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Mexican trade finds few takers

Mexico's trade director struggles with resistance to his bay area call for more factories in his country.

By SCOTT BARANCIK

© St. Petersburg Times, published May 9, 2001


TAMPA -- Mexico's chief trade promoter arrived here Tuesday to urge Tampa Bay area companies to set up factories in his country.

His goal: good-paying jobs for Mexican workers.

"We don't have xenophobia," Eduardo Solis said in an interview. "We understand dollars immediately become jobs."

But when he made the pitch later to area business and economic development representatives at the University of Tampa, there were few takers.

Reid Haney, a lawyer with Kalish & Ward in Tampa, said his firm represents a number of high-tech companies that do business internationally, most of them in Asia. "The lack of skilled labor (in Mexico) has made it difficult for some technology companies to find a ready manufacturing capability," he said.

Manuel Herrera, an international business consultant, represents Polish paper mills, Venezuelan lead refineries and Colombian fruit pulpers. Since opening a Tampa office six months ago, however, Herrera & Associates has yet to land its first local client that wants to do business in Mexico.

Steven Meitzen, vice president of sales and marketing at Ven-Tel Plastics Corp., said his company is not averse to foreign trade. In fact, the Clearwater company is negotiating to license two products -- a piling cap for docks and an industrial toilet paper dispenser -- to Mexican firms.

But Ven-Tel will not consider moving its 60-person operation to Mexico. "We compete on quality," said Meitzen, who also is vice president of the Bay Area Manufacturers Association. "It has to be perfect."

Solis is well aware of such resistance. He said that even though Florida's exports to Mexico have risen significantly since the passage of the North American Free Trade Agreement seven years ago, it still ranks just 12th among U.S. states.

At the same time, he argued, there's never been a better time to do business with Mexico.

Low tariffs are one reason. Mexico has participated in 15 free-trade agreements since 1986. Solis said it is the only country besides Israel to have trade agreements with both the United States and Europe.

Sharing the stage Tuesday was Florida Secretary of State Katherine Harris, who called the Gulf of Mexico a "water-based highway" that is underutilized. Solis was scheduled to meet Tuesday night with representatives of the Port of Tampa and Tampa International Airport to discuss solutions.

Ken Parker, chief executive of the World Trade Center Tampa Bay, said the lack of non-stop flights and infrequent cargo shipments were a matter of supply and demand. "It's a chicken and egg problem, unfortunately," said Parker, whose organization co-sponsored Tuesday's event with the University of Tampa's Institute for World Commerce Education.

- Times researcher Caryn Baird contributed to this report. Scott Barancik can be reached at barancik@sptimes.com or (727) 893-8751.

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