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Embracing new global challenges Foreign Secretary Espinosa sees climate change summit as opportunity to move process forward by emphasizing all-inclusive approach : POLITICS 8
FRIDAY 26 November, 2010 Mexico City Year 00 00
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After poor showing in July, PAN struggles for unity amid testy leadership race : POLITICS 7
First-ever Mexican AmCham president bullish on 2011 : ECONOMY & FINANCE 16
Fundación MEPI exposes cartelimposed news blackouts in Mexico : SECURITY 18, 30
Mexican artists remind us that landscape art is not what it used to be : LIFE & LEISURE 24
OPINION JOSÉ LUIS ROMERO HICKS : HUMBERTO CAVAZOS CHENA
Is your information on Mexico reliable? Mainstream mass media aren’t going to give you a comprehensive idea as to what’s happening in Mexico, but we can. Our corporate intelligence reports provide thorough insight on specific political figures, industries, trends and current events. Our English-language corporate intelligence reports – one-of-a-kind in Mexico – include extensive analysis on news topics that impact your investments or interests. We can research anything that’s going on in the news – potential presidential contenders, state governors, the auto industry, sugar-cane production, pet food sales and technology use in classroom – and put it into context. Mexico Today, Eficiencia Informativa and C3 have access to a database that collects thousands of stories each day from hundreds of sources of Mexican mass media. We use information from written media – news stories, columns, editorials, investigative reports – as well as web, radio and TV broadcasts. Our reports include an eclectic and perceptive approach that will help you make educated investment decisions.
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LETTERS
EXECUTIVE DIRECTOR
Welcome to Mexico Weekly! Mexico can be difficult to understand, even if you speak and
read Spanish. When I returned to Mexico 10 years ago, I was surprised how much had changed in 30 years: Fairer elections, freedom of expression, open borders to trade and ideas. However many things are the same: corruption, poverty, inequality, lack of opportunity. It strikes me that Mexico’s “democratization” has also translated into a more murky, unstable political and social environment. For foreigners who need to understand Mexico for political, business or family reasons, it is almost impossible to figure out what is going on if you do not speak Spanish. In nations such as China, Japan and Germany you can find TV channels, radio stations and various publications providing breaking news and in depth analysis in English. Mexico is the No. 11 economy in the world, the No. 2 U.S. trade partner, and a top worldwide tourist attraction. However, with the exception of my daily radio news program, and some local English-language newspapers around the country, there are very few places where you can find objective and detailed analysis of what is happening in English. For this and many other reasons, Mexico Weekly was born. In this edition of Mexico Weekly, put together by a team of experienced journalists and analysts, we give you a sense of what we are all about. Not only will you find an exclusive interview with Foreign Affairs Secretary Patricia Espinosa talking about Mexico’s position at the most important international event in Mexico, the Cancún Climate Change Conference, but we also offer you the perspective of AmCham’s first-ever Mexican president, José Zozaya. In our Life & Leisure section you can expect to get all kinds of recommendations. In this edition we teach you how to buy a car in Mexico and where to admire vintage furnishing in Mexico City cafes. How bad is the violence in Mexico? Considering the news blackout by the regional and national press, it is difficult to understand how serious it really is. Read about this in our Security section in addition to a report on judicial reform efforts championed by Tec de Monterrey. Mexico Weekly is not only a magazine, but an integral part of a multimedia strategy – including a digital newspaper – to provide accurate news and opinion on politics, security, economy and culture in Mexico. Check out www.mexicotoday.com. mx for breaking news, and material that complements our magazine. This week you will find video interviews with Secretary Espinosa, the AmCham president and a conversation with an artist about an Art exhibit at Pablo Goedel Fine Arts gallery. On the horizon are important elections, with deteriorating security on the one hand and an economy recovering from the crisis on the other. All bets seem to indicate 2011 and 2012 will be critical years for Mexico, both economically and politically. Can you afford not to read Mexico Weekly or MexicoToday.com.mx? Ana Maria Salazar Executive Director anamaria.salazar@mexicotoday.com.mx
4 MEXICOWEEKLY : Friday November 26, 2010
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Internal PAN vote to favor Calderón?
Leadership election initially causes infighting as five prominent candidates battle to take over reins of conservative party; at stake are strategies, candidacies for 2011, 2012 : 7
MINERS
Gómez Urrutia’s top rival injured by ‘commandos’
Dissident miners union leader Carlos Pavón was roughed up during a brief kidnapping, Zacatecas state officials reported on Nov. 23. Pavón, a perpetual thorn in the side of fugitive miners union president Napoleón Gómez Urrutia, suffered nonlife threatening injuries while held for about 15 hours. Neither Pavón nor his family filed charges.
TRAGEDY
SCANDAL
HOTEL EXPLOSION BEING PROBED
A homicide inquiry has been opened into the hotel blast that killed seven people in Cancún on Nov 14. If the cause of the explosion was faulty construction, local officials say there could be a case for criminal charges.
TAPED PHONE CALL UNSETTLES IMSS
Accusations of corruption hit the ailing social security organization after an incriminating telephone call was leaked. President Calderón has ordered an investigation. One procurement official has already been dismissed.
Friday November 26, 2010 : MEXICOWEEKLY 5
NOTIMEX PHOTO/ADOLFO JASSO
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On Nov. 21, 138 mayors from around the world signed the Mexico City Pact, a voluntary agreement aimed at mitigating greenhouse gas emissions and developing local climate change action plans. The host of the summit was Mexico City Mayor Marcelo Ebrard as he jockeys for position as a 2012 presidential contender. The week of events was organized jointly by the World Mayors Council on Climate Change, Local Governments for Sustainability and United Cities and Local Government. governments.
