International Trade

New Mexico’s exports to Mexico and other countries continue to increase. To strengthen international trade relations with Mexico, the European Union and Asia, the Economic Development Department established the International Trade Division (ITD) in 2004.

The Division helps Albuquerque companies sell goods and services, particularly scientific and technical services, in foreign markets and attract foreign investment into Albuquerque.

 

 

If you had the opportunity to ask successful international business executives how they made the move into foreign markets, would you take it?  The City of Albuquerque’s Economic Development Department and Mayor Chavez invite you to “B2B Share: International Trade”.  At this free conference, meal included, you will hear four ABQ business people share their international trade success stories, including the business challenges they faced and the strategies they utilized to overcome those roadblocks and increase their company’s profitability.  The conference will be held Tuesday, September 22nd at the Albuquerque Convention Center.  For more information and to register, please contact Kaycie Robinson at 768-3222 or krobinson@cabq.gov

 

Trade Services

To increase international business opportunities, ITD provides these services:

• Import-Export Consultations: ITD learns about a company’s plans and helps it prepare to become an exporter or importer.
• Promotion: ITD produces trade leads and provides contact information within the country or industry segment of interest to a company. Also the division develops and maintain foreign business contacts.
• Trade Missions: ITD sets up trade missions and agendas for individual companies, leads trade missions for groups of companies, hosts trade missions to New Mexico, and arranges visits and introductions to appropriate counterparts or companies of interest to visitors.
• Trade Shows: ITD participates in trade shows and conferences abroad, where it provides information, product samples and catalogs from Albuquerque companies or shares a booth with company representatives.
• Market Research: ITD produces reports on industry sectors, such as manufacturing, food processing and technical services, in various countries.

Foreign Direct Investment

To attract foreign direct investment, ITD promotes Albuquerque and its unique assets as a science and technology center to companies abroad that may want an American presence. The ITD also markets Albuquerque as a cost-effective alternative to offshore facilities.

International Projects

The International Trade Division supports initiatives that will boost foreign trade and tourism. One such project is securing direct flights to Mexico.

Albuquerque is also proud of its close relationship with the City of Chihuahua, Mexico. Albuquerque and Chihuahua have formed a bilateral commission lead by Mayor Chavez and Mayor Juan Blanco to address 6 specific areas:

• Trade and Sciences
• Science/Technology and Economic Development
• Tourism
• Cultural Relations and Sports (Chihuahua Balloon Fiesta)
• Education
• Special Projects ( Direct Flights from ABQ to Chihuahua City)

Visit Chihuahua's site about the Fiesta del Globo, (note the City of Albuquerque seal on the balloon at left).

Events and Training

The International Trade Division organizes and sponsors conferences, expos and other events that contribute to the international business climate in Albuquerque. ITD also holds periodic seminars and workshops to prepare local companies to do business in other countries.

The City of Albuquerque is the lead sponsor of the Annual Iberoamerican Research and Development Summit (AIRDS) , which promotes Albuquerque as the “Technology Gateway in the United States.”

Each year since 2001, AIRDS has brought together companies, investors, national laboratories and universities from many nations to explore partnership opportunities and prospects for international business development.

Transportation

Foreign Trade Zone

The City of Albuquerque has a Foreign Trade Zone (FTZ) on 60 acres near the air cargo center at Albuquerque International Sunport.

A Foreign Trade Zone is a duty-free port regulated by U.S. Customs. Companies can bring in raw materials or finished goods, which they can store, assemble, repackage, grade, manufacture or re-export without paying duty.

The access road, Spirit Drive, has been redesigned for smoother traffic flow, and the City is preparing a site development plan for the FTZ parcel. Next the City plans to buy or build a warehouse for use by companies interested in the benefits of an FTZ.

FAQs

Where can I find information about doing business abroad?
Besides the City of Albuquerque’s International Trade Division (505-768-3270 ), you can contact a federal depository library at 1-800-872-8723 or www.access.gpo.gov/su_doc/dpos/adpos003.html .

How can I learn about exporting?
The City of Albuquerque’s International Trade Division can help you identify international markets for your products and services.

