Mexico ranked most cost competitive for industry; McAllen takes top spot in the U.S. market
June 14th, 2010
McAllen Economic Development Corporation Blog
Leave a comment Based on the low costs of doing business and business’ ability to compete on the global scale, Mexico ranked No. 1 in overall competitiveness according to a recent report released by KMPG. This organization is a “global network of professionals in the audit, tax and advisory business. The study found that Mexico represents the lowest cost country for companies. The McAllen Economic Development Corporation has a team of industrial specialists focused on recruiting and expanding manufacturing, warehousing, logistics operations in Mexico, specifically Reynosa.
For the U.S., KMPG ranked McAllen as the most competitive city in the United States and Canada, based on low cost of business. There are hundreds of companies on the U.S. side that supply the manufacturing sector in Reynosa, Mexico. Click here to read the full report.
Showing posts with label mcallen economic devleopment corporation. Show all posts
Showing posts with label mcallen economic devleopment corporation. Show all posts
Tuesday, June 15, 2010
Monday, April 19, 2010
Texas home to some of the most successful Foreign Trade Zones
Texas home to some of the most successful Foreign Trade Zones
April 19th, 2010
McAllen Economic Development Corporation
The McAllen Foreign Trade Zone, No. 12, continues to recruit companies and lease industrial space looking to save money and take advantage of 24-hour security and tax benefits. Since 1970, the McAllen Foreign Trade Zone (MFTZ) has aimed “To provide continued customer satisfaction and value driven supply chain management services along with a positive and rewarding work environment.”
A recent report was submitted to Congress regarding the nation’s Foreign Trade Zones. The McAllen Foreign Trade Zone was the first inland port to come to fruition.
To view the full congressional report, click here
April 19th, 2010
McAllen Economic Development Corporation
The McAllen Foreign Trade Zone, No. 12, continues to recruit companies and lease industrial space looking to save money and take advantage of 24-hour security and tax benefits. Since 1970, the McAllen Foreign Trade Zone (MFTZ) has aimed “To provide continued customer satisfaction and value driven supply chain management services along with a positive and rewarding work environment.”
A recent report was submitted to Congress regarding the nation’s Foreign Trade Zones. The McAllen Foreign Trade Zone was the first inland port to come to fruition.
To view the full congressional report, click here
Tuesday, January 12, 2010
Cortez: Now let's get trucks rolling across Anzalduas bridge
Cortez: Now let's get trucks rolling across Anzalduas bridge
REYNOSA, Jan. 12 - In a speech at the official opening of Anzalduas Bridge on Monday, McAllen Mayor Richard Cortez stressed the importance of allowing commercial trucks to use America’s newest international bridge.
Under a presidential permit, cargo traffic is not permitted to use Anzalduas until the Pharr-Reynosa International Bridge averages 15,000 northbound commercial vehicles per week, or until 2015. Currently, the bridge averages about 9,000. The City of Pharr depends heavily on bridge fees.
Cortez said it makes no sense to under-utilize the Anzalduas Bridge. He hinted at a unified bridge system that could see revenues collected from trucks crossing the international bridges of the Rio Grande Valley or at least Hidalgo County pooled together and distributed equitably.
“Now we have this valuable asset, let us not waste it by under-utilizing it. For us to be able to compete in this global economy our region needs not just one bridge but a system of bridges so that we can become the most efficient region for companies to relocate. An efficient system of legal ports of entries is essential to us to continue to attract new companies to our region,” Cortez said.
“Let us not waste our investment by not allowing commercial truck traffic to cross on this bridge. Commercial truck congestion has long been a key obstacle in developing efficient trade.”
Anzalduas International Bridge has only been open since mid-December. In his speech, Cortez said that companies and customs agents are already “begging” that the Anzalduas bridge board at least allow an empty truck trailer to cross the bridge.
McAllen banker Carlos Garza chairs the McAllen International Toll Bridge Board. Speaking immediately after the opening ceremony, Garza said it is not a forgone conclusion that allowing trucks to use Anzalduas will inevitably hurt Pharr.
“If Pharr did lose out it would only be short lived and temporary. We need to think not about how we cut the pie but how we grow the pie. If we made this a bridge system and make it easier to cross, we all benefit.” Garza said.
Garza said it is likely that Pharr will always be the bridge for hazardous cargo and agricultural products. He also urged the Mexican government to use its political muscle to allow commercial truck traffic on Anzalduas.