Former governor of Colima gunned down outside home
NOTIMEX PHOTO/GUILLERMO GRANADOS
World mayors meet in capital, sign Mexico City accord
On Nov. 21, former Colima Gov. Jesús Silverio Cavazos Ceballos was murdered by unknown gunmen. Cavazos Ceballos came to power in 2005 after the death of his predecessor in a plane crash; his term ended last year. The victim was talking to state Economic Development Secretary Rafael Gutiérrez Villalobos when three assailants arrived in a jeep and opened fire. Colima state prosecutor Arturo Diaz said that the murder is not linked to organized crime as the type of arms used are not those favored by drug cartels. NEXT
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6 MEXICOWEEKLY : Friday November 26, 2010
AMLO pushes Polevnsky in key state race Sen. Yeidckol Polevnsky has been tipped by Andrés Manuel López Obrador to run for governor of the State of Mexico but the choice has met with opposition from state officials in registered leftist parties. López Obrador told followers the candidate that would represent his movement would be chosen by internal polling and revealed in February.
However, no formal polling appears to have taken place and Polevnsky does not have widespread appeal in the state. López Obrador rejects alliances between his party, the PRD, and the PAN, but local party chiefs for the Labor Party, the PRD and Convergencia oppose the arbitrary selection, especially since Polevnsky lost badly in the 2004 election.
Monument reopens
In commemoration of the centennial of the Revolution, the Monument to the Revolution was reopened on Nov. 20. Mayor Marcelo Ebrard presided over the ceremonies that spot lighted the newly renovated plaza. Visitors can now ride an elevator to an overlook atop the iconic arch.
NOTIMEX PHOTO/CARLOS BAEZ
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POLITICAL PARTIES
POLITICS
PAN unity at stake in nat’l leadership vote
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Friday November 26, 2010 : MEXICOWEEKLY 7
NOTOIMEX PHOTO/ALFREDO GUERRERO
I
n the aftermath of crushing losses in July elections, an increasingly unpopular president and few if any strong 2012 presidential candidates, the National Action Party is set to replace its party leader in just over a week. César Nava announced last summer he would not seek re-election as party president, prompting two deputies (Roberto Gil Zuarth and Francisco Ramírez Acuña), two senators (Blanca Judith Díaz Delgado, Gustavo Madero Muñoz) and the former Immigration director (Cecilia Romero Castillo) to postulate for the Dec. 4 leadership election. Gil Zuarth and Madero are considered the favorites, each with the backing of just under one-third of the 381 voters who will elect Nava’s successor, Mexican media have reported. However, Romero, having President Calderón, center, met with candidates in Los Pinos in hopes of reducing tension. served as the secretary general of the PAN Each of the candidates have said they when President Calderón presided over the Madero has said he would resign as senawould favor pursuing alliances with the party, is also a strong candidate. tor to work for the party. PRD for next year’s state elections, particWhether Gil Zuarth or Madero win is ularly in the State of Mexico where the PRI not so important. “The big winner is go- PARTY OBSTACLES ing to be Felipe Calderón,” says Roy Cam- The election comes as Calderón’s approval has governed for eight decades and whose pos, director of Consulta Mitofsky, a poll- numbers are sagging (53.1 percent in Octo- governor, Enrique Peña Nieto, is an early ber, the second-lowest since favorite for the 2012 PRI presidential noming firm in Mexico City. Both taking office in December ination. PAN leadership “understand that candidates have the green 2006) and at a time when on- the alliances [last summer] as such didn’t light from Calderón. “Neither The big ly 15.7 percent of voters iden- do badly. Those were good for the PAN,” acwould have launched without tify themselves as PANistas cording to Federico Estévez, a political sciCalderón’s backing,” Campos winner is (also a new low), according ence professor at the Autonomous Techinsists. going to be to Consulta Mitofsky. nological Institute of Mexico. “Six years ago we saw the Felipe The “blanquiazul” is also But the party needs more than alliancsame thing,” Campos said. seeking to rebound after los- es to survive future elections, Estévez says. “In that race [for party lead- Calderón. ing the Tlaxcala and Aguas- The PAN must “rescue some sense of party er], there were two groups – Roy Campos calientes gubernatorial rac- unity out of divisions, frustrations and disVicente Fox wanted to im- Consulta Mitofsky es and numerous deputy and content inside the party … it doesn’t matter pose Manuel Espino … while the anti-Fox groups wanted Carlos Medi- mayoral positions to the PRI in July. The if it’s very strong or not, [the lack of unity] PRI won a total of nine governorships, can hurt the party in the end.” na Placencia.” The conservatives must also “marEspino was the victor, dealing a severe while losing three – Oaxaca, Puebla and Sinaloa – to alliance candidates between shal greater enthusiasm for the belief that blow to Fox’s opposition within the PAN. “What we’re seeing now is a fight be- the PAN and its ideological polar opposite, things don’t look as negative as they seem in terms of where the polls are … and that tween two groups. One group for Gil and the PRD. Nava’s successor must decide whether they have a fair shot at 2012.” the other for Madero.” Campos sees Madero as the strongest to continue promoting alliances in severcandidate because he “is sacrificing more.” al gubernatorial races next year. Story continued : SECURITY 32
M COVER STORY
PATRICIA ESPINOSA:
WARMING UP TO THE TASK
exico will be in the international spotlight in the coming days as thousands of government ministers, diplomats, scientists and NGOs descend upon Cancún for the U.N. Climate Change Conference. Though a new agreement on global warming is unlikely, Mexico’s Foreign Affairs Secretary Patricia Espinosa remains positive, emphasizing that the focus should remain on the process and not on sticking points or vocal detractors. Espinosa knows it will not be easy, but she insists Mexico has embraced the opportunity to play a role in these climate change talks and contribute to “the greatest societal and economic transformation the world has ever seen.” “Mexico accepts its role as host with optimism,” she told Mexico Weekly in late November. “There may be doubts about how the outcome will be perceived, but rest assured that Mexico has acted resolutely … to lay the groundwork for a new era of effective global collaboration.”
