Getting Printed in

Mexico
If you have been thinking about getting those large
orders printed in Mexico and saving production
costs, here is what you need to know.

Screenprinters Radio began Transcript of Episode No. 1875, December 12,

broadcasting in February 1983 as a 2018
service of Bill Hood Consulting. This
was long before the term Podcast was
coined by the BBC journalist Ben By Bill Hood, BillHoodConsulting.com
Hammersley in February 2004. We
decided to keep the name rather than
You are listening to Screenprinters Radio, an
confuse (or lose) the thousands of
subscribers who had grown used to educational series of programs for screenprinters. You
the name. will find programs covering the basic to advanced
Originally, we were broadcasting techniques for improving the efficiency, effectiveness
from the Austin Arts Bulletin Board and economy of your screenprinting operations.
System (BBS). We supplied news to
the screenprinting and arts
Get a cup of coffee, pull up a chair and enjoy the
community not only in Austin, Texas
where it was based, but to the world. show.
The BBS was the first to market to a
specific industry - screenprinting. It Our goal is allow you to find solutions to the many
was also the first BBS to produce variables present in the screenprinting technologies.
audio for its visitors, broadcasting
news about screenprinting and music We have been broadcasting to the screenprinting
in a pre-recorded method in what community worldwide since February 1983 in order
was the precursor to Internet Radio.
to help bring control to the screenprinting
Eventually, the station was moved technologies.
to the Internet when online
broadcasting became more We depend on your donations to keep
commonplace.
Screenprinters Radio online. Please consider making
Visit our website at
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I am Bill Hood, your host, and I can be reached at

BillHoodConsulting.com online.

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 One of the most common questions we hear is,
“How do I find a screenprinter in Mexico to handle
my large orders?” This usually comes after an
exhaustive search of the Internet and finding that
contract screenprinters and even textile
manufacturers do not exist in Mexico.

In truth, there are a number of large, proficient

screenprinters in Mexico who are more than capable
of handling just about anything you need. There are
also a number of textile manufacturers in Mexico that
make T-shirts, polo shirts, dress shirts, khakis, jeans
and other wearing apparel for toddlers, youth, men,
and women.

However, they are going to be difficult to find

without a facilitator, such as a screenprint broker or
screenprinting consultant. The reason is simple,
business is conducted differently in other countries
than in the United States, especially in Mexico.

Cultural Differences
Although Mexico is in America and the people are
considered Americans, and the three countries that
make up North America (Canada, United States and
Mexico) are physically close, Mexico is simply a
different country than her northern neighbors.

Mexico has a different culture and ways of doing

and looking at things. Many people have assumed that
things are the same “south of the border”, with
sometimes serious consequences. The Mexican, his
beliefs, expectations and codes of personal and social
conduct are so different as to be from a different
world.

To successfully conduct business in Mexico, it is

necessary to enter the world of the Mexican, and be

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open to the fact that your assumptions about how
things are done are uniquely different. For a good
read on understanding the cultural differences you
may read “Management in Two Cultures – Bridging
the gap between US and Mexico” by Eva Kras and
published by Intercultural Press Inc.

In the United States, we may hire an entire staff to

do nothing but answer emails, phone calls, and fax
requests as a way of providing customer service, but at
a great cost, which drives up the price of services and
goods. Customer service does exist in other cultures,
however it is usually reserved for existing clients. This
may leave businesses in the United States who want to
do business with companies in Mexico (or elsewhere)
wondering what happened to customer service.

Most screenprinters and textile manufacturers in

other cultures do not have websites, and if they do
they may not post their phone numbers or fax
numbers online. You should not be discouraged, as it
is simply a cultural issue.

Primarily, in Mexico and many other cultures,

email is seen as personal and a form of
communication to be used only after the initial
relationship has begin. The Internet is seen by many
as an impersonal and is used to simply build presence.

