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NAMES To Follow Up in 2013

mexico: Americas Logistics Brain

There Are many ways to get your clients attention, none as effective as ours
Published monthly in English. Distributed among business people, decision-makers, research centers and national and international subscribers. Distributed abroad through a network of 35 representative offices located in 23 countries in the Americas, Asia, Europe and the Middle East; all Mexican embassies and consulates and at international trade shows and expos. Geographic distribution covers a wide spectrum of key countries and cities, which guarantees a strategic coverage in the worlds leading markets.

negocios.promexico.gob.mx

negocios@promexico.gob.mx

Contents.

December 2012 - January 2013

Cover Feature

logistics in mexico
20
From the Editors
6

Logistics Dadoo

26

Briefs 7 Business Tips Mexico and its Trade Relations with the World Mexicos Partner Boehringer Ingelheim
12

Grupo Logistics 28 Gomsa

30

14

Confederation of Customs Agents of Latin America 32 DHL Lufthansa Cargo


34 36

UPS 22 Mexican Intermodal Association


24

Figures 38

Trade Liberalization and Legal Certainty:


Essential Elements for Productive Investment in Mexico 18

Guest Opinion

Briefs ProMxico
The Complete Guide to the Mexican Way of Life
Ernesto de Lucas Hopkins ceo Sebastin Escalante Director of Publications and Content sebastian.escalante@promexico.gob.mx Miguel ngel Samayoa Advertising and Suscriptions negocios@promexico.gob.mx Natalia Herrero Suzette Celaya Copy Editing

The Lifestyle

Names to Follow Up
in 2013 54

Laboratorio Editorial
Felipe Ziga Editor in Chief felipe@laboratorioeditorial.com Paola Valencia The Lifestyle Editor Malena Lpez Design
photo courtesy of vctor alemn

Graeme Stewart Proofreading CM Idiomas Alison Stewart Translation This is an editorial project for ProMxico by Laboratorio Editorial, S.A. de C.V. Download the PDF version and read the interactive edition of Negocios ProMxico at: negocios.promexico.gob.mx This publication is not for sale. Its sale and commercial distribution are forbidden. Negocios ProMxico es una publicacin mensual editada en ingls por ProMxico, Camino a Santa Teresa nmero 1679, colonia Jardines del Pedregal, Delegacin lvaro Obregn, C.P. 01900, Mxico, D.F. Telfono: (52) 55 54477000. Pgina Web: www.promexico.gob.mx. Correo electrnico: negocios@promexico.gob.mx Editor responsable: Gabriel Sebastin Escalante Bauelos. Reserva de derechos al uso exclusivo No. 04-2009-012714564800-102. Licitud de ttulo: 14459. Licitud de contenido: 12032, ambos otorgados por la Comisin Calificadora de Publicaciones y Revistas Ilustradas de la Secretara de Gobernacin. ISSN: 2007-1795. Negocios ProMxico ao 5, nmero XII, diciembre 2012 - enero 2013, se termin de imprimir el 14 de diciembre de 2012, con un tiraje de 10,000 ejemplares. Impresa por Ca. Impresora El Universal, S.A. de C.V. Las opiniones expresadas por los autores no reflejan necesariamente la postura del editor de la publicacin. Queda estrictamente prohibida la reproduccin total o parcial de los contenidos e imgenes de la publicacin, sin previa autorizacin de ProMxico. Publicacin gratuita. Prohibida su venta y distribucin comercial. ProMxico is not responsible for inaccurate information or omissions that might exist in the information provided by the participant companies nor of their economic solvency. The institution might or might not agree with an authors statements; therefore the responsibility of each text falls on the writers, not on the institution, except when it states otherwise. Although this magazine verifies all the information printed on its pages, it will not accept responsibility derived from any omissions, inaccuracies or mistakes. December 2012.

The Lifestyle Briefs


Page 42

48 Hours in...

Mrida
Page 44

A Brief History of

The Tree of Life


Page 48

Aurora Toledo Food From the Heart


Page 50

Mexico According to...

Stephanie Sigman
Page 64

Carlos Reygadas
A Unique Cinematographic Voice, An Unusual Conversation

60

photo courtesy of carlos reygadas

Gastronomy

Briefs

from the editors.


Mexicos increasing involvement in international trade, the mounting public and private investment, as well as the growth experienced by several sectors of the economy have turned logistics into a key area of the countrys development. Mexican and transnational companies cater to the logistics needs of companies of all sizes and offer import and export, transport and warehousing solutions. The logistics service industry, therefore, has become a driving force for supply chains in strategic industries such as automotive and aerospace. Logistics investment is crucial to sustaining Mexicos development and growth. But it is also an incomparable business opportunity, given the growth expectations of the Mexican economy, especially in sectors that require efficient logistics services to maintain a solid supply chain. To sum up, the outlook of the logistics industry in Mexico is beyond optimistic with one of the greatest growth potentials in the country, as illustrated by the many success stories presented in this edition. Welcome to Negocios!

Mexico is a well-positioned country


Over a decade ago, Jim ONeill, Goldman Sachs economist, coined the term BRIC (Brazil, Russia, India and China) and in early 2011, he extended the group to 8 countries that he called Growth Markets, including Mexico, Indonesia, South Korea and Turkey, in order to highlight the importance of emerging economies worldwide. ProMxico reviewed how these eight growth markets stack up against one another based on several well-known global hard databased indicators. The following chart summarizes the result. Mexico stands out as the only country to be favorably positioned in all ten categories. The reason is its stable, open and growing economy based on a young and highly skilled population, which together results in a platform for very competitive and complex manufacturing. Today, Mexico is a key business player in Latin America, but when looking at a comparison like this one, its clear why firms such as HSBC, Accenture, Nomura and Goldman Sachs forecast that Mexico will be among the top 8 largest economies in the world. This chart shows why Mexico means opportunity and why it is gaining momentum.

Mexico is a well positioned country


Equal or above Mexico Below Mexico, but close Clearly under Mexico
BRAZIL RUSSIA INDIA CHINA MEXICO INDONESIA S. KOREA TURKEY

Macroeconomic environment Open economy Economic complexity Total manufacturing cost Domestic market Demography Workforce quality Engineering graduates (per-capita) Democratic system
infographic oldemar

Human Development Index


Source: Macroeconomic Environment: WEF The Global Competitiveness Report 2011-2012, Macroeconomic Environment/ Open Economy: Doing Business 2012, Ease of Doing Business/Economic Sophistication: The Atlas of Economic Complexity, Harvard University/ Total Manufacturing Cost: Manufacturing Outsourcing Cost Index, Alix Partners/Domestic Market: WEF The Global Competitiveness Report 2011-2012, Domestic Market Size Index/ Demographic Bonus: UN World Population Prospects. The 2010 Revision. Forecast of total dependency rate in 2025 (population <15 & 65+ years) (15-64)/ Labor availability and quality of the FDI Benchmark, Automotive OEM, Skills, attitudes and productivity/ Engineering Graduates (per capita): UNESCO Institute for Statistics, International Monetary Fund. Engineering, manufacturing and construction graduates per capita 2009/ Democratic System: The Economist, Democracy Index 2011/Human Development Index: UN, Human Development Index. Measuring methodology: Mexicos position is the baseline in each index or study cited. In green are identified those countries that score higher, equal or up to 10% below Mexico. In yellow, those between 11% and 20% below Mexico. In red, those which score is more than 20% lower than Mexicos.

Briefs

Briefs

SUSTAINABILITY

Kyocera Awarded Clean Industry Certification _____


Kyocera Mexicana has achieved Clean Industry Certification from Mexicos Federal Environmental Protection Agency (PROFEPA). PROFEPA verifies compliance with environmental legislation through inspection and comprehensive audits of a companys internal environmental controls. The Clean Industry certification is issued at two-year intervals and the 2012 honor marks the third consecutive period for which Kyocera has achieved certification. Kyocera Mexicana recycles approximately 95% of all standard waste materials, operates a 100kW rooftop solar array that offsets 415 tons of carbon dioxide annually, recycles water from and for processes, uses recycled water for landscape irrigation and in August 2012 served as the headquarters for Baja Californias Environmental Leadership Program for Competitiveness. Kyocera Mexicana manufactures solar modules, liquid-crystal display components, and ceramic semiconductor packaging that powers consumer products for both the Mexican and North American markets.
global.kyocera.com

photo courtesy of kyocera

photo archive

SUSTAINABILITY

AUTOMOTIVE

Sentra Rolls Off the Line in Mexico _____


Nissan celebrated the production start of the all-new Sentra compact car at its Aguascalientes 1 manufacturing plant in Mexico. The 4th generation Sentra, which boasts a stylish new design, increased fuel economy and additional safety features, will represent about half of the plants automotive production, which also makes the Tiida and Versa. More than 150 million usd were invested to prepare the existing plant for the launch of this new model. The Sentra nameplate, which has been produced in Mexico since 1992, is exported to more than 20 countries. The Aguascalientes 1 manufacturing plant will build nine versions of the Sentra for the US, Canada and other export markets, in addition to Mexico.
www.nissan-global.com

Supporting Mexicos Green Efforts _____


The World Bank (WB) Board of Executive Directors approved a loan of 50 million usd to stimulate green economic growth in rural areas of Mexico, which will benefit more than 2,000 small-and medium-sized agribusinesses, while preventing the emission of almost 2 million tons of CO2, saving 308,062 kW in energy. The financing gives continuity to the implementation of the Sustainable Rural Development in Mexico project, which seeks to promote the adoption of sustainable technologies among small-and medium-sized agribusinesses. This funding will help expand the range and goals established by the National Climate Change Strategy and thus the commitments that Mexico assumed under the Kyoto Protocol in relation to the adoption of environmentally-sustainable technologies for agribusinesses (renewable energy, efficient energy and/or emission-reduction technology) and biomass conversion to be used as energy. The project intends to increase the number of small-and medium-sized agribusinesses adopting environmentally-sustainable technologies to 2,168; reduce greenhouse gas emissions by 1,987,500 tons; save 308,062 kWh of energy as a result of adopting efficient technologies and contribute to the successful formulation of public policies on the part of the Ministry of Agriculture, Livestock, Rural Development, Fisheries and Food (SAGARPA) to mitigate the effects of climate change and monitor their implementation. It will mainly invest in environmentally-sustainable technologies for agribusinesses participating at various levels of the agricultural supply chain, which will be receiving support to improve their energy efficiency and biomass-to-energy management. These technologies will serve to improve energy efficiency and optimize waste management (in some cases converting it into electricity) in the main dairy-production areas and in pig farming. Thus, beneficiaries will obtain positive financial results and will contribute to climate change mitigation efforts. Some of these technologies include: solar-powered water heaters used in food processing, construction and operation of biodigesters to generate gas from animal waste and the installation of specialized generators to convert gas into electricity.
www.worldbank.org

photo courtesy of nissan

Briefs

Briefs

PERSONAL CARE

photos courtesy of loreal

LOral inaugurated in Mexico its largest hair color plant in the world in terms of production capacity. Focusing entirely on hair color products, the 32,000-squaremeter facility is located in the Logistik II Industrial Park, in Villa de Reyes, in the state of San Luis Potos. The new facility represents an investment totaling 100 million usd and will double LOrals production capacity in Mexico. In line with the companys ambition to reach 1 billion new consumers in the next 10 years, this new factory is also a part of LOrals global strategy towards greater specialization of its production by business segment. The plant in San Luis Potos started operations in April 2012, with a targeted production of over 100 million units in 2013 and over 210 million in 2014, for a total production of 400 million cosmetics units in the country.
www.loreal.com

photo courtesy of nissan

LOrals Largest Hair Color Plant Arrives in Mexico _____

AUTOMOTIVE

GREEN PIONEER _____

Nissan opened its first public electric vehicle quick-charging station in Latin America, in Mexico City. The Company launched its first pilot program for electric vehicles in Mexico City in 2011, followed by a similar program in the state of Aguascalientes in 2012. The objective is to showcase the technology while building experience and evidence of the Nissan LEAF potential under various driving condi-

tions in Mexico. Nissan LEAF is also part of the fleet used by Carrot a carsharing company. Nissans intention is to donate six additional charging stations in other cities around the country, helping to build EV charging station corridors that complement existing infrastructure and the resources available at users homes.
www.nissan-global.com

Next Stop: Sinaloa _____

photo courtesy of gulf winds

AGRI-FOOD

photo archive

The Expo Agro Sinaloa 2013, one of the most important agri-food fairs in Mexico, will be held in Culiacn, Sinaloa from February 13 to 15, 2013. Several products and services related to agriculture and forestry industries will be showcased during the event. Agri-food businesspeople representing domestic and international companies, growers, supermarket chain buyers, specialists and researchers in the field will gather for three days seeking to close new business deals. Conferences and seminars on organic and sustainable agriculture, recent market trends, greenhouse production developments and other topics will be included in the program. An important exhibition of the latest technology and agriculturerelated equipment will also be on display.
www.expoagro.org.mx

