notitur / spring 2011
DESCRIPTION
Responsibility Toward the Environment.TRANSCRIPT
AMDETUREditorial
DEAR READERs:
As the first quarter of 2011 draws to a close, the outlook for the tourism industry shows full of challenges and commitment,
as the year was declared "The Year of Tourism in Mexico" and the National Tourism Agreement was signed.
For our industry in particular, there will be an opportunity to discuss these issues and others that affect us in greater depth at our 25th Annual Convention, which will be held at the Moon Palace Golf & Spa Resort, in June 22-24 of this year. We decided to return to our traditional convention dates because AMDETUR members find this a better season for attending.
The Quintana Roo Vacation Club Association, which is also cele-brating the 25th anniversary of its founding, has offered us its full support for holding an unprecedented event, which will include the "Sales & Marketing Vacation Club Forum of the Americas" targeted at our sales force. Participating in this event will be Jim Madrid, President and Founder of Entelechy Training & Development, and Linda Clemons, Chief Executive Officer de Sisterpreneur, Inc., an expert on body language for sales.
An interesting program is taking shape, which will also include the participation of Lyn Heward, Director of Creation for Cirque du Soleil, and Karla Wheelock, who scaled Mount Everest.
I am confident that with all of these participants we will have an excellent convention, one that will be a milestone in defining the future of our industry.
Additionally, I am pleased to announce to our members that on February 1, José Alfonso Bayón Ríos joined us as Executive President of AMDETUR. Mr. Bayón has extensive experience in the tourism industry and has held important positions in both the public and private sector, as we will discuss in more detail within this issue.
We know that the coordination efforts of the Executive President with all the members of AMDETUR will bring significant progress and strengthen our Association. Mr. Bayón will also serve as an effective liaison with the authorities and will be closely following and directing the advance of our work program.
Finally, I would like to inform you that, starting with this issue, we will be publishing the content of NOTITUR electronically in order to reach a larger number of readers interested in the issues that affect our industry. I hope you will enjoy it.
Spring 11
CORDIALLY,JUAN VELA RUIZ
CHAIRMAN
NOTITUR2
If you would like to receive the electronic version of Notitur
in Spanish or English, you can request it at:
[email protected] directly in our webpage:
www.notitur.mx
BOARD Of DIREcTORsChairman Juan Vela ruiz Grupo VelasExECutiVE PrEsidEnt José alfonso Bayón ríos amdetursECrEtary Gerardo rioseco Orihuela Fiesta americana Vacation ClubtrEasurEr Jaime márquez Vargas royal holidayGEnEral COunsEl Juan manuel Gutiérrez nava lecumberri, lópez y Gutiérrez navaCOunsElOrs José Carlos azcárraga andrade - Fiesta americana Vacation Club Carlos Berdegué - El Cid resorts ricardo montaudon Corry - rCi Kemil rizk - royal resorts marcos agostini - interval international Juan Carlos Barillas – sol meliá Vacation Club Jorge Pallas Cáceres - Promotora Cancún sunset Clubs Juan ignacio rodríguez - rCi robert louis Kistner - Grupo VilladirECtOr rosa de Jesús lugo dorantes
NOTITURPrEsidEnt Juan Vela ruizExECutiVE PrEsidEnt José alfonso Bayón ríosPuBlishEr amdEtur EditOr aurora martínez V.GraPhiC dEsiGn reacción Gráfica s.a. de C.V. tel. 52(55) 5004-4176 art dirECtOr sergio Octavio Funes navarrete [email protected] amdEturamdEtur PhOtOGraPhEr José mata Cel. (04455) 1885 8581 www.pbase.com/ppmataLOcAL AssOcIATIONsPatricia de la Peña asociación de Clubes Vacacionales de Quintana roo, a.C.alejandro lemus mateos asociación de desarrolladores y Promotores turísticos de tiempo Compartido, a.C. (Puerto Vallarta)Jesús García torres asociación sudcaliforniana de desarrolladores de tiempo Compartido, a.C.Emmanuel Omaña Camín asociación de Promotores de Clubes Vacacionales del Estado de Guerrero, a.C.Fernando de leeuw santiago asociación de Clubes Vacacionales de Cozumel, a.C. Fernando madero irizar asociación de Clubes Vacacionales de sinaloa, a.C.héctor mauricio sánchez Ochoa asociación de desarrolladores turísticos de Colima, a.C. raúl manzanares romero asociación de desarrolladores y Operadores turísticos de ixtapa y Zihuatanejo, a.C.
notitur is the official magazine of the asociación mexicana de desarrolladores turísticos, a.C. (amdetur) (mexican resort development association), published four times a year for its members and major official tourism organizations in mexico. notitur’s digital version in English is electronically distributed in several countries. all rights are reserved. this publication may not be reproduced in whole or in part without the prior written permission of the publisher: Opinions expressed in this publication are not necessarily those of the editor or amdetur and no responsi-bility is accepted for lack of precisions in editorial or advertising content.Original magazine hard copies printed in mexico. amdetur: montecito 38, Piso 32, Ofics. 11 a 14, Col. nápoles, méxico 03810 d.F. Certificado de licitud de título no. 3856, de fecha 19 de abril de 1989. Certificado de licitud de Contenido de la Comisión Calificadora de Publicaciones y revistas ilustradas no. 3172 de fecha 19 de abril de 1989. número de Certificado de reserva otorgado por el instituto nacional del derecho de autor, secretaría de Educación Pública, 04-2005-030817343600-102. nOtitur aPril – JunE 2011. e-mail: [email protected]
AMDETUR www.amdetur.org.mx
14 Legal Liability for Environmental contamination
On January 28, a decree was published in the Official Gazette of the federation to reform and expand some legislative articles, giving individuals, corporations or associations the right to go to court to enforce their environmental rights.
18 The core Portion of foreign Tourism Revenues will continue to Rise in 2011
The segments that account for almost 80 percent of tourism revenues resumed their growth in 2010, leading experts to project a 4.7 percent growth in 2011 over the preceding year.
In this Issue:
Sections:
4 AMDETUR• AMDETUR will hold its 25th Annual Convention in
Cancun-Riviera Maya, sharing the celebration with the
Quintana Roo Vacation Club Association, which is also
celebrating its 25th anniversary.
• José Alfonso Bayón Ríos, new Executive President of
AMDETUR.
6 Escuela superior de Turismo del Instituto Politécnico Nacional
The programs offered by this school were designed
to adapt both to the interests and aptitudes of the
student body, and to the demand for specialized
personnel in the industry.
10 A chat with … In charge of monitoring and implementation of the
National Tourism Agreement, Héctor de la Cruz
Ostos, Under Secretary of Innovation and Quality at
the Ministry of Tourism (SECTUR), comments on the
objectives and work plans to be carried out in pursuit
of this Agreement's goals.
AMDETUR
3
New Law on Food Assistance
for Workers
ENTERPRIsEs
A new Law on Food Assistance for Workers was published in the Official Gazette of
the Federation (known as the DOF) on January 17, 2011. The Mexican Congress passed this law as a nationwide social assistance provision that will provide tax incentives to employers who offer food assistance benefits to their workers, under the conditions established in that ordinance.
Who is eligible? All employers can voluntarily choose or
agree to provide food assistance to their work-ers in order to encourage a better diet, in keeping with characteristics established by the Ministry of Health. The benefit must be incor-porated in the workers' collective bargaining contract.
What is the goal of food Assistance?To encourage workers to consume a healthy
diet, through national campaigns aimed spe-cifically at this issue, which promote health and provide dietary guidance, including mes-sages about improving nutritional condition in order to prevent malnourishment, excess weight and obesity.
How does it work?A Food Assistance program created for
workers, to apply in one of two ways:1. Meals supplied to workers at lunch-
rooms, restaurants, or other eating establish-ments, which can be engaged directly by the employer, or administered by third parties using printed or electronic vouchers.