FOREIGN AFFAIRS secretary says Mexico honored to play host role for climate summit BY TOM BUCKLEY/MEXICO WEEKLY
EDUCATION IS KEY
Although there is a growing consensus of the necessity to act swiftly – despite staunch opposition from the United States and developing nations such as China and India – Espinosa insists postponing decisions only increases the eventual costs and makes it more difficult to stabilize the median temperature of the Earth. “It is very clear to us how important what happens in Cancún will be to the ongoing process of addressing climate change. Since Copenhagen, the expectation has been that approval of a new treaty – the next agreement that outlines the steps to be taken after the Kyoto Protocol commitments expire in 2012 – would be the only thing that could be accepted as success,” she said. “That made for excessive expectations and confusion about whether
even slight progress or ongoing communication would qualify as success.” Many participants, Mexico included, have gone to great lengths to emphasize the process and disregard the low expectations roundly disseminated by the media. Espinosa believes education and communication are two principal keys to keep the negotiations moving forward. “There has been confusion about the issue itself, what exactly is to take place here and how best to address global warming,” she said.
8 MEXICOWEEKLY : Friday November 26, 2010
“Let’s be frank. Many people still really are not sure what climate change is all about.” To address this shortcoming, the Cancún conference will feature a seminar on climate change issues within the framework of the conference. She hopes better understanding of the issues will foment new avenues for agreement. “We took care to make space for the involvement of the private sector and civil society in the proceedings too,” she said. But Espinosa readily acknowledges that
set concrete goals for limiting carbon emissions and other greenhouse gases. “These cities have established themselves as good examples for other cities and even nations. Now more than ever, it is time for a genuine commitment from everyone and we must continue to search for creative, yet practical solutions,” she said. Before the mayors conference, Espinosa met with Senate leaders in an effort to draft climate change legislation for Mexico. “We are aware that global warming is an issue of great importance to our legislators just as it is a key issue for us on the international level. We sought to help them understand what aspects are important for Mexico and where there are existing opportunities for agreement.”
PHOTO COURTESY/SRE
LEARNING PROCESS
it will not be smooth sailing. “This is a process that requires comprehensive adjustments, a real revolution in our methods of production, our consumption practices, our lifestyles. A positive outcome of any kind will require full commitment not only from political actors but also from society, from business, and from the scientific community.” EXTRAORDINARY CHALLENGE
Espinosa delivered much the same message during her appearance at the World
Mayors Council on Climate Change which attracted over 600 mayors to Mexico City a week before the Cancún conference began. “This is an extraordinary challenge as much for its complexity as for the implications for the international community. Nobody is immune from its effects,” she said. “One important aspect of the eventual solution rests in the capacity of societies – and particularly urban centers – to modify their rates of development.” Espinosa praised the steps taken by those local governments who have already
One thing is clear. Cancún will not be an end. It is the beginning of a process requiring global action and a better understanding of the science. “It is evident that there is lot of work to be done to be able to clearly transmit the information to the general public, to explain the situation and the cost of not taking action,” Espinosa said. In addition to informing the general public, underdeveloped nations must be assured that they can count on support to confront the challenges of global warming while not hindering their chances at development. “The opportunity to make a primordial contribution is in our hands. I assure you that as host of the COP16, Mexico has made and will continue to make every effort to establish an environment to facilitate the entirety of decisions necessary for a full-fledged approach to combat this phenomenon.” While the international media will no doubt dissect the actions that take place in Cancún, Espinosa and her team will surely analyze their experience to plan for future global conferences. “While taking care of all the logistical preparations and simultaneously preparing to espouse and defend Mexico’s agenda with regard to climate change, we’ve also been focusing on how to be prepared for all possible outcomes,” she said. No doubt, lessons learned in Cancún will be applied to the 2012 G-20 summit which Mexico is scheduled to host, a confab that will be of great import now that there is only one G-20 summit per year.
Friday November 26, 2010 : MEXICOWEEKLY 9
POLITICS
ELECTIONS
NOTIMEX PHOTO/IFE
ERODING AUTONOMY
IFE President Leonardo Valdés, left, and Benito Nacif, center, are members of the General Council.
IFE in turmoil New councilors were to have been appointed on Oct. 17
inter-party clashes over favored nominees has seen the process grind to a halt. The vote, which should have concluded by The next big test for the Federal Elections Oct. 31, was twice postponed. Institute – the 2012 presidential election The delay in selecting the councilors – is 18 months away, but the composition is also hindering day-to-day functioning. of the General Council is the subject of in- The delay is “paralyzing us,” says Dr. Benitense debate. to Nacif, a current IFE councilor. Respect for the IFE’s independence Under the Election Code, councilors from politics has been greatly weakened are prohibited from sitting on more than since the 2006 presidential election fias- two committees. However, the IFE is three co and the electoral reforms of 2007 have members short so there are not enough done little to resolve this. The drawn out councilors to staff the committees. With party wrangling over the selection of three key state elections on the horizon in 2011, new councilors is adding to growing con- the IFE can’t afford to sit inactive while the cern that the institute is not Chamber of Deputies mulls adequately independent, and its decision. The delay thus unable to police elec“We will not jeopardize tions thoroughly. these elections so we have in selecting If the aim of the 2007 rehad to interpret the law in forms was a return to the the [IFE] order to keep the IFE runspirit of an independent IFE, councilors is ning” says Dr. Nacif. Followthen, in relation to the elec- hindering ing legal advice, the counciltion of non-partisan counors have agreed to act on more cilors, it appears to be fail- day-to-day than their quota of commiting. The process of replac- functioning. tees in order to prepare for the ing the councilors has been ... paralyzing elections. slow and fraught. The list of Unfortunately, despite 17 candidates with the req- us. good intentions, this may uisite legal qualifications Dr. Benito Nacif leave IFE decisions open to was approved on Oct. 17, but IFE councilor legal challenge.
