SECTUR SECRETARtA DE TURISMO MW L Not • IE S at • '-.. - • r&S - A1 97A * - -- / 71 - - ø!!--- -- .k 1L . -z.-.--:• - - .: ç. y.. i • tt 015397 cessfully transforming its strategies for promoting tourism. From the beginning of the current administration, it was clear mat a new comprehensive vision was required in this sector. Accordingly, steps were taken to formulate a new National Tourism Policy anchored in four leading principles: Regulate and transform the sector, enlisting all government components in the effort Render the industry more innovative and competitive by diversifying tourist attractions and consolidating existing destinations Intensify advocacy and promotion: execute planning through a proactive agent charged with guiding and reinforcing private efforts Strive forsustainability and sodal benefit, reshaping the industry into a guardian of the national heritage and a clean environment, while simultaneously ensuring access for all Mexicans so that tourism is no longer a privilege In light of the above, a Tourism Council was established as a coordinating tool to render government actions in this area more efficient. Moreover, a comprehensive promotional strategy, "live it to believe it' was introduced. Tourism was included for the first time as a strategic sector in the National Infrastructure Program, and a new design was created both for the Pueblo Mdgko initiative and for the Regional Program for Sustainable Tourism. The results were not long in coming. The first year of this administration witnessed record-setting income from international tourism and its corresponding economic benefits. Furthermore, 2014 exceeded all expectations, positioning Mexico as a world leader in the growth of the tourism industry. According to the United Nations World Tourism Organization (WTO), Mexico registered the largest increase in tourist arrivals among those reported in the WTO International Tourism Highlights of 2015. The 4.9 million additional tourists noted in this document represent a 20.5% hike compared to the already historic levels of 2013. In 2014 foreign exchange in Mexico grew by more than 16%, reaching a record high of over $16.2 billion US dollars.That year, the lecal growth rate of the tourism sector exceeded the world average, with Mexico once again returning to the ranks of the ten most visited countries in the world. According to data from the National Institute of Statistics and Geography for 2013, the tourism-generated GOP climbed 5.5% relative to the previous year. Employment in the sector also increased by more than 120 thousand people as a reflection of the confidence in Mexico's continuing growth and the great potential of what the country has to offer. Mexico is an extraordinarily diverse country with an impressive cultural history and an exceptional spirit of service. As examples of this, the country holds 33 World Heritage Sites, ranking sixth among countries having such sites. With an assortment of 10 World Heritage Cities, eight elements of Intangible Heritage (including its cuisine), 176 Protected Natural Areas, and a total of 187 archeological zones of world significance, Mexico offers tourists the most visited sites in Latin America, such as Teotihuacan, Chichen ttza and Tulum. Mexican tourism is drawing attention from the entire world. Due to the success of the industry and the structural reforms introduced by Mexican President Enrique Pena Nieto, the country presents attractive long-term business opportunities for national and international investors. This Manual was created to facilitate and clarify the precedures and regulations that both national and internationat investors need to follow in order to be part of the Mexican tourism industry, either through direct investment or through specialized financial instruments. In addition, information on the key public and private institutions related to the sector provides valuable assistance to investors who are interested in participating in the Mexican tourism industry. Prologue lntrüdUction Mexico: a briefprofile Mexkoata glance Trade agreements Tourism: a sector of opportunities 10 .AbouttourfsminMexko TourismiiralltOstes Business opportunities 24 - — U- c ---.. t 4 J IIIL C. .4'. JO — i I $ b1 - • WI , - ••. 