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COMPENDIUM ON METHODOLOGIES FOR SMES INTERNATIONALIZATION MEXICO’S CONTRIBUTION 1

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COMPENDIUM ON METHODOLOGIES FOR SMES INTERNATIONALIZATION

MEXICO’S CONTRIBUTION

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Produced by:Sectoral Development UnitPROMEXICOEmail: [email protected]

In collaboration with:

The Mexican National Entrepreneur’s Institute (INADEM)Ministry of Economy of MexicoEmail: [email protected]

General Direction for Asia, Oceania and Multilateral OrganizationsMinistry of Economy of MexicoEmail: [email protected]

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A. Executive Summary

The government has strengthened Mexico's commercial interests abroad through the promotion of Mexican products in markets of its main trading partners; the use of the extensive network of trade agreements signed by Mexico and the adaptation of the tariff policy to guarantee its validity in the face of constant changes of the global environment.

In general, internationalization enhances competitiveness, reinforces growth, and supports the long-term performance and sustainability of firms. The ability of SMEs to export is an indication of their competitiveness in global markets. It exposes firms to international best practices, and strengthens the possibility of adding value through innovation by improving products, production processes, and business models.

There are a number of federal government agencies that provide services to help micro, small and medium-sized enterprises (MSMEs). Mexico has introduced public policies and government programs that foster the participation of its companies in the new global economic order by helping them get a foothold in global value chains.

ProMéxico is the mexican agency responsible for promoting trade and investment, it was created on July, 2007. Its main aim is to promote exports, increase Mexican businesses’ presence in international markets and attract foreign investment into Mexico. In order to be the strategic partner for Mexican and foreign companies, ProMéxico has a worldwide network of 48 offices in the world and 29 offices around Mexico.

Over the last ten years, ProMéxico has positioned as the main promoter of trade and investment in Mexico, thus becoming a driver of its economic growth. However, as a result of recent and different changes in the international political-economic scenario, the institution faces new challenges.

Therefore, Promexico have a Institutional Strategic Plan (ISP) which shows actions with this approach and that address the demands of current and future global markets.

Also, the strategy is based on four principles that will seek to lead the organization to achieve a greater impact on the global business landscape and an improvement in its performance. The principles are:

1. Interinstitutional coordination: proven ability to conceptualize and direct Mexican and international projects, promoting the strengthening of the institution's capabilities to act as a leader in coordinated initiatives at all levels of government, business organizations, and educational and research institutions, to achieve synergies and greater benefits for Mexican companies.

2. High impact projects: actions that aim to promote Mexico as a economy with a favorable and competitive environment to develop international business. It focuses on ProMéxico's capabilities to identify, select, structure, implement and evaluate strategic growth projects with high impact in Mexico and the region, that include links in the global value chains and that boost the productivity and competitiveness of companies.

3. Promoter of global business: main collaborator in the positioning of Mexico as a preferred ally to conduct global business. ProMéxico seeks to serve all companies and entrepreneurs who have the opportunity to access international markets and those with foreign interests to take advantage of opportunities in the Mexican market.

4. Strategic knowledge: based on the intelligence function and the interactions of the ProMéxico representative offices inside and outside Mexico, business opportunities are maximized thanks to the research and analysis of current and prospective conditions.

ProMexico is committed to building and maintaining strategic partnerships with key sectors; this will give particular focus to developing business competitiveness covering the following areas:

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Services Creative industries Energy and environmental technologies Heatlh Transportation Agroindstry Chemical and industrial supplies Infraestructure and tourism

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B. Methodology (for each programme, if more than one)

I. Export or MSME Development Programme (definition, objective)

The institution offers its export services to Mexican companies under four business models: 1) Supply and demand model, 2) Alliance with Transnational Companies (Model Act), 3) RedExporta Model (RedEx), and 4) Internationalization model.

1) Supply and demand model: the Mexican growing network of trade agreements has opened up enormous opportunities for exports to other markets.Reference is made to the main actors established in Mexico, exposing which companies have placed their confidence in this economy and paved the way forward in the domestic industry. These are companies that would make excellent prospective international business partners via their supply chains. On the other hand, the institution also supports and promotes the development of small and medium companies.

