31. The U.S. sugar lobby was happy, even though as recently as this month it has continued to lobby against Mexican exports. 32. Those higher rates would attract more foreign capital, making the peso stronger against the dollar and Mexican exports more costly in markets abroad, he said. 33. Trucking regulations and the Mexican export of straw brooms also created rows. 34. Wages and prices would eventually fall, easing the cash crunch, making Mexican exports competitive and putting Mexicans back to work. 35. While a weaker peso would make Mexican exports more competitive on the world market, it can push up inflation by raising the prices of imports. 36. While a weaker peso would make Mexican exports more competitive on the world market, it could hurt the domestic economy by driving up the costs of imports. 37. When the peso strengthens and local consumer prices rise, Mexican exports become less attractive in international markets, traders said. 38. But the competitiveness of Mexican exports and return of relative stability to the economy may lead to an early recovery, it said. 39. Canada ranks fourth in importance to Mexico as a supplier of imports and second as a buyer of Mexican exports. 40. It calls for only limited opening in steel and beer, key Mexican exports, said Eduardo Solis, a Mexican negotiator. |