2. Grocery assistance, through either physical delivery of grocery products or in the form of printed or electronic vouchers; never in cash or any form other than mentioned above.
What conditions are there?Employers must maintain the appropriate
records to prove that they are effectively sup-plying food assistance to their workers.
the delivery of grocery or meal vouchers, will be tax-deductible under the terms of the Mexican Income Tax Law (ISR) and Mexican Corporate Flat Tax Law (IETU).
The income they represent to workers are also tax exempt because they are considered social benefits, under the terms and limits established in the ISR law, and are not counted within the basis for social security contribu-tions, under the terms and conditions of the social security laws.
Sanctions: Employers who fail to keep proper records will be subject to a fine of up to two thousand times the general daily minimum wage. Failure to comply with the voucher requirements will be sanctioned with a fine of between two thousand and six thousand times the general daily minimum wage. Dining or grocery establishments that encourage the violation of any of the above-mentioned rules will be subject to a fine of between six thousand and twelve thousand times the general daily minimum wage, and repeated violations will result in a fine of double that amount.
cONcLUsIONs: There is no major difference between this
new law and the categories of social benefits currently provided for by law, meaning the terms and limits already established in the ISR law on the subject of benefits continue to apply; however, an additional series of require-ments must be met in order for employers to deduct them as expenses, as indicated above.
www.impuestum.com www.impuestumcontadores.com
fOOD VOUcHER REqUIREMENTsPrinted food vouchers must meet the fol-
lowing specifications:• They must bear the legend, "this voucher can-
not be exchanged totally or partially for cash."• Theymusthaveanexpirationdate.• Theymust include thenameof the com-
pany that issued the voucher.• They must specifically state whether they
are meal or grocery vouchers.• Theymustindicatetheamounttheyrepre-
sent, in numbers and written out.• Theymustbeprintedonsafetypaper.
Electronic vouchers must meet the following specifications:• Theymustbeissuedintheformofaplas-
tic card with a magnetized band or some other technological feature that allows them to be identified at payment terminals in establishments affiliated with the card issuer's network.
• They must specifically state whether theyare meal or grocery vouchers.
• Thenameofthecompanythatissuedthecard must be printed on them.
• Theymustbeusedonlyforbuyingmealsor groceries.
• Theymustnotpermit:• Beingexchangedforcashorforcredit
certificates.• Beingexchangedorusedtobuy
alcohol or tobacco.• Beingusedforotherpurposes.• Beingusedtowithdrawtheamounton
the card.
BENEfITs AND INcENTIVEsThe Ministry of Finance and Public Credit
will launch an ongoing national campaign in which it will communicate the benefits and incentives for employers and workers.
But what is the real benefit?The expenses incurred by an employer to
provide lunchroom services to workers, and
By RUBéN HERRERO
Spring
AMDETUR
Annual AMDETUR Convention
25th
NOTITUR4
The Convention is taking shape as an event that no industry participant will want to miss. Come celebrate AMDETUR's 25th Anniversary
Convention alongside the leading figures in the tourism industry.
5
AMDETUR
Spring
This year, the silver anniversary of our annual con-vention coincides with that of the founding of the
Quintana Roo Vacation Club Association (ACLUVAQ), and this will make the event even more special, because this year, when the industry is at a very crucial point in its history, our 25th annual Convention will be held in Cancun-Riviera Maya, Quintana Roo, between June 22 and 24.
The program for the event has been designed, as it is every year, to provide new and up-to-date information to all industry participants: resort owners; sales, opera-tions and administration executives, service providers, and students in the field of tourism interested in making a career in the industry. It will also have some special attractions: For the first time, it will include a marketing forum with top-flight presenters like Jim Madrid and Linda Clemons, among others; and keynote speeches given by prestigious individuals like Lyn Heward, Director of Creation for Cirque du Soleil.
And of course there will be the much-anticipated motivational talk, this time given by Mexican mountain climber and presenter Karla Wheelock, who has scaled the peak of Mt. Everest several times. Conference participants will review the state of the industry and discuss the challenges and opportunities that exist in a market of innovation, in which new products and forms of operation and marketing are an essential part of the dynamics. Another part of the convention will be the presentation of awards for best promoter, best seller, and best closer for each tourist destination.
This exciting event will be held at the Moon Palace Golf & Spa Resort in Cancun-Riviera Maya, which has all the facilities needed to host the conference pro-gram, the AMDETUR Expo, and parallel activities like the RCI golf tournament, welcome cocktail and Grand Anniversary Party. Its rooms combine luxury with the exotic landscape of its surroundings, and there are countless options for guests while enjoying their stay in its magnificent accommodations, including its spa.
To take full advantage of the location chosen for this event, a program of complementary activities has been put together for companions, who can enjoy this emblematic Mexican tourist destination which boasts many attractions that are visited by more than 11 million tourists a year: dazzling white sand beaches, tropical rainforests, underground rivers, caverns and dramatic sinkholes called cenotes that are ideal for eco-tourism; majestic Mayan archaeological ruins; an infinite number of choices for practicing aquatic and underwater sports; shopping for international items in duty free shops, magnificent restaurants featuring international cuisine; and splendid golf courses created by boutique designers like Jack Nicklaus, Tom Weiskopf, Greg Norman, Robert Trent Jones and PB Dye.
amdEtur is pleased to extend a warm welcome to José
alfonso Bayón ríos, who is the association's new Executive
President, supporting the Board of directors, which is hea-
ded by amdEtur President Juan Vela ruiz.
in the last two years, José Bayón served as technical
secretary of the tourism committee in the mexican Chamber
of deputies. in this capacity, he prepared initiatives and pro-
posals for legislators to vote on regarding the tourist indus-
try, and has been a strong proponent of a constitutional
amendment (now being drafted) that would make tourism a
strategic and priority area of concern for the nation, among
other efforts.
Previously, he was under secretary of innovation and
Quality and under secretary of tourism Operations for the
ministry of tourism of the state of Quintana roo. he also
served as under director of regional development for the
national tourism Promotion Fund (Fonatur) in Cancun, and
Executive director of the tourism Promotion Council (CPt)
of Cancun. in the private sphere, he was Consulting director
of the mexican Caribbean Program for the travel Foundation,
a foundation for the support of sustainable tourism head-
quartered in Bristol, England; Founding Executive director
of the Business Coordinating Council for the Caribbean
(CCEC) and director of the Business Center (Coparmex) of
Quintana roo.
Bayón has a bachelors' degree in administration from la
salle university and a post-graduate diploma in marketing
from the Faculty of accounting and administration at
unam; a master's degree in management from the College
of upper-level management Graduates, Cancun; a diploma
in real-estate from la salle university, and a diploma in
upper-level management from the instituto Panamericano
de alta dirección de Empresas (iPadE).
Executive President of
AMDETUR
INDUsTRy
NOTITUR6
The graduates of the Escuela Superior de Turismo (EST) are professionals capable of planning, creating, organizing, directing, evaluating and advising public, private
or non-profit tourism organizations, as well as companies in other productive spheres related to the tourism industry. They are prepared to develop and sell competitive tourist projects and to be decision-making leaders. The school is also proud of its graduates strong values: responsibility, integrity, tolerance and professional ethics, as well as the quality of their performance and their solid commitment to society.
ABOUT OUR sTUDy PLANThe versatility and vigor of the tourism industry today require a steady flow of
changes to address the needs that arise in each phase, and our researchers' contribu-tions to the field have ensured that these changes are incorporated objectively into our study plans. Today, the EST responds to the requirements of tourism companies and fosters an increasingly close connection between academe and the professional world.
Within the structure of EST programs, curricular paths have been created to adapt first to the interests and aptitudes of the student body, and second to the demand for specialized personnel in certain areas of the labor market. For example, we have a program in Tourist Development Planning and Management, whose graduates work in areas like management, planning, transformation, and competitive and sustainable improvement in public, private and non-profit organizations in the tourism industry, and in related industries.