2) ProMéxico’s Multinational Accompaniment (ACT model): seeks to take advantage of the fact that many multinationals established in Mexico are interested in expanding their operations here, mainly by strengthening their supply chains and filling gaps in the market. ACT is a comprehensive model designed to promote exports (direct and indirect) by Mexican companies and foreign direct investment in Mexico. Its goals are to: - Foster ties between Mexican suppliers and multinationals established in Mexico - Promote exports by linking Mexican suppliers and the global supply chains of multinationals - Retain and promote reinvestment by multinationals in Mexico- Strengthen production chains by encouraging direct investment by foreign suppliers ProMéxico organizes business meetings and seminars between vehicle manufacturers and Tier 1 suppliers, with a view to facilitating the incorporation of Tier 2 and Tier 3 companies into the supply chains of the former.

This model has been adopted mainly by the electrical, metal-mechanical, automotive, auto parts and aerospace manufacturing sectors.

3) RedEx Export Network: MSMEs are the focal point of the federal government’s development agenda, the premise being that Mexico needs more MSMEs that export high value-added products and services. To this end, ProMéxico has implemented the National Program for the Establishment and Consolidation of Export Networks (RedExporta) to assist MSMEs interested in exporting and help boost their share of international markets. The program aims to broaden Mexico’s export base and promote the creation of business networks so MSMEs can export goods in demand on international markets at competitive prices.

The program fosters cooperation between MSMEs in the same productive sector and, preferably, with the same distribution channel. By partnering up, MSMEs can promote their goods and services jointly, thereby reducing both risks and costs, while greatly improving their competitiveness and export possibilities. Business partnerships have proven one of the best ways SMEs can take on global competitors and reap all the benefits of trading on international markets.

Successful companies are ones that have ties with other companies and participate in networks that create synergies. By complementing their operations like this, companies can reduce costs and gain know-how, better equipping them to weather uncertainty and competition on today’s globalized markets.

In developing a business partnership methodology tailored to Mexico’s MSMEs, ProMéxico

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benchmarked successful methodologies implemented by countries such as Italy, Spain, Argentina and Chile. We also analyzed the strengths, opportunities, weaknesses and threats (SWOT) associated with implementing these methodologies in Mexico.

4) Internationalization model: the decision of an international expansion allows Mexican companies to participate in the global economy in order to increase their productivity. For ProMéxico, international expansion means that a Mexican company, or its subsidiaries, are able to produce or offer their goods and services in foreign markets in a more efficient way.

II. Coordinating institutions/organizations involved in implementing the

programme

ProMéxico coordinates its actions with various entities in favor of the exporters, such as the Mexican Business Council of Foreign Trade, Business Chambers, Associations and Public Sector, including the Foreign Affairs Ministry, the Ministry of Economy and Development Banks.

By working cooperatively with these entities, it assures a uniform communication between the parties involved in order to assist exporters in the processes needed to position their products abroad.

III. Company/ies selection process

As mentioned before, ProMéxico considers four business models to identify the type of service needed. Supply and Demand, Alliance with Transnational Companies (Model Act), RedEx program and Internationalization model.

Applicants must comply with ProMéxico’s Operating Guidelines for Assistance and Services. (Annex 1)

All documents and forms should be signed. Digital (scanned) signatures will not be accepted. Three areas validate that the company complies with the ProMéxico’s Operating Guidelines for

Assistance and Services. promoter (offices abroad), sectoral specialist (central offices) and the assistante and services area (documentation review)

The government has put in practice several programs and stimulus packages in order to especially assist this type of businesses. In the past, the Mexican government has used a traditional classification for defining Micro, Small and Medium Enterprises (MSMEs); the priority was the size of the workforce. However, with the intention of having a more accurate categorization for targeting the stimulus packages, the traditional classification has just changed.

On June 30, 2009 the Economy Ministry issued a notice detailing the new MSMEs stratification system. When sorting the type of enterprise not only the number of employees are considered, but also the enterprise revenues. The goal is to avoid the discrimination of intensive workforce companies by excluding high-revenues companies from programs aimed for MSMEs.