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10 MEXICOWEEKLY : Friday November 26, 2010
In 1996 the IFE’s unprecedented status as a truly autonomous body was enshrined in law. While the legislature and political parties were allowed to participate in debates, they were not allowed to vote on IFE matters. In addition, the government was no longer allowed to place a voting representative on the General Council. As a result, the IFE became independent of party and government influence. This autonomy was key in allowing opposition parties to respect the IFE’s authority. Following these reforms, the IFE was composed of councilors drawn mainly from academic backgrounds and there was an attempt by the Chamber to ignore political orientation. It was accepted that in order to hold and police fair elections, the General Council should be removed from political affiliation. Sadly, over the last 14 years, IFE independence has been gradually eroded. Following the 2006 presidential election, the IFE’s credibility was seriously compromised. Its refusal to name a winner on election night – saying the vote was too close to call – was followed by sustained party attacks and a corresponding decline in respect for the body’s independence. Both the PRI and the PRD stridently impugned the IFE’s credibility, especially then-IFE President Luis Carlos Ugalde, prompting calls for action. An attempt to rescue the IFE’s credibility was made in 2007 when Congress approved a package of constitutional reforms. The goal was, according to the IFE, to “guarantee the transparency and trust in electoral procedures and to strengthen the competitive system of political parties.” Key reforms included cutting the length of presidential campaigns by half, regulating advertising to prohibit TV or radio advertisements outside of the free, designated slots offered to all parties, capping campaign spending and amending the rules on public funding of parties. BIG PARTIES TAKE OVER
The failure of the 2007 reforms to “de-politicize” the selection of the IFE councilors suggests the parties are treating the institution as an extension of Congress. According to Dr. Nacif, the IFE is being “looted” by the parties. Story continues : SECURITY 32
www.mexicotoday.com.mx/information/economy
Making energy cleaner
PHOTO COURTESY OF FLICKR
Mexico has wealth of potential for generating power from renewable sources and espouses a firm commitment to renewable energy. But first it must be weaned from its dependence on oil.: 12
TELECOMS
AVIATION
DOING BUSINESS
BAKED GOODS
BANKING
AIMING FOR REGULATORY CONTROL
TROUBLED AIRLINE HAS TWO SUITORS
RED TAPE FOR BUSINESSES SHRINKS A BIT
WORLD’S NO. 1 CREDIT CARD BREAD MAKER HOLDERS GET EYES U.S. SALES PROTECTION
The Federal Telecoms Commission has asked the Supreme Court to declare it has the authority to set interconnection rates and pricing limits.
The battle over bankrupt Mexicana Airlines is down to BMC Financial and PC Capital. The pilots union appears to favor the BMC Financial bid.
The World Bank’s Doing Business guide ranks Mexico No. 35 in the world for opening a new business, up from No. 41 last year.
Bimbo is expected to close its purchase of Sara Lee in early 2011. The $959 million acquisition should boost sales outside Mexico.
New banking rules established by the Central Bank require banks to reimburse credit card holders for fraudulent charges made within four days.
Friday November 26, 2010 : MEXICOWEEKLY 11
ECONOMY &FINANCE
ENERGY
A
s host of the upcoming Climate Change Summit in Cancún, Mexico has sought to position itself as a keen advocate of clean energy. The Federal Electricity Commission, or CFE, has even installed a wind turbine in Cancún to demonstrate the government’s commitment to the promotion of renewable energy. Mexico has a wealth of potential for generating power from renewable sources and the use of such power would help the government reach its stated target of reducing greenhouse gas emissions by 50 percent by 2050. However, government prioritization of oil development and the sacred position of Pemex within the energy hierarchy present real hurdles to the development of cleaner energy. So, is the installation of a wind turbine little more than a token gesture?
Renewable energy still sees hurdles
NEW FINANCING
In 2008, the government set about reviewing the country’s energy policies and this resulted in a raft of new laws and policies designed to combat climate change. According to the National Infrastructure Mexico remains one of the few countries in Latin America where Program, the government has set a target of the government retains a vise-like grip over the production of increasing power generation from renewelectricity and the hopes for sustainable energy are further able sources from 14 percent to 25 percent hindered by excesive reliance on oil by 2012. It is interesting to note that, given Mexico’s natural geographic and climatic advan- International organizations have helped provide $600 billion to build a wind farm in Oaxaca. tages in terms of producing energy from wind or solar, under 4 percent of current opportunities. There is currently only became sole producer, provider and disenergy production is from these sources. 500MW of wind power online but, on the tributor and it continues to be adminisThe north of the country has an average basis of agreed projects, this is expected trated solely by the CFE. The issue is further exacerbated by the of five to six low-peak sun hours, one of to rise to 3,000MW by 2014. However, althe highest global levels for solar produc- though there is ample scope in Mexico for government’s reliance on and prioritization and Oaxaca alone has some of the best hydro, wind, geothermal, solar and waste- tion of oil. to-energy projects, relatively few are curPemex supplies almost 40 percent of wind potential in the world. government revenue and it is this reveIn June the International Finance Cor- rently up and running. nue, which CFE uses to develop the elecporation (part of the World tricity infrastructure. As such, Pemex holds HOLLOW PROMISES? Bank) and the Inter-AmeriThis petro- Despite Mexico’s significant an almost sacred position as the governcan Development Bank were potential to be a world player ment’s cash cow. Despite declining proinvolved in the $600 billion fi- addiction is in the field of renewable ener- duction and export due to the maturing of nancing of the Eurus project thwarting gy, there are significant hur- current oil fields, the government still conin Oaxaca, the largest wind tinues to invest billions of dollars on furfarm in Latin America, bring- any attempts dles to overcome. Mexico remains one of ther exploration. ing much needed investment to develop While the government’s focus is so the few Latin America counto the state. tries where the government clearly positioned on oil, declarations on Communities based sustainable retains a vise-like grip over the need to develop renewable sources near the wind farm will re- energy the electricity industry. The seem hollow. ceive land-lease payments Fabio Barbosa industry was fully nationalClearly, investment in renewable enand will also be able to take UNAM’s Institute of ized in 1960 when the state ergy takes time and money and, until advantage of increased job Economic Research
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12 MEXICOWEEKLY : Friday November 26, 2010
PHOTOS COURTESY OF FLICKR
FABRICIO VANDEN BROECK
generation from clean energy can match oil in terms of profits, the switch to green energy remains unattractive. According to Fabio Barbosa, an oil and gas analyst at UNAM’s Institute of Economic Research, “this petro-addiction is thwarting any attempts to develop sustainable energy.” FISCAL INCENTIVES
Sidelining of private company involvement has also hampered the development of the renewable energy market. In contrast to Brazil, the Latin American leader in renewable energy, a lack of liberalization in Mexico is constricting the market. Private companies are permitted to enter the industry, albeit in a strictly regulated fashion. The way electricity is priced in Mexico is also a turn-off for potential investors. The government heavily subsidizes
electricity supply to the end user and so it is difficult for private investors to justify the high costs of developing new technologies. On a more positive note, fiscal incentives such as accelerated depreciation for infrastructure projects utilizing renewable energy are making the market more attractive. It was announced on Nov. 17 that the Inter American Development Bank would provide a $400 million loan to the Mexican government in support of policies to tackle climate change. The stated aim of the loan is, according to the bank, “the mainstreaming of climate change into every aspect of Mexican public policy.” With financial support of this kind and the accompanying monitoring of progress by the bank, Mexico will not be able to hide from its commitments to developing cleaner energy. BY REBECCA CONAN/MEXICO WEEKLY
Overreliance on oil and restrictions on private investment thwart sustainable energy projects.
