in a time, so that can be launched before the end of 2013.
The Infrastructure Investment Program of Transport and Communications, based on campaign commitments, has covered 87 road and 13 rail projects. "There will be pleasant surprises," said Assistant Secretary of Infrastructure, Ra�l Murrieta.
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Mexico, investment opportunity for U.S.
President Enrique Pe�a Nieto said the United States has in Mexico a "commercial partner and a great opportunity to invest, more than a threat" During the business conference of Sun Valley with the investment group Allen & Company involving prime media, technology and entertainment leaders. President Pe�a Nieto highlighted that the Annual trade between Mexico and United States, reaches 500,000 million dollars; that represents 1.3 trillion per day, or 1 million dollars per minute.
He asserted that Mexico, after Canada, is the country that more buys from U.S. in the world, with 217,000 million dollars, equivalent to the buys of the complete European Union, almost double of China buys (110,000 million dollars) and five times more than Brazil (43,000 million dollars).
Pe�a Nieto affirmed that Mexico is a great promoter of free trade, and stressed that Mexico has 12 treaties of free trade with 44 countries. Also he reported that Mexico is the Latin American country with the largest development of human capital, as annually graduate more than 106,000 engineers, when Germany records 74,000, or Brazil 59,000.
Go to the article: El Empresario
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Trucking moves the 60.6% of trade between the U.S. and its NAFTA partners
The 60.6% of the 99 billion dollars in cargo between the U.S. and its partners of the Free Trade Agreement (NAFTA), Mexico and Canada, was transported by road, according to the latest monthly report from the Office of Transportation Statistics (BTS) and with much smaller percentage, 15.1% handled rail, 9.2% maritime segment, 6.8% ducts, and the rest by air.
Moreover, the value of goods moved between the United States and its NAFTA partners increased by 7.4% over the same period of 2012 and 74.4% compared to 2009. While the rail dropped 5.3 percent. Texas continues to lead the ranking of states with the highest percentage of trade with Mexico in all modes of transport. The main goods transported between the U.S. and Mexico was electrical machinery.
Go to the article: T21
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MEXICAN FOREIGN TRADE
In this section you will find information of the indicators which summarize Mexico's foreign trade operations by main countries, Agreements and Treaties, and by tariff codes.
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If you wish to review the images of the bridges in the city of Laredo, Texas, click on the link below.
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Mexico and the United States discussed improvements in the cross-border
The governments of Mexico and the United States discussed improvements in the cross-border trucking program, relaunched in October 2011 following the signing of a Memorandum of Understanding. Last week, the head of the Federal Motor Vehicle Safety (FMCSA) of the Department of Transportation (DOT), Anne Ferro, met with his Mexican counterpart, Federico Dominguez Zuloaga, Director of Federal Motor Carrier to assess the progress of the program.
Once this process is completed, the next step would be to analyze the opening of border truck load. According to Dominguez, is being analyzed with U.S. authorities expedite issues like border crossing regulations and effective time management.
"Some companies find it more convenient to get to the border and that another carrier will carry the load and returned them, rather than take several hours to cross the border," the official explained. "There is also the issue of regulation of the hours. If a vehicle and a carrier arrives at the border with seven hours of driving, must rest in the United States, which must be added to the process of crossing the border." All these situations, he added, are being revised to facilitate and expedite the factors that are holding back the program, such as the fact that Mexican carriers can't transport LTL in America.
. Source: T21
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Insecurity doesn't stop investment companies
"The road freight theft is not a constraint to invest in Mexico, as the government implements new measures to tighten security," said Claudio X. Gonzalez, President of the Mexican Council of Businessmen (CMHN). So, this year the Council's member companies invest an "unprecedented" amount totaling 27 billion dollars (mmdd), to be directed, to mining, telecommunications, consumer products, chemical and retail stores. Said the businessman, referencing that the 2012 investments of this group totaled 22 billion dollars.
Meanwhile, A study by monitoring company, Freight Watch International, estimated that the average load value stolen in Mexico growing every year 30% and in 2012 increased 38%, the most affected sectors are food, chemicals, autoparts and consumer products, such as deodorants, creams, household goods and pharmaceuticals.
According to the criminal Map of Mexico made by the Mexican Association of Private Security, Information, Applied Intelligence and Tracking (AMSIRIA), stretches of road, like going from Monterrey to Laredo, La Quebrada in the State of Mexico in the way to Queretaro, and those who go to Hermosillo, Sonora, are considered risk points for shippers.
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Reverse Logistics provides savings of up to 15% for companies
It is not yet widespread among business practices, but reverse logistics could give rise between 3 and 15% savings. The president of the National Reverse Logistics Association of the U.S., Gailen Vick, explained, while participating in the Global Forum of Logistic Cities in Laredo, U.S, that, "Many companies still don't consider it in their processes, they don't know about the reverse logistics and means a lot of profit. Many don't even call it reverse logistics, but returns", he lamented.
Also, the Caterpillar General Manager of the division of Remanufacturing in the U.S., Mark Stratton, said that one of the obstacles they face in this area is what governments impose on the importation of used products. "The import regulations are made to protect local economies and put up barriers to the used material. They have good intentions, because they want to avoid the mess of most developed economies, but our process only works with used material."
Vick, concluded that one of the examples is the company GE Medical, which resizes its costs through remanufacturing. Those products provide an effective solution in terms of costs to companies where they have this technology.
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