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*Combined top limit: (workers x 10%) + (annual sales x 90%)

IV. Beneficiary/ies selection process

Mexico’s representations abroad, together with the offices of ProMexico, act as contact points with investors or importers from other countries, with a clear agenda and strategy to promote what Mexico has to offer to the world.

The promoter advises the company and registers it in the "Customer Relationship Manager" system, the company's data. From the analysis carried out by the promoter, the need to support the company with a product of the catalog of institutional support and services in order to develop the capabilities of the companies is identified.

To be a beneficiary of the economic support offered by ProMéxico, the company must meet the criteria described in the Guidelines for the Operation of ProMéxico's Supports and Services (Annex 1):

I. Target market:

Non-profit associations; research centers; marketers or distributors; dependencies, entities or federal, state and municipal agencies; Mexican companies with export potential; Mexican exporting companies; training companies in international trade; internationalized companies; transnational companies; buyers; academic institutions; financial institutions; investors; business organizations; International organizations; non Governmental Organization, representations of foreign governments and executives in foreign trade, as defined in the Guidelines.

II. Filling an application form: comply with the specific requirements indicated in the technical sheet of each support or service. In general, it is requested:

a. Request form (annex 2)b. Tax Identification Card (RFC)c. Official Identificationd. Bank account statement

III. Must be up to date on their tax obligations.

The application form includes a section of the applicant's profile, where it requires relevant 8

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information for the evaluation of the project and the company, such as: products that it exports, annual sales, certifications obtained, company size, type of exports, customers, among others. With this information, the promoter area (OMEX / OREX) and sector (Central Offices) validate the company's application to start the process of granting support.

V. Progressive Implementation of export or MSME development programme

ProMexico play a central role in the provision of the international business support. In this regard, there is a wide range of support grants and services in terms of the stages in their export and internationalization process, firms usually follow the following steps:

1. Awareness of the benefits of exports and preparation of the company and its export systems;

2. Selection of the target market and how to enter the market;

3. Market entry;

4. Promotion of the offer and establishment of the distribution channels;

5. Expansion in terms of products and markets, and consolidation of a competitive position in the target markets;

6. Expansion through the incorporation of new investors (direct foreign investment) or expansion in foreign markets through investment outflows.

VI. Monitoring tools

Monitonring Business Projects: is a technology called “Bitácora del Promotor” in Spanish 9

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(a sort of Customer Relatioship Manager) that allows to organize, automate, and synchronize every face of the potential MSMEs internationalized and the interaction with Promexico.

Projects Steering Committeee: is a key governance structure which is responsible to assess, approve and give results in order to stablish the progress of the institutution in the three main models: investment, exporting and internationalization.

Performance metrics: key performance indicators are presented monthly to help Promexico to track progress (inversment, export, internationalization, support management activities)

VII. Assessment tools, including to analyze the success factors and

implementation challenges

Projects Steering Committeee: is a key governance structure which is responsible to assess and monitor the business issues associated with the process of investment, exporting and internationalization.

Performance metrics: key performance indicators are presented monthly to help Promexico to track progress (inversment, export, internationalization, support management activities)

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C. Successful stories

Company Presentation Dunn Lightweight Architecture

Dunn Lightweight Architecture is a leading Architecture contractor with over 200 iconic projects completed worldwide. Formed by Mexican contractors of the state of Jalisco, with more than 10 years of specialization in design, construction and installation of lightweight structures for roofing large works of civil engineering and surfaces, through innovative designs and the most advanced materials. The company works with the most outstanding architects and contractors worldwide in different projects that require collaboration between different areas and companies.

Dunn is continuously improving their design/engineering processes, fabrication and assembly systems. In addition to the constant innovative efforts, Dunn is the only vertically integrated company in the world that utilizes the most advanced textile materials nowadays; EFTE and PTFE. Lightweight Architecture is a form of cutting-edge construction defined by materials and design. It is broadly used in diverse areas such as stadiums, fairground enclosures, shopping centers, residential areas, recreational centers and sport complexes among others.