Our program in Hotel Administration trains professionals for work in managing and consultancy to the hospitality industry, and gives them the capacity to make the right decisions for resolving problems of competitiveness and sustainability, organization and structure. Another career option is Travel Company and Tourist Transportation Line Management, the purpose of which is to teach students about the correct manage-ment of companies that work in the travel segment, either as intermediaries or owners
the Escuela superior de turismo del instituto Politécnico nacional (higher Education tourism school at the national Polythecnic institute) was founded in 1974 in response to a need to train high-level professionals to participate in the growing tourism industry and thus support social, economic, and political development in mexico. From that point on, it has constantly been evolving to meet the needs of this fast-changing industry, and has become an active participant in it.
By MARíA DEL sOcORRO TéLLEz REyEs
Escuela superior de turismo deldel Instituto Politécnico Nacional
MARíA DEL sOcORRO TéLLEz REyEs is director
of the Escuela superior de turismo del instituto
Politécnico nacional. she earned her undergraduate
degree in tourism from this same school, with a major in
Formulation and Evaluation of integral tourism Projects.
she is currently a candidate for the master of science
degree with a specialization in tourist Planning.
some other important courses she has taken are:
top-level management and leadership, management
systems for the twenty-First Century, tourist services
Quality and Excellence, Perfecting Professional training
amid the Challenges of institutional autonomy,
sustainable tourism development, and management
Policies and instruments (Omt.CEstur, Querétaro,
2010). in addition to various research projects, she has
also taught courses such as hostelry technology and
tourist services, at the universidad iberoamericana;
tourism Planning and development at universidad
anáhuac; travel companies, tourist transportation, and
tourist company Challenges all at the Est. the last two
courses are part of the new Education model in effect
since august 2007.
INDUsTRy
7Spring 7
of transportation businesses. Students in this program are given a comprehensive education in geographic, his-toric and cultural information as well as decision-making and problem-solving for the organizational, structural and operational issues such companies face.
Finally, there is the program in Food and Beverage Company Management, the graduates of which go on to successfully manage and provide consultancy to companies in this area, and are given complete training in how to solve their organizational, management and operating problems.
ONE Of THE MOsT VALUABLE REcOGNITIONs
The entire EST community is proud to share the news of its international TedQual (Tourism Education Quality) certification, which we were honored to receive from the Themis Foundation of Andorra and the United Nations World Tourism Organization. This recognition has only been granted to some institutions of renowned interna-tional prestige, like the University of Calgary, in Canada; The George Washington University-School of Business, in Washington D.C.; the Universidad Politécnica de Valencia, in Spain; the University of Queensland, in Australia; the Università di Perugia, in Italy; Cesar Ritz Colleges, in Switzerland; the California University of Pennsylvania, in the U.S.; and the Universidad Anáhuac, in Mexico.
To receive this type of recognition, we must maintain the highest academic quality standards in many respects. For example, we must meet requirements such as: adapt-ing the content offered during the teaching process to real demand, in order to meet the industry' needs and thus generate loyalty and a positive reputation. We must maintain a uniform and consistent standard of quality in our training, by standardizing institutional processes--which in turn fosters greater confidence among users and enhances the positioning of the institution and its programs. We must ensure the credibility and recogni-tion of the academic degree our graduates earn, so that it can contribute to their earning power and professional advancement, and enrich the Institution's reputation not just with future employers, but with future students as well. We must encourage the progressive and standard-ized achievement of various degrees and accreditations in the tourism field, eliminating uncertainty or discredit to the educational level of our graduates, and promoting their involvement in the academic and professional world.
But the most important thing about this distinction is not the fact of having earned it, but rather the commit-ment and responsibility involved in reaching this level, and the effort it inspires in us to continue reviewing and improving our processes.
PARTIcIPATION IN THE TOURIsM PROfEssION
We are also proud to be one, if not the best, of the leading suppliers of human capital to public, private
and non-profit tourism organizations. In the 36 years since its founding, our institution has trained around 15,000 professionals in fields relating to the tourism industry and today we can find our graduates occupy-ing managerial and top-level executive positions in prestigious firms.
Additionally, we have a number of programs that link current methodology with companies, like our Training for the Mexico City Ministry of Tourism program, which pro-vides courses given by tourism professionals that match the needs of service providers, in their own facilities. These pro-grams include a large number of graduates with extensive and proven experience in the tourism and business world.
In the 11th Annual meeting of Entrepreneurs and Businessmen 2010, coordinated by the Instituto Politécnico Nacional through its Polytechnical Unit for Business Development and Competitiveness, 37 entre-preneurial projects were presented by all the Institute's higher-level academic units, 11 of them from the EST, one of which earned the second place in the Commerce and Services category. This reveals our school's position as a generator of small and mid-sized companies in the medi-um term, which will translate into social, economic and financial development of certain sectors of our society.
TOWARD THE fUTUREOur institutional vision is summed up in this mission: "To
consolidate our leadership at the higher educational and postgraduate level by offering high-quality studies pertinent to the tourism industry, sustained by a flexible educational model that teaches students how to learn, to know how to be, to learn how to be, and to know how to live." Under this premise, we assume the commitment of remaining at the forefront of coming advances. Commitment to acquiring the experience, versatility and dynamism needed to face the challenges involved in professional development.
In addition to TedQual certification, I am also pleased to mention that EST has been accredited by the Council for Tourist Education Accreditation in Mexico (CONAET). We have 16 processes that are certified under ISO9001:2008 standards, and our master's degree program in Tourism Management and Innovation has been listed in the National Program of Quality Postgraduate Education of the National Council for Science and Technology since 2010.
Another source of pride is our Sabre globalization system training lab for students and external personnel like travel agents, which helps us to prepare students for the working world in a realistic environment, and to update the knowl-edge of personnel who already know the system.
Finally, I would like to announce that our institu-tion has installed a software called Arpón, which was developed by Mexicans and allows users to interact with hotel chain and independent hotel reservation systems, providing a technological and scientific independence that opens up a horizon full of opportunities we must not fail to seize.
Escuela superior de turismo deldel Instituto Politécnico Nacional
NOTITUR8
INDUsTRy
Law Modi fications State Tax
In Mexico, state congresses have the legisla-tive freedom to establish and modify laws to
strengthen their revenue and taxation powers for the purpose of obtaining the fund neces-sary to finance state operations. This freedom, along with a strengthening of the National Fiscal Coordination System, has led to sig-nificant changes in the respective tax laws of the states, and generated a wide range of tax rules that vary according to the specific needs of each administration. In this article, we will present the changes relating to or which may have an impact on the internal operation of companies in our industry, in states where they may have a tourist real-estate devel-opment, which are covered by AMDETUR through its local associations.
cOLIMATax on Provision of Lodging services
Parties who file tax returns under the small taxpayer regime are permitted to pay this tax by means of a fixed fee based on taxable rev-enues estimated by the Revenue Department of the state Ministry of Finance. The tax is payable every two months, in the same terms as are authorized for paying estimated income tax.
Tax incentivesIn fiscal year 2011, payroll tax incentives
may be extended to companies or establish-ments that begin operations in the state which generate direct jobs there, and that for setting up a new establishment, branch or expansion result in an increase in the company's work force. The law establishes that the expansion
By PABLO NOREñA PAz
incentive is applied to the tax obligation stem-ming from the new jobs that are created.
MExIcO cITyTax on Provision of Lodging services
The rate for calculating the tax on the provision of lodging services is reduced to 2.5 percent.
Obligation to report on compliance with tax obligations
The property value starting from which the owner must report on its local tax obligations for 2011 was raised to Ps34,193,219.00
The authorities confirmed the reporting obligation for taxpayers who have consumed more than 1,000 cubic meters of water every two months on average during the calendar year prior to the year of the report, as well as those who in the previous calendar year have used water from sources other than the Mexico City supply network and have dis-charged waste into the sewage network.
sewage Network Waste Discharge fee A modification was made to the tables for
calculating network waste discharge fees for metered user, regarding the minimum rate and additional rate per cubic meter.