Friday November 26, 2010 : MEXICOWEEKLY 13
ECONOMY &FINANCE
PERSONAL FINANCES
Buying a car in Mexico
As one of the world’s top car producers, Mexico offers many options for buying a set of wheels, but keep some things in mind when shopping: tenencia, verificación and Hoy no Circula, to name a few Rows and rows of cars and small trucks with neon paint on the windshield advertise prices and conditions (todo sirve – “everything works,” or tenencias pagadas – “taxes paid!”) while owners approach you offering to show you their wheels. “No gracias, sólo estoy viendo,” (No thanks, I’m just looking), you tell them. It’s a hot, sunny Sunday in a Mexico City car tianguis – a flea market for cars a la mexicana. Hundreds, or even thousands, of private owners take their coches to this lot and pack them tightly together. A crane may have well been used to bring them all in. The tianguis is a good, efficient starting point for buying a car – you are presented with hundreds of options and can get an idea for prices, makes and models which may differ from the selection available in your home country. However, buying at a tianguis is an intense ordeal and carries the risk you’ll end up with a lemon or a stolen car. There are othe options. WHERE TO BUY
New car dealerships: They are similar to dealerships in other countries, but to test drive a car you might have to schedule an appointment. Buying a new car here is costly: consider Mexicos Tax on New Automobiles (ISAN), value-added tax (IVA) and depreciation. Some brands are equipped with satellite-tracking systems in case of theft. You can finance the car either through the agency or with a bank. Used car dealerships: “Semi-nuevos” are generally a few years old and often in excellent condition, while “usados” are less so. Dealers will sometimes offer a year of insurance, rebates, discounts or payments on taxes such as “tenencia” (see below).
The title, tax and emissions receipts are musts.
Check to see if they are members of the National Association of Automobile Vendors (Asociación Nacional de Comerciantes de Automóviles, or ANCA). Third-parties: Just like anywhere, more caution is required when buying from a private person. Take a native Spanish-speaker or a trusted mechanic with you. Popular sites include segundamano.com.mx, avisooportuno.mx, autoplaza.com.mx and seminuevos.com.mx. Tianguis: In some cases you can’t test drive a car until the “tianguis” is over since the place is packed. Beware of stolen cars or “chocolates” – cars illegally imported from the United States. Some tianguis have stations that for a fee check will check if the car is stolen or has pending fines, infractions, taxes, liens or emissions tests.
14 MEXICOWEEKLY : Friday November 26, 2010
BUYING USED
If buying used – whether at a tianguis, a private seller or an agency – check that the car has original “facturas” (receipts of purchase) for the original and subsequent owners; the original “tarjeta de circulación” (title); receipts of at least five consecutive “tenencia” payments, or the most recent ones if the car is newer; and the stickers on the windshield indicating the car was tested for emissions. Also verify that the title’s “número de serie” (ID number), “número de motor” (motor number) and license plate number match the information inscribed on the chassis, dashboard and license plates. When buying, the owner must give you a transfer of ownership certificate and a copy of his or her IFE card (voter ID).
: Economy
MEXICO WEEKLY PHOTOS/FRANCISCO CANDIDO
Useful phrases
Verify the car’s ID and engine numbers (located on the title) with those inscribed on the chassis and engine.
CAR OWNERSHIP
“Tenencia vehicular” is an annual vehicle tax the federal government began charging in 1962 to help fund the 1968 Olympic Games held in Mexico City. The tax is adjusted based on the make, model, year, version and original cost of the car (newer and more luxurious cars pay more) and must be paid to the local or state government during a fixed time period, usually at the beginning of the year. Two states – Querétaro and Coahuila – no longer charge the widely loathed tax, while several others plan to phase it out. Earlier this year, President Calderón announced the federal tax would end in 2012 and states could decide whether to continue it. “Verificación Vehicular” is a twice-annual emissions test that almost all new and
used cars in Mexico City, the State of Mexico and several other states must be subjected to. In the capital, the “engomado,” or registration sticker placed on a window, has a color that corresponds two specific months during which the car must be taken to a “Verificentro,” where officials will test the exhaust, the fuel systems and the emissions. “Hoy No Circula” is a program in Mexico City that began in 1989 to curb rising air pollution. The last number of a car's “engomado” or hologram sticker corresponds to a certain day of the week from Monday to Friday in which the vehicle is not allowed to circulate within the city from 5 a.m. to 10 p.m. as well as one Saturday per month. Cars that are eight years old or newer and which have a 0 or 00 hologram (issued
Tenencia Yearly car ownership tax Tarjeta de circulación Car title Verificación Twice-yearly emissions test Verificentro Emissions testing center Tianguis de autos An expansive, open-air car market where owners sell their wheels Hoy no Circula A pollution-prevention program in Mexico City banning older cars from driving one day per week Engomado Sticker certifying a car’s emissions were tested Placas License plates Multas Fines Chocolate Car illegally imported into Mexico.