SummaryWhat is the company’s business? When and why was it created? (100 wordsDunn Lightweight Arquitecture is a Mexican company founded in 2012. The main business of the company is the design/engineering, fabrication and assembly of light structures for roofing large works of civil engineering and surfaces. What are the objectives of the company? (100 words)The objectives of the company are to bring customers innovative designs, impeccable engineering, outstanding execution and excellent service within budget and schedule. Another objective of the firm is to bring their services and products to other markets in the world.What were the challenges the business had to face? (100 words)The challenges faced by the company during the business process were in the first hand, establishing contact with the local authorities in charge of the tender processes for the construction of the FIFA 2022 World Cup stadiums. Dunn also had to figure out how to deal with local regulations, recruitment and finance operations once they won two tender projects. In this regard, ProMexico supported Dunn throughout the whole bidding process and played a key role linking the Mexican company with the local authorities and in the contract negotiations for the design and construction of the roof for Lusail stadium. The contribution of ProMexico extended to other areas, such as collaborating with Dunn in the planning of the strategy to take their operations into Qatar, which translated into the internationalization of the company abroad, constituting a LLC in that territory. The office of ProMéxico in Doha, introduced them with Doha Bank for the management of their accounts abroad.

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Which have been the achievements reached? (100 words)1. Dunn lightweight Arquitecture will carry out the design and

construction of three stadium roofs.2. The company has successfully established a subsidiary in

Qatar.

How did the public institution responsible for promoting exports helped with the development of the business? (100 words)ProMéxico is the public institution responsible for promoting mexican exports worldwide. As it has been mentioned above Promexico played a key role thoughtout the whole business process. Without ProMexico advisory and support, the company would have faced difficulties to identify these business opportunities. The fact that Promexico had signed a MoU with the committee responsible for organizing the World Cup in Qatar (Supreme Committee for Delivery and Legacy) turned to be fundamental.

Was there any programme developed by MultiNational Companies that helped your business to grow global? (100 words)NAWas there any financial assistance for your business? If yes, what kind of assistance? As mentioned before, Dunn lightweight Architecture LLC has corporate account with Doha Bank. Bancomext, (Mexico´s development bank in charge of financing international trade) and Doha Bank currently grant credit facilities and guarantees to Dunn.How did you prepare your business to go global? (100 words)

The success of Dunn Lightweight results include an extensive network of trade promotion abroad and business indicators which contributed to increase the knowledge of the company.

Beneficiaries’ report Case #1: (130 words).

NA

Highlights (milestones, major events, achievements)

Promexico’s support includes business agendas, orientation to install a subsidiary company in Qatar, information, network of contacts and government support.

The company was selected to roof two stadiums: Al Rayyan and Lusail, one of them the main one, where the opening and final games will be played. .

Infographic or time line

Include an infographic illustrating the business performance

1. November 2016 and January 2017: first business agendas took place in order to introduce Dunn Lightweight Architecture with the Joint Ventures in charge of the construction of eight stadiums.

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2. During 2017, eight business agendas were organized to open and specify the existing business opportunities.

3. Tenders were opened and Dunn Lightweight Architecture participated on them.

4. Dunn won the projects.5. Dunn identifies that´s necessary to open a subsidiary in

Qatar in order to be more efficient. Therefore, they decide to constitute the company in that location.

Future steps and comments

ProMexico office in Doha will continue to have contact with both sides, the counterparts in Doha and with the Mexican company as an aftercare service.

Company Presentation BERRIES PARADISE SA DE CV

http://berriesparadise.com/

Berries Paradise is a Mexican company which produces and commercializes blackberries, blueberries and raspberries of the highest quality.

Their products are harvested in their own fields, in order to have better control over the whole production process. Berries Paradise is formed by four agricultural companies, in three states in Mexico: Jalisco, Michoacán and Colima with more than 2000 employees.

The main company is in Jalisco, and owns a lab responsible for developing the genetic material, and their own low tunnel agriculture, allowing their plants to be produced in highly favorable growing conditions. Nowadays the company exports to USA, Canada United Kington, Netherlands, Russia, Spain, France, Germany, Belgium, Japan, Hong Kong, Singapore, and Saudi Arabia. USA is the main market, in which they have more presence.

