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Celaya Industrial Profile Print E-mail

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Total City Population:   Click Here To Register   
Number of Maquiladoras:   Click Here To Register  
Total Maquiladora Employment:  Click Here To Register  
Distance From Border:   Click Here To Register   
Average Operator Wage:   Click Here To Register  
Electricity Rate:  Click Here To Register  
Natural Gas Rate   Click Here To Register  
On Border Union Presence:   Click Here To Register  

KEY INDUSTRIES

  • Metal products
  • Machinery and equipment
  • Food products
  • Beverages and tobacco

MAIN COMPANIES

Company  Industry or Product 
Click Here To Register   Automotive batteries 
Click Here To Register   Automotive shock absorbers 
Click Here To Register   Autoparts 
Click Here To Register     Frozen Vegetables
Click Here To Register   Refrigerators 

ADVANTAGES

  • Centrally located in the Bajio region, one of the fastest growing areas of Mexico
  • Limited competition for industrial workers
  • A growing population in the surrounding area
  • A pro-business state government
  • Good quality of life and a pleasant climate

DISADVANTAGES

  • Distance from the border will increase support and freight costs
  • Focus on agricultural activities
  • Lack of adequate support and service companies
  • Not a traditional maquila center

Market Overview

Celaya is a mid-sized city located next door to Queretaro and three hours from Mexico City. The city has lately experienced a growing interest from manufacturing companies due to both its proximity to the large support markets in central Mexico and a wealth of labor in the area. While the local labor pool is good, the real estate market is underdeveloped and utility infrastructure can be an issue. Nevertheless, Celaya is an excellent place to set up low-tech maquila plants and it is expected that the city will continue to grow in importance as a maquila and manufacturing center as labor markets tighten in Queretaro, Leon and Mexico City.


The City

POPULATION

Celaya is the third largest city in Guanajuato with a population of 382,958 individuals, 47.8% male and 52.2% female. The population is growing at a 2.13% annual rate, higher than the 1.8% national growth rate.

Celaya’s residents are very young with 45% of the population under 20 years old. The population in the city accounts for 7.9% of total state’s 4,843,891 inhabitants.(Source: INEGI)

LOCATION

Celaya is located in the eastern part of the State of Guanajuato, at the heart of the El Bajio region. Guanajuato borders with the states of San Luis Potosi to the north, Queretaro to the east, Jalisco to the west, and Michoacan to the south.
The city has an elevation of 5,772 feet and an average annual precipitation of 24 inches. The climate is hot and dry with occasional afternoon showers in the summer, and pleasant and mild during the winter. Refer to the following table:
Temperature in Celaya:    Maximum  Median  Minimum 
Coldest Month January    72.0° F 56.7° F  39.2° F 
Hottest Month May    90.7° F  72.5° F  55.4° F 

Celaya has few industrial plants, but its location makes it an attractive site for maquila operations as it is less than one hour from Silao (home of one of GM’s assembly plants), Leon, and Queretaro.

Land Distance From Celaya To  Miles
US Destinations  
Laredo, Texas  Click Here To Register  
Eagle Pass, Texas   Click Here To Register  
El Paso, Texas Click Here To Register  
Brownsville, Texas  Click Here To Register  
McAllen, Texas Click Here To Register  
Mexican Destinations   
Guadalajara, Jalisco  Click Here To Register  
Queretaro, Queretaro  Click Here To Register  
Mexico City  Click Here To Register  
Monterrey, Nuevo Leon  Click Here To Register  
Puebla, Puebla  Click Here To Register   
Silao  Click Here To Register  
Leon, Guanajuato  Click Here To Register   
Port of Manzanillo-Pacific  Click Here To Register  
Port of Tampico-Gulf    Click Here To Register   
Port of Veracruz-Gulf    Click Here To Register  

INDUSTRY SNAPSHOT

Celaya holds a position of importance in the state due to its concentration of various industrial sectors, for this reason it is known as “The Golden Gate of El Bajío”. Political stability, security, and pro-business government policies have attracted considerable new investment to the city, which is beginning to diversify into an important regional commercial center. Celaya is still dominated by its agricultural roots.

Celaya has a GDP of $618.55 Million USD, which accounts for 12.3% of the State of Guanajuato’s GDP. During 2003, Celaya’s exports amounted to $515,183,000 USD, representing 5.97% of total state exports. About 98.2% of exports go to the U.S.