What are the financial risks of doing business abroad?
There are three risks:

• Commercial Risks: Your foreign customers may refuse to pay, either because they do not have the money or because of a contract dispute. Insurance programs offered by the U.S. Export-Import Bank can protect you against such risks.
• Political and Economic Risks: Foreign governments have at times restricted or prohibited commercial payments due to economic downturns or political instability. Insurance against this risk is available from the U.S. Export-Import Bank as well as private insurers.
• Currency Risks: The exchange rate between the local currency and the U.S. dollar can change. To protect themselves, U.S. exporters should keep their contracts and payment terms in U.S. dollars.

How can I network with other exporters?
Attend events listed or sponsored by the City of Albuquerque International Trade Division.

How can I find a buyer, agent or distributor for my product or service?
Contact the City of Albuquerque's International Trade Division (505-768-3270) or the New Mexico Export Assistance Center in Santa Fe (505-827-0350).

To develop a pre-qualified list of potential business partners in another country, contact the U.S. Department of Commerce Agent Distributor Service (602-640-2513) and international chambers of commerce in American chambers of commerce abroad. You can also consult import and industrial directories, see Trade Leads in the National Trade Data Bank, or obtain direct mail lists available for sale and online databases. Finally, talk to business colleagues from your target country or people who have had business dealings there.

Which Countries are the best markets for my Products/Services?
To determine potential markets abroad, consult the Office of Economic Development, International Trade Division at (505) 768-3256 or (505) 768-3286, the NM Export Assistance Center (505) 827-0350 and U.S. export statistics, which will show where product types have been exported and market trends. The NTDB also contains industry reports and country marketing plans that describes potential markets in greater detail.

Where do I find regulations/incentives to set up a foreign office?
Contact the embassies or consulates in the U.S. for your targeted countries, the respective international chambers of commerce in the U.S., or American chambers of commerce abroad. Several countries have economic development offices in the U.S. for the sole purpose of recruiting U.S. companies to their country.

How do I find a buyer/agent/distributor for my product/service?
Contact the CABQ International Trade Division (505) 768-3270, or the New Mexico Export Assistance Center at (505) 827-0350.

To develop a pre-qualified list of potential business partners in a foreign country, contact the U.S. Department of commerce's Agent Distributor Service (602) 640-2513. International Chambers of Commerce located in U.S. American Chambers of Commerce abroad, import and industrial directories. Trade leads in the National Trade Data Bank, direct mail lists available for sale and on-line databases. Also, talk to business colleagues from your targeted country or that have had business dealings there.

Where do I get data on agent/distributor agreements?
Several Albuquerque law firms have specialists in drafting international agent/distributor agreements. To contact one of them, call the Albuquerque Bar Association at (505) 243-2615 or the Office of Economic Development, International Trade Division at 768-3256 or 768-3286.

Where can I advertise my products or services?
In U.S. trade publications with an international circulation, including the U.S. Department of Commerce's Commercial News USA )606) 640-2513, a catalog magazine with a circulation of about 110, 000 containing only advertisements of U.S. products. Many U.S. embassies have publications in which you can advertise. The International Media Guide lists advertising rates for newspapers and magazines worldwide.

What trade shows do you recommend for my industry?
Within the NTDB industry analysis reports, recommendations can be found for the best shows for an industry in a given country. Industry desk officers at the U.S. Department of Commerce can also recommend shows. Many of the U.S. Department of commerce certified shows are listed in its official magazine, "Business America" (on the NTDB or www.stat-usa.gov). The Office of Economic Development, International Trade Division (505) 768-3256 or (505) 768-3286, also works with Albuquerque industry groups to exhibit at several major foreign trade shows.

Does Albuquerque's International Trade Division sponsor any trade missions?
Yes, the International Trade Division has sponsored trade missions to different locations in Mexico and Spain.

What is the National Trade Data Bank (NTDB)
The NTDB is the single most useful market research publication available from the U.S. government. It contains international information from virtually all federal government agencies that deal with international issues: The U. S. department of Commerce, U.S. department of State, Office of the U.S. Trade Representative, Export-Import Bank of the U.S., Central Intelligence Agency, etc. Types of information include: market research reports on industries in specific countries, import/export trade statistics, country background information, international business climates, exporting reference books, trade leads, etc. In addition to buying the NTDB on CD-ROM (800) STAT-USA), it can be accessed for a subscription fee on the internet at www.stat-usa.gov or found in local libraries. Country specific information is also attainable from the relevant country's embassy or consulate in the U.S. , the Government Trade Information Center (1-800-USA-TRAD), and country desk officers at the U.S. Department of Commerce in Washington, D.C.