Even in the United States, many cost-conscience

companies have reworked their websites to only offer
email addresses to potential customers. In the past
few years, even the smallest screenprinters in the
United States have began using online stores with
shopping carts to handle order.

For those in the United States, the lack of

customer service is often seen negatively. They

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believe, incorrectly perhaps, that if the foreign
companies really wanted to do business with them,
they would offer more than one way to communicate.

In the United States, people tend to rely heavily on

the phone to conduct business, however in other
countries they are charged exorbitant amounts for
each minute of communication by telephone, making
it very costly to use this device. Receiving a phone call
in Mexico, even locally, can cost $0.32 USD to
connect and up to $1.00 USD per minute for the call.
Given the large number of calls that they might
receive from inquisitive individuals that might take 10
or 20 minutes and end up with nothing in return, one
can easily understand that it can be a most expensive
way of providing customer service.

There are other reasons that many foreign contract

screenprinters and textile manufacturers offer only
email to potential customers as a means of initial
contact. In other cultures, the rule is to present
yourself to those that you wish to do business and
begin a personal relationship first, before conducting
business with others. This serves to assure that there
is an understanding about what can and will be done
before an order is placed.

Many screenprinters and textile manufacturers in

Mexico (and other countries) prefer a face-to-face
meeting with a representative of the potential
customer, which may include a tour of the facility, and
an inspection of their products and quality.

Legal Documents
They may also insist on contracts that are legally
binding in their country and the United States as a
way of protecting both parties. Paperwork, and lots of

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it, is normal in Mexico as it should be with most
businesses in the United States.

In Mexico, even the paperwork to purchase office

supplies can be extreme, as the government requires a
written, signed and dated “factura” or bill of lading for
every purchase an individual makes on behalf of a
company. Otherwise, they would not be able to
consider it a business expense. In the United States, a
simple cash register receipt usually suffices for the
government.

You will also be responsible for all legal paperwork

necessary to ship items into and out of Mexico. You
should consider hiring a customs broker or other
brokerage firm, and you may need a freight forwarder
at the border to get the products across the border.
Each of these will require documentation and many
find it necessary to have an attorney specializing in
International affairs look over the paperwork to
assure that everything goes off without problems.

Language Barrier
There is also the language barrier, which must be
considered. While English is taught as a second
language in most public schools in Mexico, it has only
been included in the curriculum for the past ten years
or so. While those who have taken the classes may be
able to conduct casual social conversation, they may
not be highly proficient in holding a conversation
about business.

Hiring even one bi-lingual person to deal with

English speaking potential clients can be expensive. A
bi-lingual individuals can seek as much or more than
they might be paid in the United States.

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 Also, the labor laws in Mexico are very different
than in the United States. There are basically two
federal laws that govern over labor issues in Mexico.
One is the federal Labor law and the the other is the
federal Social Security Law.

If a person is released from his responsibilities in

Mexico they will almost always bring a lawsuit against
the employer as it can be quite beneficial if the courts
decide in their favor. If resolved in favor of the
employee, he has the right to reinstatement plus all
back wages that were incurred while the court process
was going on.

If the employee decides not to seek reinstatement,

then he may receive three months salary, all back
wages, plus other items that were owed him/her prior
to the dismissal (such as unpaid vacations, year end
bonuses, profit sharing, seniority pay, maternity leave,
and others).

Import License
If you want to have any textile items manufactured
and/or printed in Mexico and sent to you in the
United States, you may need an import license. An
import license is a formal document allowing a person
or group to bring in goods from outside the United
States borders.

According to the United States Department of

Commerce, a person does not always need to get an
import license. They may still need governmental
authorization, however. Either way, you may need an
attorney, customs broker or other brokerage service,
and a freight forwarder.

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Getting Across the Border
While bringing certain products across the border
are more difficult than others, textile products fall
under the Free Trade Agreement and usually do not
pose a problem, requiring only an import
authorization. You will need to obtain an import
number of record. If you are in business already, this
is usually your tax identification number.

