News Column

N.M. Exports to Mexico Up 13 Percent

May 14, 2013
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New Mexico exports to Mexico jumped 13 percent in the first three months of 2013, from $134.7 million in 2012 to $152.3 million this year, according to the U.S. Commerce Department's Foreign Trade Division.

The growth reflects continuing expansion in trade with Mexico since the recession ended in 2009. Sales to the state's southern neighbor have grown by 61 percent in the past four years, reaching a record $617.6 million for all of 2012.

Exports for January-March of this year are nearly double what they were in first-quarter 2009, when sales totaled $78.9 million.

"If we're able to maintain or increase this trend, our exports Teresa."

Nevertheless, other types of exports from outside of Santa Teresa are also growing, such as agricultural goods, which jumped by 41 percent in the first quarter, to $3.67 million. Livestock exports nearly doubled to $1.57 million.

Meanwhile, apart from Mexico, exports to European countries were also up in the first quarter, from $56.4 million in 2012 to $86.4 million. That reverses a downward trend during 2011 and 2012 as Europe struggled with recession.

On the other hand, New Mexico sales to the Middle East fell markedly in the first quarter, thanks to a 55 percent decline in exports to Israel, from $360.4 million in 2012 to $161 million this year. The drop in trade there likely reflects the ebb and flow of computer and electronic product sales by Intel Corp. in Rio Rancho to its sister factories in Israel. could set yet another record in 2013," said state Economic Development Secretary Jon Barela.

At least 50 percent of New Mexico exports to Mexico come from businesses at the state's two border industrial parks in Santa Teresa, where companies ship a wide variety of supplies to Mexico's assembly factories, or "maquila" industry. That includes such things as manufactured metal parts, plastic injectors, packaging and resins, said Jerry Pacheco, a long-time trade consultant and executive director of the International Business Accelerator at Santa Teresa.

"Those are some of the largest categories of exports from New Mexico to Mexico, and they're all related to moving production inputs to Mexico's maquila industry," said Pacheco, also a Journal columnist who writes on trade. "That's our industrial base in Santa

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(c)2013 the Albuquerque Journal (Albuquerque, N.M.)

Visit the Albuquerque Journal (Albuquerque, N.M.) at www.abqjournal.com

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Source: Copyright Albuquerque Journal (NM) 2013


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