UK is in the Mood for Trading

Like two shy teenagers whose eyes meet across a crowded ballroom, Mexico and Great Britain had been coyly skirting around the dance floor of greater economic co-operation for years. The interest between the couple was obvious but something had to be done to bring them together.

Then, in 2009, President Felipe Calderón was invited on a State Visit to London that would act as an ice breaker in the hopes that the British Lion and the Mexican Eagle would soon be tripping the light fantastic to the tune of increased bilateral trade.

The State Visit was a great success with both families, the Calderons and Britain’s Royals, getting on famously, so much so that Prince Andrew, the Duke of York, who also happens to be the British special envoy for trade, was invited to Mexico in February 2010. Using his undeniable charm, the third child of Queen Elizabeth II and Prince Philip flirted with and wooed the Mexican business community with tales of improved economic prosperity for both countries through greater trade and investment.

At long last, the dance had begun. True, its pace is more that of a sedate waltz than a hot blooded tango but the tempo will increase later this year with the visit to Mexico of Boris Johnson, Lord Mayor of London, who, like a loving uncle, will press the marriage of the blushing couple, for richer or even richer.

In this article, Judith Macgregor, Great Britain’s ambassador to Mexico, gives her take on the proposed increase in trade and investment between the two countries.

There was great excitement at the British Embassy in Mexico City’s Cuauhtémoc district as Prince Andrew, the UK’s special representative for international commerce and investment, was due to arrive at any minute.

But Judith Macgregor, Great Britain’s ambassador to Mexico, took time out to discuss her country’s hopes of greater trade between the two countries.

Slipping her tall, elegant frame on to a comfortable seat, she said: “I suppose that both Britain and Mexico have rather ignored each other in terms of bilateral trade. Certainly, the figures of trade and investment could and probably should be much higher. That is something we intend to remedy.”

“It wasn’t always like this,” she asserted. “In the 19th Century British miners and engineers came to Mexico in their droves, bringing their expertise for the benefit of the relatively new nation of Mexico. Then, in the 20th Century, the US superceded all other countries in trade and investment with Mexico. But now UK Trade and Investment has launched an aggressive push for greater economic co-operation between the two countries. In fact, it has been a priority for us for the past two years but it is now being handled much more forcefully.”

“It really took off last year when President Felipe Calderón was invited on a State visit to Britain. Prince Andrew accompanied him on a visit to Aberdeen to view the UK’s oil capital and the two seemed to hit it off well, so it was natural that the Prince, as the UK’s special representative for commerce and international investment, should reciprocate by visiting Mexico to fan the flames of interest among the Mexican Business community,” she explained.

“Of course, there has always been some trade link between the two countries and both Shell and BP work closely with Pemex on oil and gas exploration and drilling. But now we are launching two programmes, one in Britain and one in Mexico, that will promote bilateral trade between the two countries. Here in Mexico it will be called Think Britain and in the UK it will be known as Mexico Matters. We have a lot to offer each other. We will be pushing for more trade in many sectors but mainly in engineering, education, manufacturing and new technologies.”

“I don’t believe that British business and industry has fully grasped the advantages of investing in Mexico. Here we have a skilled, inexpensive, hard working labor force on the doorstep of the US. British business should take advantage of this, particularly through Mexico’s participation in the North American Free Trade Association market.”

“Likewise, Mexican Business can take advantage of Britain’s membership of the EU and exploit that foothold into the vast European market, not to mention our extremely good trade links with India and China. So there are advantages to be gained by both sides in opening up new markets to each other.”

“There are also opportunities for British energy companies as Mexico continues to expand its oil, gas and electricity production as well as in the creative industries like information technology and education. I know that British universities are very keen to have close links with their Mexican counterparts, including the trading of students.”

“So, there is a lot of interest in Mexico in the UK and, we hope, vice versa. As I said, we have a lot to offer each other.”

The Ambassador’s opinions were echoed by Prince Andrew as he addressed the Mexican business community at the Club de Industriales.

He said: “Both our countries have an interest in expanding and diversifying our economies to create a sustainable recovery from the economic downturn. Our economic cooperation, especially in trade and investment, has to be major. Even although trade bewteen Mexico and Britain has doubled since 2000, Brazil exports twice as much to the UK than Mexico and British exports to Mexico represnt only 0.8%. I believe that Mexico is a market that Britain should not be shying away from. Rather, we should be embracing it.”