After the official ceremony concluded the City of McAllen hosted a luncheon for U.S. and Mexican dignitaries at the McAllen Convention Center. At that event, former McAllen Economic Development Corporation President and CEO Mike Allen reminded the Guardian that the original idea for a bridge at Anzalduas came about because of the need to get trucks moving more quickly and cheaply to and from the maquiladoras in Reynosa.
“We are competing with China right now so we have to reduce costs. The key thing for our community is to have multiple crossing points, in Donna, in Pharr, in McAllen, everywhere. That is what helps business,” Allen said.
Pat Townsend, president and CEO of Mission Economic Development Authority, told the Guardian that he had sympathy for Pharr elected officials because their first responsibility is to their voters and taxpayers. “There is only so far you can go in being Valley-minded or Metro-minded when you have a responsibility to the taxpayers and the voters who elected you,” Townsend said. “We have to make sure there is no negative impact on the taxpayers and the general treasury of Pharr. Tell me how you do that?”
Townsend said an improvement in the general economy would help because that would mean more trade with Mexico.
Allen first proposed a bridge in the Mission area when he went down to Mexico City with commercial real estate developer Mike Blum in 1993.
“My thought was economic development but we also knew it would open up a retail gateway into the interior of Mexico. At that time, Reynosa was not as big as it is now,” Allen said.
“I think you are going to be very surprised. I think you are going to have thousands more people crossing that bridge than you planned for. Mexicans will come because it is easy, because they do not face any danger going through Reynosa and they can shop and go. From where I live I can be in Monterrey in an hour and 45 minutes.”
Allen also predicted that a much larger number of Mexican nationals from Monterrey would buy second homes in the Valley because Anzalduas International Bridge makes it easier to get to the region. “Just like we go to New Mexico or Colorado, the Mexicans will have second homes here and from here they can go anywhere in the country,” he said. He also predicted even more export opportunities for retail stores in the Valley. “Downtown, retail stores like Sears and Penny’s are big exporters. People do not think about that,” he said.
Garza agreed with Allen’s analysis about more Mexican nationals visiting the Valley because of the new bridge. “We hope it will not just change the Monterrey traffic. The real key is how do we change the travel patterns of people in Central Mexico who maybe before used other bridges and maybe went on to San Antonio to make this region their choice and their place to come and shop and vacation and stay. To me, that is the real goal and that is where the real benefit will be realized,” Garza said.
Cortez said the new bridge could be viewed as a symbol of the “very strong” relationship that exists between the United States and Mexico. “It is an invitation that communicates ‘come to our home, you are welcome.’ It is an invitation to share and exchange, art, music, food, culture. It is an invitation that says let us do business today,” Cortez said.
(Photo: RGG/Steve Taylor):McAllen Mayor Richard Cortez speaks at the official opening of Anzalduas International Bridge on Monday.
Under a presidential permit, cargo traffic is not permitted to use Anzalduas until the Pharr-Reynosa International Bridge averages 15,000 northbound commercial vehicles per week, or until 2015. Currently, the bridge averages about 9,000. The City of Pharr depends heavily on bridge fees.
Cortez said it makes no sense to under-utilize the Anzalduas Bridge. He hinted at a unified bridge system that could see revenues collected from trucks crossing the international bridges of the Rio Grande Valley or at least Hidalgo County pooled together and distributed equitably.
“Now we have this valuable asset, let us not waste it by under-utilizing it. For us to be able to compete in this global economy our region needs not just one bridge but a system of bridges so that we can become the most efficient region for companies to relocate. An efficient system of legal ports of entries is essential to us to continue to attract new companies to our region,” Cortez said.
“Let us not waste our investment by not allowing commercial truck traffic to cross on this bridge. Commercial truck congestion has long been a key obstacle in developing efficient trade.”
Anzalduas International Bridge has only been open since mid-December. In his speech, Cortez said that companies and customs agents are already “begging” that the Anzalduas bridge board at least allow an empty truck trailer to cross the bridge.
McAllen banker Carlos Garza chairs the McAllen International Toll Bridge Board. Speaking immediately after the opening ceremony, Garza said it is not a forgone conclusion that allowing trucks to use Anzalduas will inevitably hurt Pharr.
“If Pharr did lose out it would only be short lived and temporary. We need to think not about how we cut the pie but how we grow the pie. If we made this a bridge system and make it easier to cross, we all benefit.” Garza said.
Garza said it is likely that Pharr will always be the bridge for hazardous cargo and agricultural products. He also urged the Mexican government to use its political muscle to allow commercial truck traffic on Anzalduas.
