| Tuxtla Gutierrez Industrial Profile |
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POPULATION The city of Tuxtla Gutierrez which is the capital of the State of Chiapas, has an estimated 433,544 inhabitants, or 11% of the state’s population of 3,920,515 individuals. (Source INEGI 2000) STATE DESCRIPTION Chiapas is best known for its dense population of Maya, all of whom speak their original dialect to this day, not all have added Spanish as a second language. Visitors will see vivid colors and designs in the textiles. The main industries include cattle ranching, oil, silver, gold, and copper mines, tourism is also a developing industry. Security for travelers and citizens in Chiapas continues to be unpredictable, as highlighted by the massacre of 45 peasants by an unknown paramilitary group at the small village of Acteal in December 1997. In the past couple of years, the increased attention has focused on the Zapatistas’ call for economic help for the Chiapas’s highland Indians. Ironically, instead of scaring away tourists, the rebel uprisings have sparked an intense curiosity about the area and its indigenous people. Because of this spotlight, the Mexican government has been discretely helping the people. The Mundo Maya Program is becoming very popular, especially with Europeans. Repairing and building roads has become a priority, enabling easier access to the isolated locations of some of the ancient Maya cities. While before only the real adventurer would investigate such faraway places as Bonompak and Yaxchilan, now a good road allows the more timid visitor to reach them by bus or car. LOCATION The southernmost state of Mexico, Chiapas is bordered on the west by Oaxaca and Veracruz on the north by Tabasco and Campeche and on the east by Guatemala. While the low-lying coast and jungle area are typically tropical, a large part of Chiapas lies in the rugged mountains of the Sierra Madre del Sure, where the thick rainforest clouds numerous lakes, rivers, and waterfalls. PROXIMITY TO KEY CITIES AND SEA PORTS
The Workforce DEMOGRAPHIC IMPACT EMPLOYMENT CONSIDERATIONS UNEMPLOYMENT PERCENTAGE
SKILL RANKING The most credible proof of the quality of the workforce is the type of industry established in the city. The gross state product is broken down as follows:
EDUCATION and TRAINING A training program has been established by the government that provides the workers with a minimum salary while training for a period of two months. The company however, must hire 70% of the trainees at the end of the program. Companies can participate in selection of workers for the training period. TURNOVER RATES The state does not publish turnover statistics but we expect them to be Click Here To Register
The Operation Monthly salary for executives and employees in US dollars not including benefits.
Source: Bancomext 1999-$9.00/USD Hourly salary for laborers in US dollars, including obligatory benefits
Source: State Government of Chiapas Exchange rate at $9.50 pesos per $1.00 US INDUSTRIAL COSTS
Costs increase 1% per month
Costs increase 1% per month
Source: Chiapas State Government-1999 INDUSTRIAL REAL ESTATE A current survey of industrial parks in the State of Chiapas with a variety of options, reveal the following average prices per sq. ft. in US dollars.
Exchange rate of $9.40 pesos per dollar INFRASTRUCTURE There are 9,081 miles of roads and 324 miles of railroad in the State of Chiapas. The municipal region of Tuxtla Gutierrez has a small and underdeveloped industrial infrastructure that provides sites with water, sewage, electrical power, and telephone. The port city of Puerto Madero is one of the busier ports on the Pacific side of Mexico. The State of Chiapas has 1 international and 1 domestic airport. CUSTOMS There is not a customs facility available in the State of Chiapas. TAXES Existing taxes in Mexico are Federal and include no reductions or incentives related to the following: Income, Value Added Tax (IVA), Assets Tax, Withholdings, Import/Export, Social Security, Housing Fund (INFONAVIT), Retirement Savings (SAR), Workers Income Tax (ISPT). State taxes include a Payroll tax of 2% waived during the two initial years of operation, Random Games Tax (15%) and a Vehicle Tenancy Tax (variable). The Support SERVICE and SUPPLIER COMPANIES With the main exports of the State of Chiapas all being agricultural goods, service and supplier companies exist mainly to service the agriculture industry. While the port of Puerto Madero contains numerous shipping lines and their related support operations, the rest of the state is focused mainly on agriculture and livestock. The Politics UNIONS Unions in Chiapas do not represent a major threat to new operations. ADVANTAGES
DISADVANTAGES
Conclusion The State of Chiapas has much to offer Textile operations; combined with the port at Puerto Madero goods can be easily transported to any destination. The State of Chiapas has a black mark because of the rebel uprisings that continue to take place. Most operations would be better suited somewhere else. |
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