More info Want to know if a car is stolen, owes taxes, liens, has pending emissions tests or driving infractions? Visit www.mexicotoday. com.mx for helpful websites.
by the “Verificentro”) are exempt from the program, except during environmental emergencies. You can expect to pay a hefty fine if you are caught driving when you shouldn’t. “Licencia de Manejo.” Even though a foreign license is legally valid, traffic and police officers might not recognize it, so it’s a good idea to get a Mexican driver’s license. In most states, including Mexico City, you need an FM2 or FM3 visa to apply for a license – a tourist card won’t work. At many offices, you can get the license on the day you apply for it. Car insurance is essential. In some cases, dealerships will offer you “seguro” for a year. If buying used, you can get coverage at banks or insurance companies. BY BRONSON PETTITT/ MEXICO WEEKLY
Friday November 26, 2010 : MEXICOWEEKLY 15
COMMERCE
MEXICO WEEKLY PHOTOS/FRANCISCO CANDIDO
ECONOMY &FINANCE
José Zozaya is the first-ever Mexican president of the American Chamber of Commerce de México.
AmCham’s Zozaya sees positive 2011 New Chamber president is bullish about financial year ahead, cites auto, metal and steel industries as drivers of economic recovery AmCham de México currently has around 1,500 members, accounting for 30 percent of the total labor force and 70 percent of all foreign investment in the country. With branches in Mexico City, Guadalajara and Monterrey, membership reaches into all sectors of the economy and includes Mexican and international companies alongside U.S. ones. This year José Zozaya was elected firstever Mexican president of AmCham, a role he describes as “a great honor, great privilege, and also a great responsibility.” One of Zozaya's objectives for his presidency is to demonstrate that Mexican executives have the resources and capacity to operate as well as any other top-level executives worldwide. Where past foreign presidents may have been hesitant to be outspoken or critical, Zozaya, as a Mexican, is naturally better equipped to position AmCham members within the context of Mexican political economy: “I think it is an advantage because we
have the experience and the knowledge of our own country, and that helps ... facilitate communications with authorities.” In view of the global recession and Mexico’s deteriorating security situation, one might be forgiven for anticipating a pessimistic outlook for Mexican business in 2011. Not so – indeed Zozaya is optimistic about the financial year ahead, citing the auto, metal and steel industries as key players in driving economic recovery: “For 2011 we foresee a good year … Taking into consideration that this year has also been a very good year, recovery has been working fine in Mexico.” Nor have security concerns affected foreign investment as expected. Zozaya admits security problems cannot be overlooked, but explains that AmCham members are aware of the risks and are willing to take necessary precautions to continue conducting business in Mexico. “We haven’t seen that companies want to leave the Chamber or leave Mexico
16 MEXICOWEEKLY : Friday November 26, 2010
because of the situation. And we continue to see a lot of investment. My own company is investing this year around $140 billion, and Wal-Mart, to mention one of the largest, is investing … so yes there is a lot of confidence in what we can do.” And AmCham, it seems, can do a lot. The Chamber will participate in this month's U.N. Climate Change Conference in Cancún, providing carbon certificates for members showing strong commitment to environmental issues. Priority issues for 2011 include labor and tax reforms. AmCham will also lobby for the protection of trademarks in both Mexico City and Washington. In March, AmCham will hold its annual convention, an event Zozaya is clearly very excited about: “I think it’s going to be great. We have invited top-level executives and government officials from Mexico and the U.S. For the first time we will hopefully have a top executive from the U.S. also, and from Mexico of course we invited the president and some members of his Cabinet. And let me give you one premiere: We’re working on making the first ‘U.S. Week’ in Mexico …. maybe for the second part of the year. That will be very interesting because it’s going to be dealing with different aspects: exhibitions, presentations from executives or government officials, as well as food, culture ... so we expect to have a big, big event.” BY REBECCA JOHNSON/MEXICO WEEKLY
OPINION
JOSÉ LUIS ROMERO HICKS
Increasing competitiveness is top challenge for Mexico
M
exico has struggled to develop a stable and dynamic economy. After recovering from its 1995 “tequila” crisis and after overcoming 70 years of single-party rule, Mexico is now recognized for its solid macroeconomic foundations and its imbedded democratic system. Mexico is Latin America’s secondlargest economy, a favorite destination for Foreign Direct Investment, or FDI, and a key trading partner for the United States and Canada. NAFTA has contributed to an increasingly diversified export sector in Mexico.
106, with increasing security concerns among the business community (No. 134, down nine places from the previous year) and an critical need for better higher education and training system (No. 79) to provide much-needed skilled human capital, i.e. scientists and engineers (No. 89) to the economy.
