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Mexico Defence and Security Report Q1 2011
Business Monitor International, Jan 2011, Pages: 100
Business Monitor International's Mexico Defence and Security Report provides industry professionals and strategists, corporate analysts, defence and security associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on Mexico's defence and security industry.
In September 2010, US Secretary of State Hilary Clinton made a comparison between Mexico’s current situation with regards to domestic drug cartels and that of Columbia twenty years ago, suggesting that Mexico’s political situation is beginning to resemble an insurgency. This statement was made to the Council on Foreign Affairs, in Washington. This opinion was swiftly rebuked by the Mexican government and President Obama also distanced himself from the claim. However, it remains an abiding theme in consideration of the current state of Mexican society, with several high-profile gang related actions in the past year. Of particular note are a spate of political assassinations, the killings of 72 illegal immigrants who were attempting to be smuggled into the United States, and the first car bomb of the war against drugs. Despite Governmental claims to the contrary, it seems that there is a growing shadow state in some parts of the country, in which sovereignty is at least partially taken by drug cartels.
For instance, in December 2009, cartels kidnapped the elderly parents of the both the town administrator and the city council secretary of Tancitaro. Shortly afterwards, the majority of the town’s council, the mayor and the entire police force of 60 had resigned. Dante Haro, a criminology professor, has suggested that this trend will damage democracy within Mexico as a whole, as intelligent and capable people are too scared to run for office, reported the Republic Mexico City Daily. Furthermore, there has been a rise in killings of more senior politicians than has previously been the case, including eleven mayors over the course of 2010. Politicians at this level are seen to be particularly vulnerable, as they often have responsibility over trying to clear out corrupt officials and police officers within their municipality. Many of those who work in the northern part of the country have started spending their nights in the United States.
Defence expenditure in 2009 was estimated at US$4.7bn, the same as 2008. This represents a very low figure of spending – roughly 0.5% of GDP. These figures are not low in comparison to the recent past, and BMI’s projections do not see these figures changing wildly within the forecast period. These figures are very low for the region, partially due to the low level of outside conflict which Mexico has been involved in the recent past. Additionally, close proximity to America has offered strong protection – in terms of both aid and political will. Membership of NAFTA has also led to deep integration, and subsequent security.
However, although the budget may grow in US dollar terms along with improved economic figures, the main challenge for the Mexican armed forces is to take advantage of budget increases by acquiring new equipment. Relatively low defence expenditure, especially in advanced military systems for land and aerospace, may also be due to the government’s desire to avoid equipping an overly powerful military that could challenge its authority. The role of American aid through the Merida Initiative in particular has led to increasingly close ties between the security services of the USA and Mexico. Recent instances of this have included a weapons tracing programme, and an increased commitment to crack down on gun smuggling from Texas and Arizona. This bond has also led to an increase in the funds available for procurement, as most of the Military budget is taken up with salaries. However, these funds look likely to be increasingly used to apply pressure to the Government of Calderon, particularly with reference to perceptions of human rights abuses carried out by state agencies, particularly the army.'
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