CELAYA EXPORTS BY SECTOR (2003)

Sector  Exports in USD 
Food and agricultural products  Click Here To Register  
Autoparts  Click Here To Register   
Metal-mechanic  Click Here To Register  
Electronic items and machinery Click Here To Register  
Chemical Products    Click Here To Register  
Textiles    Click Here To Register  
Other Exports    Click Here To Register  
Total Exports    Click Here To Register  

 (Source, Municipality of Celaya, 2003)

According to INEGI (2004), there are 12,460 workers in 46 maquila plants and 10 industrial parks in the State of Guanajuato. This numbers represent a decrease from 2000 levels where there were 84 maquila plants and 15,653 workers. 


The Workforce

DEMOGRAPHICS

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LABOR AND EMPLOYMENT

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UNEMPLOYMENT AND SUB-EMPLOYMENT

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SKILL LEVEL

The larger industrial cities of Queretaro and Leon generally attract the most qualified workers. As there are no large maquila operations in Celaya, workers with relevant work experience are in short supply. However, a number of companies have been successful in growing their operations in Celaya. Enertec, for example, produces 3.78 million automotive batteries per year in Celaya and is ISO 14001 and QS 9002 certified. The company supplies Ford, Nissan, Hyunday, BMW, Mercedes Benz, Scandia, Navistar, Kenworth and Volvo.

EDUCATION AND TRAINING PROGRAMS

Celaya has an adequate educational infrastructure. There are 619 schools and 126,795 students in the city. Of this number, 12.9% are enrolled in one of the 27 higher education institutions.
There are thirteen universities with a total enrolment of 10,000 students. Nevertheless, many of Celaya’s best students move either to Leon or Queretaro to complete their studies as these cities offer a greater variety of programs. The main higher education institutions include:

  • Regional Technological Institute of Celaya
  • Center of Superior Education of the Bajio
  • University of Guanajuato
  • University of Celaya
  • University of Leon at Celaya

About 92.2% of the population between 6 and 14 years of age attends school while 29.4% of the population over 15 years has either a technical or university degree.

TURNOVER RATES

The state does not publish turnover statistics but we estimate them to be 6% to 9% per month. Please see our Wages chapter in the Info Center for further details on turnover rates in Mexico. 


The Operation

WAGE RATES

Wages are the key driver of Mexico’s manufacturing industry. It is, therefore, one of the first and most important topics any company expanding in Mexico will consider. TeamNAFTA touches on the overall wage issues in our Info Center, but we have also provided some sample wages for Celaya below. While we have access to more detailed wage information, we typically present that information in a tailored report addressing a company’s specific labor needs.

Average hourly wages paid in Celaya: 2003 - 2004
U.S. dollars/hr. includes all mandatory and average optional benefits for this market

Unskilled Operator:   Click Here To Register  
Skilled Operator:   Click Here To Register  
Technician:   Click Here To Register  
Engineer: Click Here To Register  

Source: Area industry wage studies and interviews with local managers, $11.00 pesos/USD

INDUSTRIAL COSTS dollar @ 11 pesos/USD  

Electricity (H-M rate over 100 Kw):   Click Here To Register  
Natural gas:  Click Here To Register  
Water    Click Here To Register  

 *CFE.-June 2004, ** CRE.-June 2004, *** Pemex June 2004

INDUSTRIAL REAL ESTATE

AVAILABLE SPACE

Celaya has a modern industrial infrastructure to support maquila operations. Industrial parks are generally well equipped, providing sites with water, sewage, electrical power, gas pipelines, and telephone services with fiber optic advantages.

Regarding housing, credit is available from government institutions such as FOVISSSTE, INFONAVIT and PROMIVI. Most workers have housing with electricity, water and gas.
  

Range

Industrial land purchase price:   Click Here To Register  
New construction (including land):   Click Here To Register  
Lease rates for existing space (5-yr): Click Here To Register  


TRANSPORTATION

Highways

Guanajuato possesses an adequate highway infrastructure, including 2,101 miles of highways of which 188 miles are express highways. The quality of the road network in Guanajuato is higher than the national average, taking various characteristics into account such as quality of the asphalt, sign posting, road shoulders, and technical specifications.

There are two Federal highways that cross the state, Federal Highways 45 and 57, the latter one is known as the NAFTA highway, which links Guanajuato with key cities in the U.S. and Canada. Given its central location, Celaya has access to the three important NAFTA corridors.