Property TaxA modification was made to the table
for calculating property tax, regarding the fixed rate and percentage to be applied for amounts above the upper limit; addition-ally, property values were increased for some assessment zones.
GUERREROTax on compensation for Personal Labor
Tax incentives were introduced for new or expanded companies that generate taxpaying jobs in the following terms: 10 to 15 jobs, 25%; 16 to 75 jobs, 35%; 76 to 100 jobs, 45%; 101 to 125 jobs, 55%; 126 to 250 jobs, 65%; and 250 jobs and higher, 80%.
An additional stimulus of 5 percent is offered to new or expanded companies whose work force is made up of at least 40 percent women, or 5 percent people with disabilities; and an additional 10 percent for companies whose work force consists of up to 10 percent older adults.
JALIscOPayroll Tax
The payroll tax may be reduced by up to 100 percent for companies that generate direct jobs in the state as a result of new invest-ments, which are individuals or corporations who, regardless of their date of incorporation, initially register as an employer and/or hire their first employees in fiscal year 2011, or were incorporated in another state of Mexico and move their tax domicile in 2011 to the State, or install one or more branches in the State. This benefit can be extended to a second year, in which it declines to 50%, if the com-pany requests so to the Ministry of Finance.
OAxAcATax on Provision of Lodging services
Establishes a 3 percent tax on the value of lodging services. Recognizes lodging service pro-viders as jointly responsible for paying the tax.
Spring 99
Law Modi fications for 2011
9
PABLO NOREñA PAz is Partner for social
security and Compensation Practice at KPmG
in mexico. he has more than 10 years of
experience in consulting to major national
and international organizations in the area
of social security and compensation-related
taxes. he has led audits for social security,
infonavit (mexican federal institute for
worker’s housing), and local taxes, and provi-
ded consultancy in outsourcing services to
companies in a variety of industries.
noreña has an undergraduate degree in Public
accountancy, is a graduate of the national
autonomous university of mexico (unam)
and currently a law degree candidate at that
university. he teaches on the unam Faculty
of accounting and administration, and at the
instituto tecnológico de Estudios superiores
de monterrey.
Payroll TaxEstablishes that both the employer and a
labor intermediary who hires a worker are jointly responsible for the payroll tax, regard-less of the denomination the employer or intermediary assume.
Additionally, when an individual or corpo-ration signs a contract, regardless of its form or denomination, that obliges workers to exe-cute agreed-upon services or labors under the direction of a beneficiary at the location that the beneficiary determines, the beneficiary of the work or services shall assume the payroll tax obligation with respect to those workers, in the event the first individual or corporation fails to perform that obligation.
Tax on Vehicle Ownership or UseThe tax on new motorcycles or vehicles
used to transport up to 10 passengers shall be calculated based on the number of cylinders. The tax on new vehicles used to transport more than 10 passengers or freight, and on sailboats, motorized jet-skis, water-bikes and motorized surfboards, is determined accord-ing to the rates fixed for each type of vehicles. Aircraft, propellers, turboprops, jet engines, and helicopters whose model year is more than 10 years prior to the current fiscal year, will be determined according to the fee that corresponds to each type of vehicle.
qUINTANA ROOLodging Tax
This state charges a tax on lodging ser-vices provided by hotels, motels, hostels, inns, bed and breakfasts, camps, trailer parks,
timeshares, and other establishments offering temporary lodging.
sINALOATax on Vehicle Ownership or Use
The following vehicles are exempt from this tax: electric vehicles used for public trans-port, temporarily imported vehicles, vehicles owned by federal, state, municipal or Mexico City government used for the provision of public services, marine transport vehicles, and aircraft with a capacity of more than 20 passengers used for air transport of the general public.
sONORATax on Expenditure for Personal Labor
The state executive branch is autho-rized to grant a reduction of up to 100 percent on this tax payment during the first twelve months of operations, exclu-sively as relates to permanent jobs gener-ated, not including companies created out of a spinoff or merger of other cor-porations, a change of name or corporate name, of domicile, of activity or a transfer of ownership, or companies that resume activities, unless they have been idle for more than 3 years.
Similarly, companies that directly generate new permanent jobs in the state in fiscal year 2011 are granted a 100 tax exemption on those jobs, as are taxpayers who hire workers of 40 years or older, at a wage not to exceed 4.5 times the general minimum wage in effect in that area, for a period of 60 months from the time those workers are hired.
Extract taken from an analysis by KPMG's Department of Social Security and Compensation, in which the primary tax modifi-cations in each state of Mexico are compiled. For more infor-mation, see “Contribuciones Estatales: Reformas, Estímulos y Beneficios para 2011”, at: http://bit.ly/igKC8C.
INDUsTRy
NOTITUR10
A cHAT WITH…
Héctor de la Cruz Ostos
under secretary of innovation and Quality
sECtur
The major initiatives recently launched could not be more promising for the
nation's tourist industry: The President of Mexico declared 2011 "The Year of Tourism in Mexico," and on the last day of February he led the signing of the National Tourism Agreement, a ceremony in which he was accompanied by the General Secretary of the U.N. World Tourism Organization (WTO) and President of the World Travel and Tourism Council (WTCC) as witnesses of honor.
Some industry leaders, however, venture a note of caution about the real possibilities this Agreement has to trigger the change the industry needs. Among their arguments are a reasonable doubt as to whether the federal government, in the time remaining in this administration, can implement the policies necessary to align various ministries of state and executive agencies around this purpose in a coordinated manner.
Although the project is for now being spearheaded by the executive branch, the pri-vate sector must take a much more proactive stance to avoid allowing the agreement to be bogged down in "political time." For now, it is commendable that the Minister of Tourism, Gloria Guevara, has decided to serve as a cat-alyst for elements from private enterprise and members of the Tourism Committee of the lower house of Congress, which has already drafted a bill to amend the constitution and include tourism as a priority activity for the nation's development, while both the lower and upper houses are weighing reforms that will make Mexico more competitive in the sphere of international tourism. Ultimately, it is this competitiveness which will mean stronger economic flows, in turn translating
into jobs and higher standards of living for Mexicans, that is most important, and not whether Mexico attains a certain rank within the world's tourist-receiving countries.
In this issue, Notitur welcomes Héctor de la Cruz, Under Secretary of Innovation and Quality for the Ministry of Tourism (SECTUR), who Minister Guevara recently assigned the crucial mission of coordinating a work group to follow up on this Agreement, making him responsible for achieving the ambitious goals it contains.
What duties does your office per-form?
The Under Secretary of Innovation and Quality is in charge of administering resourc-es within the Ministry of Tourism. Whether financial resources --which come from federal budget line 21, and from here go out to all the state governments-- human or material resources, or the resources of the Ministry itself.
Another of our duties is sector coordina-tion. We work to bring together the various sectors involved in specific projects, which in our case refers to our relation with the National Tourism Promotion Fund (FONATUR) and the Council for Tourism Promotion (CPTM), and other agencies with which I am proud to have built up a relationship over time, among them the Ministry of Finance and Public Credit, the Ministry of the Interior, and the National Migration Institute, which helps us to expedite all the processes in which tourism intersects with other public agencies.
What are your biggest challenges?Of course, keeping up the excellent level of
communication we have with FONATUR and
CPTM, to guide the policies and objectives set out by this Ministry. Also, maintaining clear communications within our Ministry to make sure we follow the work dynamic Minister Guevara decides, and orient our efforts in that direction.
Like any administrator, another major chal-lenge is getting the most out of the budget assigned to us. Line 21 funding increased, but the operating expense line was cut sub-stantially, which makes internal administration doubly important.