LOGISTICS

International Logistics Firm Partners with Mexican Trucking Companies _____

Gulf Winds, the largest drayage and container management firm in the Houston region, is now partnering with Mexican trucking companies and customs brokers across the country. With a similar transit time and the ability to ship a higher volume of cargo, this partnership offers Mexico-based companies and customers abroad the opportunity to increase productivity by rethinking their supply chain processes. The company provides a broad door-to-door service that allows for duty-free shipping through the US and no-hassle customs clearance at the border. Gulf Winds also offers services including container management, drayage, warehousing, transloading, customs examination, heavy-lift and out-of-gage project cargo. Today, Gulf Winds is the largest hauler by volume at the Port of Houstons Barbours Cut and Bayport Terminals, and one of the largest in the Dallas-Fort Worth Metroplex.
www.gwii.com

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Boehringer Ingelheim
to Expand in Mexico

Negocios ProMxico 13

Weve considered other locations with a view to reducing costs, but, truth be told, Mexico is hard to beat in terms of quality and competitive prices. The country allow us to combine both aspects, which is invaluable, says Torsten Mau.
of quality and competitive prices. The country allows us to combine both aspects, which is invaluable, affirms Torsten Mau. Boehringer Ingelheim first came to Mexico in 1954, when the company began its commercial activities through various distribution companies. Afterwards, in 1971, it acquired the shares of Laboratorios Promeco and purchased 100,000 square meters of land in Xochimilco, where it built administrative offices and a manufacturing plant that came to serve as the brain of its business in Mexico, and, since 1990, continent-wide. Initially, production focused on liquid medicines like Mucosolvan and Isodine for sale on the domestic market, but in the 1990s, with annual output peaking at 80 million units, Boehringer turned its gaze to export markets in the US and Canada. A tactical maneuver was in order. According to Torsten Mau, one change in strategy was the expansion of our portfolio to cater to markets in North America. At the same time, we began manufacturing solid products in Mexico, like tablets, coated tablets and capsules. The decision also led to a shift in our role; we werent just manufacturing for the domestic market, but for international ones. Today, almost 20 years later, the Xochimilco plant employs 380 people and produces 70 million units a year, approximately 70% of which is exported to the US and Canada, with the remaining 30% being distributed on the domestic and other Latin American markets. Products for human consumption include tablets, coated tablets and capsules, plus suspensions, syrups and gels for cats, dogs and horses. Today we also play a role in manufacturing and exporting solid and liquid veterinary products to Europe, Japan, Australia and New Zealand, adds Torsten Mau. Boehringer Ingelheim is headquartered in Germany, but has ten plants in other countries: Mexico, Colombia, Brazil, the US, Canada, Spain, Australia, New Zealand and two in Japan. As for the advantages Mexico offers, Torsten Mau puts location at the top of the list. Our plant in Mexico gives us proximity to the US and Canada. We could easily supply the whole of Central America. In fact, in two years time, we expect to expand to South America. Another plus is that Mexico City is a center for the pharmaceutical industry. There are a lot of companies here; thats why we have a talent team in the city, because theres some excellent know-how generated here as regards the manufacture of pharmaceutical products. Boehringer Ingelheim-Mexico has close ties with the National Autonomous University of Mexico (UNAM). Aside from conducting product trials and research, students join the plant on scholarships and can aspire to high-ranking positions within the company when the opportunity arises. The Xochimilco plant boasts both national and international safety certifications. We have national certification, and others granted by Canada, Europe, Japan and Australia, giving us access to all the countries that are relevant to Boehringer Ingelheim, specifically, the US. This plant has managed to consolidate its operations alongside our other nine plants around the world. Certifications like these are worth their weight in gold, says Torsten Mau. A percentage of future investment will be channeled into infrastructure and devising strategies for new import and export channels, while another share will be used to finance workshops and courses to train new talent and encourage existing employees to brush up on their skills. When asked his opinion of the Mexican workforce, Torsten Mau is quick to reply that it is a valuable asset to the country. People are passionate about what they do and they care about the plant. Weve been operating here for over 40 years and many of our employees have been with us since the beginning. Some have been working here for more than 20 or 30 years. If you ask me, its the most important factor. Also, the level of education for this type of job is excellent, especially in the area of technical know-how, which is why we offer opportunities to university graduates. We want them to feel confident enough to start making decisions. That way, we can all grow together. n
www.boehringer-ingelheim.com.mx

Boehringer Ingelheim made a hefty capital injection in 2012 to improve the logistical infrastructure of its manufacturing facility in Mexico, train personnel and expand its product portfolio. Next year, the German pharmaceutical company plans to launch two new veterinary products.
____
by mara svil photos courtesy of boehringer ingelheim

oehringer Ingelheims plant in Mexico is crucial to its global operations. For the last 40 years, this is where the pharmaceuticals it sells on international markets are thought up, researched and manufactured. The company invests on average 3 million euros a year and plans to increase this figure by at least 1 million euros in 2013, when it will be undertaking a series of major infrastructure and logistical improvements, as well as employee training initiatives and the expansion of its product portfolio, says Torsten Mau, production director of Boehringers plant in Xochimilco, in the Mexico City metropolitan area. Another parallel goal is the launch of two new animal health products, which Boehringer projects will help strengthen its presence on the Latin American market. Mexico is very important to us, not just in terms of its domestic market; it plays a vital role in supplying markets in Latin America, the US and Canada. Weve considered other locations with a view to reducing costs but, truth be told, Mexico is hard to beat in terms

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Mexico and its Trade Relations with the World


____
by mara cristina rosas* photo archive

Mexico maintains a solid commitment to economic development that is based on free trade. For the country, that has been the best strategy to avoid the challenges and difficulties of the international financial crisis and the leading plan of action to consolidate its participation as one of the major players in global commerce.

rade agreements are mechanisms that seek to eliminate the obstacles to trade exchange between nations. Free trade agreements (FTAs) are regional or bilateral trade agreements that are designed to expand the market for goods and services by eliminating or substantially reducing tariff and non-tariff barriers to the flow of goods and services between the participating countries. Therefore, FTAs propose: To eliminate trade obstacles and to facilitate the circulation of goods and services, expanding national markets and enabling the creation of economies of scale. To promote conditions of fair competition, as well as to protect and assert intellectual property rights, generating certainty between the countries involved. To create efficient procedures for the

implementation and fulfillment of the agreement for its joint administration and conflict resolution, helping to establish an atmosphere of trust among the participants. To generate guidelines for further bilateral or regional cooperation to expand and improve benefits, to reduce the vulnerability of exports to unilateral and discretional measures, to strengthen national industry by means of a solid and competitive export sector and to assist in job creation. To serve as a reference framework for subsequent trade negotiations and even foster those developed at the multilateral level. Currently, Mexico is the country that has signed the largest number of free trade agreements in the world 12 FTAs, which

include 44 countries in America, Europe and Asia, in addition to 23 bilateral investment agreements that provide preferential access to a market of close to one billion potential consumers. In only two decades, Mexico has become 1 of the 10 biggest trading powers in the world and the largest in Latin America. In addition, with a domestic market of over 112 million people, the country offers a wide range of opportunities for trade as well as investment. Although the slump in the global economy and elevated uncertainty in financial markets has had significant impact on Mexicos level of trade and financial transactions with other countries, in 2011 Mexicos total global trade recorded a 16.8% growth. That same year, Mexico recorded Foreign Direct Investment (FDI) revenue of 19.4 billion usd. In addition, it produced revenue in

the foreign investment portfolio account of 41.7 billion usd, 40.9% higher than in 2010. The principle underlining the existence of numerous free trade agreements in Mexicos economic agenda is diversification and the desire to venture into preferential conditions in diverse foreign markets, thus offsetting the effects of the economic stagnation that is prevailing in the US and the European Union. Furthermore, for Mexico, like the rest of the world, it is extremely bad news that the round of trade negotiations of the World Trade Organization (WTO), known as the Doha Round, are at an impasse, making existing trade agreements all the more relevant since through them the country may aspire to reach various markets, in spite of the adverse conditions prevailing in the global economy.

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Mexicos active FTAs are: North American Free Trade Agreement (NAFTA), with the US and Canada, which has enabled a trade increase in the North America region of over 300%. Free Trade Agreement with Colombia (formerly called the Group of Three), which has contributed to the increase of Mexican exports to that country by more than 600%. Free Trade Agreement with Costa Rica, which was the first agreement negotiated by Mexico after NAFTA and is based on the latter, including issues and provisions that had never been negotiated before between two Latin American countries. For Costa Rica, it was an enriching experience that allowed it to use this FTA as a reference for future negotiations, while bilateral trade with Mexico grew by more than 400%. Free Trade Agreement with Bolivia, which throughout its duration enabled bilateral trade to increase by 145%. Free Trade Agreement with Nicaragua, which aided an increase in exchange between the two countries of more than 600%. Free Trade Agreement with Chile, which throughout its duration has enabled a growth in mutual exchange by more than 600%. Economic Partnership, Political Coordination and Cooperation Agreement with the European Union, which is in fact the most complex and ambitious negotiation currently in effect between Mexico and a trading power of that magnitude. This agreement is made up of three sections: trade, politics and cooperation, all of which are important since the negotiation includes subjects such as democracy and respect for human rights as conditions for receiving a preferential trade agreement; these provisions may be invoked both by Mexico and the European Union. Free Trade Agreement with Israel, which allows Mexico to work alongside one of the economies with the greatest scientific and technological development in the world; trade has grown by more than 200%. Free Trade Agreement with the European Free Trade Association (Norway, Switzerland, Lichtenstein and Iceland), granting Mexico access to markets with high purchasing power.

The principle underlining the existence of numerous free trade agreements in Mexicos economic agenda is diversification and the desire to venture into preferential conditions in diverse foreign markets, thus offsetting the effects of the economic stagnation that is prevailing in the US and the European Union.
Free Trade Agreement with El Salvador, Honduras and Guatemala, also known as the Northern Triangle linking Mexico to a neighboring region of great importance, considering the cultural affinity and similarities in the challenges facing all of the countries involved. Free Trade Agreement with Uruguay, which is a window for Mexico into the Southern Common Market (MERCOSUR). Agreement for the Strengthening of the Economic Association between Mexico and Japan, which has contributed to trade liberalization, promoting Japanese investment in Mexico, improving the trade environment for both countries and stimulating bilateral cooperation. It is important to highlight that on September 2, 2012, the Central American Free Trade Agreement (CAFTA) entered into effect and will substitute the existing agreements with Costa Rica, Nicaragua and the Northern Triangle. This ambitious agreement unified 98% of the regulations established in previous agreements and will have a single certificate of origin, which will allow companies to reduce administrative costs when exporting or importing within the region. In addition, through the CAFTA, Mexico will contribute to position Central America as a region on the international economic stage which, considering the size of the five participating economies, represents added value for the Mesoamerican area. Through its FTA network, Mexico contributed to creating a new generation of trade agreements. Most of the agreements in which Mexico is a participant go beyond simple tariff dismantling and incorporate provisions on sanitary and phytosanitary measures, trade in services, investments, intellectual property, temporary entrance for entrepreneurs, compensatory quotas and conflict resolution mechanisms. Mexicos accumulated experience in these types of negotiations is unquestionable and it has placed the country in a position to advise other governments and institutions on establishing FTAs. On the other hand, all negotiations contribute to coordination and the fact that Mexico has invested physical and human resources in establishing its FTAs has allowed it to become well known. At the same time, it has become familiar with other markets, some of which are remote and non-traditional, but that represent valuable opportunities for trade and investment at a time when the international economy is experiencing severe difficulties and facing protectionist tendencies. n
* Professor and researcher in the Political and Social Sciences Faculty, National Autonomous University of Mexico (UNAM).

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Trade Liberalization and Legal Certainty:

Essential Elements for Productive Investment in Mexico

In Mexico, trade liberalization and a series of economic policies that provide certainty for productive investment have become determining factors for the countrys economic development. Today, Mexico remains an attractive destination for foreign investment and possesses the necessary conditions to continue being an important player in international trade. ____
byjos f. narro garca* photo archive

exico has taken its participation in international trade so seriously that, since 1994, when the North American Free Trade Agreement (NAFTA) entered into effect, it has signed a further 12 trade agreements to engage in free trade with 44 countries around the world, which implies preferential access to more than 1.2 billion potential consumers and nearly 63% of the worlds Gross Domestic Product (GDP). It is interesting to remember that in 1993, Mexicos balance of trade totaled 117.25 billion usd, combining imports and exports (65.36 billion in imports, and 51.88 billion in exports). By 2011, the trade balance had risen to 700.51 billion usd , for both imports and exports, meaning that the countrys foreign trade has increased sixfold during this period. The foregoing is due to multiple factors. What stands out is the trade liberalization policy that has been implemented in Mexico. From being a country with a closed economy, today it has one of the most open economies in the world. In fact, the General Import and Export Tariff Tax (TIGIE) is deductible in most cases, meaning only 5,052 of the 12,249 tariff codes that are in-

cluded in the TIGIE require the payment of import taxes. In addition, tariff restrictions on importing merchandise to Mexico are lower than in countries such as China and Brazil. This factor increases profitability for companies established in Mexico since they are able to access supplies and final products at very competitive prices. The countrys network of trade agreements provides them with preferential access to the US and European markets, when compared to merchandise originating in economies such as that of Brazil. Through the Maquila Program in the 1970s, foreign trade opportunities in Mexico began by allowing temporary imports of supplies, machinery and general equipment for all of the goods that were required to cover the production of export products. That represented an important stimulus for foreign investment given that it could take advantage of very competitive labor costs and import all of the supplies that it needed without paying any tariffs. At that time, import tariffs were very high. That benefit was later extended to include domestic industries with idle production capacity (PITEX).

