Oxnard Marine Hardware Thrives With Mexican Business

Whatever happens to the proposed North American Free Trade Agreement, Mexico will continue to offer abundant business opportunities for Americans, in the view of Fred Buenger, chief executive officer of Coast Chandlery, a long-established marine hardware store in Oxnard’s Channel Islands Harbor.

Buenger (the name rhymes with “Singer”) ought to know. In 1991, he opened a branch in Cabo San Lucas, a sportfishing center on the southern tip of Baja California.

The new store is doing so well that it’s about to be expanded. In addition to having more floor space for selling equipment and clothing, it’s going to offer boat servicing to the hundreds of boat owners who dock in the resort’s marina.

“In some ways, we’re already enjoying the advantages that NAFTA is supposed to offer,” Buenger said. “Mexico has established a free-trade zone in Cabo, so we get an important tax break.

“On the other hand, I believe the Mexican store has been successful because we’ve never forgotten that we’re foreigners doing business in a foreign country. That’s a policy we’ll always follow.

“For example, it there’s ever a choice between handling Mexican-made and foreign-made merchandise, we always carry the Mexican goods--provided, of course, that the items are similar.”

Despite his success in Mexico, Buenger, 60, is more excited about his Ventura County operations. The Channel Islands store, which opened in 1965, accounts for 70% of the two outlets’ annual revenues of about $2.5 million.

That’s just part of the business generated by Buenger Enterprises, a family-owned umbrella organization headed by Buenger and his son, Steve, 32.

The company is also the prime leaseholder in the county-owned Marine Emporium at the Oxnard harbor.

“We have about 20 tenants, including three yacht brokers,” Fred Buenger said. “The yacht dealers were hit hard a few years back by the 10% luxury tax, and then by the recession. Fortunately, they’re coming back now.”

Buenger also owns Sea Junk, a Channel Islands store that sells used marine equipment on consignment, and a company that markets a dehumidifier for boats and gun storage units nationwide. He’s also a partner in two Santa Barbara marine-oriented stores.