Aside from my administrative duties, I have the challenge and the honor to head follow-up on the regulations that will apply to the new General Tourism Law, which will be passed shortly, where we will identify the tasks that are not performed in a structured way by spe-cific authorities. This will undoubtedly lead to a reshuffling of activities from the way we have worked in the past. These new tasks include a tourist atlas, a territorial ordinance for tourism, and the verification and national registry of tourism service providers.
What can you tell us about your new responsibilities regarding the National Tourism Agreement?
This is one of my most stimulating chal-lenges, and I am very pleased that Minister Guevara had the confidence to put me in charge of following up on the implementation of this Agreement.
Since before my time at SECTUR the Agreement was already being mentioned by tourism industry representatives; legislators, tourism ministers and private enterprise had all backed the call for a common agenda to achieve tangible objectives in tourism. When
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A cHAT WITH…
I took over as Under Secretary, I could tell that com-munication between Minister Guevara and other experts in the field was the base on which the National Tourism Agreement was built. In fact, the various participants already had many aspects identified, and this enabled us to get to work immediately on proposed actions and requests for support from various official agencies. This was tremendously useful in establishing the 101 points the agreement contains, and defining aspects such as who would be directly responsible for each of them.
To follow up on the Agreement's implementation, we have designed a fact sheet containing the specific goal to be reached on each of these 101 points, and breaking down the targets that will help us quantify its progress. We have also established a Follow-Up Steering Committee headed by SECTUR, which I represent, and involving three tourism business organizations, four state tourism ministries --representing the four geographic regions in which they are grouped-- the chairmen of the Tourism Committees of the lower and upper houses of Congress, the chairman of the National Legislators' Council for Tourism (CONLETUR), a representative of academe, and a representative from the labor sector.
In this committee, each member has designated an operating liaison responsible for putting its decisions into action. In other words, at the top management level we will be following up on the progress toward each of the 101 points, and through the specific work of the operat-ing groups, we will get into the details of each action. Furthermore, each head of a technical work group or oper-ating liaison will not only be pursuing the commitments of that point, but will serve as a sort of "traffic cop" for aspects in which other points intersect, in order to support other agencies involved as they perform their own duties.
To report on the progress of the Agreement we will also have a very dynamic attitude. The committee can meet in full, or just some of its members, accompanied by members of other ministries or agencies according to the actions they are involved in, and the most important points on the agenda. The same solidarity we are show-ing in the pursuit of this Agreement should be reflected at the time we share our progress.
How do you think we can guarantee that an effort like this continues in the future?
Clearly its ability to last will depend on what we achieve. If we can keep up a brisk pace of advance and make a lot of progress, the interest of all the participants in ensuring it is continued will preserve its momentum for many years.
Tourism is a highly dynamic industry, so we need to make sure the mechanism that this Agreement assumes is flexible enough to adjust to its changing needs, and take actions according to the priority they acquire over time. On this point, I want to stress that the 101 actions that make up the Agreement are not ranked in order of importance. They are all equally important and we
héctor Esteban de la Cruz Ostos has a law degree from the
universidad nacional autónoma de méxico and a master's
degree in Public Policy and administration from Columbia
university in new york. he has also garnered awards for
his academic performance at both institutions.
in his professional career, he has served as director
of legislative studies and advisor to the ministry of
Communications and transportation; advisor to the senior
Officer of the ministry of the interior; head of the inter-
institutional liaison unit for the senior Officer of the
ministry of agriculture, livestock, rural development,
Fishing and Food; and Executive director of Company
administration and Bankruptcy for the Property
administration and transfer service.
at the ministry of Finance and Public Credit he was
the under director of legal Credit Procedures, General
director of human resources, General director of Financial
resources, and General director of the state-level
Coordination unit.
The start of a new phase for Mexico's tourism industry, attended
by leading figures from Mexican and global tourism organizations.
will go ahead on all of them in keeping with the indus-try's needs. The most important thing is that today, all the players in the tourist industry have our incentives aligned, and we have signed a document that begins a new phase of consolidation and growth for our industry.
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NOTITUR14
for environmental contamination
legal liability
Liability for environmental damage is a delicate matter given its complexity, and
the broad debate that has arisen around legitimizing groups or communities in order to exercise the right to a healthy environment, which is consigned in article 4 of the Mexican constitution.
On this matter, on January 28, 2011, a decree was published in the Official Gazette of the Federation to reform and expand article 180 of the General Law on Ecological Balance and Environmental Protection (LGEEPA), as well as section 1 of Article 8 of the Federal Law on Administrative Dispute Procedures (LFPCA), which give individu-als, corporations or associations in affected communities the right to proceed against administrative acts, as well as against proj-ects or activities that violate environmental legislation and which create or may result in environmental damage. Under this new legislation, communities that occupy areas where works or activities are under way that affect or may affect the environment are permitted to enforce their fundamental rights through an appeal filed with the com-
petent administrative authorities, or file an administrative dispute with the Federal Court of Fiscal and Administrative Justice.
This reform concretely recognized col-lective interests, also known as "diffuse interests" that give individuals the legal right to exercise and enforce their fundamental rights, which means that starting with this reform, individuals or communities will be observing the development of projects or activities that might damage the environ-ment, knowing that they have the right to initiate legal action against those respon-sible.
I. Environmental damage.It is widely known that the ultimate
purpose of imposing liability is to repair the damage to the legal property affected, but in the case of environmental damage, there are a number of complexities that cannot be resolved by civil law, because the damage is collective, accumulative, and in many cases irreversible, as well as difficult to determine.
There are several environmental laws, like the Mexico City Environmental Law,
that define environmental damage as "any inferred significant loss, depletion, detriment or damage to the environment or to one or more of its components." The General Law on Ecological Balance and Environmental Protection does not expressly define envi-ronmental damage, using the term "envi-ronmental imbalance" instead. Even so, the Law regulates liability for environmental damage in its article 203, which states that "With due regard to any appropriate criminal or administrative sanctions, any party that con-taminates or depletes the environment or affects natural resources or biodiversity, will be held responsible and obliged to pay compensation for the damages caused, in accordance with the applicable civil legislation. The term to sue for environmental responsibility will be five years from the time the corresponding act, event or omission takes place."
Although federal legislation regulates liability for damage to the environment and refers us to civil legislation for the purposes of compensation for damages, it is impor-tant to bear in mind that compensation for damages in environmental matters --in con-
By ALBERTO sILVA
in mexico, as in other countries, liability for environmental damage has become a highly important issue for various eco-
nomic and industrial sectors, as well as for tourist real-estate, whose activities have the potential to cause significant
environmental impact, and where the reparation of damages may involve not only an economic cost for the party respon-
sible, but civil, administrative or even criminal liability.
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sUsTAINABILITy
1515
trast to civil damages -- is not merely a ques-tion of economic reparations or indemnifica-tion, but entails the obligation to restore the affected property to its condition before the damage was caused. Repairing environmen-tal damage is a complicated task, however, because it is difficult to calculate the degree of reparation or restitution necessary, and our legislation does not establish specific rules on how to determine the manner in which the reparation should be conducted, or what type of reparation would be correct.
Because it is impossible to repair or restore the environment to its original condi-tion, indemnification is the only solution, though this entails the additional challenge of quantifying the appropriate amount of damages and the need to define who should receive it, since as we mentioned earlier, the
consist of a prison term of between one and nine years and fines of between 300 and 3,000 times the daily minimum wage for those who, among other acts: i) contami-nate the water or soil; ii) remove or destroy natural vegetation, or carry out forestry work or change the use of land without authoriza-tion; iii) destroy, dry or refill wetlands, man-grove forests, lagoons, estuaries or swamps, or damage reefs.
Accordingly, all parties who carry out works or activities in violation of the provi-sions of environmental laws and regulations, and as a result cause damage to the environ-ment, shall be held responsible for restoring or compensating for the damage to the environment, with due regard to all other administrative, criminal or civil sanctions that may apply.
environment belongs to society and not any one individual. For this reason, and given the complexity of repairing damage to the environment, our legislation abides by the international principle of "the polluter pays principle," and it is precisely this principle that serves as the basis or support for admin-istrative sanctions to be used to demand reparation of damage, taking into account various aspects such as the extent of the damage, the economic capacity of the party responsible, repeat offenses, the intention or negligence involved in the action or omis-sion that caused the damage, and the direct benefit obtained by the responsible party as a result of the damage caused.
