Benefits Provided by Tourism Industry in Mexico

Mexico is showing steady growth within the general tourism sector and it is being notable for the economic benefits, it proffers in a country with advantages to build a stronger development of this industry.

Data from the Federal Ministry of Tourism (Sectur) reveals that this acitvity generates sales for 6.2 billion dollars a year and accounts for 1.4% of GDP of this country, while the so-called “industry without smokestacks” (Industria sin chimeneas) makes up to 9% of total GDP.

Also noteworthy, is the fact that it helps to increase and stimulate  the creation and development of micro, small and medium-sized local companies, even though is really hard for them due to taxes, as well as aiding the generation and distribution of tourism revenue locally.

The segment reports expenditures of 1,250 dollars per person, while a traditional tourist spends on-average just 750 dollars, according to the coordinator for business tourism for the Council for Tourism Promotion of Mexico, Eleonora Garcia Ferrel.

With the increase of this activity and the benefits that are being provided to the sector, it is necessary to invest in infrastructure, such as convention centers, hotels, resorts, entertainment facilities, freeways, highways, among others.

The World Tourism Organization  estimates an employment growth of 12% during the next 4 years, which now generates 151,100 jobs, 85,000 direct and 66,000 indirect.

Mexico has a huge potential, working as a bridge between the United States and Latin American, both areas with important business acitvities. There are also 59 international airports and 28 national airports offering connectivity to hundreds of different destinations all over the globe.

Sectur

There are 70 World Class facilities dedicated and specialized in these kind of activities in Mexico City, Guadalajara, Monterrey, Puerto Vallarta, Acapulco, Cancun, Tijuana, etc.

Finally, one of the most important incentives is the 0% tax rate for lodgings, resorts, convention facilities, transportation, food and services when coming from other countries.

But the main challenge is the termination of sales tax for this type of tourism that is being considered, although this measure should be dropped, since it makes the sector less competitive.

The petition will be presented offcially on October 9th by the Federal Secretary of Tourism, Claudia Ruiz Massieu.

Source: www.sectur.gob.mx/‎ www.mexicanbusinessweb.mx