Affinities, rather than the geographical proximity between two countries, are often the true basis for a close relationship. This is certainly the case for the friendship that Mexico and New Zealand have developed throughout the years.
Diplomatic relations between both countries were established a little over four decades ago. Several years went by before embassies were accredited both in Mexico City and in Wellington. But very soon the complementary nature of our economies and the values that Mexicans and New Zealanders have in common allowed stronger ties to develop.
Economic exchanges have, so far, been the driving force in our relationship. Two-way trade reached $629 million in 2013. New Zealand's exports to Mexico consist mainly of dairy products and sheep meat; whereas Mexican exports to New Zealand comprise, for the most part, vehicles, telephones, and beer.
There is, undoubtedly, considerable scope to enhance bilateral trade. On one hand, Mexico's significant internal market, proximity to the US and consistent progress in the World Bank's "Ease of Doing Business Index" - the country moved up four places in the most recent rankings to reach number 39 out of 189 economies - make it an attractive business partner. On the other, New Zealand's high per capita income and enviable position in the World Bank rankings - second, only after Singapore - speak for themselves.
Mexico's recent progress has been largely the result of a wide ranging series of structural reforms promoted by President Enrique Peña Nieto and approved by the main parties represented in the Mexican Congress. This set of constitutional and legal changes has created a new platform to promote productivity, fair competition and stronger social and political institutions throughout the country. They are important steps in Mexico's modernisation, but much remains to be done in order to strengthen the country's institutional framework. These will be key domestic priorities for the years ahead.