After the official ceremony concluded the City of McAllen hosted a luncheon for U.S. and Mexican dignitaries at the McAllen Convention Center. At that event, former McAllen Economic Development Corporation President and CEO Mike Allen reminded the Guardian that the original idea for a bridge at Anzalduas came about because of the need to get trucks moving more quickly and cheaply to and from the maquiladoras in Reynosa.
“We are competing with China right now so we have to reduce costs. The key thing for our community is to have multiple crossing points, in Donna, in Pharr, in McAllen, everywhere. That is what helps business,” Allen said.
Pat Townsend, president and CEO of Mission Economic Development Authority, told the Guardian that he had sympathy for Pharr elected officials because their first responsibility is to their voters and taxpayers. “There is only so far you can go in being Valley-minded or Metro-minded when you have a responsibility to the taxpayers and the voters who elected you,” Townsend said. “We have to make sure there is no negative impact on the taxpayers and the general treasury of Pharr. Tell me how you do that?”
Townsend said an improvement in the general economy would help because that would mean more trade with Mexico.
Allen first proposed a bridge in the Mission area when he went down to Mexico City with commercial real estate developer Mike Blum in 1993.
“My thought was economic development but we also knew it would open up a retail gateway into the interior of Mexico. At that time, Reynosa was not as big as it is now,” Allen said.
“I think you are going to be very surprised. I think you are going to have thousands more people crossing that bridge than you planned for. Mexicans will come because it is easy, because they do not face any danger going through Reynosa and they can shop and go. From where I live I can be in Monterrey in an hour and 45 minutes.”
Allen also predicted that a much larger number of Mexican nationals from Monterrey would buy second homes in the Valley because Anzalduas International Bridge makes it easier to get to the region. “Just like we go to New Mexico or Colorado, the Mexicans will have second homes here and from here they can go anywhere in the country,” he said. He also predicted even more export opportunities for retail stores in the Valley. “Downtown, retail stores like Sears and Penny’s are big exporters. People do not think about that,” he said.
Garza agreed with Allen’s analysis about more Mexican nationals visiting the Valley because of the new bridge. “We hope it will not just change the Monterrey traffic. The real key is how do we change the travel patterns of people in Central Mexico who maybe before used other bridges and maybe went on to San Antonio to make this region their choice and their place to come and shop and vacation and stay. To me, that is the real goal and that is where the real benefit will be realized,” Garza said.
Cortez said the new bridge could be viewed as a symbol of the “very strong” relationship that exists between the United States and Mexico. “It is an invitation that communicates ‘come to our home, you are welcome.’ It is an invitation to share and exchange, art, music, food, culture. It is an invitation that says let us do business today,” Cortez said.
Tuesday, October 20, 2009
Video: Increasing business in a recession is the goal of the McAllen Economic Development Corporation
Increasing business in a recession is the goal of the McAllen Economic Development Corporation with a strategy that they claim will create jobs here in the Valley.
Action 4 News
VallyCentral.com
Thursday, October 15, 2009
Meet-and-greet connects local businesses with big corporations
Meet-and-greet connects local businesses with big corporations
October 15, 2009 7:30 AM
Sean Gaffney
The Monitor
McALLEN — Abel Garcia emerged triumphant from a small classroom Wednesday afternoon, one step closer to landing a lucrative contract to recycle plastics for a big-time maquiladora.
For local suppliers like McAllen-based 3gm Extrusion, where Garcia is managing director, finding work with manufacturers in Reynosa is often frustrating and sometimes impossible. Top corporate executives who make decisions are usually unwilling to open the door to relative unknowns.
But Wednesday, at a meet-and-greet organized by the McAllen Economic Development Corp., Garcia skipped several rungs on the corporate ladder and snagged a chance to pitch his firm’s services to the leadership of Minneapolis-based Pentair a mere 24 hours later. All that remained was to prove to the maker of water circulation and filtration products that 3gm could recycle plastics for Pentair’s three maquilas.
“The hardest part for us is to get to the decision-makers. Going up the ladder from the bottom to the top doesn’t work,” Garcia said. “Cold calling — you’re not getting anyone on the phone or getting a call back.”
Nearly 20 suppliers tried to woo Pentair executives at South Texas College’s Technology Campus on Wednesday. The company is trying to trim costs by using local suppliers.
Officials from the economic development corporation and STC organized the event, which they said could help add jobs on both sides of the border.
“The disconnect we have is when a company moves to a region with opportunities to expand but doesn’t have the local connections,” said Gerald Stinson, manager of the National Institute for Metalwork Skills program at STC. “We introduce them to our small businesses.”
A wide downturn in manufacturing assailed Reynosa’s maquilas in 2008, leading to broad job losses and an overall slowdown in production. At the same time, many companies have tried to cut costs by consolidating U.S. factories at their Reynosa counterparts, taking away U.S. jobs but boosting employment across the border.