The government has pursued a number of competitiveness-enhancing reforms but further action is required to reinforce competitiveness fundamentals. Mexico needs to achieve equitable development and bring security to its most dynamic regions in the north. Yet there are increasing security Amid a deep world financoncerns. Contributing fac: OPINION cial crisis, Mexico has shown tors include rampant orgaMéxico must boost resilience and the capacinized crime, violence, and litcompetition and ty to stimulate its economy tle confidence in police. improve with counter cyclical and yet regulations in order sound fiscal policies. An underlying problem is to make certain Mexico’s weak criminal jussectors more Notwithstanding its ecotice system. Impunity, poattractive to nomic strengths, Mexico has lice and prosecutorial cornot fulfilled its potential in ruption and judicial reforms investors and the global economy. Why? stand second vis-à-vis ecoincrease incentives nomic reforms, within the nafor innovation and In its latest competitivetional debate. Fortunately, retechnological ness report, the World Bank spect for the rule of law and advances. ranks Mexico No. 66 among the need for well-functioning 139 countries, down from No. and trustworthy institutions 60. Further advancement is needed in are newly considered a prerequisite for education, labor and the economy’s a vibrant market economy. transactional costs. Despite Mexico’s achievements on The World Bank says Mexico’s marthe economic front and positive develkets are too rigid and criticizes strucopments in its political democracy, the tural impediments to long-term growth. lack of security hinders national deThe labor market ranks at a dismal No. velopment. Notwithstanding the rel120, with burdensome regulations, high ative effectiveness of the administrapayroll taxes, expensive social contribution’s strategy to provide greater setions (No. 103 for flexibility) and a lesscurity through an aggressive stance than-efficient use of talent (No. 122). against organized crime, there are many improvements on human rights Reliability and institutional qualiand to the judicial system that must be ty continue to fare poorly, ranked No. implemented.
The government has a long way to go, but civil society also needs to shoulder its responsibility. The role of civil society lays in pressing for reforms conducive to democratic governance, justice and pressuring policymakers to achieve much-needed structural reforms expected since the last century. Among those reforms, a fiscal reform is strategic. Tax revenue in Mexico is low by any world standard. Four out of every 10 tax pesos are oil related. There is a recognized need for tax reform that generates more revenue by widening the tax base, increases indirect taxes and decreases direct taxes. Let’s not forget the wide array of opportunities found by eliminating red tape at all levels of government. Another challenge is to increase competition and improve regulations in communications, transport and energy to lower the cost of doing business. This would make the country more attractive to investors and boost innovation and technological advances. Mexico is a country of great potential, with a unique geographical position, a young population and a rapidly expanding internal market. This potential must and can be maximized by a joint effort of all political parties, the business sector and civil society. Only then will Mexico take advantage of its diverse competitive advantages and ensure sustained growth with enduring prosperity. Macroeconomic stability and a stable political democracy are not enough to ensure well-being. Mexico needs to learn to decide what it knows to be best for the majority. José Luis Romero Hicks, an attorney, served as
president and CEO of the Mexican Bank for Foreign Trade (Bancomext).
Friday November 26, 2010 : MEXICOWEEKLY 17
IMPACT OF DRUG VIOLENCE IN NEWS COVERA
Cartels have increasingly begun influencing newspapers, effectively News related preventing the public from recognizing the reality of the drug warto drug v
FEATURE
SONORA
Cartels impose news blackouts
SINA
UNITED STATES
40.5%
76
SONORA
CHIHUAHUA
59.5%
GULF OF MEXICO
NEWS BLACKOUT El Imparcial pubSINALOA NUEVO DURANGO 519 crime sto- Executions LEÓNlished MICHOACÁN SAN Cartels have increasinglyries; begun influencing newspa 40 percent preventing the public from recognizing the reality99 o were about drug Coverage 91.6% TAMAULIPAS trafficking; 10 perSAN LUIS cent of stories on NORTH PACIFIC OCEAN POTOSI drug trafficking had 8.4% a reporter’s byline, UNITED STATES HIDALGO but those only covJALISCO VERACRUZ 7 ered government MICHOACÁN HIDALGO MOR activities Stories MORELOS COAHUILA
IMPACT OF DRUG VIOLENCE IN N
AP PHOTO/VICTOR VALERA
PACHUCA, Hgo. – The gleaming 30-foot cross and the large modern church painted bright orange are hard to miss. They loom over the houses and rough paved streets of Col. Tezontle, a working class barMEXICO rio in Pachuca. They stand in stark contrast to SONORA the tattered one-story chapel built covering drug-reCHIHUAHUA 87.3% by parishioners two decades ago. lated incidents such News not related to drug violence The new structures were built in as gangland execuGUATEMALA COAHUILA 2009 thanks to the hefty donation tions, drug seizures 12.7% News related to drug violence of a local benefactor whose name or shootouts had SINALOA SA NUEVO DURANGO appears on a metal plaque tucked no byline and were LEÓN 64 away behind an interior wall. The signed as “Staff.” plaque would be unimportant if it CHIHUAHUA JALISC SONORA SINALOA TAMAULIPA wasn’t the name of a man who left SAN LUIS NORTH PACIFIC OCEAN his hometown years ago to make POTOSI 40.5% 76.7% 91 32.8% something of himself: Heriberto 23.3% This church in Col. Tezontle was built by drug lord Heriberto Lazcano Lazcano. Lazcano Lazcano. HIDALGO Lazcano is “El MEXICO JALISCO 7 women, the alcohol, about what appears on the front Lazca,” the crime 59.5% 67.2% MICHOACÁN MORELOS the gifts,” says the re- pages of newspapers or the first boss of the feared The only porter. “The only con- minutes of TV news programs are NEWS BLACKOUT drug gang known as dition … do not mess today less dependent Norte ran violence 360 crime on basic news to Los Zetas. His pres- condition ... News not related drug with our business.” stories, of which worthiness, than on the whims of ence in Pachuca, and do not mess MICHOACÁN SAN LUIS POTOSI NUEVO LEÓN TAMAU Soon after, report- narcos who brazenly declare what 33% were about his generous gift to with our News related to drug violence ing on91.6% drug-related they want printed drug trafficking. Stoor broadcast. this church, has been 99.5% 90.8% 90. violence in Hidalgo The new bosses have crafted ries do not carry widely known but not business. plummeted. Nobody relations with media with the help bylines. reported until late Oc- Message from Los Zetas wrote about the8.4% Val- of unwritten, and sometimes even tober, when the Mexi- to Hidalgo journalists 9.2% .5% CHIHU SONORA entine’s Day party ei- unspoken, agreements between SINALOA co City daily La Razón splashed the news on its front page, ther. It was a clear announcement traffickers, reporters and editors. 40.5% 76.7% This new reality is preventing complete with pictures of the or- from the Zetas of their arrival in 23.3% VERACRUZ HIDALGO MORELOS their boss’ home state. They were Mexico from understanding how ange church and the plaque. the new bosses – and there were deeply entrenched drug cartels 87.3% 94% NEW ‘RULES’ new rules, even for journalists. have become. 35.8% 59.5% 67.2 “You got a letter,” his mother told The fact that church, plaque, To measure these news black NEWS BLACKOUT him one evening after work early party and all went unreported12.7% is an holes and understand the rules that El Noroeste ran 860 this year. The journalist from Val- example of how the power of drug have developed between drug car- crime stories, 226% le del Mezquital opened the enve- cartels has metastasized like a can- tels andMICHOACÁN of which the media, the Fundación percent SAN LUIS POTOSI NUEV 64.2% lope and found a Valentine’s Day in- cer across Mexico, silencing jour- Mexicana de Periodismo de In- were related to drug vitation to a ranch, the Santa Inez, nalists in its path. It does vestigacion, or MEPI, reviewed trafficking. 91.6% 99.5% 90 in Tepeji del Río. The drug gangs have created six months of crime reporting in publish stories with He did not attend the party, but black news holes where little, or 13 regional newspapers in Mexi- contextual informatwo friends did. During the party nothing, about incidents related co’s most violent cities. tion to help read8.4% .5% “someone stopped the music and to the brutal drug war makes it iners understand the told us everything was ours: the to the media. Editorial decisions More info : SECURITY 30 drug war.