In addition to the above, the competent authorities will apply the sanctions provided for in the Federal Criminal Code, which
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II. Types of legal liability.In the Mexican legal system, liability for damage to the environment is treated, in prin-
ciple, as civil, administrative or criminal liability.
a. Civil liabilityTraditionally, civil law operates on the principle of the reparation of damages, and there-
fore it continues to apply in cases of damage to the environment. Civil liability has two sources: subjective liability (the willful commission of an illegal act) and strict liability (in contrast to subjective liability, it does not require the existence of blame or illegal acts, simply the use of hazardous mechanisms, instruments or substances that cause damage themselves).
The Federal Civil Code, article 1910, defines subjective liability as follows: "any party that acts unlawfully or against good custom, and who causes harm to another has a duty to repair the harm, unless it is proven that the harm was produced as a result of the fault or inexcusable negligence of the victim." This precept contains elements that make it very difficult to apply in cases of envi-ronmental damage. First, because it refers to the existence of causal link or relationship, which is difficult to determine given the very nature of illegal acts against the environment. Second, because the obligation of the liable party to repair the damage is clouded by a lack of criteria for economically assessing the damage. Third, because the liable party may be released from responsibility if it can prove the damage occurred as a result of the fault or inexcusable negli-gence of the victim.
This is why liability for environmental damage is treated as strict liability, for which it is not necessary to prove the existence of an illegal act or a loss of property, nor the existence of a causal link or relationship between the act and the loss of property.
Strict liability is defined in article 1913 of the Federal Civil Code, as follows: "When a person makes use of mechanisms, instruments devices or substances that are in themselves dangerous, due to the speed at which they move, by their explosive or inflammable nature, due to the electrical current they carry or for other similar reasons, he or she must assume responsibility for the damage it causes, even if no fault exists on their part, unless it is proven that the damage was caused due to the fault or inexcusable negligence of the victim." This system can be imposed in case of environmental damage regardless of the fault or negligence of the person causing the damage, whether was legal or illegal; this would be the case of a tourism real-estate development, which could generate damage to the environment in the generation or use of hazardous wastes or materials in its operations.
b. Administrative liabilityAdministrative law --which has considerable influence in environmental law-- has a preventive
approach, in contrast to civil law, which focuses on repairing the damage, meaning a corrective approach. Thus, the effectiveness of administrative law is based on the creation of a system of sanctions for cases of violation of the applicable environmental legislation. This way, the com-petent environmental authorities can make use of control and security measures and sanctions established in the General Law on Ecological Balance and Environmental Protection. Some of these measures are: i) inspection and oversight of compliance with provisions contained in fed-eral environmental laws; ii) imposition of security measures like the temporary, partial or total closure of sources of contamination and the precautionary seizure of property or neutralization of hazardous substances; and iii) the application of administrative sanctions ranging from 20 to 20,000 times the general daily minimum wage in effect in Mexico City.
For tourism real-estate developments, the most common administrative sanctions would be fines or the shutdown or demolition of works for violation of environmental legislation. According to information by the Federal Environmental Protection Agency, in 2009, 314 fines were imposed for a total of 26.9 million pesos. In the state of Quintana Roo alone, four tourist developments were definitively shut down in forest lands on the coastal zone of the Municipality of Tulum, due to a change in the use of land for tourist project development.
c. Criminal liabilityCriminal liability arises from the commission of criminal acts that violate legal provisions and
harm the environment. It results in the application of criminal sanctions established in the Federal Criminal Code. In the case of environmental crimes, the sanctions would be fines and arrest, with
prison terms of up to nine years. These sanc-tions would be applicable to both corporations and individuals (in the case of arrest) and the company's legal representatives or directors would be responsible for the actions taken by the corporations they represent.
III. final considerationsAs this article explains, lliability for environ-
mental contamination is a complex issue, and extensively regulated in various legal spheres--civil, criminal and administrative. With recent amendments to the LGEEPA and LFPCA, devel-opers and operators of real estate develop-ments are exposed to larger complaints and administrative procedures if they do not fully comply with the applicable environmental legislation.
alberto silva has a master's degree in
international Environmental law (llm) from
the university of nottingham, England. he
is an active member of various committees,
like the Environmental law Committee of
the asociación nacional de abogados de
Empresa, Colegio de abogados, a.C. (anadE),
and the Environmental law Committee
of the international association of young
lawyers, which has awarded him with the
Past President's award for his work entitled
"Can asbestos kill careers? director's liability
for Environment and safety." he has given
conferences in various forums on environ-
mental issues and authored various articles
on environmental topics.
he is head of the environmental department
of Goodrich, riquelme and associates. his
professional practice is focused on consul-
tancy to and representation of mexican and
foreign firms in various environmental mat-
ters relating to infrastructure, real estate,
mining, finance and industry.
Email: [email protected]
AMDETUR
NOTITUR18 NOTITUR18
fOREIGN TOURIsM REVENUEs
OF FOrEiGn tOurism rEVEnuEs will COntinuE tO risE in 2011
The core Portion
Tourism defines what a country is in terms of its natural beauty, human warmth, sustainability, and many more aspects, but its most important quality is its potential
to generate economic wealth for a nation, through investment, jobs creation, and the flow of income to other sectors of the economy, some of which depend heavily upon its activities.
For Mexico, tourism accounts for 9 percent of GDP, employs more than 2.5 million people, and even though most of it comes from domestic travelers, foreign visitors also contribute a substantial amount in foreign currency. In fact, foreign travelers in Mexico spend more than Mexicans traveling abroad, as was evident in the net tourism balance in 2011, which was US$4.59 billion.
By MARíA DE LOURDEs ROcHA
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fOREIGN TOURIsM REVENUEs
In 2010, Mexico welcomed 22.4 million tourists, 4.4 percent more than in 2009. This was lower than the average worldwide growth rate of 6.7 percent, meaning Mexico gradu-ally continued to lose market share in global tourism. In 2010 it accounted for only 2.40 percent of the total number of tourists in the world, down from 2.45 percent in 2009.
Foreign currency revenues from foreign visitors in 2010 totaled US$11.87 billion dollars, an annual increase of 5.3 percent. Of this, 83 percent came from tourists (non Mexican residents that visit and stay at least one night) and the remaining 17 percent from day tourists that cross the border for a single day and/or tourists arriving on cruise
Spring
fIGURE 1
cORE sEGMENTs IN TOURIsT REVENUE GROWTH IN MExIcO IN THE NEW MILLENNIUM
NON BORDER TOURIsTs By AIR (THOUsANDs)
12,000
11,000
10,000
9,000
8,000
7,000
6,0001997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
13% of international visitors (48% of total tourists) in 2010
cRUIsE VIsITORs (THOUsANDs)
7,000
6,000
5,000
4,000
3,000
2,000
1,0001997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
8% of total international visitors in 2010
AVERAGE sPENDING By NON BORDER TOURIsTs By AIR Us$ / PERsON
AVERAGE sPENDING By cRUIsE VIsITORsUs$ / PERsON
850
800
750
700
650
600
550
85
80
75
70
65
60
55
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
74% of total revenues (89% of total tourism revenues) in 2010
5% of total revenues in 2010
Source: Banamex, with data from Banco de México
lines. Here we should note that almost all the segments of border visitors showed a decline, which is one reason the industry has not yet returned to its level of revenues before the worldwide economic crisis and stagnation caused by the 2009 AH1N1 flu outbreak. Similarly, total tourism revenues in nominal dollar terms in 2010 were 10.7 percent lower than in 2008.
