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Mexico Offers Opportunities for Processing Equipment Suppliers

Oct 10, 2006

Mexico Offers Opportunities for Processing Equipment Suppliers

New business opportunities abound in Mexico for U.S. dairy processing suppliers, according to a recent market analysis by IDFA. Fueled by the country's growing demand for processed foods, including dairy products, the food processing industry in Mexico is becoming a burgeoning market with a preference for American-made products, according to Helen Medina, IDFA manager of international affairs.

Citing recent data from the U.S. Department of Agriculture (USDA), Medina explained that the production value of processed food in Mexico has grown more than 6% annually for the last six years. To continue the recent growth spurt, Mexican companies will need to purchase a variety of products and services, and this environment is expected to create new business opportunities for suppliers to the processed foods sector.

"American manufacturers and suppliers are well-positioned to service this growing sector, and IDFA is eager to help members enter this lucrative market," said Medina. "There are no duties for imports of U.S.-made equipment, and we have shorter delivery times, due to our proximity to Mexico. These factors, combined with a weak U.S. dollar, give American suppliers an advantage over the European competition."

To obtain a better understanding of members' interest in this market, IDFA asks members to complete a brief online survey. Click here to access the survey.

More than 8,000 food and beverage processing companies currently have operations in Mexico, generating over half a million jobs and manufacturing more than 20,000 different products, according to the Business Registry of the Mexican Secretariat of Economy. However, local production of food processing equipment is limited.

For more information about business opportunities in Mexico, click here. Additional information will be added to this web page on an ongoing basis.

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Posted October 10, 2006

Dairy Delivers