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 Introduction - Alliances & Investments - Expanding frontiers - Free market -
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Agro Industry - Multinationals - Industrial States 
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Interview with
Lic. Rene Juarez Cisneros
Governor of the State of Guerrero.
3rd Febuary, 2000
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On the 1st of July, Mexico officially enters in the European Unions Free trade agreement, all eyes are fixed to see what the result will be, can you outline what input the state of Guerrero will have in this?
Guerrero is the one state of Mexico with almost perfect year round climate and undoubtedly the most beautiful beaches. The culture is one of friendly and open armed welcoming to the visitor. We are pioneers in the Mexican tourist sector and Acapulco is the best known tourist destination in the world. We have the most diverse tourism in the country: Acapulco , Ixtapa and Taxco. The state also boasts some of the best infrastructure and communications. Guerrero is blessed with a unique identity, as can be seen by Taxco , filled with a history steeped in tradition and historic accreditation. Ixtapa, a beach resort, surrounded by modern well-equipped hotels, is an ideal location for long term investment and has a structure to facilitate all legal business dealings for foreigners efficiently. It must be said that the underlining success of our tourist policy is due to the capability strength of the labour force. Guerrero is not only seen as a place of tourism. The mining sector presents a huge investment opportunity. At present we have four major projects to do with Silver and zinc in action, the majority of this investment coming from Japan, Canada and Mexico . The U.K is also looking at these opportunities to invest in. The mining sector so far still has much room for exploitation. We are fortunate enough to provide an interesting package to investors in order to stimulate growth.
Agriculture has long the basis of a work force committed to hard work and development of the sector. Fertile land and excellent irrigation make investing here look inviting. We are in talks with Spanish companies which are analyzing the potential to make long term investments. Additionally, the state of Guerrero has established an office for the promotion of investment which controls all of the judicial process to facilitate the installation of investing groups helping with all aspects of the administration. With 3 million inhabitants, the state has a large percentage of skilled and young eager workers.
These points set the scene for a destination ready for growth, what are the stimulants that you offer for investors in comparison to the other major states?
I recently met with the British Ambassador to speak about the future of U.K. investment in the state of Guerrero. An attractive zero tax incentive and infrastructure placed for the long term ensures to provide the correct incentive. Support of the investor and security have been up until now the leading incentives why this state has been chosen above others. Also, the fiscal policy and resources provided are at the highest level. Congress has given us the green light to begin a pilot project with a British company. This is one example of the support that we are receiving and once in motion this is sure to attract many more to the region. In the near future we will be constructing new hospitals and creating stronger more secure highways. For both of these projects we will be openly and actively seeking investment.
It is evident by what you are saying that the state of Guerrero is moving ahead with interesting and positive projects to assure a strong future….………
Exactly! This administration has been fortunate that in only 11 months and we have manage to transform our projects beyond any expectation. With millions of dollars in investment and over 70 diverse projects, we are completing are goals. It has to be said that the majority of investment has come from outside of Mexico and the most obvious choice has been in the tourist sector, the backbone of infrastructural support. In industry, we see great hopes for growth- The Texile industry holds one of the largest potential for investment and return for the mid to long term.
Although this state has long been a provider of tourism at the highest level, investment for this sector has shifted to many new and upcoming destinations. What can you tell us about the future of tourism investment here? What is the strategy that you are implementing to capture investment?
We are focusing on the future implementation of mid to long-term plans which include diversification from the traditional the traditional tourism products.
| Acapulco is obviously the major tourist spot. Investment is being used for re-newing the city itself, making it more modern, creating a better service and concentrating on attracting a diverse group for other countries. 12% of tourism presently comes from Germany and we have seen a large increase of visitors from Argentina and Brazil. Chile is beginning to increase the amount of tourism through our tourist operators and recently we can announce that there will be direct flights from Britain to Acapulco which will increase the room occupancy. The last few years our most popular tourist has come from Canada followed by the U.S. W e are being extremely aggressive in our efforts to make Acapulco the number one tourist destination in the world. At the end of the day what is important is the result of all of our effort. We are seeing new investment in luxury tourism developments such as La Cima and Punto Diamante. At the same time, brand new apartment buildings are appearing which coincide with the new more dynamic look of the city. Other destinations like Taxco deal with a different type of tourism. The beauty of Taxco is seen when entering the town. Full of bustling hoards of people who are looking for charming and romantic restaurants set within this picturesque town. Guerrero has seen a large increase in Mexican tourism. Thanks to the road improvements, one can arrive to Acapulco in 3.5 hours form the capital, Mexico city. The Airport is equipped to deal with the amount of visitors we receive and is close to the city.
As an investor why should I chose Acapulco and the state of Guerrero for investing?
You are assured that your investment will reap very strong rewards and that you need to look to the long term for investing here. We are providing all the necessary tools so that business and investment has one of the most stimulating investment portfolios in the nation. I can not stress more that we have possibly the best work force in the country: Guerrero is not the wealthiest of the Mexican states and this is why the people are eager to get on and be successful. We have perfect climate and can be found close to the capital city, combine this with modern infrastructure, the state offers an interesting package.
We are investing in health and education for the people to create a higher sustainable standard and quality of life.
Forbes Global is considered the manual of the businessman throughout the 5 continents, we will not be returning for the next 3 or possibly 4 years. It would be a pleasure to be able sit opposite you and speak about what has happened in the state of Guerrero?
We hope that in the future when you return that instead of the hefty investment received to date that we will be able to toast to five times the amount of investment for the state. With only productive investment it will be possible to diversify in to many more products. The end result will be a platform for promotion of our cities, our people and our state. This is sure to enhance and bring even more people to Guerrero.
As a native of Guerrero and the Governor of the state who better to tell us what the perceived image of the state is…….
I see my land as a paradise, wake up every morning, see the sun rise, walk along the immense beaches and breathe fresh air. I also recognize that we are not always seen in the best light. We were seen as the number one destination in the world and without competition, we had no standard to follow. But , now that tourism has changed , the" multi-destino" concept and new improvements as well as the more varied profile of the tourist, we are following up with better and more aggressive strategies. We have learned through trial and error that we are in the search constantly for improvements. Always providing the highest service and quality to the visitor.
What has been the most productive of investments so far here?
Our hotels have been renovated, a Canadian chain has brought the Pierre Marques and the Princess and it is run by the Fairmont group which is also Canadian.
Our readers are principally decision makers, your clients and the potential investor, What is your final message to this elite group of readers?
We invite them to come and visit us to see the opportunities and to enjoy the wonders and beauty of the state of Guerrero. |
© World INvestment NEws, 2000.
This is the electronic edition of the special country report on Mexico published in Forbes Global.
July 3rd 2000 Issue.
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MEXICO