The former policy boosted industrial development by creating jobs and developing new technologies, even though, initially, this did not imply the participation of domestic industry in the maquiladoras, since almost all of the supplies used in that sector came from imports. The determining factor in achieving greater participation by domestic industry in the maquiladoras was the systematic boost given by the creation of a legal framework that provides investors with certainty, in such a way that the legislation provides for all of the legal mechanisms to allow imports free from General Import Tax (GIT) and Value Added Tax (VAT) for any goods that are used in the production of export products. In fact, in order to recover GIT that has already been paid, there is the Draw Back, better known as the Import Tax Return Program for Exporters, which allows its beneficiaries to recover the general import tax paid on imported supplies, raw materials, parts and components, packaging and containers, fuel, lubricants and other materials that are incorporated into the exported product or for importing merchandise that is returned in the same

state, or for merchandise that is imported for repair or modification. Likewise, article 106 of the Customs Law provides payment terms for occasional imports (for example, merchandise for temporary work and exhibitions, among others). Through the Sector Program (PROSEC), GIT-free imports are permitted for the integration of products that are destined for export as well as the domestic market and, if that werent enough, Rule 8 exists for all cases of taxed merchandise that is destined for export. Similarly, certificates of origin may be applied and, also, the IMMEX (Manufacturing, Maquiladora and Export Service Industry), which means that any investor who needs to produce or develop in competitive conditions will find all of the legal benefits in Mexico, within a framework of legal certainty. The threads for this foreign trade liberalization were woven over more than four decades in the Ministry of Economy (SE) by molding policies and the required legislation in order to achieve Mexicos increased presence in the international market. As a success story, we must mention the automotive industry. In this productive sector, Mexico occupies the fourth place in the world in light-vehicle exports and is the eighth-largest producer in the world. The country is also the leading supplier of auto parts to the US, whose supply is based on a large network of auto parts producers that cover the requirements for this sector at the domestic level and have become large exporters that generate billions of dollars in revenue for the country each year. The same situation is evident in the electric-electronics sector where Mexico is the worlds largest exporter of flat screen televisions and the second largest of refrigerators, an area that has recorded major advances. Many other success stories exist in each of Mexicos strategic industries and serve as evidence of the countrys business potential. All of the above comes to show that Mexico possesses the necessary structure and tools to continue attracting productive foreign investment. Moreover, the country represents a true window of opportunity based on the reconfiguration of the global economy. In short: It is in the right place, at the right time. n
*General Director at Asesora, Gestin y Administracin Aduanera, S.C.

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Opportunities in Logistics
Infrastructure in Mexico
In the next few years, the development of logistics infrastructure in Mexico will not only be a requirement for the growth of many sectors of the countrys economy but it also will provide large business and investment opportunities. ____
by csar bueno* photos archive

he challenges brought by economic globalization and trade openness make competitiveness ever more pressing for Mexico. One of the keys to positioning the country as a global trade leader over the coming decade is the development of an international logistics capability that joins production, cost, quality and customer service to provide an integrated supply chain, indispensable to new business and trade practices. Mexico has positioned itself as an attractive location for productive investment, something that has favored the recent increase in advanced manufacturing industries based in the country, such as aerospace, automotive, electronics, medical and food processing, among others. That has further encouraged investment in multi-modal transport corridors comprising inland ports, industrial parks and free trade zones in order to develop Mexico as a logistics platform and link it to world markets. In recent years, Mexico has pushed forward the most ambitious infrastructure program in its history, building and modernizing a 133,000-kilometer network of highways, 76 airports 64 with international flights

27,000 kilometers of railroads and 117 maritime ports of which 68 are container ports. Together, these means of transport connect the states on the Pacific coast with those on the Atlantic, and the communities in the north of Mexico with those in the south. Furthermore, Mexico has taken significant steps forward in regulatory issues, such as the creation and implementation of the so-called one-stop-shop for carrying out procedures related to the import and export of goods. In that context, logistics is one of the sectors with the greatest development potential in Mexico, due to the need to optimize logistics centers to offer higher competitiveness to potential investors. To that may be added the creation of new economic and commercial frameworks in which the country is a partner, such as the new treaty with Peru, the Pacific Alliance, the consolidation of the Central American Free Trade Agreement, the expansion of agreements signed with Colombia and Japan and the Trans-Pacific Partnership Agreement (TPP). The TPP alone represents a major step in commercial activity and inter-dependence within the North American Free Trade Agreement (NAFTA) zone, which shall provide the basis for an increase in productive investments and lead to new opportunities for a range of industries.

That impels Mexico to increase its productivity and raises the need to administer efficiently and in a competitive manner the supply chains for commodities arriving from all over the world in order to integrate them and transform them into goods that will, in turn, be sent efficiently and competitively to every part of the globe. In the sphere of logistics, Mexico represents great opportunities for the private sector to work together with government to create public-private partnerships that invest in infrastructure development. For example, during 2011, investment in airport infrastructure totaled almost 4 billion pesos, of which 1.3 billion (32.2%) came from public funds and 2.7 billion (67.8%) from private funds, and was assigned to the modernization, expansion or refurbishment of Mexicos airports. As for port infrastructure, investment totaled 9 billion pesos, of which 61.3% came from public funds and 38.7% from private funds, targeted at building new docks and terminals for both passengers and cargo. Plans are underway for Mexico to continue developing its logistics and distribution infrastructure but it will certainly continue to require investment from all sectors. n
*Trade Commissioner at ProMxicos Office in Miami, Florida.

Logistics is one of the sectors with the greatest development potential in Mexico, due to the need to optimize logistics centers to offer higher competitiveness to potential investors.

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Seedbed of New Partners for UPS

Mexico,

The transnationals move into Mexico has been a success, thanks to the domestic market and the strategic geographic location of the country. ____
by sandra roblgui photos courtesy of ups

exports and supply and distribution chains of different companies. These firms only need to organize themselves and tell us where to pick up their load and whether we should transport it to the final destination or our own warehouse, and from there we will deliver it to the middle distributors or the end client, explains Serrano.

hanks to its market, industrial requirements and position on both geographical and economic maps, for United Parcel Service (UPS), Mexico is a key station in Latin America, according to Alfonso Serrano, country director of Industrial Engineering for the transnational firm, which in 2011 delivered 4 billion parcels and envelopes around the world. The arrival of UPS in Mexico has proven to be a productive move. In 1989, it set up a small international operation in the country, with the intention of expanding. Just a couple of years later, in 1991, the companys portfolio grew to include domestic mail and parcel services. The results were so positive that in 1995 the firm decided to set up a logistics section. Today, UPS directly employs more than 2,000 people and runs over 70 operations centers around the country. UPS airplanes collect and deliver hundreds of packages in Mexico City, Monterrey, Tijuana, Hermosillo, Chihuahua, Guadalajara and Cancn. UPS also takes Mexico into account when making global investments, which over the last 15 years have amounted to 1 billion usd of technology. Thanks to its own investment and the support of a number of commercial partners, UPS covers 100% of zip codes in the country. We are confident that we manage the most complete portfolio in the country, remarks Alfonso Serrano, who explains that, today, the firms operations range from delivering a letter to the financial services offered by UPS Capital, through a bank, by way of product storage and logistics operations. In Mexico, the transnational company offers both domestic and foreign clients goods transportation on a full truckload, less-thantruckload or five package basis, as well as a standard courier service, which comprises the delivery and storage of small packages. Just as in the other countries where it maintains a presence, in Mexico UPS developed the capacity to design the imports,

In Mexico, the transnational company offers both domestic and foreign clients goods transportation on a full truckload, less-than-truckload or five package basis, as well as a standard courier service, which comprises the delivery and storage of small packages.

Given the proximity to the US, the majority of the firms international operations in Mexico 60%, in fact are connected to trade with that country. More surprising perhaps is the fact that in the last few years UPS has seen a significant increase in the level of trade between Mexico and both Europe and Asia. These exports and imports comprise an X-ray of Mexicos industrial activity. Above all, UPS exports and imports components for the automotive, pharmaceutical and high-tech industries. These cross-border movements of goods take place at the same time as the firm provides specialized storage and financial services, through UPS Capital, which in the words of Serrano is: Our financial powerhouse for backing provision of funds for investment, where an entrepreneur can go for a loan to help grow his business. Alfonso Serrano admits that, just 23 years after it arrived in the country, the growth of UPS in Mexico has been staggering. He shares the secret of the success in the logistics business: In this globalized market, everyone who comes to us is treated as a logistics partner, not just a client. For each of our partners we seek flexible solutions that facilitate their growth. Whats more, we support businesses so they can grow their exports. We have generated logistics solutions to make that happen. After 105 years of tradition in logistics since the firm was first set up in the US UPS grows in line with the growth of its partners, says Serrano. One of the clearest examples of that mutual growth is the counters we opened in Guadalajara in October 2012. They are all staffed by trained personnel so that UPS clients can ask for advice. Businesspeople can find the consultancy services they need to begin exporting or to grow their domestic and international market. We believe that we are a solution in light of the flexibility of the global market, he adds. The task of UPS is to generate clear, tailor-made solutions for each of its clients. In Mexico, these partners are looking for that same customized service, whether it is importing a large component for the aerospace industry or sending a letter. UPS says yes to all of them. n
www.ups.com

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Full Steam Ahead


for Intermodal Transportation
Mexicos 20 intermodal terminals provide speedy service, according to the Mexican Intermodal Association, which brings together more than 40 companies from different areas of the intermodal transport chain. ____
by sandra roblgui photos courtesy of ferromex

exico has the infrastructure needed to transport practically any type of merchandise to almost any main market in the country and has developed seamless routes to the US, according to the President of the Mexican Intermodal Association (AMTI), Isaac Franklin Unkind. With over 40 members, including transportation, shipping, logistics, intermodal, railroad and customs companies among which almost half of them are international the group that was founded in 2001 aims to gather all of the countrys intermodal supply providers in order to deliver integrated, quality services for a growing industrial market. Intermodal transport is one of the safest, cheapest and most efficient ways to move products throughout Mexicos vast territory and across North America, says the AMTI president, since it takes advantage of two or more transportation systems for the merchandise to reach its destination. After a shipment arrives at an intermodal termi-

nal, such as a maritime port, it seeks out the cheapest form of inland transportation. Mexico is home to 20 intermodal terminals, distributed throughout the entire country. For the time being, they are enough to make logistics and product import and export services efficient. We have an expedited service and it is easy for our clients the biggest is the automotive industry to schedule their imports and exports, states Franklin, who is probably one of the most knowledgeable sources on this subject in Mexico. Franklin adds that the greatest benefit of intermodal transport is that it combines the best features of each modes of transportation. One of the main intermodal trade corridors between Mexico and the rest of North America runs from the Port of Lzaro Crdenas in Michoacn, to those in Seattle and Boston in the US, and to Montreal in Canada. For fast and modern transport, the railroad industry is investing in improving railroads, a mode of transportation used since the middle of the 19th century. Isaac Franklin lists the advantages of using trains in Mexico: they run to virtually all of the countrys industrial hubs; they are cost-efficient and environmentally-friendly since they emit 75% less greenhouse gases; they are safe and are able to transport construction materials, auto parts, electronic components, vehicles and bulk food, with the same degree of safety. In addition, Mexico has a practically seamless freight railroad system connecting

it to the US and Canada, enhancing operations even above the freight railroad systems of several European countries. For example, while only 2% of freight in Spain is transported by rail, in Mexico that figure is 26% and rises to 50% in the US. Ferrocarriles Mexicanos (Ferromex) alone, the largest railroad company in the country, owns 8,500 kilometers of track,

Mexico has a practically seamless freight railroad system connecting it to the US and Canada, enhancing operations even above the freight railroad systems of several European countries.
which connect to five border crossings with the US: Mexicali, Baja California; Nogales, Sonora; Ciudad Jurez and Ojinaga in Chihuahua; and Piedras Negras in Coahuila. On the Pacific coast, Ferromex connects the ports of Manzanillo, Colima (where 25% of shipping freight is transferred to railroads); Mazatln and Topolobampo, Sinaloa and Guaymas, Sonora. In the Gulf of Mexico, its trains reach Tampico, Tamaulipas, and in the countrys heart, they reach Mexico City, Guadalajara and Aguascalientes in the center-west and Monterrey in the north, among other industrial metropolises. The countrys other railroad company, Ferrosur, has tracks throughout southern