SummaryWhat is the company’s business? When and why was it created? (100 words)The company established in 2008 and in the same year they began to export to USA. The company was created as a result of bringing together efforts and resources from Mexican and Chilean partners. The company’s main business are berries. They have over 400 hectares of owned crops which allow to offer more than one million 2.04 kg boxes for the 12/13 season, beginning at mid- September and finishing around June. The production is distributed in blackberry (30%), blueberry (50%) and raspberry (20%), specifically.What are the objectives of the company? (100 words)The strategy and the objective of the company is oriented towards positioning their brand, “berries paradise”, as one of the best available brands in the market. The company shares the following values: Respect, Honesty, Continuous Improvement and teamwork. The most important characteristic of Berries Paradise is the human value that is put into everything they do.What were the challenges the business had to face? (100 words)The main challenge the business has had to face is a lot of competence in the market, however the company only sells their

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own fruit and buys from a small group of producers who accept to use the same standards for investment and quality. The 70% of the products are provided internally and the other 30% is provided by small producers. Also berries paradise is distinguished by its quality, because they harvest by hand to maintain a nature process.Which have been the achievements reached? (100 words)The company has achieved Mexican and international certificates that are demanded by the market as SENASICA, GLOBAL GAP, TESCO, USDA Organic and Primus GFS. Berries Paradise is a social and environmental responsible company, free from child labor. They represent an important source of formal employment in the region.

Was there any programme developed by MultiNational Companies that helped your business to grow global? (100 words)Berries Paradise is member of the Local Association of Berries Exporters of Mexico (Aneberries). In USA they are members of North Bay Produce Inc. Besides they belong to the International Raspberry Organization and the International Blueberry Organization.

ProMexico is the government Institution in Mexico who has provided support in the exportation area. Providing services and supports.

Beneficiaries’ report ProMexico has provided the following support and services to the company:

Case # 1. Traveling expenses to Berlin, Germany in 2014

Case #2: Agenda in Hong Kong y Russia in 2015

Case #3: Agenda in Hong Kong 2016

Highlights (milestones, major events, achievements)

Case #1: Berries Paradise participated in 2013 in Asia Fruit Logistics in Hong Kong, and ProMexico facilitated the traveling expenses. Thanks to this support, the company concreted product export sales with three companies in Japan for 4,280,000 dlls in 2014.

Case #2: Berries Paradise requested an individual agenda to ProMexico in Singapore in march 2016. Thanks to this support, the company concreted product export sales with two companies in Singapore for 250,000 dlls in 2016.

Infographic or time line

Include an infographic illustrating the business performance

Future steps and comments

The future plan of Berries Paradise is market diversification to grow as an International Company. Asia is the next big possible

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2008Start

exporting to US and

Canada

2009Increase

120 hectares of field

2012Export to Europe

2013Export to

Hong Kong and

Saudi Arabia

2014Export to

Japan

2015 Export to Shanghai

2016Export to Singapore

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market to explore due to the extensive demand, which is very interesting. The goal of the company is to keep a stable production, above 1.5 million boxes annually. Also the next step is to become a 100% organic company.

The company is continuously looking to increase their fields and implement the highest technology in all the process. In long terms the company wants to increase its products catalogue within frozen fruit and begin to produce processed food.

Company Presentation Comal Foods

h t tp : / / w w w .c oma l f o od s .c om / i nde x . h t m l

Comal Foods is the leader in prepared foods nationwide and international markets sales company. They offer their services in supermarkets, convenience centers, restaurants, hotels, all of which goto the final consumer.

They have different products and customized solutions for each type of industry.

The product line is counted with the Department of Research and Product Development, which can work together with the clients to develop specific products according to their needs

SummaryComal Foods is the leader in ready-to-serve food in the Mexicanfood market, ensuring the highest quality and best service.

Mission:To offer the highest quality and best service in the ready to serve food market.

Vision:To be the solution in the Mexican and international market of ready to serve foods ensuring the highest quality and best service.

Advantages for costumers:

• With Comal food consumer not only get the best quality and flavor in foods, they get all the support of a world class company.• Their products are 100% healthy, without preservatives.• Homemade flavor.• They have the widest variety of products and packages.• Health and freshness.• Their R&D team is always ready to help.What are the objectives of the company? (100 words)Looking after consumer needs and continuous improvement mentality is determinant to offer domestic markets and international dishes prepared under the brand Comal revolutionizing the market for ready-to-serve meals, offering certified safety, security product delivery and standardization.

