Monday, November 29, 2010
Five reasons to consider exporting to Mexico from the US
If you are already selling to your neighbor to the north, why not sell to your neighbor to the south? Mexico is a convenient export market for many reasons, but proximity is a big factor. Shorter distances mean less money spent on freight and less time getting your goods from point A to point B.
2. Mexico's love of foreign products:
Because Mexico has been exposed to products from the US for many years (more so after NAFTA went into effect), there is a perception of US goods being of high quality. Use this perception to your advantage.
3. Government assistance programs:
The US government has a number of programs for US exporters. Contact the Department of Commerce for more information on BuyUSA and other export programs. Also, look into your local Chambers of Commerce or Trade Associations to see if they have any matchmaking missions or free courses on exporting.
4. Additional revenue streams
If your domestic sales are stagnant, why not look abroad to increase your sales? Many people get overwhelmed by the thought of exporting, but forget about the upside. If there is a need for your products in Mexico, the sky is the limit on potential revenues.
5. Trade agreements
NAFTA allows most American products to enter into Mexico duty free. What does that mean to you as an exporter? It means that you are going to be more competitive when it comes to pricing. If someone in another country is trying to sell the same product into Mexico, but their product has a 20% tariff, that automatically adds another layer to their pricing that you don't have to deal with.