Mexico and reaches ports such as Lzaro Crdenas, where 50% of the merchandise that enters the country is transported by train. The Mexican tracks extend all the way to Ciudad Hidalgo, Chiapas, in the extreme southwest of Mexico, on the border with Guatemala, and from there the merchandise is transported by road. Goods travel by boat, train and highway and AMTIs member companies numbers are optimistic. To the same degree that the supply chains have made investments in their respective categories, beginning in 2009, there has been two-digit growth in the volume transported by AMTI members, says Isaac Franklin, who highlights that the Ferrovalle Terminal located in both Mexico City and Estado de Mxico alone moves 380,000 containers per year. One of the strategic partners in this business has been ProMxico, an indispensable ally for AMTI in helping to attract investments, select sites and provide infrastructure consultancy, for example in expanding the maritime ports and internal terminals and helping members to promote Mexican intermodal services in the US. For now, with regard to intermodal transportation, in Mexico, everything points to a promising future, concludes Isaac Franklin Unkind. n
www.amti.org.mx

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Logistics on Wheels
Logistics Dadoo is a transactional advisory firm for Mexicos transportation and logistics industry. ____
by karla garduo photos archive

ased on the premise that everything requires transportation, work in the field of logistics is inexhaustible. Whats more, it is in continual expansion, making the services of Logistics Dadoo invaluable. More than just an advisor, Logistics Dadoo provides solutions for different challenges facing logistics companies but also implements them. The background of its Mexican founder, Ricardo Dadoo, is the company s greatest asset. His experience in the financial industry with Bank of America and then as first Director General of upstarting United Parcel Service (UPS) into the Mexican market, has provided him a unique skill set. In fact, Logistics Dadoo was founded as the clients who had previous contact with its founder sought him out for solutions and direct support.

plier] company, how can I expand my client portfolio? If I am a foreign company setting up in Mexico, who should I buy from, who should I form a business partnership with? The number one reason is sales, how to make companies grow, thats where 70% of our business comes from. The other 30% comes from Who should I partner with? Who can I trust, who will give me results and adapt to my philosophy? explains Ricardo Dadoo, who has an MBA from the Stern School of Business at New York University. The results of the support provided by Logistics Dadoo are easily measured: did sales increase or didnt they? Did we find the best partner, or didnt we? Was the problem fixed or not? Dadoo can tell a lot of success stories, such as his recent experience with a foreign logistics company for whom they acted as consultants on how to retain a contract with a Mexican company.

Almost everything needs to be transported from origin to destination. The transportation sectors, ships, logistics, storage, intermodal, airplanes, tractor trailers, the last mile; they have all grown. Then there is the domestic sector which has also been stable in recent years. If the foreign trade sector represents 60% of the economy and is growing at a rate of 10%, the transportation and logistics sector are growing faster than GDP, Dadoo explains. The director of Logistics Dadoo is optimistic about the countrys economic growth from foreign investment. On the one hand, production costs in Mexico are lower than those on the coastal cities of China and, on the other, transportation time to market is faster, less costly and since it requires less energy, it becomes key for sustainability. Another advantage for the logistics industry is the major infrastructure that

The company, formed in 2008, has worked with clients of the standing of Grupo Modelo, Femsa Logistics, Daimler Financial Services, DHL, Interjet Airlines, Ryder Capital, Procter & Gamble, Oma Airports Group, Bomi Medical and Roche, among others.

There are several features that distinguish us: our commercial and operational business acumen; our network of AAA industry contacts in Mexico; our banking and logistics training; and, finally, our obsession with integrity for clients who share our philosophy, says Dadoo. The company, formed in 2008, has worked with clients of the standing of Grupo Modelo, Femsa Logistics, Daimler Financial Services, DHL, Interjet Airlines, Ryder Capital, Procter & Gamble, Oma Airports Group, Bomi Medical and Roche, among others. Companies approach Logistics Dadoo for various reasons, explains Ricardo Dadoo, but the most common is commercial: to meet clients need for growth. Transportation and warehousing companies, airlines and airport groups, they all share the same concerns. If I am a 3PL [Third Party Logistics, which provides certain logistics processes to an external sup-

The company hired our services to ensure that they could reverse the sales growth trend and keep their client happy, turning it into an upwards trend. They succeeded in renewing a shaky contract, Dadoo says. To carry out the work related to the other 30% of his business, which has to do with outsourcing to Mexican transportation and logistics companies, they have a detailed catalog of the most important Mexican logistics companies. The work has not been easy but it is one of their best calling cards.

LOGISTICS ON THE RISE

In the past nine years, the logistics sector has grown three times faster than Gross Domestic Product (GDP), according to studies gathered by Logistics Dadoo. This is a result of growth in Mexicos foreign trade, which represents more than 60% of the countrys GDP.

has been built in recent years and ease of customs that allow for faster time in transit from Mexico to the US to connect ports, manufacturing plants and border crossings more efficiently. Mexico is now 1.5 days by truck and around 2.5 days by rail from the US. As a result, manufacturing for export is growing at a double digit rate and just-in-time logistics movements procure import of components and exports of finished or semi-finished goods where demand exists within a few days. I see a considerable amount of foreign direct investments flowing into the Mexican logistics industry in the next five years. Fedex, KCS (Kansas City Southern Railways) and other companies made recent investments. We offer valuable advice and are ready to assist them in their expansion plans, closes Dadoo. n
www.logisticsdadoo.com

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Mexico,

the Shortest Route to Successful Trade

As a logistics firm, Grupo Logistics undertakes the processes of customs tariff classification, checking, export and international freight for imports as well as distribution, tax procedures, storage and domestic freight of finished products for its retail clients and of commodities for its portfolio of industrial partners.

The transit of commodities and finished goods from one side of the world to the other is the lifeblood of the global economy: a task for experts who know that nothing can be left behind. In Mexico, the natural route for trade with the US, Grupo Logistics is in charge.
____

t is a fact that foreign investors have placed their trust in Mexico due, in part, to its privileged geographical position midway between some of the most attractive markets for multinational companies as well as to its highly-skilled workforce. However, logistics services also play a fundamental role in the equation. If logistics are deficient the added value of Mexicos qualified workforce is lost because the commodity and parts inventories get held up and the whole assembly process slows down, explains Leopoldo Alcntara, director general of Grupo Logistics, with regard to the large assembly firms that base themselves in Mexico and that rely on having the resources on hand when they need them, in order to meet the strict manufacturing programs demanded by international markets. Perhaps the best case to illustrate Alcntaras point is the business relationship Grupo Logistics maintains with a Canadian transportation firm. That multinational has invested large sums in its assembly plants in Mexico and especially in Ciudad Sahagn in the state of Hidalgo, where it manufactures diesel-electric locomotives for the US company Progress Rail. Grupo Logistics is responsible for the just-in-time supply of inputs from Canada and the US and takes charge of transportation, customs procedures (the logistics firm sets a maximum standard of 47 minutes for its trucks to cross the border), timely delivery from the northern border to locations around Mexico and the export of the finished product.

by omar magaa photos courtesy of grupo logistics

Alcntara goes on: In a country like Mexico, where the automotive, aerospace, home appliance and other industries have found the ideal location to set up, it is vital for 4PL (Fourth-party logistics) companies like Grupo Logistics to become trusted allies for foreign investors seeking to drive down production times and costs and taking advantage of the geographical position that the large Asian manufacturing countries lack. We are just a few hours away from the largest market in the world which, despite the current crisis, remains a huge market. This provides us with an exceptional opportunity to consolidate our position as an exporting country over the next few years, he continues.

Logistics: An All-Round Program

Grupo Logistics has carved a niche for itself in the heavily contested field of logistics thanks to the comprehensive focus that has enabled it to develop from the customs agency founded by Alcntara back in 1987 to a company that gets involved in the whole supply chain strategy required by foreign trade. In 1994 we were just another customs agency. That year, when the North American Free Trade Agreement (NAFTA) was signed, we thought about what we could do differently and so we set up Grupo Logistics with the intention of becoming an all-round logistics group, Alcntara recalls. As a logistics firm, Grupo Logistics undertakes the processes of customs tariff classification, checking, export and international

freight for imports as well as distribution, tax procedures, storage and domestic freight of finished products for its retail clients and of commodities for its portfolio of industrial partners. The firms work for Costco, Autozone, Bombardier, Liverpool, El Palacio de Hierro, Adidas, Mitsubishi, Femsa, Kelloggs, Black & Decker, Skyworks and Vitro, among others, represented 7 billion usd worth of goods transported by the end of 2012 equivalent to 8,000 TEU. What distinguishes Grupo Logistics, according to Alcntara, is the design of logistics plans to meet the needs of each company involved in foreign trade. We seek to go further and become 4PL-not only providing the muscle but also the logistics design, he asserts. That attitude has convinced both Mexican and foreign companies of different sizes, including smaller firms that find the larger multinationals dont provide plans that meet their logistics requirements. Information technologies (IT) are the basic tools of this strategic nerve center, meaning Grupo Logistics can guarantee its clients optimum coordination and monitoring of the valuable goods, which they have entrusted to the firm. That means an increasing number of engineers are joining the workforce that largely comprises international business graduates. According to the founder of Grupo Logistics, there are 25 engineers responsible for IT processes such as tracking systems and continuous visibility of goods. The firm also has contracts

with some of the leading developers of inventory software, such as Oracle and SAP. Furthermore, the company provides customs services based in Mexicali, Tijuana, Laredo, Colombia (Nuevo Len), Veracruz, Lzaro Crdenas, Manzanillo and Mexico City International Airport, covering more than half the countrys major ports. Grupo Logistics estimates its 2012 income at 45 million usd for sales of services and calculates that over the next few years that will rise to 80 million, thanks to the consolidation of the industries that have experienced outstanding growth in Mexico in recent years and the increasing involvement of other productive sectors in foreign trade. We are seeing major development in Baja California, Sonora and Chihuahua, with high levels of growth, and looking ahead exports of agricultural products are going through the roof, says Alcntara. If things continue as they are on the international markets, Alcntara believes Mexicos privileged position as an exporter is assured. Moreover, by 2018 it will become the principal supplier to the US and will climb a number of positions in the world ranking of largest automobile producers. We are getting ready so that the company structure can cope with the forthcoming bonanza, Alcntara concludes. n
www.grupo-logistics.com

Still More in the Pipeline for Mexico

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Three Generations

of Logistics Experience

Established in 1861, the firm Gomsa evolved from a representative of foreign goods suppliers to import, export and distribution services that range from wind turbines to fine watches. ____
by sandra roblgui photos archive

The versatility of the Mexican firm is the source of its growth. Tiburcio Garca recalls that in 2008, customs procedures accounted for 95% of its activities. While these remain at the same level, they now represent only 70% of the firms activities.
in Mexicos main maritime ports and border crossings, including Manzanillo, Colima and Lzaro Crdenas on the Pacific coast; Veracruz, Tampico and Altamira on the Gulf of Mexico; Piedras Negras, Laredo-Nuevo Laredo, Reynosa and Matamoros on the northern border with the US. It also has offices in Monterrey, Guadalajara, Toluca and Quertaro; Salina Cruz in Oaxaca and Ciudad Hidalgo in Chiapas, on the border with Guatemala. Thanks to its presence throughout most of Mexicos territory and the infrastructure it has developed, especially in recent years, Gomsa has specialized in handling the specific needs of a number of industries, including domestic appliances, raw materials, luxury goods, fashion, metal products, energy generation and special projects. We transport the raw materials for Mexicos major industries [] Whats more, we dont just import, classify and transport the goods; we are involved in planning from the design stage for increasingly specialized products, such as the import of wind turbines and their transport to the final destination, says Garca. This flexibility of the services on offer and the commercial partnerships it has forged have enabled Gomsa to win more public tenders and carry out transport operations not only between Mexico and the US but also with the Caribbean, Central America and Europe. Gerardo Tiburcio Garca attributes the successful development of the logistics sector in Mexico to three factors that have emerged as fundamental in recent years: 1) the role played by labor costs in world markets; 2) the geographic situation of the country, as a corridor between North and Central America and 3) the advancement of professional and technical skills in the country. Today, the company founded as a representative for foreign goods suppliers and which provides services to a third generation of clients in some cases does much more than distribute luxury foodstuffs. Its 450 employees are trained to handle almost any kind of merchandise and to do so as if it were their own. That has enabled Gomsa to develop a relationship of trust, transparency and professionalism, meaning its clients know they will get what they expect, when they expect it and in the form they expect it, every single time, concludes Garca. n
www.gomsa.com

n Mexico, Gomsa is a synonym of history and the development of integrated logistics. The third generation of the Gmez family, which founded the company in 1861 in the port of Veracruz, is firm in the belief that what cannot change in the company is the principle that other peoples belongings should be treated as if they were ones own. Apart from that motto and the location of the company headquarters, many things have changed since then. To begin with, Gomsa is no longer just the representative for foreign goods suppliers that it was in the 19th century, when it focused on the unloading and distribution of foodstuffs that arrived in Mexico, mainly from Europe. Today the same firm carries out 55,000 transactions per year, says its director of marketing, Gerardo Tiburcio Garca. These include dealing with customs, imports, exports, freight, storage and labeling. Moreover, the merchandise placed in the care of the firm no longer arrives only from the Old World but from around the entire globe. The world has definitely changed. Today, Gomsa has the capability to manage the transfer, disembarkation and care of components weighing up to 200 tons, using special frames, such as wind turbine blades measuring 120 meters in length, auto parts, synthetic fibers, packaged and bulk pharmaceuticals, hazardous chemicals, wines, refrigerated and loose foods, fine jewelry, clothing by European designers and practically every kind of good that can be transported by air, sea or land. The versatility of the Mexican firm is the source of its growth. Tiburcio Garca recalls that in 2008, customs procedures accounted for 95% of its activities. While these remain at the same level, they now represent only 70% of the firms activities. Of the rest of the companys efforts, 20% are dedicated to domestic freight transport and 10% to international shipments. We form part of a network of worldwide partners enabling us to offer a standardized and punctual service, says Garca. In Mexico that service includes cutting-edge technology including a fleet of 40 trucks with 24-hour satellite monitoring and the infrastructure to handle sensitive shipments such as medicines and luxury goods in which each item may cost up to 80,000 euros. Evidently, Gomsa moves merchandise by air and sea as well as by land. For greater flexibility, the firm has offices and handlers

