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Mexico Business Intelligence Report (December 2003)
Deadline Approaches for All Mexican Exporters to the U.S.:
FDA Bioterrorism Law:
- Exporters of any food product must register with the U.S. Food and Drug Administration (FDA) by 12 December 2003, or their shipments will be stopped at the border crossing!
- Advise FDA one day in advance of any shipment crossing the border.
- Establish and maintain a mechanism to track food products through the supply chain, with a record retrieval system that can respond within four hours to an FDA information request.
Customs-Trade Partnership Against Terrorism (CTPAT):
- In return for enhancing the security of your supply chain, U.S. Customs will grant access to FAST lanes at the U.S.-Mexico border crossings to Mexican exporters of all their products (food + non-consumable products).
- The first FAST lane opened at Ciudad Juarez in late October and six more will open in the first few months of next year.
- How? Register your agreement to comply with CTPAT supply chain security guidelines, submit a supply chain security profile on your company, and submit to a validation inspection by U.S. Customs. (Source: Border Trade Alliance)
Comments:
- CTPAT is a voluntary program open to both U.S. and Mexican exporting companies. FDA Bioterrorism law is a requirement of any exporter of consumable products to the U.S.
- # Not only will CTPAT reduce inspection times at border crossings, but the improved supply chain security should also result in a reduction in a company´s losses to internal/external theft and fraud.
- IPSA International can facilitate efforts by companies to qualify for both the FDA and CTPAT programs.
Crime Trends in Mexico City:
The Good News:
- The Federal Attorney General´s Office created the Specialized Agency Against Contraband, to more effectively confront the profusion of contraband and counterfeit products in Mexico. (Milenio, 4 November 2003). Comment: Although the government seizures of contraband and counterfeit products increased ten fold this year, Mexico remains among the top five countries with this problem.
- Mexico City police are on target in their goal of 18,000 arrests this year, with 13,462 to date (Reforma, 27 October 2003)
- Mexico City police began to deploy checkpoints throughout the city to curb drunk drivers. The city estimates that 70% of traffic accidents involve drunken drivers. (AP, 29 September 2003). Comment: Despite the opposition of some "civil liberties" advocates, most residents have viewed this measure as long overdue.
- Finally a few municipalities in the State of Mexico, namely the suburbs of Huixquilucan and Tlanepantla, are initiating efforts to address the serious crime problems they face through installation of closed circuit TV cameras. Comment: Hopefully this will be only the beginning of a concerted effort by all the Mexico City suburbs in the State of Mexico, and will be similar to the one the Federal District started two years ago.
The Bad News:
- Eight out of the 100 commercial trucks that enter Mexico City on a daily basis are victims of truck cargo hijackings, resulting in business losses of over US$70,000 each day. Trucks with the higher risk of being hijacked are those transporting foodstuffs, cell phones, pharmaceutical products. And with the Christmas season approaching, Xmas gift items. (The National Chamber of Commerce, Services and Tourism in Mexico City - Reforma, 6 November 2003)
- The U.S. Consulate in Merida has warned that it may be forced to issue a travel advisory due to increasing security risks to tourists who visit Merida and Cancun. Prostitution and illicit drug distribution were cited as significant problems, in complicity with taxis, hotels and including the local police authorities. (Milenio, 3 November 2003)
- According to the Mexican Insurance Association, the VW Sedan has been dethroned as the most popular stolen vehicle in Mexico. From January-June 2003, the most stolen vehicles in the country are:
- Nissan Tsuru - 3,106
- VW Sedan - 2,644
- VW Jetta - 1,180
- Chevrolet Monza - 836
New Security Risk for Hotel Patrons:
- According to Southern California law enforcement authorities, the pervasive credit card type hotel room keys can pose a personal security risk. Although these keys differ from hotel to hotel, many imbed in the magnetic strip of the card key your personal information, such as name, address, and your credit card number and expiration date! The risk lies in the potential of a corrupt hotel employee who gets the card key you surrendered at checkout and takes it home to extract the information for some Identity Theft shopping at your expense! Comment: Never surrender the card key at the hotel checkout - either destroy it or keep it. Most hotels will not charge you for the card key.
Thanks for your attention, and please continue to send us your comments, critiques and experiences to improve and enrich subsequent issues to:
Media Contact
Jillian Bernaiche
(602) 889 - 1626