Do I need to price my product/service differently for export?
Generally, you should calculate your international prices as you do your domestic prices, i.e., determine the fixed (overhead) and variable costs for producing the product and add to it your international marketing expenses. Just as you should not include your international marketing expenses in your domestic prices, you should not include your domestic marketing expenses in your international prices.

How can I find import duty/tariffs on export products?
Product import duties are determined by a code classification known as the Harmonized System (HS) number of the Schedule B number, which is applied to all commodities exported from the U.S. Product codes are identified in the publication, Schedule B Classification of Domestic and Foreign Commodities exported from the U.S., which is available in Federal Depository Libraries or on the internet at ___. Once the numbers are identified, your freight forwarder or the country desk officer at the US Department of Commerce (1-800-USA-TRAD) may be able to assist you in determining the relevant duty.

Caution: Custom officials in other countries may not agree with your selection of the Schedule B number and may feel that another best describes your products. If this happens, the duty rate may well change. Some countries allow you to obtain an advance duty classification ruling from customs officials before your first shipment.

Who can help me get export financing?
Speak to your banker about letters of credit or Export-Import Bank financing ___. Letters of Credit are similar to the sales contract between you and your foreign customer, except that the contract exists between your bank and your customer's bank and is governed by a set of international rules. As a branch of the federal government, the Export-Import Bank loan, guarantee and Insurance programs are designed to help US exporters finance their international sales. While there is no official minimum, transactions under $100,000 may not be worth the required paperwork.

For additional information, contact your banker, or Export-Import Bank directly at its West Coast office in California (562-980-4508). Loans to finance export orders can be obtained through the Small Business Administrations"s (SBA) LowDoc loan program. Additionally, SBA offers international trade loans and can guarantee up to $1.25 million for a combination of fixed-asset financing and Export Working Capital Program assistance. For details, contact the SBA in Albuquerque (505-346-7909).

How can I network with other exporters?
Attend events listed or sponsored by the Office of Economic Development, International Trade Division (505) 768-3270.

Where can I find someone to translate for me?
Trade specialists at the Office of Economic Development, International Trade Division can provide you with a list of translation services available in the state. Although, the International Trade Division have foreign language capabilities, they are not available to serve as translators.

Where do I get data on government bid projects?
Current foreign and domestic governmental bid projects can be found in the USA International Development, Commerce Business Daily, and at the State Procurement Office (505) 827-0425).

How do I find suppliers abroad?
Contact the relevant country's embassy or trade office in the US International Chambers of Commerce present in the US and local library resources, which may have directories of manufacturers or exporters in other countries.

Who can give me advice on importing?
UNM and some community colleges offer business courses that focus on importing and exporting. A US Customs Service book, Importing into the US covers the basics. This book and other publications and on-line information can be found in the US Customs and Border Protection website at www.cbp.gov. For assistance with specific US customs clearance issues, contact a customs broker.

Where can I get data on patents/trademarks/copyrights?
Several Albuquerque law firms have specialist in international patents, trademarks, copyrights and intellectual property. To contact one of these law firms, call the Albuquerque Bar Association (505) 243-2615 or the Office of Economic Development, International Trade Division at (505) 768-3270.

Resources

State of New Mexico, Office of International Trade supports New Mexico companies by providing client-focused programs that encourage, develop, and facilitate international business--leading to job creation, expanded client sales, and international recognition for New Mexico.

Santa Fe U.S. Export Assistance Center The U.S. Commercial Service of the U.S. Department of Commerce is a federal government agency dedicated to helping small-to-medium sized companies to develop international markets.

International Business Accelerator provides information to businesses and individuals who want to sell a product or service into the global market. The IBA offers import-export classes, an online resource guide of international trade materials, and an electronic database of international trade leads and joint venture opportunities. The IBA also leads outgoing and reverse trade missions of foreign buyers and sellers.

New Mexico Border Authority is the state agency overseeing the development and promotion of New Mexico’s international ports of entry.

Albuquerque Hispano Chamber of Commerce offers tools to help members expand their businesses to Spain, Mexico and other Latin American countries. The Chamber also plans and organizes business trade missions.

Contact Us

Call the International Trade Division at 505-768-3270 or by email:Kaycie Robinson (Consultant) krobinson@cabq.gov and Paulina San Millan (International Communications) pSanMillan@cabq.gov