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What were the challenges the business had to face? (100 words)One of the main challenges was to offer a ready-to-eat meals at the tables of Mexican families, looking after the taste and quality of the product. After identifying these needs, the next challenge was to offer an added value, it was how to present the product, offering the variety of frozen food and vacuum packed products. Because of this, the company creates the Research and Development department, where highly qualified staff, develops, creates and standardizes products every day. Which have been the achievements reached? (100 words)Among the many achievements, packaging, has been innovative.

Thanks to their infrastructure, they can provide more than 6 different packaging technologies (frozen, thermoforming, heat sealing, controlled atmosphere, vacuum and, sterilized).

As well as quality certificates, imports and exports due to their high quality and safety processes.

How did the public institution responsible for promoting exports helped with the development of the business? (100 words)ProMexico prepared a market study, and implemented their International Business Representative program, where the company was able to send one person to Hong Kong to work in the Counsels offices, and start developing the business case.

Beneficiaries’ report Case #1: (130 words).

Together with ProMéxico and their International Business Representative program, the company was able to establish the office, solve all the paperwork needed, and get in contact with possible clients to open the market in Hong Kong. The designated person from the company, was responsible to see the product’s acceptance and work together with prospects to develop specific products for this market.

Highlights (milestones, major events, achievements)

Case #1: (300 words)Results:

• The Business Organization in Hong Kong, named Comal Foods Asia was opened officially, this company will be the trading branch for Comal Foods in Hong Kong.• The company is still working with prospect partners to build a good network in Hong Kong. A distribution channel has been established with other food businesses.• They are working with prospects to develop products for theHong Kong and China Market.

Infographic or time line

Include an infographic illustrating the business performance

In June 2, 1980 BJ Group decided to create one of the best foodplants in Mexico to soon become leaders in the market.

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1998, Identifying consumer needs and continuously improving we decided to launch prepared dishes under the brand name COMAL revolutionizing the market in ready to eat foods, offering safety, flavor, innovations, quality and standardization.

2000, becomes Mexican leader in this sector.

2008, Comal ventures into international markets and launches BOLSALAT.

Future steps and comments

In 2018, Comal will be the frozen food processing and sterilized products plant with the most modern TIF certificate and with greater variety of products in Mexico.

The projection estimates to reach a staff of 1200 workers in the Laguna region of Coahuila and Durango.

Also contribute to Mexican growth through the creation of new indirect jobs suppliers.

In addition to the US market, Comal is looking to achieve its internationalization in markets in Asia, such as Japan, South Korea, Hong Kong, China and other American countries such as Canada and Costa Rica.

The current plant will be working at 4 times the existing capacity, so gradually increasing production to 1.6 million kilos of frozen food and 2 million bags of sterilized product (pouches).

Due to the effort, quality, safety and innovative products, the capacity of the existing plant is at maximum. The company has already signed contracts to increase production and customers on the waiting list to be provided with new the plant.

At the moment, they are also working with several universities in the region, linking research, thesis projects, and internships for students to hire graduates from these universities.

Company Presentation MarBran

www.marbran.com

MarBran is the largest volume-packer of frozen Broccoli in the North-American continent.

SummaryThe company produces fresh and frozen broccoli with SQF certificate.

Quality and volume are what today make MarBran the worldwide leader in the frozen Broccoli business. MarBran also produces other frozen vegetables and fruits including Cauliflower, Brussel Sprouts, Zucchini, Yellow Squash, Sugar-Snap Peas, Carrots, Mangoes, Cantaloupe & Honey Dew Melon Balls, and Papaya.

They package all retail carton and poly-bag presentations, as well as larger institutional, club pack, and industrial sizes,

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fulfilling our clients’ worldwide requirements.

The company´s main objectives are to generate jobs in Guanajuato and to provide the world market an excellent product from México. Never tried before in the Asian Market.

Several more costumers in Asia are the main achievements.

