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A ‘Green’ Deal in More Ways Than One : NAFTA: A trade boom will strengthen Mexico’s agenda for environmental protection.

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<i> Gilberto Borja is chairman of ICA, Mexico's largest construction and industrial conglomerate. </i>

Most of the major environmental organizations in the United States have endorsed the North American Free Trade Agreement. Perhaps it’s time to take a close look at why.

There is no question that Mexico faces serious environmental challenges. Industrialization and urbanization, which began in the 1950s, have taken a toll on our resources. We have seen marked increase in deforestation, air and water pollution. But we’ve also embarked on series of initiatives to protect our environment, one of the world’s richest and most diverse.

In 1988, the Mexican government passed the General Law for Ecological Balance and Environmental Protection. Similar to laws of industrialized nations like the United States, its goal is to prevent water, air and soil pollution, protect non-renewable resources and promote responsible management of all natural resources.

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The program has been a success. In 1993, Mexico will invest $2.5 billion--nearly 1% of the gross domestic product--for environmental concerns. That includes a $100-million credit fund for anti-pollution equipment for Mexican industry.

We are also cracking down on industries that do not comply with our environmental laws. Between 1985 and 1991, the government closed 100 companies and temporarily or partially shut down nearly 2,000 more for failure to comply. To further this effort, we created the Office of the Attorney General for Environmental Protection in 1992.

NAFTA will enhance these efforts at environmental protection by institutionalizing high standards. At the same time, the treaty’s environmental side agreement specifically protects the right of local, state and federal governments to set and enforce their own environmental and health standards. That means that Texas or Chihuahua, for example, can keep Mexican or American products from store shelves unless they conform to negotiated standards.

NAFTA also respects and upholds existing international environmental agreements, such as those on ozone-depleting substances, trade in endangered species and cross-border movements of hazardous wastes.

NAFTA will strengthen Mexico’s economy, which means we will have more money to protect the environment--more money for pollution detection and cleanup, as well as for protecting endangered species and habitats. It will give us access to new technologies and allow us to modernize our industries.

As Mexican companies upgrade equipment to meet stricter anti-pollution standards, NAFTA will be a boon to U.S. environmental industries. Here’s a case in point: HNU Systems Inc. is a Massachusetts-based firm that sells equipment to measure toxins in ground water and soil. Mexico is already one of the firm’s largest clients, and demand is expected to grow. In 1992, sales to Mexico were $2 million, about 10% of the company’s total sales. The company expects the passage of NAFTA will increase sales of state-of-the-art equipment and services for all firms in the environmental field.

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As a country that will do much of its developing in the 21st Century, Mexico is well positioned to harmonize industrial growth and ecological interests. NAFTA will allow us to increase our effort to bring additional resources to our citizens with minimal damage to the environment. Since the implementation of our Solidarity Program in 1989, we’ve brought electricity to 13 million homes, clean water to an additional 11 million people and sewer systems to 8.5 million more. NAFTA will help us do even more.

These are the reasons that the Environmental Defense Fund, National Audubon Society, World Wildlife Fund, National Wildlife Federation, the Nature Conservancy and the Natural Resources Defense Council support NAFTA. It will increase the green all around.

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