Mexico – The Sleeping Latin American Giant
Comment: An undeveloped market with a 100m consumers and exceptional free trade links could be the ideal springboard for exporters into Latin America
The Prime Minister’s visit to Mexico along with other leaders of the G20 and B20 to thrash out a solution to the Eurozone crisis mask the opportunity offered by the host country as an exciting, emerging market. The Prime Minister led a delegation of more than 25 companies including world leaders like Rolls Royce to SMEs and individuals, all keen to take advantage of the opportunities for UK business.
Investment Minister Lord Green said:
“Almost two hundred years ago, the UK was the number one European exporter to Latin America. British expertise helped to build Mexico’s railways and canals, but UK firms currently account for less than one per cent of Mexico’s imports. We need to turn this performance around in one of the world’s most promising markets.”
Mexico is a country of huge potential which has demonstrated predictable, stable economic growth. It is a dynamic market and analysts predict that its economy will exceed the UK’s by 2040 and be the world’s seventh largest by 2050.
A large country with a population of over 110 million, it covers an area about the same size as the whole of Western Europe and occupies a strategic global position. Mexico is the largest trading nation in Latin America and one of the world’s top 15. Uniquely, it holds more free trade agreements than any other country, 12 with 44 countries and as the economy has grown so has the demand for imports. The UK can find a ready market in Mexico and UK exports of sophisticated goods and services have grown due to that demand.