Beneficiaries’ report ProMéxico provided the support of $50,000 to travel to Foodex in Japan.

Highlights (milestones, major events, achievements)

Sales for over 1MDD as outcome for visiting Foodex.

Infographic or time line

MarBran was founded in 1962 with one farm and one processing plant. During the 1990’s it became the largest company in its segment. In October 1992, the company entered into a strategic alliance with the J.R. Simplot Company, one of the principal vegetable and potato operations of both the United States and the world.

Recently, they have initiated Organic Broccoli production in Mexico, and will soon expand their organic line with vegetables such as Cauliflower and Carrots.

The MarBran fresh produce division currently ships Broccoli Crowns and Broccoli Heads year-round, while also exporting Cauliflower and Snow Peas in season.

MarBran’s total acreage planted annually is roughly 20,000 acres. They directly farm 20% of their total requirements, with the remaining 80% of the land contracted to growers who operate under the close supervision of their extensive agricultural department.

Future steps and comments

Visit fairs and Shows in Asia with ProMéxico support in order to increase market opportunities and expand.

Company Presentation Citrojugo

http://citrojugo.com.mx/en/

Citrojugo is the largest producer and exporter of processed goods derived from limes.

Having facilities within the state of Colima in the city of Tecoman, Citrojugo began to export essential oils, juices and other industrial products to the five continents three decades ago. Its manufacturing output represents a good amount of the world's production, which makes Citrojugo a worldwide leader in this sector.

They are the main producers of lemon in 3 different types and its

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by-products, such as oils, sweeteners and cleaning. They are very large exporters and have a ware house in Mc Allen, Texas to re-distribute their shipments to the inside of the United States.

SICAR is a sister company of the same group. They pack and sell lemon all over Mexico, North America and Asia.

SummaryCitrojugo, S. A. de C. V. is an agro-industrial conglomerate engaged in the production, treatment, industrial processing and commercialization of lime and its derivatives. Established back in 1980 to promote the socio-economic development of this industry in the state of Colima in Mexico, their excellent strategies made Citrojugo reach new continents.

Nowadays, the group controls the whole production chain: from nursing trees, to final product delivery, going through plantations, logistics strategies which include packing, transport and distribution centers.

Citrojugo plants are located in the state of Colima in Mexico, which has come to be considered the world´s capital of Mexican Lime with groves covering 30 thousand hectares.

Citrojugo produces a range of products derived from this citrus; essential oils, juices and dehydrated peel. Citrojugo's groves supply a good amount of the group fruit purchases ensuring a good level of production all over the year.

Beneficiaries’ report CITROJUGO attended FOODEX fair in Japan in 2015. So did SICAR in 2016.

The 2 companies reported good results after their attendances to the mentioned fair.

Highlights (milestones, major events, achievements)

Follow ups are taking place in the 2 cases, in order to get more sales and new customers.

Infographic or time line

1957: Acquisition of land property of Colimas abbot. Starting banana plantations.

1959: A hurricane destroys the vulnerable banana crops. Mexican Lime plantings begin to take place.

1979: The ACEITES ESENCIALES industrial plant is hired for rent, to process Mexican lime and produce distilled lime oil. During this period the boom of the Mexican lime takes place.

1983: CITROJUGO SA DE CV executes the purchase and acquisition of the industrial plant.

1987: The industrial plant is completely remodeled and expanded with new production lines. On May 15th Mexico´s President, Miguel de la Madrid Hurtado, inaugurated the new facility.

1990: The Mexican lime packing facilities that had been operating as part of Citrojugo, become LIMONES SICAR SA DE CV as a separate entity.

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1998: The dehydration plant of Mexican lime peel: DETECSA begins operations.

2004: The distribution center LIMEX SICAR LTD CO is established in McAllen, Texas in the US to serve this market.

2007: The carrier, AUTOTRANSPORTES SICAR, starts operations.

2008: CITROJUGO starts the implementation of institutionalization processes in the enterprise management systems.

2009: Construction of new facilities for LIMEX SICAR are set to Mission, Texas in the US.

Future steps and comments

They are preparing now a program of business meetings and matchmakings in Jakarta, Indonesia for November 2016.

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