The government also suggests you get a surety

bond if it will be importing a large number of items,
due to the value. As a rule, you would want to have a
surety bond for anything exceeding $2,000. Consider
this a form of insurance if something unforeseen
happens.

There are more than 300 ports of entry into the

United States and there are a number of them on the
U.S./Mexican border. A port of entry is the place
where items are examined and taxes, if required, are
levied. Tariffs also may be determined by not only the
import item, but by its location. If you can pay less tax
by having an import come in elsewhere, it may be a
good idea to do so. Coming from Mexico, most goods
come through Laredo, Texas and San Diego,
California.

Once you decide which port of entry you will use,

contact a customs broker or other brokerage service at
that port. They usually charge a relatively small fee for
their services and of course, you should shop several
services as the fees will vary. Contact the appropriate
agency or consulate of the country from where you
will be receiving your imports.

There may be additional requirements beyond U.S.

regulatory law. For countries other than Mexico, find

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out if the country is in good trade standing with the
U.S.

Broker or Consultant
As previously stated, you will usually need either a
broker or a consultant to make an introduction to a
manufacturer or screenprinter in Mexico to initiate
business with them. There are few consultants who
have the resources in Mexico that can handle the job,
however, there are even fewer print brokers who are
not already on the payroll of the larger firms that do
millions of pieces a year and may be difficult to locate.

A broker is basically a management corporation

that acts as an out-source to the trade. A broker
usually works on a commission basis to assure that
everything goes well.

They may or may not work closely with the

manufacturer or screenprinter in Mexico on your
behalf, which may mean either they or an associate
will be present at the factory to assure that quality
levels, deadlines and other issues are handled
properly. They may suggest that you place your own
employee, with the skills necessary to make decisions
on your behalf with the manufacturer or
screenprinter. Some of the large retailers, such as
Gap, J. C. Penny’s and others have full time managers
who live in the city where the manufacturing or
screenprinting is being done on a full time basis.

However, since the broker is commissioned based,

they get paid a percentage of the charges you pay,
which means that they are not always overly
concerned with getting you the best deal financially.
In fact, many brokers collect a fee on both ends of the
deal. The screenprinter in Mexico pays a portion of

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the broker’s fee and you make up the remainder. This
can be both good and bad, depending on the deal the
broker works.

In one instance, the U.S.-based broker for an order

of 12-million shirts a year made double what the
Mexico-based screenprinter charged. And, they only
made the sale, not having to be present when the
printing was being done. However, when a customer
requirement is specialized, or time sensitive, price
may not be the deciding factor.

A consultant may be a better alternative, as they

usually make the introduction without a commission
on each piece and step aside, or you may employ their
services as needed. A proper screenprinting
consultant who has a number of contacts in Mexico
and knows the nuances of the manufacturing and
screenprinting industries can be a valued ally to have
on your side.

As your needs may change from what they are

currently, you will want to find to find a consultant
who has business relationships with the top textile
manufacturers, contract screenprinters, artists, dye
houses, cut and sew houses, and embroiders in
Mexico. This will prove to be helpful should you need
these services in the future. Preferably, one that can
supply you with a variety of services outside of the
initial contact, so that you can utilize their services
should some need arise.

This concludes today’s podcast. Thanks for

listening. Please feel free to contact me at my website
at BillHoodConsulting.com for more information on
how you can improve your production, increase your
revenue and improve you operation. We can help you

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to become more efficient, effective and economically
viable.

You have been listening to Screenprinters Radio.

Visit our website at ScreenprintersRadio.com online
where you can find our archive of past episodes, leave
your comments and submit your request for the
subject of a future episode. We would love to hear
from you.

We depend on your donation to keep

Screenprinters Radio online. Please consider making
a donation at the website to show your appreciation
for our service.

Thank you, I am Bill Hood. May all your

impressions be great.

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