Local experts hope that when manufacturing recovers to pre-recession levels, Reynosa’s maquilas will employ more laborers and make more products than they did before the economic freefall.
Pentair, which makes pumps for Coca-Cola soda fountains and pool accessories and an array of other products, has cut hundreds of jobs at its maquilas. But the company also shut down three plants in the U.S. and moved the production to Reynosa, boosting employment and offsetting much of the job loss, said Alba Nelly Peña, Mexico sourcing manager for the company.
Moving the operations to Reynosa cut the company’s production costs by 11 percent. Using local suppliers, the company expected to cut an additional 10 percent. It expects to add another maquila soon.
“We’ve been doing (local) sourcing for the last 15 years,” Peña said. “Pretty much now, everything you’re looking for is in Mexico (or along the border.)”
October 15, 2009 7:30 AM
Sean Gaffney
The Monitor
McALLEN — Abel Garcia emerged triumphant from a small classroom Wednesday afternoon, one step closer to landing a lucrative contract to recycle plastics for a big-time maquiladora.
For local suppliers like McAllen-based 3gm Extrusion, where Garcia is managing director, finding work with manufacturers in Reynosa is often frustrating and sometimes impossible. Top corporate executives who make decisions are usually unwilling to open the door to relative unknowns.
But Wednesday, at a meet-and-greet organized by the McAllen Economic Development Corp., Garcia skipped several rungs on the corporate ladder and snagged a chance to pitch his firm’s services to the leadership of Minneapolis-based Pentair a mere 24 hours later. All that remained was to prove to the maker of water circulation and filtration products that 3gm could recycle plastics for Pentair’s three maquilas.
“The hardest part for us is to get to the decision-makers. Going up the ladder from the bottom to the top doesn’t work,” Garcia said. “Cold calling — you’re not getting anyone on the phone or getting a call back.”
Nearly 20 suppliers tried to woo Pentair executives at South Texas College’s Technology Campus on Wednesday. The company is trying to trim costs by using local suppliers.
Officials from the economic development corporation and STC organized the event, which they said could help add jobs on both sides of the border.
“The disconnect we have is when a company moves to a region with opportunities to expand but doesn’t have the local connections,” said Gerald Stinson, manager of the National Institute for Metalwork Skills program at STC. “We introduce them to our small businesses.”
A wide downturn in manufacturing assailed Reynosa’s maquilas in 2008, leading to broad job losses and an overall slowdown in production. At the same time, many companies have tried to cut costs by consolidating U.S. factories at their Reynosa counterparts, taking away U.S. jobs but boosting employment across the border.
Local experts hope that when manufacturing recovers to pre-recession levels, Reynosa’s maquilas will employ more laborers and make more products than they did before the economic freefall.
Pentair, which makes pumps for Coca-Cola soda fountains and pool accessories and an array of other products, has cut hundreds of jobs at its maquilas. But the company also shut down three plants in the U.S. and moved the production to Reynosa, boosting employment and offsetting much of the job loss, said Alba Nelly Peña, Mexico sourcing manager for the company.
Moving the operations to Reynosa cut the company’s production costs by 11 percent. Using local suppliers, the company expected to cut an additional 10 percent. It expects to add another maquila soon.
“We’ve been doing (local) sourcing for the last 15 years,” Peña said. “Pretty much now, everything you’re looking for is in Mexico (or along the border.)”
MEDC aims to connect local suppliers; increase business in challenging economic times
MEDC aims to connect local suppliers; increase business in challenging economic times
Tuesday, October 13th, 2009
Texas Border Business
http://www.texasborderbusiness.com/News/1005902
In an effort to drive business locally and build connections within the supply chain, more than 20 supplier companies from throughout the Upper Valley and Northern Mexico will meet with representatives from Pentair on Wednesday, Oct. 14, 2009 from 8 am to 5 pm. Pentair is a global water systems and technology provider with more than 15,000 employees in 20 countries.
Pentair already has three divisions in Reynosa and continues to be successful in this market. As Pentair seeks to reduce costs, company officials hope to localize its supply base by using services and ordering commodities from companies within a 24-hour delivery radius. Time slots filled within two weeks as local companies try to find new business opportunities during a time when manufacturing has slowed around the world.
This innovative event, sponsored by the McAllen Economic Development Corporation and South Texas College, is a first-time event in which potential suppliers have the one-on-one networking opportunity with a specific company. South Texas College officials hope this will provide students with a glimpse of the McAllen/Reynosa manufacturing sector and provide networking opportunities for future job seekers.