  • The Pacific NAFTA corridor, which communicates with the entire geographic band formed by the Rocky Mountain range and the Pacific coast, passing trough the cities of San Diego, Los Angeles, San Jose, Seattle and Victoria among others
  • The central western corridor includes the largest concentration of maquiladoras and the 2nd largest trade volumes of all the North American corridors, connecting to Chihuahua, El Paso, Denver, Las Vegas and Edmonton
  • The central eastern corridor which passes through Houston, TX and the largest North American cities and the industrial basins of the central eastern region, as well as through the Great Plains in the U.S. and through the Canadian Prairies. Some of the cities in this corridor include Mexico City, Monterrey, Dallas, Houston, Atlanta, Chicago, Detroit, Toronto, and Montrea

Celaya provides with rapid access to Leon, Queretaro and Mexico City via a four-lane toll highway. The city’s location makes it an attractive site for maquila operations as Silao, Leon, and Queretaro are less than an hour away.
Most of the maquiladoras are located in the Celaya-Salamanca, Celaya Queretaro, and Celaya-San Miguel de Allende highways, with the latter one being the one that holds most of the industrial activity. The city is well served by trucking companies making daily trips to the U.S. border cities of Laredo and El Paso, Texas.

Railroads

Guanajuato has 674 miles of railroads. Companies like FERROMEX (Ferrocarriles Mexicanos) and TFM (Transportes Ferrocarrileros de Mexico) provide service to several destinations including San Luis Potosi, Mexico City, Nuevo Laredo, Guadalajara and Nogales.

Air Transportation

Celaya has a small private airport located in the Celaya-Salamanca highway, 10 minutes way from the city. Additionally, the city is fifty minutes away from El Bajio International Airport, which offers daily direct flights to Mexico’s largest cities and several U.S. destinations like Chicago, Los Angeles, Oakland, Houston, Dallas, Atlanta, and San Jose, C.A.

CUSTOMS

The closest fully staffed Mexican customs office is in Queretaro. Some of the services offered at the Queretaro customs office include:

    * Definite imports and exports
    * Temporary imports and exports
    * Fiscal deposit, for storing of merchandise in authorized general deposit storages under customs authority control
    * The transit of merchandise
    * Quality System ISO 9000
    * Merchandise dispatching

INCENTIVES

The government offers incentives in relation to payroll taxes, training programs, and assistance in the procedures for meeting requirements at three levels of government (federal, state, and municipal). Additional incentives can be negotiated, depending on the location of the new project, type of manufacturing activity, and the creation of jobs. The incentives subject to negotiation include: infrastructure works, fees with the State Public Registry, and construction permits.

STATE OF GUANAJUATO INCENTIVES

  • Greater incentives for less developed areas
  • Support to sectors that are strategic for the state
  • Incentives to companies that hire people with disabilities
  • Assistance in infrastructure through the construction of special works
  • Reduction of and exemption from some taxes and fees at the state and municipal levels

Sectors offering special opportunities
Automotive, Electric appliances, Electric-Electronic, Food products, Information Technologies, and Services. 


The Support

SUPPORT SERVICE COMPANIES

Large-scale operations will find a limited number of companies offering support and services, especially for high tech operations. Specialized support may be obtained from Mexico City, Queretaro or Leon based suppliers.


The Politics

UNIONS

Unionized labor in Celaya does not represent a major impediment to new starts or expansion. Every national labor union in Mexico has some representation in Celaya, including the CROM, CROC, and of course the largest state-run union, the CTM.

POLITICAL INFLUENCES

Guanajuato has been governed by the right-of-center PAN party for the last 12 years. A well-known strategy to raise the standard of living in Guanajuato has been the promotion of foreign investment. The state government is a strong proponent of foreign investment and will assist companies seeking to relocate to the state. The Government of Guanajuato has recently created the Guanajuato World Trade Commission (COFOCE), a decentralized organization whose objectives are:

  • To promote the exports of Guanajuato
  • To create a strong culture of international trade
  • The promotion of products and services of Guanajuato

OTHER COMPANIES IN CELAYA

Company  Industry 
Click Here To Register   Automotive batteries 
Click Here To Register   Shock absorbers
Click Here To Register   Poultry and egg production 
Click Here To Register   Wheat flour and cookies 
Click Here To Register   Food products 
Click Here To Register   Frozen Vegetables 
Click Here To Register   Refrigerators 

 


 
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