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Customs Offices: Key Players in Mexicos Foreign Trade


Each year, Mexico handles almost 720 billion usd of international trade and the countrys 49 customs offices make an important contribution to this figure.
____
by antonio vzquez photos archive

According to Ramos Casas, customs offices represent a fundamental piece of infrastructure for Mexican foreign trade that operates in a balance between different federal departments and private enterprise.

round 63% of Mexicos Gross Domestic Product (GDP) arises from foreign trade and the countrys customs offices play a key role in that, according to Fernando Ramos Casas, President of the Confederation of Customs Agents of Latin America (CLAA). Customs offices are of great importance for foreign trade in Mexico. They apply checks on goods entering and leaving the country and on products connected to health and the environment. They are the frontline in the struggle against pirated goods, which places great demands on those who work in them and requires greater investment, according to Ramos Casas. The automotive, aerospace and mining sectors, assembly plants, pharmaceuticals, export of crude oil, import of gasoline and worldwide beer sales are just a few of the areas of foreign trade that customs offices deal with. Each year, Mexico handles around 720 billion usd through its 49 customs offices 11 in the interior of the country, 17 in ports, two on the southern border and 19 along the border with the US. According to Ramos Casas, customs offices represent a fundamental piece of infrastructure for Mexican foreign trade that operates in a balance between different federal departments and private enterprise. Mexican customs offices have undergone modernization in recent years. Video surveillance equipment has been acquired,

with checkpoints set up at vehicle crossings, for example. The project to create a one-stop shop for customs procedures was an ambitious federal government project to bring together all the bodies involved in foreign trade. That has been a success and the benefits will be seen shortly, Ramos Casas declares. Thanks to its excellent geographical location, Mexico enjoys advantages when it comes to imports and exports. The country has a 3,200 kilometer-long border with the US, the largest consumer of goods worldwide. It has also signed free trade treaties with dozens of countries, facilitating access to the largest trading regions and markets around the world. In that regard, it is important to work on a nationwide project to consolidate Mexicos position as a logistics platform. We have to put a number of issues on the table to improve things further: port infrastructure, railroads, enhanced support for inland ports, among other matters, believes Ramos Casas. He highlights putting the different customs services on an equal footing in order to expedite procedures, as one point the new administration needs to work on. Now that a new government is beginning its term in office, it should take a serious look at the level of institutional coordination between the federal bodies that play a part in foreign trade. Some of them have

their own sets of regulations and sometimes that represents an obstacle, such as gaining faster access to the rail network, for example, says Ramos Casas. For him, one of the main issues to be discussed over the next six years should be the separation of customs offices from the Tax Administration Service (SAT) and their incorporation into the Ministry of Economy (SE). The SAT is a dependent body of the Ministry of Finance and Public Credit (SHCP), which is in charge of collecting taxes in the country. According to the specialist, if

Mexicos customs offices were to become part of the SE, it would enable the department to take charge of customs policies and strengthen its actions to promote foreign trade for the country. We should take advantage of the feeling that Mexico is currently in a good position. Brazil is declining, China isnt what it was, but in Mexico the conditions are just right for rapid growth. There is plenty of work to be done and the new government has a once in a lifetime chance to break with the current paradigm and apply new solutions, Ramos Casas concludes. n

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DHL, Delivering the Goods in Mexico


In recent years, it has been government policy that has promoted the development of strategic logistics infrastructure a sector that today reports multi-million-dollar earnings. DHL is a pioneering force on Mexicos logistics market. ____
by sandra roblgui photos courtesy of dhl

exico is making progress and its logistical services are developing on a par. DHL doesnt just transport urgent documents anymore, but special solvents for the pharmaceutical industry and parts for the automotive and energy industries. Mexico is a vital link in the DHL Supply Chain, a global operation that reported sales of 13.2 billion euros across 220 countries worldwide in the 2011 tax year. One of the companys most important ports in Latin America, DHL has a 29% share of Mexicos logistics market.

According to a report published by the research and consulting firm Armstrong & Associates, the Mexican government has promoted the development of strategic logistics infrastructure, such as the expansion of marine ports, pipelines for the supply of natural gas, the modernization of railroads, electricity generation, and the expansion and upgrading of airports and communications networks. Armstrong & Associates values Mexicos logistics market at 142.2 billion usd and puts DHL at its helm. DHL Supply Chain is a division of Deutsche Post DHL, which has grown from being a mere messenger, to a valuable

partner of industrial activity in Mexico, where it renders services that range from the planning and design of supply chains to consulting and analysis services in the areas of purchases and the hiring of suppliers. It also has experience in the production area, supplying parts to manufacturers and delivering directly to production lines, plus 70,000 square meters of facilities for storage, packaging and assembly services. A market leader for several years now, DHL Supply Chain has 80 distribution centers in Mexico, where it has entered into alliances with 7,800 specialized associates, making sure their products arrive and are returned on time and in tip-top condition.

In short, DHL has a presence at every step in the logistics chain, helping connect Mexico with the rest of the world. A task that is facilitated by its 22 operating centers at inland and marine ports and major industrial hubs on the US border Tijuana and Mexicali, Baja California; Nogales and Hermosillo, Sonora; Reynosa , Tamaulipas; Monterrey, Nuevo Len; Saltillo and Torren, Coahuila, in Central Mexico Aguascalientes; San Luis Potos; Quertaro; Puebla; Len and Celaya, Guanajuato; Guadalajara, Jalisco; Texcoco and Toluca, Estado de Mxico, and Mexico City, the Gulf of Mexico Villahermosa, Tabasco and Veracruz, Veracruz the Pacific in the port

of Manzanillo, Colima and the Mexican Caribbean, in Mrida, Yucatn. Products for the healthcare, retail, hitech, automotive, energy, chemical and pharmaceutical industries pass through these centers on their journey from one end of the country to the other and further afield. The pharmaceutical industry is of particular importance to DHL in Mexico, where it has been a pioneer in secondary packaging for the storage and distribution of medicines, with the authorization of the Federal Commission for Protection against Health Risks (COFEPRIS), and was among the first logistics companies to render services to the healthcare system.

DHL Supply Chain is a vital link between the pharmaceutical industry and hospitals, providing controlled multitemperature transportation services, facilities for the storage of large batches of medicines which would otherwise take up valuable space at hospitals, and sharing distribution activities with drug manufacturers, a strategy that reduces expenses for its customers. These services are perhaps a metaphor for the good health this multinational enjoys in Mexico, where it can be relied on to deliver the goods every time. n
www.dhl.com

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Mexico is one of the most important stations worldwide for Lufthansa. That is why we decided to fly cargo planes here, currently five days a week. There are other important hubs in the Americas, such as Sao Paulo in Brazil, or Chicago and Atlanta in the US but what gives strategic value to Mexico is its geographical location and its strong relationship with Germany, notes Curt Fischer.

T
Mexico: A Strategic Ally for Lufthansa Cargo
The cargo subsidiary of the German airline is one of the major partners for air cargo transports to and from Mexico. In 2013 further capacity increases are planned.
____
by antonio vzquez photos courtesy of lufthansa cargo

hanks to its strategic position on the world map, Mexico represents a key market for Lufthansa Cargo, the freight and logistics subsidiary of the airline based in Frankfurt, Germany. Each week some 500 tons of goods travel from Europe to Mexico via Lufthansa Cargo, while the German airline carries around 250 tons of goods from Mexico to Europe in its cargo aircraft, according to Curt Fischer, regional manager of the firm for Mexico and Central America. Besides our daily passenger flights that fly our route between Frankfurt and Mexico City at full capacity both ways, we currently fly additionally five days per week with cargo aircraft. As of March 2013 we plan to increase to six flights per week. Naturally, it all depends on industry. If industries require air freight, we will be there to move it and Mexico offers great prospects given the level of industrial demand, says Fischer. He explains that it is the automotive industry that most turns to companies like Lufthansa Cargo, resulting in business and investment opportunities for the logistics sector. A great deal of investment will be made in Mexico over the next few years. For example, the German automotive industry has an interest in the country. Furthermore, Germany is a country with which Mexico has a strong relationship and where we see many possibilities. Then there are the aerospace and pharmaceutical industries, where many companies have also expressed interest in

further investing in Mexico. We have seen for example an increase in the number of our special temperature-controlled containers that enter and leave Mexico each week, Fischer continues. Globally, Lufthansa Cargo serves more than 300 destinations in around 100 countries with its own fleet of freighters, the belly capacities of passenger aircrafts operated by Lufthansa and Austrian Airlines, and an extensive road feeder network, positioning it as one of the leading companies in the field. In 2011, the company transported about 1.9 million tons to different points around the world. In a statement in March 2012, Lufthansa Cargo reported that in 2011 it had an operating profit of 249 million euros and its annual turnover amounted to 2.95 billion euros, 5.3% more than in 2010. Mexico is one of the most important stations worldwide for Lufthansa. That is why we decided to fly cargo planes here, currently five days a week. There are other important hubs in the Americas, such as Sao Paulo in Brazil, or Chicago and Atlanta in the US but what gives strategic value to Mexico is its geographical location and its strong relationship with Germany, notes Curt Fischer. The fact is that around 50% of the products that arrive in Mexico by air come from Europe. The company also has its own infrastructure in Mexico Citys International Airport, including a 3,000-square-meter warehouse guarded 24 hours a day, 365 days a year. Safety is paramount. The

starting point is that we have our own security station, and one of the most up-to-date X-ray set-ups, says Fischer, adding that the Lufthansa Cargo facilities at the airport in Mexico City employ about 100 people. Were especially happy with the close relationship we have with the freight forwarders in Mexico, which is essential for smooth logistics, he confirms. The experience and infrastructure of Lufthansa Cargo allow the company to handle any type of cargo. Automotive parts, fruit and vegetables, chemicals, animals, valuables and virtually everything that can legally enter Mexico are transported in the German firms cargo aircraft. In an effort to provide greater productivity with a focus on sustainability, Lufthansa Cargo aims to digitize the necessary documentation and air in Mexico waybills. One of the issues currently under discussion throughout the industry is the transportation of cargo without the need for additional paper, such as invoices and documentation. There is a need to reduce paperwork and to use electronic alternatives, which would also benefit the environment, says Fischer. Our goal is to provide a better quality service, so that worldwide we can continue transporting cargo to and from Mexico, more swiftly and with the guarantees and certainty that customers expect when purchasing air cargo, he concludes. n
lufthansa-cargo.com

38 Negocios ProMxico

Negocios ProMxico 39

Mexico:

THE LOGISTICS HUB OF THE AMERICAS


36,469.61 193,037.79 98,051.78 11,821.18 12,896.54 13,533.36 29,835.46 19,656.76 30,102.72 11,198.04 11,332.07 81,352.47 27,005.45 26,377.72 10,284.73 9,182.82 3,084.45 3,213.42
07 08 09 10

173,493.15

68,130.08

168,706.78

53,688.60

72,797.92

74,172.35

8,282.50
11

163,241.63

Mexican Exports by Transport Mode


Million USD (Data for 2012 from January to September)

