Ownership in Mineral industries

Both countries Mexico and Argentina have more than 85% of ownership in mineral industry
of private domestic companies and organizations, this is because the mineral industry is one
of the most important sectors of each country and it’s the resource I which the country is
dependent and abundant in. In order to prevent exploitation of those resources by other
countries and foreign investors, the government and domestic companies have the highest
stake in the industry.

Sale distribution of Mineral Industries

Both countries exhibit same type of characteristics with very high national sales and low
indirect exports and direct exports, this is because of the fact that local demand consumes
most chunk of the materials furthermore taxes on export of this materials discourage it
hence locally selling it in order to value add the product and sell it is more preferred and
encouraged.

Regulation Vs Transport

Both countries face obstacles in transport and custom trade regulations, this is due to the
fact that the infrastructure of both the countries is not that efficient which causes
disturbances in transport furthermore corruption is also one of the causes that hinders the
custom trade regulations as people with more power enforce rules and regulation that
benefit them only.

Biggest obstacle for the Mineral Industry

Electricity and and practices of competition in the informal sector are the main problems for
Mexico’s industry and Argentina very high problem in practices of competition and political
instability. These are reasons are present due to the fact that both countries do not have
strong regulating authority and fair government that enforce the laws, furthermore Mexico
has electricity problems overall as they face load shedding as well.