Most people who visit Nogales, Arizona, are here to cross the border to Nogales, Mexico. The favorable exchange rate makes shopping in Mexico very popular with Americans, although many of the items for sale in Mexico can be found at lower prices in Tucson. Many people now cross the border specifically to purchase prescription drugs, and pharmacies line the streets near the border crossing.
A couple of miles outside Nogales on the road to Patagonia, you'll see signs for the Arizona Vineyards Winery, 1830 Patagonia Rd. (tel. 520/287-7972), open daily from 10am to 6pm. You may not think of Arizona as wine country, but the Spanish began growing grapes and making wine when they arrived in the area several centuries ago.
Nogales, Mexico, is a typical border town filled with tiny shops selling crafts and souvenirs. Some of the better deals are on wool rugs, which cost a fraction of what a Navajo rug costs but are not nearly as well made. Pottery is another popular buy. My personal favorites are the ceramic sinks and hand-blown glass tumblers and pitchers. Dozens of restaurants serve simple Mexican food and cheap margaritas.
Many good shops and restaurants in Nogales, Mexico, are within walking distance of the border, so unless you plan to continue farther into Mexico, it's not a good idea to take your car. There are numerous pay parking lots and garages on the U.S. side of the border where your vehicle will be secure for the day. If you should take your car into Mexico, be sure to get Mexican auto insurance beforehand -- your U.S. auto insurance will not be valid. There are plenty of insurance companies set up along the road leading to the border.
Most businesses in Nogales, Mexico, accept U.S. dollars. You may bring back $800 worth of merchandise duty-free, including 1 liter of liquor (if you are 21 or older). If planned regulations go into effect in January 2008, all U.S. citizens crossing the border into Mexico will need to have a passport. However, border states have been fighting these new regulations, and implementation may be delayed. Be sure to check before entering Mexico.