141,896.31

153,778.57

07 08 09 10 11 12

11

12

07 08 09 10

11

12

07 08 09 10

11

12

07 08 09 10

3,263.84

By Road

By Sea

By Rail

By Air

Others

Major Customs for Mexican Exports By Air


Exports by custom, million USD (Data for 2012 from January to September)

By Sea
7,742.37 9,069.14 6,191.60 10,115.10 14,402.70 9,413.90
Exports by custom, million USD (Data for 2012 from January to September)

6,261.57
12

4,878.73 5,608.60 4,622.57 6,942.35 9,461.82 7,911.71

2,725.61 3,041.57 3,221.35 4,225.44 5,352.98 4,166.39

601.86 552.63 686.91 731.44 766.03 540.91

27,842.64 35,121.53 20,349.62 23,378.22 32,844.83 25,474.11

11,028.06 13,065.15 9,455.95 12,311.21 16,725.50 14,389.01

4,474.61 4,881.84 4,652.46 6,293.88 8,136.69 5,985.12

4,950.39 6,140.73 5,586.72 5,342.18 4,462.65 4,630.99

353.68 412.90 364.51 533.94 608.40 459.79

839.88 960.00 1,087.93

1,028.92

176.87

216.46

4,766.99 3,754.51

4,681.55 5,603.89 14.75 25.25 36.16 28.64 1,626.75 2,510.61


infographic oldemar

1,637.98 1,712.18

321.74 84.78 134.84

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

104.61

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

Guadalajara
JALISCO

Mexico City

Monterrey
NUEVO LEN

Progreso
YUCATN

Toluca
ESTADO DE MXICO

Chihuahua
CHIHUAHUA

Ciudad del Carmen


CAMPECHE

Veracruz
VERACRUZ

Coatzacoalcos
VERACRUZ

Manzanillo
COLIMA

Altamira
TAMAULIPAS

Dos Bocas
TABASCO

By Road
Exports by custom, million USD (Data for 2012 from January to September)

By Rail
Exports by custom, million USD (Data for 2012 from January to September)

5,204.99 5,592.68 5,567.51 7,796.18 9,988.79 8,194.11

36,212.26 40,275.61 35,748.51 42,602.98 48,631.32 41,098.13

15,481.43 14,758.06 11,371.60 14,447.56 18,551.96 15,575.71

3,692.21 4,159.41 3,667.83 5,145.50 5,979.92 3,786.49

17,642.26 18,537.64 15,080.32 17,805.66 18,077.02 13,888.94

30,651.76 30,104.84 27,564.55 38,389.73 42,069.22 32,009.52

24,593.19 25,855.55 22,264.32 24,672.34 25,596.34 18,715.43

2,911.57 2,979.54 2,552.12 3,718.25 3,713.10 3,547.35

8,598.90 8,693.59 6,604.32 8,133.58 8,863.25 7,827.24

12,906.77 16,071.40 13,925.77

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

7,539.76

07 08 09 10 11 12

07 08 09 10 11 12

07 08 09 10 11 12

335.01 322.61 279.86 415.59 511.59 267.63


07 08 09 10 11 12

14,261.23 13,197.95

Nuevo Laredo
TAMAULIPAS

Ciudad Jurez
CHIHUAHUA

Tijuana
BAJA CALIFORNIA

Reynosa
TAMAULIPAS

Colombia
NUEVO LEN

Nogales
SONORA

Nuevo Laredo
TAMAULIPAS

Piedras Negras
COAHUILA

Nogales
SONORA

Ciudad Jurez
CHIHUAHUA

Matamoros
TAMAULIPAS

90.54 76.97
07 08 09 10 11 12

Mexicali
BAJA CALIFORNIA Source: INEGI.

40 Negocios ProMxico

The Lifestyle.
Mexican

IMPORTS BY TRANSPORT MODE


Million USD (Data for 2012 from January to September)

the Complete Guide to the Mexican Way of Life

178,365.82

308,603.25

281,949.05

301,481.82

350,842.88

234,384.97

161,535.57

273,262.51

149,038.82

154,509.60

140,038.95

123,844.84

Names to Follow Up
in 2013

The Lifestyle Briefs


Page 42

48 Hours in... Mrida


Page 44

54

A Brief History of The Tree of Life


Page 48

07 08 09 10 07 08 09 10 11 12

11

12

TOTAL

By Road

Page 50

Gastronomy Aurora Toledo Food From the Heart

Interview Carlos Reygadas A Unique Cinematographic Voice, An Unusual Conversation 101,892.94 23,860.26 22,832.09 28,261.32
Page 60

76,965.87

78,033.63

19,696.30

24,821.15

21,199.78

64,260.77

52,322.19

79,497.87

Mexico According to... Stephanie Sigman


Page 64

07 08 09 10 07 08 09 10 11 12

11

12

By Sea

By Air

30,635.47

13,791.84 24,638.54

20,924.70

24.390.99

17,320.14

28,497.23

32,342.83

24,729.81

12,452.93

11,687.33

07 08 09 10

11

12

By Rail

Others

Source: INEGI.

infographic oldemar

07 08 09 10

11

12

photo courtesy of vctor alemn

8,134.92

The Lifestyle Briefs

The Lifestyle Briefs

DESIGN

Mexican Design in San Francisco


The Mexican Consulate in San Francisco, California, will be hosting an exhibition of emerging Mexican design on February 7-21, 2013. Intended to celebrate Mexican culture and the diversity of its expressions, the chili pepper, a popular icon and a staple of Mexican cuisine, will be the central theme. Designers Alejandra Antn, Vctor Castro, Mara Esther Meja, Bernardo Nez, Marco Lobato, Diana Otero, Maggie Caldern, Virginia del Arenal, Alberto Villareal, Paulina Surez, Ana Aranda and Dora Izquierdo were each given five varieties of chili pepper to use as molds for their pieces.
www.sre.gob.mx/sanfrancisco

art

Gabriel Orozco at New Yorks Guggenheim


From November 9, 2012 through January 13, 2013, the Solomon R. Guggenheim Museum in New York presents Gabriel Orozco: Asterisms, a two-part sculptural and photographic installation by the Mexican artist comprising thousands of items of detritus he gathered at two sites a playing field near his home in New York and a protected coastal biosphere in Baja California Sur, Mexico, which is also the repository for flows of industrial and commercial waste from across the Pacific Ocean. The two newly commissioned works invoke several recurring themes in Orozcos oeuvre, including the traces of erosion, poetic encounters with mundane materials, and the ever-present tension between nature and culture. Asterisms marks the eighteenth project in the series of commissions organized by the Guggenheim Foundation and the Deutsche Guggenheim in Berlin. One component of the exhibition, Sandstars, responds to the unique environment encountered in Isla Arena, Mexico, a wildlife reserve, which is simultaneously a whale mating ground, whale cemetery, and industrial wasteland. Orozco has worked there before, having extracted from its sands the whale skeleton that forms the sculpture Mobile Matrix (2006), now permanently installed in the Biblioteca de Mxico Jos Vasconcelos in Mexico City. His return to this sanctuary yielded entirely new results in response to the voluminous amounts of detritus deposited there by ocean currents. He created a large sculptural installation from the refuse he collected including metal and plastic buoys, athletic balls, glass bottles, incandescent light bulbs, wooden oars, metal implements like screws and hinges, Styrofoam in various forms, construction-site hard hats, and ossified rolls of toilet paper by subjecting it to taxonomic arrangement on the gallery floor. This monumental sculptural carpet of nearly 1,200 objects is accompanied by twelve large-scale gridded photographs of the individual objects in a studio setting, organized typologically by material, color, size, and so on. A thirteenth grid documents the landscape from which the objects were retrieved, along with incidental compositions made in situ from the castaway items. This framed pictorial inventory is shown in proximity to the sculptural accumulation, creating a kind of visual ricochet between an object and its representation. The effect is one of entropic dissolution tempered by rigorous order. Included with Sandstars is a video, Whale after Waves (2012), which illuminates the environment of Isla Arena. The second component, Astroturf Constellation , similarly explores taxonomic classification, but on a completely different scale. It comprises a collection of small bits of debris left behind by athletes and spectators in the Astroturf of a playing field on Pier 40 in New York, where the artist regularly throws boomerangs. Orozco displays these myriad items including coins, sneakers logos, bits of soccer balls, candy wrappers, wads of chewing gum, and tangles of thread, again numbering nearly 1,200 on a large platform. As in Sandstars , the objects are displayed alongside thirteen photographic grids, a combination that again underscores the nuanced relationship between sculpture and photography in Orozcos oeuvre. In the exhibition, and the commission as a whole, the two related bodies of work play off each other in a provocative oscillation between the macro and the micro. Asterisms also reveals and amplifies Orozcos subtle practice of subjecting the world to personal, idiosyncratic systems.
www.guggenheim.org

FILM

Short Film Competition

Artecareyes Film&Arts, Cine Canbal and the Morelia International Film Festival have gotten together to organize Emerging Project, Short Film Challenge, a competition designed to seek out new talent and support the visual and cinematographic arts in Mexico. The competition is open to individuals resident in Mexico, who are required to submit a screenplay for a short film. The writers of the 10 best screenplays will be

mentored by Arte Careyes 2013 jurors and will receive technical and financial assistance in the production and postproduction of their films. The theme of the competition is urban Mexican culture and the 10 short films selected will form part of an omnibus that will be screened at the 2013 Morelia International Film Festival.
www.proyectoemergente.mx

44 Negocios ProMxico | The Lifestyle

Negocios ProMxico | The Lifestyle 45

Mrida
Southeast Mexico is like a Mexico apart. Here, on the Yucatn Peninsula, stands Mrida, a city of white houses and boat-borrowed architecture. The sun blazes mercilessly and the heat suffocates, yet the people of Mrida smile affably in their traditional guayaberas and embroidered huipiles. But its not just the city and its people that make Mrida special: the food is simply out of this world.
____
by jimena snchez-gmez photos archive

48 Hours in

9:30 p.m. For dinner, Nctar, a restaurant owned

by Roberto Sols, is the perfect choice to indulge your palate. Opened in 2003, this is where the chef has channeled his passion for Yucatecan cuisine. The list of Mexican wines is as varied as the dishes on the menu: octopus cracklings, quail stew, breast of smoked duck lacquered with xtabentn (a sweet honey liquor produced locally), and for dessert, a sublime crme brle made with an Edam-like cheese called queso de bola.
Nctar No. 412-1, 21st Street Colonia Daz Ordaz T. +52 (999) 938 0838 www.nectarmerida.com.mx

Friday

4:00 p.M. Rosas & Xocolate is a boutique hotel that occupies two big old

houses in downtown Mrida. Its water feature gardens boast a swimming pool surrounded by palm trees and its 17 rooms all come with a terrace and outdoor tub so you can do some serious stargazing. There is a small store selling Belgian and Mexican chocolates, and cocoa oil is the main ingredient in most of the treatments offered by the in-house spa. The hotel is conveniently located on Paseo Montejo, Mridas most emblematic avenue. So check in, drop off your luggage and hit the street before the sun sets.
Hotel Rosas & Xocolate Paseo de Montejo 480, on the corner of 41st Street, Colonia Centro T. +52 (999) 924 2992 www.rosasandxocolate.com

6:30 p.m. You can explore Paseo Montejo by

than exploring the archaeological sites in the surroundings of Mrida, where you can learn more about the history of the ancient Maya. After breakfast, its off to Dzibilchaltn (17 km north of Mrida). This small but interesting site has a long cobbled path leading up to the Temple of the Seven Dolls. Dust off with a refreshing dip in a cenote (underwater sinkhole). Chichn Itz (110 km east of Mrida) is famous for its main pyramid, The Castle. Just as memorable are the shadows cast by the group of One Thousand Columns and the echo that reverberates off the walls of the Ball Game court. Archaeology enthusiasts should try and make time to visit Uxmal (62 km south of Mrida). Crowned by the Pyramid of the Magician, this is a fine example of Puuc architecture.

Saturday 9:00 a.m. Theres no better way to spend the morning

foot or, better yet, board a horsedrawn carriage in Plaza Grande. One by one, the French-style houses slowly pass you by, immersed in an air of nostalgia. Theres something melancholic about them, almost as if they were clinging to memories of better days, when they were inhabited by wealthy landowners, that extinct generation of 19thcentury Yucatecans whose world revolved around henequen. To lighten the mood, drop into any of the bars on Paseo Montejo and order a beer. Hennessys (between 41st and 43rd) has a great atmosphere.

8:30 P.M. When Plaza Grande is lit up at night, its a sign the

sun and the heat have finally retreated. Passersby talk in Maya; an old man wearing a sombrero pauses outside of the cathedral of San Ildefonso. Everyone seems to be waiting expectantly: the benches, the balloon vendors, the town hall, Casa de Montejo. The strains of a trio playing a ballad or a folk song reach your ears as you admire the sculptures along Pasaje Revolucin, a mysterious alley tucked between the cathedral and the Contemporary Art Museum.