1, u - I or - ---v _____ •• I R tf __ ofthepTen'mtedcountriesinthevadi The Meckan touiism industry requires adcfáional resourcesm order to be mOre competitive atthe international level. It has atwaysenjoyed the on of (oteign capital notonlyin the dew pment dreaeational cente but abuhritscongmodernizationpiucess. atiudstonebr PIa)ingastTategkmlein the Me&an economy, the touthm cocdnoteeIcvitpportofthetowtsm aeatesjubsami pranmiportantsooneof thikencompasslngaOthepubhc. private reIg me. En klionMias tradltionailybeen oneof the andsodaltutionsinvalvedlntowbm nantelem in U trade ha ce, eeeded only t'jth dfrommIqrantremfttanc oil and OttheeioJmnMma1 upttieTowlsm thcfliñgkidustiy. ntheficallyramththeFtatkinof Investment, F dgand Competttivity has as its nion Maresiiltofltsgengraphkand htoctertkMeidco isa natural tdestiiatien. - • Design specific projects fOrthe natlon'stowlsm industry ding to martiet nkhe ac"Imsnàmotorofmodernizatbim many • Geananttfyinvestmentoppofluniflesin editnpcEtanlinhastiuctrire thesector &dOh4IWa)akPOrt5Watec!1eatn1ent sthnnlateaetht ndcnmonkaUoispetasweUas and asvll =,runandngtommv manycommunitles. - ,• dmethi*ui(MIPYM[Sbytheir econ4ycsnpetiUvein Pmpose bcraUvearjeemenKw1th. oa,nthbutetoierIevelsof 8andth dertodee MoHwoIavadIntheurkasS I eo -. " __ list _ I Ill: - J4;4.• rn ____ ___ 17 , p. ____________________ - -.: •' 'II lIPID P I 16 - r .e. 1.-•.- 00 - t•' ,.. 7' — I. ' • it '. _ V AL Mexico at a glance Commonly referred to as Mexico, the offirial name is United Mexican States. The country has an area of almost two million square kilometers, making it the twelfth largest country in the world. Mexico is a federal republic made up of and administered as 31 states and 1 Federal District (Mexico City), which serves as the capital and seat of political-administrative power. In turn, the states are organized into municipalities whose number varies by state. The Federal District is administered as 16 political districts (delegaciones). ________ The Mexican government is constituted as a democracy whose executive power is renewed through elections every six years. "ii - Its administration is based on coordination between the three federal branches (executive, legislative and judicial) and support of the 32 federal entities. Guided by federal development plans, the states nonetheless possess a high degree of legislative and administrative autonomy. With an exceptional geographic situation, Mexico shares a border with the principal economic power in the world, the United ,States, to the north, and with Guatemala and Belize to the south. Its position thus makes it a natural route for commerce !tZ_ betweon Latin America and the north of the American continent. • Mexico enjoys extensive coastlines on the Pacific Ocean to the west, the Gulf of Mexico to the east and the Caribbean Sea to the southeast. Consequently, as a prime commercial route, it hastreaties facilitating trade with more than 45 countries. Gull of Mcoo A5vcatr:t - - p)uvc (wano,a: 00 MeikoSrde- - - —.j Ii 16 kL;—__-- • Ion -• if The Mexican economy is the thirteenth largest in the world, with an annual per capita income in 2014 approaching Natural resources $10.5 thousand US dollars. Because of its diversity of ecosystems, Mexico produces The official currency is the Mexican peso whose symbol in an enormous variety of agricultural products. According the foreign exchange markets is MXN. to the Agricultural and Fisheries Information Service, it is the leading exporter of tomatoes, chillis and peppers, watermelons, cucumbers, lemons, avocados, onions and Geography and climate papayas, among other crops. By size, Mexico is the third largest country in Latin Mexico is the world's leading silver producer, the third of America after Brazil and Argentina. Both the climate bismuth, fifth in the production of lead, and ninth of gold. and geographical features of its regions account for an The main mining areas include San Luis Potosi, Guanajuato, enormously diverse environment, also shaped by a marked Hidalgo, Zacatecas and Coahuila, whose economic activity is variety of altitudes. The average altitude is 3,300 feet (1,000 rooted in Mexican tradition and plays an important role in meters) and the central region is a plateau bordered by the national industrial economy. mountain chains almost parallel to the coasts. The southern part of the plateau includes Mexico City, at an altitude of Oil is one of Mexico's most valuable natural resources. The approximately 7,500 feet (2,400 meters), one of the largest majority of the oil fields are located on the coast of the cities in the world. Gulf of Mexico, and in the states of Campeche, Tabasco, Tamaulipas, Veracruz and Chiapas. The country includes a great number of mountain ranges, peaks, plateaus and valleys, with a variety of ecosystems that range from wetlands to the desert and from lowland Population tropical forests to alpine vegetation. Its strategic position gives the country more than 11 thousand kilometers of The last population census, in 2010, reported a population coastline for the development of diverse economic activities. of over 112 million inhabitants with an average annual growth rate of 1.4% in recent years. It is estimated that this Moreover, Mexico has a wide range of natural