What is estimated market potential in mexico?

Question

What is estimated market potential in mexico?

Answer 1

Mexico s a huge and growing market and is growing fast. Depending on the product the market potential in Mexico will vary. To get the idea of different market potential of different products, type 'Mexico market size' and you will get links to different website for differnt industries in Mexico.

Overall market potential is given by the overall size of Mexico's gdp and future economic grwoth. The economy of Mexico is the 12th largest in the world, with a gross domestic product (by PPP estimate) that surpassed a trillion dollars in 2004, measured in purchasing power parity. Mexico has a free market and export-oriented economy and is firmly established as an advanced middle-income country. According to the World Bank's latest available figure, it has the highest income per capita in Latin America, in market exchange rates and in purchasing power parity. Mexico is the only Latin American member of the Organisation for Economic Co-operation and Development. According to Goldman Sachs BRIMC review of emerging economies, by 2050 the largest economies in the world will be as follows: China, USA, India, Japan, Brazil, and Mexico.

Mexico is an export oriented economy. It is an important trade power as measured by the value of merchandise traded, and the country with the greatest number of free trade agreements. In 2005, Mexico was the world's fifteenth largest merchandise exporter and twelfth largest merchandise importer with a 12% annual percentage increase in overall trade. In fact, from 1991 to 2005 Mexican trade increased fivefold. Mexico is the biggest exporter and importer in Latin America; in 2005, Mexico alone exported US $213.7 billion, roughly equivalent to the sum of the exports of Brazil, Argentina, Venezuela, Uruguay, and Paraguay.[65] However, Mexican trade is fully integrated with that of his North American partners: close to 90% of Mexican exports and 50% of its imports are traded with the United States and Canada. Nonetheless, NAFTA has not produced trade diversion.[15] While trade with the United States increased 183% from 1993–2002, and that with Canada 165%, other trade agreements have shown even more impressive results: trade with Chile increased 285%, with Costa Rica 528% and Honduras 420%.[16] Trade with the European Union increased 105% over the same time period.

Mexico joined GATT in 1986, and today is an active and constructive participant of the World Trade Organization. Fox's administration promoted the establishment of a Free Trade Area of the Americas; Puebla served as temporary headquarters for the negotiations, and several other cities are now candidates for its permanent headquarters if the agreement is reached and implemented.

Mexico has signed 12 free trade agreements with 44 countries:

NAFTA (1994) with the United States and Canada;

Grupo de los tres, Group of the three [countries], or G-3 (1995) with Colombia and Venezuela; the latter decided to terminate the agreement in 2006; Mexico announced its intention to invite Ecuador, Peru or Panama as a replacement;

Free Trade Agreement with Costa Rica (1995);

Free Trade Agreement with Bolivia (1995);

Free Trade Agreement with Nicaragua (1998);



Countries with which Mexico has signed an FTAFree Trade Agreement with Chile (1999);

Free Trade Agreement with the European Union (2000);

Free Trade Agreement with Israel (2000);

TN Free Trade Agreement (2001), with Guatemala, El Salvador and Honduras;

Free Trade Agreement with the European Association of Free Trade, integrated by Iceland, Norway, Liechtenstein and Switzerland (2001);

Free Trade Agreement with Uruguay (2004); and

Free Trade Agreement with Japan (2005)

Mexico has shown interest in becoming an associate member of Mercosur.] The Mexican government has also started negotiations with South Korea, Singapore and Peru.[, and also Mexico have interested with Australia to start negotiations for a trade agreement between the two countries.