Dynamism and competitiveness of mexican beef, a focus of market diversification

Abstract

In Mexico, the production and export of bovine have remained competitive, placing it within the top ten countries due to its competitiveness which is based on weather conditions, the production of cereals for food and the commercial relationship with the United States. In this regard, Mexico, with the signing of the North American Free Trade Agreement (NAFTA), promotes international trade with the United States and Canada, with the objective of eliminating obstacles to trade, facilitating the cross-border circulation of goods and services, promoting fair competition in the free trade zone, increases investment opportunities, among others aims (Ministry of Economy, 1993). At the beginning of the agreement, Mexico achieved short-term macroeconomic objectives of stability, economic growth, and inflation control, however, in the long term it has not meant an increase in the standard of living of Mexicans, therefore, Mexico decided to diversify markets of export through bilateral trade agreements with other countries. As a consequence, the objective of this research is to perform an analysis of the commercial position of Mexican beef (2002-2016), obtaining the Grubel & Lloyd index and the grown rate by time interval, concluding that there is a commercial dynamism of this Mexican product.