International Expansion on the HorizonMon, 10/22/2018 - 11:27
Q: How have gains in metal prices created opportunities within the Mexican mining industry?
A: We see many opportunities arising in the Mexican mining industry thanks to the rise in prices for these commodities. This is the principal reason why the investment in Mexico’s mining industry is increasing. There is no single state without a mining project, whether small or large. We see new mines and projects popping up throughout the country every single day. The industry has experienced an extraordinary boom in the last five to 10 years that has been greatly beneficial for the country and the market growth.
Our goal is to continue the improvement of our services to meet the growing needs of our customers. Our company is deeply rooted in the mining industry and we have a strong relationship with the top Mexican companies such as Grupo México, Frisco, and Industrias Peñoles, which have been our clients for more than 20 years. We also work with many more foreign mining companies such as Capstone Mining.
Q: What advances has the country made in terms of logistical infrastructure?
A: The country has improved its highways greatly. We do not have the same highways we had 20 or 30 years ago. Transportation is also much more regulated. It is easier to reach mines nowadays. But the country continues to have issues in terms of security. Operators want to be able to use safer and faster routes. Insecurity is a strong topic in the industry. One of the main issues is that raw materials and mining have become part of the black market and this makes transportation companies a target for organized criminals. We are responding directly by incorporating security systems, real time video surveillance and GPS trackers in each of our units.
Q: In what ways is the company pioneering transportation and logistics in the mining industry?
A: We are pioneering transportation and logistics in the industry by keeping an open mind to change and innovation in the market. The mining market is growing in Mexico so competition is increasing too. Currently, there are more players in the field than there have been in the past five years. The only way to stay afloat is to adapt and stay one step ahead of competitors.
Thanks to the trust companies have in us, our services have expanded over the years. Clients continuously ask us to join them on new ventures and we are always glad to accept these challenges. As mentioned, our company has grown thanks to the invitation mining operators have given us to grown with them. If a client were to ask us to join them on an international project, we would gladly accept as we feel we are at the right time.
In 2000, we created TMCa, a subsidiary dedicated to storage. But we started to offer this service in 1994 when Peñoles asked us to create a storage for its Tizapa mine. This was the first time a company offered storage services to the mining industry for exportation. As the years passed, we started to get more demand and we decided to launch a company that can offer more integrated services to users for storage and transportation. We now also offer processing and conditioning for exportation. We have a presence an all major ports in the country. We collaborate with traders in the country such as Trafigura and Mercuria.
Q: What would you like the next administration to prioritize when it comes to the Mexican mining industry?
A: We would like to see continuity in what has been established in the mining industry. The sector provides jobs for people in marginalized areas that greatly need it. A stronger mining industry would help the country’s economy.The administration should also focus on fixing Mexico’s regulation and infrastructure. In Chihuahua, we were asked to participate in a project that greatly lacks infrastructure and this implies a big challenge. I would like SCT to be more in favor of transportation as it is overregulating the industry.