THE cORE PORTION Of REVENUE sEGMENTs REcOVERED IN 2010
The segments that account for almost 80 percent of tourism revenues resumed their growth in 2010. Revenues from tourists that arrive by air (74.2 percent of total revenues)
and on cruises (4.6 percent of the total) were the only sources of revenues that grew during the year, rising 9.7 and 20.3 percent, respec-tively; in addition to being among the few segments to show growth in the first decade of the new millennium.
The growth in revenues from tourists arriv-ing in Mexico by air was due mainly to a rise in the number of travelers (11.2 percent annu-ally), because their average spending --the highest of all the types of visitors that come to Mexico-- declined by 1.5 percent in annual terms. In the case of cruise visitors, revenue growth was driven both by an increase in the number of visitors and a growth in average spending (Figure 1).
NOTITUR20
fOREIGN TOURIsM REVENUEs
DEcLINING TREND IN sAME-DAy BORDER VIsITORs Meanwhile, the proportion of border visitors within international tourism revenues declined
at its sharpest rate in ten years with a 12.1 percent participation after the 14.2 percent it denoted in 2009. The decline in the number of these visitors brought the total to 51 million in 2010, from 59 million in 2009; and even though their average spending rose 3.2 percent, the rev-enues in this segment also declined for the fifth year in a row (Figure 2).
There are a number of factors that came together in the reduction of 8 million visitors in a single year. In addition to those that have traditionally affected border crossings in the past, like time and security problems, there were additional administrative measures and documents required especially for traffic between the two countries, which have further reduced the ease of traveling between the two countries.
AMONG BORDER VIsITORs, IT MAy BE POssIBLE TO INcREAsE THE NUMBER ARRIVING By cAR
A great deal of investment and changes are necessary along the border in order to return to the copious flow of visitors that came and went between the United States and Mexico in the past, and this will not be feasible for some time yet. But if we consider the possibility of boosting the number of visitors that stay overnight on the Mexican side, primarily those who arrive by car (more than 8 million people) --a number that has been rising since 2007, although average spending has been declining (Figure 3)-- the results could improve tourism revenues for Mexico, returning them to their level of 2008.
VIsITORs (THOUsANDs)
BORDER TOURIsTs ARRIVING By cAR (THOUsANDs)
85,000
80,000
75,000
70,000
65,000
60,000
55,000
50,000
9,500
9,000
8,500
8,000
7,500
7,000
6,500
6,000
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
64% of total international visitors in 2010
10% of total international visitors (37% of total tourists) in 2010
AVERAGE sPENDING Us$ / PERsON
AVERAGE sPENDING By BORDER TOURIsTs ARRIVING By cARUs$ / PERsON
32
30
28
26
24
22
20
18
80
75
70
65
60
55
50
45
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
12% of total revenues in 2010
4% of total revenues (5% of total tourist revenues) in 2010
fIGURE 2
BORDER ExcURsIONs
fIGURE 3
BORDER TOURIsTs ARRIVING By cAR
Source: Banamex, with data from Banco de México
21Spring
fOREIGN TOURIsM REVENUEs
lucía maría de lourdes rocha Juárez is a management Consultant in the department of Economic studies at Grupo
Financiero Banamex-Citigroup. she is currently responsible for sectorial research in Economic studies, with a specialization
in the tourism, oil and automobile industries, among others, supporting the department in its macroeconomic study and
forecasts, as well as decision-making in other areas of the Bank.
rocha Juárez has an undergraduate degree in Economics and is currently a candidate for her master's degree in Economics
from unam (national autonomus university of mexico). she began her professional career as an assistant researcher in the
doctoral department of the unam Faculty of Economics. she later served as economist in various public and private sector
firms, including Fertimex, hules mexicanos and Grupo industrial Peñoles. she also has taught at the universidad tecnológica
del Estado méxico and has been professors' assistant in the Faculty of Economics.
Contact: [email protected]
5,000
4,000
3,000
2,000
1,000
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011ee: estimated figure
TOURIsT ExPENDITURE GREW By LEss THAN TOURIsT REVENUEsIn 2010, spending by Mexicans traveling abroad (Ps7.28 billion) grew 2.1 percent in annual
terms --less than half of the growth of revenues-- and was generated mainly by tourists, whose spending in other countries grew 5.7 percent in the year; same-day border tourists spent 8.1 percent less last year.
The growth in spending by tourists outside of Mexico was driven both by a rise in the number of travelers and their average spending; the decline in spending by same-day tourists was due primarily to a decline in the number of travelers.
WE EsTIMATE THAT TOURIsM REVENUEs WILL GROW 4.7 PERcENT IN 2011
Based on the trend in groups of tourists that account for four-fifths of spending by interna-tional visitors to Mexico, total tourist revenues will total Ps12.43 billion, a 4.7 percent increase over 2010. In effect, we believe core tourism is concentrated in these two segments, although we anticipate changes in its composition. The Mexican peso's slight appreciation against the dollar in 2011 (projected at Ps11.80 pesos per dollar at year-end) will cause revenue growth to be driven mainly by a rise in average spending instead of an increase in the number of tourists.
THE TOURIsM BALANcE sURPLUs WILL INcREAsE IN 2010Because we estimate tourist expenditure of 7.54 billion in 2011, a 3.5 percent year-to-year
growth, the tourism balance surplus will remain positive, totaling Ps4.89 billion, 6.7 percent higher than the 2010 surplus, and above the 2008 level (Figure 4).
Us$ MILLION
fIGURE 4
TOURIsT sURPLUs
sTATIsTIcs
NOTITUR22
It is safe to say that 2010 was a year of recovery and stabilization for this
country. But 2011 promises to be an even better one, with opening
opportunities for the start of a new age of real estate expansion, both urban
and tourist, particularly toward the end of the year.
In principle, we should consider current market circum-stances and bear in mind that the growth of residential housing properties in both urban and vacation settings will be rather unspectacular compared to years like 2006 and 2007, because participants like investors looking to buy pre-sale properties in order to turn them around for a profit in the short and medium term, or to rent them to tourists or local families, have pulled out of the market. And there are clients that have the capacity to acquire a second home for leisure or weekends, but remain skeptical or conservative, and continue to postpone their decision to buy.
The time is gone when buyers would purchase "any" property just because it had a sea view or beachfront, even if it did not meet the basic needs of their families. Other factors that hurt industry variables are that a buyer cannot re-sell the property within five years without pay-ing taxes, and the fact that properties can no longer be purchased in cash.
The following are some of the trends we see in com-ing years, and which apply to both homes in cities in the interior of Mexico, and in beach resorts:• Thepre-sale phenomenonhas almost disappeared.
Clients want to see the property finished, and not risk making a down payment on something that may not end up being built.
• Totalpriceor"pointprice"levelshavefallenby25to50 percent, with the resulting reduction in construction areas.
• Foreigners (particularly Americans and Canadians)are buying substantially fewer properties in Mexico, but they are expected to return in the long term, because by location and price, Mexico is their most attractive and viable option.
• Exteriorfinisheswillnolongerbejustmarblefloors,granite kitchens, or tempered-glass bathrooms; now homebuyers are looking for more accessible materi-als whose color, design, maintenance or use make them useful to consumers.
• Somethingsimilarishappeningwithamenities.Althoughthere are certain minimum standards that will not change --for example, in every beach resort, developments are expected to have a pool-- there are an increasing number of studies being conducted to define what amenities are most appreciated, and meet the expectations of possible buyers, according to their lifestyle.
• Apartment style projects continue to gain groundover the single-family home, as seen in some cities like Monterrey, Guadalajara and Querétaro, where apartments are outpacing home construction, albeit from a much lower inventory base.
20, the Begining of a new Era in Real Estate
By OMAR cHáRRAGA
sTATIsTIcs
Spring 23
• Intouristresorts,andeveninthethreemajorcities,there will be a further convergence between the hotel and real-estate industries, especially in projects like condo-hotels and fractionals.