Now that youre in Chichn Itz, you might as well head north to Izamal, the Magic Town of Yucatn. In Maya, Izamal means dewdrops that descend from the heavens, and while there are no dewdrops and theyre certainly not falling, Izamal is as poetic as its name. Its main attraction is the Franciscan convent of San Antonio de Padua, with its impressive atrium, archways and endless rows of columns. Simple, yet breathtaking, its intense yellow hues leave a lasting impression, a tone youll find repeated on the facades of the houses and buildings of Izamal.

2:00 p.m.

46 Negocios ProMxico | The Lifestyle

Negocios ProMxico | The Lifestyle 47

Sunday 3:30 p.m. After your archaeological morning, linger on in


Izamal for lunch. For a taste of some fine regional cuisine, try Kinich, a traditional restaurant that serves freshly made tortillas and cochinita pibil (marinated pork wrapped in banana leaf and slow roasted in an earth oven). Sit down to a feast of papadzules (hard boiled egg tacos smothered in pumpkin seed and tomato sauce), dzic venison (leg of venison baked in an earth oven, shredded and seasoned with radish, orange and coriander), stuffed cheese (queso de bola stuffed with fruity mincemeat, bathed in an almond, tomato and spice sauce) and a delicious papaya dessert to top it all off.
Kinich No. 299, 27th Street, between 28th and 30th Izamal T. +52 (988) 954 0489 www.kinichizamal.com

9:00 a.m. The Ra Celestn biosphere reserve is just 80 km

from Mrida and is well worth the trip just to see its magnificent pink flamingos. On the way, stop off at Santa Rosa de Lima, an old hacienda that has been converted into a hotel. Here you can rent a bicycle and explore the low lying jungle or join a guided tour to Itzincab, a community where the women weave hammocks, rugs and henequen bags.
Hacienda Santa Rosa Mrida-Campeche highway, km 129 T. +52 (999) 923 1923 www.starwoodhotels.com

For lunch, Los Almendros, in Mrida, specializes in cochinita pibil and turkey with black stuffing. Dessert should be savored over a champola (water ices served in enormous glasses) at Dulcera y Sorbetera Coln (60th and 62nd Street). As for the flavors, you cant go wrong: theyre all heavenly.
Los Almendros Parque de la Mejorada Colonia Centro T. +52 (999) 923 8135 www.restaurantelosalmendros.com.mx

2:00 p.m.

Back in Mrida, theres still time for some shopping. Lucas de Glvez (a market on 56th Street, six blocks from the main square) is great for guayaberas, or you can visit the market in the old artisans neighborhood of Santa Ana (north of the city, past Paseo Montejo). In addition to huipiles and guayaberas, youll see stalls laden with stone carvings, coconut shell birds and bottles of henequen and xtabentn liquor. But nothing is sure to shock more than the makech live beetles decorated with gemstones and attached to a tiny chain; except theyre not pets but are worn by women as brooches. The other part of the market is the food section. If you have the stomach for more culinary delights, like turkey salbutes and lime soup, youre in the right place. Bring in the night with a starlit stroll through Plazuela de Santa Ana, a tree-lined square near the market.

6:30 P.M.

A weekend in Mrida wouldnt be complete without visiting the Contemporary Art Museum (MACAY), where you can see the works of Fernando Castro Pacheco, Fernando Garca Ponce and Gabriel Ramrez Aznar, three of the regions most famous artists. As a fitting final act before saying goodbye to the White Citys streets and squares, we recommend you indulge on a street stall guilty pleasure: marquesitas, crepes rolled up like a taco and filled with cheese, peanut butter and other sweet peccadilloes.
Museo de Arte Contemporneo Ateneo de Yucatn Pasaje Revolucin, between 58th and 60th Colonia Centro T. +52 (999) 928 3258 www.macay.org

5:00 p.m.

48 Negocios ProMxico | The Lifestyle

Negocios ProMxico | The Lifestyle 49

A Brief History of

The Tree of Life


____

From dust you came and to dust you shall return

by gabriela damin miravete photos archive

There is an enchanted forest in this magic town. Its trees are no ordinary trees, even though they are rooted in the ground, in a mixture of sand and clay. Their motley colored fruits are figures and objects that tell stories as fascinating as their coiling branches. These are the beautifully intricate trees of life crafted in Metepec, Estado de Mxico.

aid to have been yet another vehicle the Spanish used to evangelize New Spain, trees of life originally combined Christian imagery with references to the iconography the indigenous population was familiar with to facilitate their conversion. If so, the trunk of the first tree of life could well have been that of the Tree of Knowledge, whose irresistible fruit got Adam and Eve banished from Paradise. The first, more simplistic trees of life of a religious nature are believed to have been crafted in Izcar de Matamoros, in Puebla. It wasnt long before other stories demanded to be told, which found expression in the curious figures, perfectly oval leaves and sinuous branches of the trees of life produced in Metepec, the place of the maguey plant and the town that has gone to the greatest lengths to keep this tradition alive. Making trees of life is a complex, time consuming task. The traditional method consists of mixing clay and sand, crushing it to a fine powder and leaving the mixture to rest for three days or so. Water is added to the powder until it acquires the desired consistency and then the figures that will comprise the tree are painstakingly molded by hand and joined using wire. The finished piece is then fired for around four

hours at a temperature of approximately 650C. Once they have cooled, the trees are decorated with vinyl paint. Imagine the patience and steady hand it must take to paint the face of a miniature mermaid, the delicate wings of an angel or a minuscule clay pot. Trees of life tell a myriad of stories that range from the Conquest of Mexico to the origin of mole, including those that depict the creatures found at the depths of the ocean, from fish and octopus to the mysterious Tlanchanas, the mythical, mermaidlike creatures that are the stuff of local legend. And in October and November, you can find trees of life featuring elegant Catrinas in a colorful celebration of death. Trees of life can be miniature or monumental. There are countless family workshops in Metepec that make them, mostly in the handicrafts zone (near Casa del Artesano) and the old neighborhoods of Espritu Santo, San Miguel and Santiaguito. Reputed to bring good luck to newlyweds, after choosing your very own tree of life why not recharge your batteries with some of this Magic Towns local fare? Popular regional dishes include street tacos and crayfish salad, washed down with a delicious fermented fruit drink or a shot of garaona, a herbal drink youd be hard pressed to find anywhere but Metepec. n

Trees of life can be miniature or monumental. There are countless family workshops in Metepec that make them.

Where to shop for your tree of life in Metepec:


Taller del Sol 5 de Mayo 514 Barrio de San Mateo Tiburcio Soteno Ezequiel Capistrn 142 Barrio de Coaxustenco Adrin Luis Gonzlez Altamirano 212 Barrio de Santa Cruz

50 Negocios ProMxico | The Lifestyle

Negocios ProMxico | The Lifestyle 51

Food From the Heart

Aurora Toledo

If you happen to be in the city of Oaxaca, Zandunga is the restaurant to visit. Here, chef and owner Aurora Toledo lavishes her patrons with stews, roast pork, plantain croquettes, tlayudas and other traditional fare from the Isthmus of Oaxaca. ____
by paola valencia photos courtesy of guacamole projects

They say that behind every good cook are the secrets of hundreds of other cooks and I think theres some truth in that statement. Theres a memory that guides us when were cooking.
Where were you born and raised? I was born in San Miguel Chimalapa, Oaxaca, where my father was from. When I was five, I went to live in Asuncin Ixtaltepec, the town where my mother was from. My ethnic roots are Zoque-Zapotec. I grew up surrounded by rivers, fields and mountains. Id have pretend tea parties and make mud pies and punch with ear pod leaves. In the village they sold pastries and fresh cheese. Id chat to the locals and listen to their stories. Going to primary school in Asuncin de Ixtaltepec meant changing my habits and customs, plus I had to learn a new language. That is where I grew up with my brothers and sisters and where I began making my first basic regional dishes. May was a month of festivities and as a teenager Id go to a different party every night. I was at school but already I was doing chores in the kitchen. I used to love sharing and trading recipes with my girlfriends. Shortly afterwards, I went to Mexico City to finish school. So you became interested in cooking at an early age? Yes. From a very young age, I remember enjoying the delicacies we ate at home: river shrimp, fish of all kinds, poultry, venison, fresh cheese, cream, tamales, tortillas, totopos, memelas, broths, stews, moles, papaya, sweet potato and squash candies, even caramel bars; in short, a huge variety of flavors. My two grandmothers, each in their own time and place, were cooks and were

festival of flavor is the best way to describe the food at Zandunga, Aurora Toledos restaurant in the city of Oaxaca. An experience not to be missed by any food lover worth their salt, here the Zandunga family (Aurora & sons) welcome their guests with no other pretension than to treat their palates to a unique, unforgettable experience and share some fine Isthmus cooking with the world. In an interview with Negocios, Aurora talks about her exquisite restaurant and interesting upbringing.

always congratulated on the creativity and soul theyd put into everything they made. I wasnt lucky enough to have known them but I think I inherited their knowledge and talent, that its a matter of genetics. Even though the kitchen was off limits to the youngest children at home given the inherent risks (everything was cooked over wood fires or in red-hot ovens), I never missed a chance to sneak in and talk to the cooks, who would hint at their secrets, half-jokingly, half in earnest. They used to tell me it had a lot to do with being a woman.

52 Negocios ProMxico | The Lifestyle

Negocios ProMxico | The Lifestyle 53

best: cooking. On weekends wed sell street food and beers from home. Six months ago we moved to a fixed location and the restaurant took off from there. Your sons, Germn and Marcos, are important to the business. What roles do they play at the restaurant? My two sons have played a crucial part in this venture. They have decided to make Zandunga theirs. Marcos sees to the decoration, design and general feel of the place, while Germn oversees the presentation of the dishes, chooses the music and tends to the administrative side. Marcos studied architecture and Germn did two years at catering school and now hes studying business administration. When we created Zandunga, we wanted it to be a place with soul, a place that engages all the senses. In your own words, how would you describe the food at Zandunga? As food made with passion, that both evokes and creates memories. Theyre nostalgic dishes with soul and a strong sense of origin and identity. What inspires you to cook? Love. Its the inspirational force of my life in general. What would you say is the key ingredient in your cooking? The skirt. Its a concept that encompasses all culinary secrets, like love, patience, tolerance and good taste. Also a sense of humor, creativity and fresh ingredients. What is your favorite dish? Stew, oven-roast pork and chileajo (a sauce made with a variety of chili peppers and garlic). And your favorite beverages? Tamarind juice, coffee and mezcal. Aside from Oaxaca, what is your favorite regional cuisine? The cuisine of Yucatn. n

What does the term skirt mean? _____


In the Isthmus of Oaxaca, the women wear embroidered huipiles or cadenillas in bright, contrasting colors, and long skirts called enaguas, also in bright colors and soft fabric so they hang well. When a dish tastes good its said to have good skirt because its believed that when the cook shakes her petticoat over the pot, magic dust falls into it making the dish tasty.

Later on, I started interrogating them as to how each dish was made and thats when I realized I was passionate about cooking. I followed their instructions and when the dish turned out well and everyone agreed it was tasty, Id feel proud of myself. There were nine of us in the family. I was seventh in line and I always chose to do the kitchen chores of my own free will because it was something I enjoyed and was passionate about. You could say your school of cooking is rooted in family? Partly, yes. I learned from my mother

and the cooks at home, as well as my aunts and cousins. I also learned from the cooks I met in my village and my sons grandmother taught me a lot, too. Ive been lucky to cross paths with people with whom I invariably end up talking about food and how to prepare it. They say that behind every good cook are the secrets of hundreds of other cooks and I think theres some truth in that statement. Theres a memory that guides us when were cooking. In the course of my life, Ive met many cooks from different places who have generously shared their recipes with me. Cooks like Na Chinta, Na Laria, Na Florencia and

Adelina, to mention just a few. They, too, have been my teachers. What is so special about Isthmus cuisine? Its that perfect balance between delicate, fruity flavors, the saltiness of the sea and the sweetness of river water. What about the cuisine of Ixtaltepec? The sweet flavor of the hearts of the women whose laughter and joy make each dish they cook special. How did Zandunga come about? I needed work so I started doing what I do

54 Negocios ProMxico | The Lifestyle

Names to Follow Up in 2013


by pa lau photos archive

Negocios ProMxico | The Lifestyle 55

Art Forum

Demin Flores and La Curtidura


In 2006, while searching for a studio where he could continue his work, Demin Flores came across an old house in the Jalatlaco district of Oaxaca, a Mexican city with a dynamic art scene. But Demin quickly realized the old tannery had a lot more potential and founded La Curtidura (The Tannery), an art forum that offers artist-in-residence programs, project development and art exhibition facilities.
lacurtiduria.blogspot.com

Mexico has well-established creative traditions in practically every field, and a personality so distinct its no task to recognize something thats made in Mexico. Here is a list of names of the upholders of that tradition.

s fully fledged citizens of a globalized world, Mexicans are eager to showcase what makes them unique. There are times when their unbridled creativity manages to fuse local and international elements to achieve the perfect synthesis. This is a selection of young creators who have done just that, who walk the line between universality and individuality with confidence and who represent the very best of the countrys creative talent.

