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<title>PETTIGREW STRENGTHENS TIES WITH MEXICO</title>
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<p><font face="Arial"></font><font face="Arial" size="+1"></font><font face="Arial" size="+1"></font><font face="Arial" size="+1"><strong>June 5, 2002 <em>(2:50 p.m. EDT)</em> No. 63</strong></font></p>
<p align="CENTER"><font face="Arial" size="+1"><strong>PETTIGREW STRENGTHENS TIES WITH MEXICO</strong></font></p>
<p><font face="Arial"></font><font face="Arial">International Trade Minister Pierre Pettigrew today concluded the Canada Trade Mission to Mexico City and
Monterrey where he assisted delegates in making valuable business linkages with potential partners.</font></p>
<p><font face="Arial">"We're confident that the economic recovery now underway will see a resurgent Mexico within North America,"
said Minister Pettigrew. "This trade mission allowed us to create stronger trade ties between Canada and
Mexico--a success that both countries will share in for years to come."</font></p>
<p><font face="Arial">On June 4, Minister Pettigrew met with Mexican President Vicente Fox to discuss bilateral relations between
the two countries and ways to enhance trade between the two NAFTA partners. Earlier that day, Minister
Pettigrew met with Mexican Secretary of the Economy, Luis Ernesto Derbez to follow-up on multilateral issues
following their participation in the APEC and NAFTA ministerial meetings of last week.</font></p>
<p><font face="Arial">Export Development Canada (EDC) announced that it will be expanding its services in Mexico later this year
through a direct presence in Monterrey. In addition to EDC's presence in Mexico City, the new representative
will further develop EDC's support for the increased demands of Canadian exporters and investors pursuing
business in the key commercial and industrial centre of Monterrey.</font></p>
<p><font face="Arial">Solid trade and investment linkages between Canada and Mexico continue to grow since NAFTA's entry into
force eight years ago. Since 1994, Canadian exports to Mexico have more than doubled to $2.5 billion in 2001,
making it Canada's sixth largest export market overall. Canadian investment in Mexico has tripled since 1994,
reaching $4 billion in 2001. </font></p>
<p><font face="Arial">More than 60 representatives of Canadian businesses and government organizations participated in the
mission to Mexico.</font></p>
<p><font face="Arial">- 30 -</font></p>
<p><font face="Arial">A backgrounder is attached.</font></p>
<p><font face="Arial">For further information, media representatives may contact:</font></p>
<p><font face="Arial">Sébastien Théberge</font></p>
<p><font face="Arial">Office of the Minister for International Trade</font></p>
<p><font face="Arial">(613) 992-7332</font></p>
<p><font face="Arial">Media Relations Office</font></p>
<p><font face="Arial">Department of Foreign Affairs and International Trade</font></p>
<p><font face="Arial">(613) 995-1874</font></p>
<p><a href="https://bac-lac.wayback.archive-it.org/web/20070220181553/http://www.dfait-maeci.gc.ca/"><font face="Arial">http://www.dfait-maeci.gc.ca</a></font></p>
<p><font face="Arial"><strong></strong></font><font face="Arial" size="+1"><strong>Backgrounder</strong></font></p>
<p><font face="Arial" size="+1"><strong>CANADA-MEXICO BUSINESS AGREEMENTS</strong></font></p>
<p><font face="Arial"></font><font face="Arial">The following agreements were announced in Mexico, during the trade mission:</font></p>
<p><font face="Arial"><strong>ATM Export Management Inc., Toronto, Ontario</strong></font></p>
<p><font face="Arial">ATM Export Management Inc. signed a Memorandum of Understanding with Intercambi, S.C. of Mexico City,
Mexico, to work together as business partners on behalf of Canadian manufacturers in Mexico, and Mexican
manufacturers in Canada. They will continue to generate new sales for their mutual clients. They also intend to
become recognized as the most effective way for Canadian companies to enter the Mexican market or increase
their sales in Mexico, and for Mexican companies to succeed in the Canadian market, in a strong and long-term
partnership.</font></p>
<p><font face="Arial">ATM Export Management Inc. also signed a similar Memorandum of Understanding with Nucamp, S.A. de C.V.
of Monterrey, Mexico. Nucamp will focus its activities in Northern Mexico. </font></p>
<p><font face="Arial"><strong>Canadian Iceberg Vodka Corp., St. John's, Newfoundland</strong></font></p>
<p><font face="Arial">Canadian Iceberg Vodka signed a distribution agreement with Comercializadora Los Agaves, S.A. de C.V. to
sell Iceberg Vodka in Mexico. Comercializadora Los Agaves will be given a contract for exclusive distribution
rights for a three-year period, and the companies will combine their efforts and expertise to promote the sale of
Iceberg Vodka in Mexico. The agreement is valued at $2,475,000, all Canadian content.</font></p>
<p><font face="Arial"><strong>Export Development Canada (EDC), Ottawa, Ontario</strong></font></p>
<p><font face="Arial">EDC, Canada's official export credit agency, has completed a $23 million participation in a loan syndication to
Nemak, a subsidiary of Grupo Alfa and a key auto sector company based in Monterrey. This is the second
financing arrangement made by EDC in support of Nemak. The loan will assist a variety of Canadian
automotive equipment and services suppliers selling to Nemak.</font></p>
<p><font face="Arial"><strong>HSI Health Services International, Calgary, Alberta</strong></font></p>
<p><font face="Arial">HSI Health Services International signed a Memorandum of Understanding with Comercializadora Los Agaves
of Mexico City to bring Canadian expertise and investment in the development of a product and its
infrastructure, including laboratories, and to develop channels of distribution in China and India. HSI Health
Services International invests in international health care projects and brings Canadian expertise on board for
these projects.</font></p>
<p><font face="Arial"><strong>Pure Lean Inc., Medicine Hat, Alberta</strong></font></p>
<p><font face="Arial">Pure Lean Inc. signed a letter of intent with Agropecuaria Sapomora S.P.R. de R.L. of Navojoa, Mexico, to
participate in a joint venture to use Pure Lean's new hog production system and biowaste composting. The
agreement is valued at $2 million, all of which is Canadian content.</font></p>
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