The event will be held the STC Technical Campus at the intersection of Military Highway and Ware Road on Wednesday, Oct. 14, from 8 a.m. to 5 p.m. Representatives from Pentair, along with suppliers and officials from the McAllen Economic Development Corp, the Reynosa Association of Maquiladoras and Manufacturers and South Texas College will be available to interview.
Tuesday, October 13th, 2009
Texas Border Business
http://www.texasborderbusiness.com/News/1005902
In an effort to drive business locally and build connections within the supply chain, more than 20 supplier companies from throughout the Upper Valley and Northern Mexico will meet with representatives from Pentair on Wednesday, Oct. 14, 2009 from 8 am to 5 pm. Pentair is a global water systems and technology provider with more than 15,000 employees in 20 countries.
Pentair already has three divisions in Reynosa and continues to be successful in this market. As Pentair seeks to reduce costs, company officials hope to localize its supply base by using services and ordering commodities from companies within a 24-hour delivery radius. Time slots filled within two weeks as local companies try to find new business opportunities during a time when manufacturing has slowed around the world.
This innovative event, sponsored by the McAllen Economic Development Corporation and South Texas College, is a first-time event in which potential suppliers have the one-on-one networking opportunity with a specific company. South Texas College officials hope this will provide students with a glimpse of the McAllen/Reynosa manufacturing sector and provide networking opportunities for future job seekers.
The event will be held the STC Technical Campus at the intersection of Military Highway and Ware Road on Wednesday, Oct. 14, from 8 a.m. to 5 p.m. Representatives from Pentair, along with suppliers and officials from the McAllen Economic Development Corp, the Reynosa Association of Maquiladoras and Manufacturers and South Texas College will be available to interview.
Thursday, September 24, 2009
McAllen Launches New Marketing Web Site | McAllen, TX in the Rio Grande Valley
McAllen launches new marketing Web site
Rio Grande Guardian Staff
Photo by RGG/Steve Taylor
McALLEN, Sept. 24 - The City of McAllen, the McAllen Chamber of Commerce and the McAllen Economic Development Corporation have launched a new Web site to assist visitors and residents with key information about entertainment, recreation, and business.
The Web site address is http://www.exploremcallen.com/.
McAllen Mayor Richard Cortez said that with the launch of the Web site, local nightlife, art and culture, entertainment, shopping, and restaurants are only a “click” away.
“This is only the first step for opening the front doors to our community to residents across the region and parts of northern Mexico,” Cortez said. “I invite residents and visitors to view the site at their convenience. McAllen is a vibrant American city on the border.”
Cortez said that as a growing, diverse city, McAllen’s entertainment offerings are ever expanding. This includes more parks and outdoors spaces, pro sports or new restaurants, stores and clubs, he said.
Having all the information about his bustling city located on one easy to navigate Web site is like one-stop shopping for visitors from around Texas and Mexico, Cortez said. In addition, McAllen residents will be able to use the site to find things to do with their families or when they get out of town visitors, the mayor said.
The Web site has been under development for several weeks and was designed by city staff.
“We wanted to make it as interactive as possible. This is only the first phase and we plan to continue to improve and add more features as the demand for information increases,” Cortez promised.
Rio Grande Guardian Staff
Photo by RGG/Steve Taylor
McALLEN, Sept. 24 - The City of McAllen, the McAllen Chamber of Commerce and the McAllen Economic Development Corporation have launched a new Web site to assist visitors and residents with key information about entertainment, recreation, and business.
The Web site address is http://www.exploremcallen.com/.
McAllen Mayor Richard Cortez said that with the launch of the Web site, local nightlife, art and culture, entertainment, shopping, and restaurants are only a “click” away.
“This is only the first step for opening the front doors to our community to residents across the region and parts of northern Mexico,” Cortez said. “I invite residents and visitors to view the site at their convenience. McAllen is a vibrant American city on the border.”
Cortez said that as a growing, diverse city, McAllen’s entertainment offerings are ever expanding. This includes more parks and outdoors spaces, pro sports or new restaurants, stores and clubs, he said.
Having all the information about his bustling city located on one easy to navigate Web site is like one-stop shopping for visitors from around Texas and Mexico, Cortez said. In addition, McAllen residents will be able to use the site to find things to do with their families or when they get out of town visitors, the mayor said.
The Web site has been under development for several weeks and was designed by city staff.
“We wanted to make it as interactive as possible. This is only the first phase and we plan to continue to improve and add more features as the demand for information increases,” Cortez promised.
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