Architecture

Ambrosi Etchegaray Arquitectos


Gabriela Etchegaray Cern and Jorge Ambrosi Snchez are Ambrosi Etchegaray Arquitectos, an architecture firm that makes the discipline proud. Anyone who has graduated with a degree in architecture deserves a pat on the back and can probably design a building, but not all deserve the title of architect. In addition to a solid technical and theoretical background, a real architect brings something new to the table, is able to build on what is already there and improve it, ever mindful of context. Judging from their projects to date, Etchegaray and Ambrosi are capable of all that and more. El Pinacate is a sports, recreational, educational and cultural complex built around the community center concept but brought into the current era with a view to improving quality of life for residents of Nacozari de Garca, in Sonora.
www.ambrosiarquitectos.com

Industrial Design

Vctor Alemn
A significant amount of Mexican design has been about finding an identity. Countless paths have been explored and although the solutions havent always been the best, some carry the beacon of originality. For a glimpse of how Mexican design standards are constantly being raised, check out the website of industrial designer Vctor Alemn. Loopita is a sun lounger that interacts with itself and its loungers, who find themselves face-to-face by virtue of its loop design. Vctor is also the designer of Mua-Love is in the Air, a romantic, heartshaped swing that employs the topology of the Mobius band to bring its users into close quarters. Designs and materials that have Mexico written all over them!
www.victoraleman.mx

56 Negocios ProMxico | The Lifestyle

Negocios ProMxico | The Lifestyle 57

Chef

Contemporary Art

Diego HernndezBaquedano
Its no coincidence that Ensenada was ranked food capital of Mexico by Englands Monocle magazine in 2009. Ensenada has churned out chefs who are proud of their Mexican roots and who have translated their culture into culinary delights. Diego Hernndez-Baquedano is one young chef who was discovered by cooking. As a business administration student, Diego had to make his own breakfast, but what started out as a chore developed into a passion and he began skipping class just so he could cook. Once he realized his calling, he dropped out of college and asked for work at Benito Molinas restaurant, La Manzanilla. He worked there for a year without pay, learning culinary techniques and the importance of the origin of each product. Then, on the recommendation of Benito Molina, he went to Monterrey to work at Pangea, where Guillermo Gonzlez taught him that discipline and study are indispensable to a chefs training. Three years later, Diego moved to Mexico City and began working at Pujol for Enrique Olvera, whose motto is No menus; no rules. After all that hands-on experience, Diego finally enrolled at Javier Gonzlez Culinary Art School in Tijuana and is now co-owner of Corazn de Tierra, a restaurant in Valle de Guadalupe, Baja California.
www.corazondetierra.com

Edgardo Aragn

Dialectics and dichotomies are inherent to any symbolization process. A prime example is language, which, taken to its final consequences, gives rise to binary code: a cybernetic apotheosis of the presence-absence

duality: the binarization of reality through symbols. But what remains invisible to most is that which cannot be symbolized; that which is excluded from the symbolic representation but that is just as real: the traumatic aspect of reality. The ability to see it is the realm of the artist but not every artist has that gift. An artist with precisely that gift was

born in Ocotln de Morelos, Oaxaca. Perhaps it was his context that led Edgardo Aragn to spot the fault lines in the reality his videos and photographs depict. While technically pristine, this medium reveals the sublimely tragic political implications of social policies, thereby positioning Edgardo at the interstice of art and political activism.

Architecture

Frida Escobedo

Mexico has produced a long list of architects who have achieved international fame. Luis Barragn, one of the most recognized figures in the field, is maybe the first name to come to mind. Considered the only Mexican architect to have created his own school, there was a time when younger generations steered clear of his legacy, as has been the fate of many great artists. Recently, though, the tide has turned and upcoming Mexican architects have begun to accept his influence and proudly assimilate it. Frida Escobedo is perhaps the most promising example. Winner of the prestigious Eco Pavilion award, she was invited to participate in the Mexican Pavilion at the Venice Biennial and is one of three finalists in the 2012-2013 Rolex Mentor and Protg Arts Initiative program. Her signature creations include Hotel Boca Chica, in Acapulco, and La Tallera Siqueiros, in Cuernavaca, interventions that oscillate between art and architecture, combining tradition with her own distinctive hallmark.
www.fridaescobedo.net

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Photography

Livia Corona

Fashion Design

Marika Vera

Marika Vera studied fashion design at the Marangoni Institute in London and almost immediately after graduating was taken on as senior designer by the French firm Vanessa Bruno. She has also worked freelance for the English company Yes Master Lingerie and was a finalist in The Link, an international competition held in Cannes. Marika has always enjoyed designing lingerie and swimwear but unlike most in the business, her goal is to make garments, not for the benefit of men, but that women feel comfortable in. The name of her firm Better Than Naked says it all.
www.marikavera.com

Sometimes to get a fresh perspective, we need someone to show us not where to look but how to see what is staring us in the face. Livia Coronas photographs have just that: the ability to question the way we perceive reality since their focus is more on the way we see the subject than the subject itself. One of her first projects, Enanitos Toreros (Bullfighting Dwarves), took her 10 years to complete and portrays dwarves that work in the world of bullfighting. The project was published by PowerHouse Books in 2008 and one year later, Corona published her second book, Of People and Houses. In 2009, she was awarded a John Simon Guggenheim grant to work on Two Million Homes for Mexico, a project that explores the rise of large-scale residential developments in Mexico and how these transform our social, environmental and cultural background.
www.liviacorona.com

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Carlos Reygadas
A Unique Cinematographic Voice, An Unusual Conversation

Carlos Reygadas is one of the most acclaimed and controversial names of Mexican film. Post tenebras lux, his most recent feature film, won him the Palme dOr for Best Director at the 2012 Cannes Film Festival. In an exclusive interview with Negocios, he tells us about his life as a filmmaker in true Reygadas style. ____

by naomi palovits photo archive

roduced by Jaime Romanda and Carlos Reygadas, Post tenebras lux a line from the Book of Job that means After darkness, light exposes the inner demons of a family that has left Mexico City to live in rural Mexico. This is where most of the film is shot, in the very same house where the director once lived, in Tepoztln, Morelos, although there are additional scenes in Britain, Spain and Belgium, also places where Reygadas has lived. To make it even more realistic, his two children appear in the film. But while there is no denying its autobiographical overtones, Post tenebras lux remains a mystery. Indeed, over-analyzing any Reygadas film can be frustrating, if not a complete waste of time. In interview with the daily Variety, Reygadas said that in Post tenebras lux reason intervenes as little as possible, like in an expressionist

painting where it is more important to convey an emotion than portray the way something looks. This just about sums up Reygadas and the unique style of a director who prefers to work with non-professional actors and once told Time Out magazine that he directs them by tying a string to their legs and moving them like a puppet master. Some people think it is degrading, but for me it is the opposite. What I want from them is true internal energy and presence. I believe that when somebody is acting and thinking about the timing of a character, they are not there any more, says Reygadas. Reygadas isnt interested in making conventional films. He is not interested in making the kind of cinema we are used to consume. On his films its the visual aspect and the emotions that reign, not the storytelling. Actions are rhythmically placed pushing responsive buttons. His films are like visual poems. For Reygadas what we call cinema is film theater or illustrated literature. He compares real cine-

ma with music. Music does not represent anything and it is something that conveys a feeling, he says. The irony is that, despite his complete disregard for the rules and boundaries of the industry, Reygadas is the Mexican director that has received the most awards at Cannes: in 2002, his directing debut, Japn (Japan), won the Camra dOr and in 2007, Luz Silenciosa (Silent Light) won the Jury Prize. Reygadas was born in Mexico City in 1971. He studied law and lived in Brussels for a time. It was here, in Brussels, while practicing as an attorney, that he decided to proclaim his love for the seventh art. With the help of some film student friends, he made his first short film with the goal of applying for film school in Brussels. So impressed was the school that he was rejected on the grounds that he should cede his place to someone more needy because, judging from his entry, he was a naturalborn filmmaker and there was nothing left to teach him.

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Thus, Reygadas was free to invent his own signature cinematographic language without having to learn the ropes the traditional way. In 2002, he directed Japn with the same crew he made his first short film with and a budget of just 37,000 usd. Three years later came Batalla en el Cielo (Battle in Heaven), a film about guilt, in which nakedness and sex are depicted as human acts. We are all naked when we go to the shower. At least twice or three times a day we are naked. And most of us have sex, once a week or even more. Its a thing that occurs often. But its not represented ever on film. So the normal thing to do would be to ask every other director why they dont film sex in their movies and not to ask me why I do. Actually, I am the normal one, says Reygadas. To commemorate the centenary of the Mexican Revolution in 2010, Reygadas was one of ten Mexican directors invited to participate in the Revolucin project with a short film. The result was Este es mi reino (This is My Kingdom), an improvised short film about a day in the country in which Reygadas shares his view of the Mexican Revolution through his guests, non-actors who were asked to ignore the cameras all 11 of them and be themselves. As the alcohol flows and night begins to fall, Reygadas companions lose their initial composure and things start to spin out of control. Fate will take care of the rest. So sublimely surreal are the ensuing events that its hard not to be reminded of Luis Buuel, yet this non-fiction is rendered even more complex by the fact that what we are witnessing is real. Thanks to some excellent editing, in a few short minutes Reygadas manages to get to the heart of the Mexican Revolution and the meaning of freedom, not to mention the satisfaction of doing as you please, even if that means letting all hell loose. So, without further ado, we asked Carlos Reygadas to tell us more about his own particular brand of revolutionary cinema.

Why make films? Because I realized that I might die one day without ever having tried. How do you find your characters and how do you spur them to action? By looking under every stone and giving them precise instructions. What has been the biggest challenge posed by the industry? I dont know anything about the industry. You take an unusual approach to filmmaking. Where does this urge to tell stories in unconventional ways come from? Its not unusual among people who make films and who dont see it as just a business. Why do you choose to work with non-professional actors? For the same reason a painter or a photographer doesnt paint or photograph actors. Its common knowledge you like to work with a small crew. How important is it for you to preserve a sense of intimacy when shooting? I dont like crowds or noise, especially when they arent necessary.

What was it like working with your kids? What more could you ask for? Why and who do you make films for? To share with my fellow humans. Thats what motivates me to make films. How much do you worry about the audience when youre making a film? I dont, but if it werent for the audience, I wouldnt make films. What role do you think photography plays in film? Its half of the film. Otherwise, I dont much care for it. I prefer paintings. And what about the awards? What do they mean to you? Im grateful for them, but I dont attach any meaning to them or their lack thereof. Do you think being Mexican has anything to do with your discourse as a filmmaker? Most definitely. Why should we go see Post tenebras lux? Who said anyone should see it? Let whoever wants to see it see it. n

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Stephanie Sigman
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by naomi palovits photo courtesy of stephanie sigman

mexico according to

native of Ciudad Obregn, Sonora, Stephanie Sigman is just 24 but already she is one of Mexicos most internationally acclaimed actresses thanks to her star performance in Gerardo Naranjos Miss Bala (2011). Sigman started out modeling and only entered the competitive world of acting by chance, after winning a CEFAT scholarship sponsored by TV Azteca. Miss Bala shot her to international fame and both the film and Stephanies performance were applauded at Cannes in 2011. Keep an eye out for her in 2013, when shell be appearing in Andrew Fierbergs The Sky is Blue and Pioneer, directed by Norways Erik Skjoldbjaerg. What is your favorite place in Mexico to unwind? My grandmothers house, in Sonora. What is your favorite Mexican beach getaway? Mazunte, in Oaxaca. What place in Mexico inspires you the most? The city of Oaxaca and the historic center of Morelia. What is your favorite Mexican dish? Chiles en nogada. Which Mexican restaurant would you recommend for its food? Los Arbolitos and any hotdog cart in Obregn, Sonora. They are the best! Name a place in Mexico every visitor should see? The Chapultepec Castle in Mexico City and the city of Guanajuato. Do you own any Mexican handicrafts and if so, which are your favorites? I have lots of Huichol bracelets. Name a Mexican city or state thats on your must visit list? Chiapas.

What do you miss most about Mexico when youre on the road? The food and my family. What do you love most about Mexico? Its cultural contrasts. Which Mexican film star do you admire the most? Mario Moreno Cantinflas. Who is your favorite Mexican film director? Alfonso Cuarn. Who would you like to share movie credits with? Ryan Gosling and the Mexican actors Daniel Gimnez Cacho and Gael Garca Bernal. Which female part would you like to play? Whitney Houston. Which is your favorite district of Mexico City? The Roma district. The food is great and you discover something new around every corner. Name a Mexican film every foreigner should watch. Thats easy: Miss Bala! n

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