• Bridge loans and portfolio securitization strategieswill intensify, particularly toward year-end.Based on these trends, we have prepared summaries
of the characteristics and expected performance in 2011 of the leading cities and tourist destinations in Mexico, in finished new homes (houses and apartments) worth more than one million pesos --in other words, pertaining to the residential and residential plus segments only--. These cities are:
cITIEs IN THE INTERIOR1. mexico City
2. Guadalajara
3. mérida
4. monterrey
5. morelia
6. Querétaro
In conclusion, the high-end tourist and urban real-estate industry will continue to expand, but with a more cautious attitude, and more carefully measuring the potential risks in the market.
Omar Chárraga is director of tourist residential housing
for softec. he has a Bachelor's degree in Business
administration from the department of accounting and
administration of unam (national autonomus university
of mexico) and a master's degree in marketing from
the instituto tecnológico de Estudios superiores de
monterrey. he has been marketing manager for KPmG
and Promotion supervisor for Procter & Gamble. he
has been a project leader in 300 consulting projects,
has given conferences at expositions and has been
instructor and trainer for 20 construction companies
throughout mexico.
in his current position, his responsibilities include market
analysis of tourist residential housing, urban housing,
shopping and Office Centers and industrial Bays. he
has also authored various articles for newspapers like
reforma, Excelsior, and El Economista, and magazines
like Expansión, mundo Ejecutivo, real Estate and metros
Cúbicos. he is also the author of the publications
mexican housing Overview and dimE Vallarta.
[email protected] tel. (52-55) 50638828
APARTMENTs Beach cities
Interior cities
Total
number of projects 488 632 1,120
average land (m2) na na na
average Construction (m2) 165 m2 138 m2 150 m2
average Price (pesos) $5,270,393 $2,980,580 $3,978,284
average Price per m2 (pesos) $30,396 $21,617 $25,442
available inventory units 10,534 11,094 21,628
Estimated annual absorption 2011 4,515 9,343 13,858
HOUsEs Beach cities
Interior cities
Total
number of Projects 323 371 694
average land (m2) 277 m2 197 m2 234 m2
average Construction (m2) 218 m2 224 m2 221 m2
average Price (pesos) $5,190,031 $3,321,800 $4,191,309
average Price per m2 (pesos) $20,184 $14,130 $16,948
available inventory units 5,108 3,929 9,038
Estimated annual absorption 2011 3,006 3,505 6,511
APARTMENTs / HOUsEs
Number of Projects
Available Inventory Units
Estimated Annual Absorption 2011
mexico City 520 171 8,479 1,114 7,694 1,004
monterrey 57 75 1,721 1,546 1,038 1,162
tijuana - rosarito 45 56 2,602 1,049 647 751
Cancún 56 40 1,486 920 607 447
riviera maya 81 27 1,523 468 581 162
acapulco 62 21 886 307 530 194
riviera nayarit 52 21 1,138 182 500 122
Guadalajara 38 78 671 655 397 695
Puerto Vallarta 42 22 830 282 355 90
mazatlán 31 15 660 249 301 126
Veracruz 24 15 297 199 298 331
los Cabos 37 38 544 527 272 376
Querétaro 10 34 93 525 134 480
ixtapa 18 7 165 83 127 23
mérida 10 36 107 481 93 228
morelia 7 13 130 90 80 164
huatulco 12 5 60 44 68 8
la Paz 7 13 149 110 61 94
manzanillo 11 7 199 312 76 55
General total 1,120 694 21,740 9,141 13,858 6,511
TOURIsT cITIEs1 acapulco
2. Cancún
3. huatulco
4. ixtapa
5. la Paz
6. los Cabos
7. manzanillo
8. mazatlán
9. Puerto Vallarta
10 riviera maya
11. riviera nayarit
12. tijuana
13. Veracruz
NOTITUR24
DEVELOPMENTs’ NEWs
NOTITUR24
The resort has 273 rooms with impressive ocean views, where guests can find perfect relaxation and an
unparalleled vacation experience, while helping protect the natural and cultural beauty of the Mexican Caribbean.
In keeping with its mission of sustainability, Hacienda Tres Rios introduced environmental practices and tech-nologies beginning with its very conception, with environmental impact studies to identify the animal and plant species of the zone. This led to the decision to pre-fabricate the resort's structures off-site and then assemble them in areas carefully selected for their low environmental impact. The hotel is raised above the ground on pylons that allow streams to flow through freely so the environment is not affected, and it has a tree nursery that has produced more than 90 thousand mangrove plants, improving and reforesting the natural forests that surround it, where guests can take a stroll every day. It has also donated mangrove plants to the community, which has made Tres Rios Nature Park suc-ceed in cultivating and reforesting more than 90,000 mangrove trees in the past four years. Last year alone, it reforested 15,267 mangroves (4,673 Red Mangroves, 1,684 Button Mangroves, and almost nine thousand White Mangroves), being the only resort to offer this support to the environment.
As the first hotel in a Master Plan, Hacienda Tres Rios has established the bases on which this hotel complex can find an environmental balance by making responsible and intelligent use of natural resources. The air condition-ing system is cooled with icy water pumped from natural wells, and circulates through pipes that eventually return it to where it came, without altering its purity. This pro-cedure reduces energy consumption by 40 percent, and
Naturally True Luxury Comes
located in a majestic natural park covering more than 130 hectares in mexico's riviera maya, hacienda tres ríos is the only environmentally responsible luxury resort in the region. it combines magnificent architecture with gourmet cooking, entertainment for all tastes, and a world-class spa. Guests can engage in countless activities and sports, like ecological tours, kayaking or snorkeling in the tres rios nature Park, exclusively for hotel guests, which also gives them a chance to relax in the tranquil surroundings of its virgin beaches.
the heat it generates is in turn used to head the water for showers, with the injection of air from the environment to increase pressure and save water. A desalinization plant converts salt water into the purest and highest quality fresh water for consumption throughout the hotel, avoid-ing the use of watershed resources.
Although its commitment to environmental care has earned Hacienda Tres Rios numerous recognitions from prestigious world organizations like Green Globe, Sustainable Travel and the Rainforest Alliance, to be truly sustainable it must do more: it must also be a respon-sible and profitable company and provide wellbeing to the surrounding community.
Hacienda Tres Rios is one of the six hotels that make up Sunset World, a company that offers quality experi-ences to its members and offers a wide range of product possibilities to complement the perfect family vacation: Marina and yacht club with vessels that range from 38 to 70 feet, supplied with captain, crew and menu, avail-able for fascinating fishing tours or just to sail the crystal-line waters of the Mexican Caribbean. In the horseback riding center and polo club you can enjoy equestrian shows or private classes with professional instructors, qualified to teach all disciplines of horseback riding and for riders of all levels. It also offers a car rental service for guests to visit the great number of attractions in the surrounding area, in safe, comfortable family vehicles that meet any transportation need.
In a highly developed tourist destination like the Mexican Caribbean, where needs are constantly growing, Sunset World offers unparalleled travel experiences and meets the needs of guests and members through continual renewal, in constant pursuit of the highest quality standards.
come to cancún and celebrate with us the 25th Annual convention of
Amdetur and the 25th anniversary of the Asociación de clubes Vacacionales de quintana Roo, A.c.
Be part of the“sales & Marketing Vacation club forum of the Americas”
and listen to prestige speakers, like:
Lyn HewardDirector of CreationCirque du Soleil
Jim MadridPresident and FounderEntelechy Training & Development
Linda ClemonsChief Executive OfficerSisterpreneur, Inc.Sales and Body Language Expert
Karla WheelockConqueror of the Everest Mountain
June 22 – 24, 2011Moon Palace Golf & spa Resortcancún – Riviera Maya
Register Now!
Tels. & Fax (52-55) 54 88 20 28 to 31
www.amdetur.org.mx
AsociAción de clubesVAcAcionAles de QuintAnA Roo, A.c.