“
”
HIDALGO
18 MEXICOWEEKLY : Friday November 26, 2010
VER
MORELOS
87.3%
35.8% 12.7%
GULF OF MEXIC SONORA
NORTH PACIFIC OCEAN
SINALOA CHIHUAHUA UNITED STATES
UNITED UNITED STATES STATES
TAMAULIPA
COAHUILA
8.4% NUEVO LEÓN
DURANGO
MEXICO
SONORA SONORA
SONORA
SINALOA
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COAHUILA
NUEVONUEVO LEÓN LEÓN
DURANGO
Executi
GULF OF MEXICO
HIDALGO
JALISCO
COAHUILA
WS COVERAGE IMPACT OF DRUG VIOLENCE IN NEWS COVERAGE
SAN LUIS POTOSI
TAMAULIPAS HIDALGO NUEVO SAN LUIS LEÓNPOTOSI
GULF OF MEXICO
Coverag 7 MORELOS Executions
87.3%
News not related to drug violence Coverage
MEXICO
HIDALGO TAMAULIPAS
JALISCO
VERACRUZ 12.7%
SAN LUIS News related to drug7 violence POTOSI MICHOACÁN Executions
SINALOA NORTH PACIFIC OCEAN NUEVO DURANGO LEÓN
Executions Executions
MOR
MICHOACÁN
MORELOS NEWS BLACKOUT Milenio Hidalgo ran HIDALGO Coverage Coverage Coverage 342 crime stories, News not related toJALISCO drug violence VERACRUZ TAMAULIPAS TAMAULIPAS TAMAULIPAS 7 of which 12 percent SONORA SINALOA SAN LUIS SAN LUIS SAN LUIS NORTH NORTH PACIFIC PACIFIC OCEAN OCEAN NORTH PACIFIC OCEAN MICHOACÁN SONORA POTOSI POTOSI POTOSI MORELOS covered drug-relatNews related to drug violence 40.5% ed76.7% incidents. All stoCHIHUAHUA GULF OF MEXICO HIDALGO HIDALGO HIDALGO 23.3% ries carry bylines but GULF OF MEXICO News not related to drug violence JALISCO JALISCO VERACRUZ VERACRUZJALISCO VERACRUZ they do not usually 7 7 7 COAHUILA MICHOACÁN MICHOACÁN include reference to NewsMICHOACÁN related to drug violence SONORA SINALOA CHIHUAHUA MORELOS MORELOS MORELOS SINALOA the larger drug war Executions NUEVO DURANGO 59.5% BELIZE BELIZE BELIZE Executions LEÓN and the presence of 76.7% News News not related not related to drug to drug violence violence News not related to drug violence 40.5% cartels in the region. 32.8% 23.3% Coverage
UNITED STATES
6
MEXICO
MEXICO MEXICO
MEXICO
SONORA News News related related to drug to drug violence violence News related to drug violence
Coverage
GUATEMALA GUATEMALA HONDURAS HONDURAS SINALOA
TAMAULIPAS
NORTH PACIFIC OCEAN
7
MICHOACÁN
HONDURAS
59.5% 67.2% 67.2% News related to drug violence
SALVADOR
VERACRUZ JALISCO JALISCOCHIHUAHUA
MICHOACÁN
59.5% MORELOS 76.7% 91%91% 32.8% 32.8% 23.3% 91.6%
MICHOACÁN
40.5%
23.3%23.3%
59.5% 59.5%
8.4%
91.6%
8.4% SAN LUIS POTOSI
8.4% 8.4%
91%
99.5% 99.5% 91.6% 40.5%
9%
.5% .5%
23.3% HIDALGO 9.2% 9.2% .5%
HIDALGO 9% 9% SAN LUIS POTOSI GUATEMALA HONDURAS .5% 67.2% 87.3%
99.5%
87.3% NEWS BLACKOUT
12.7%
SALVADOR
stories of which 1 MORELOS 9% percentLEÓN covered the NUEVO drug war. None of 9.2% 35.8% them carried a by-
90.8%
line. the newspaper only covers miliVERACRUZ TAMAULIPAS 9.2% tary operations and it does not report on 64.2% executions. 94% 35.8% 90.6% VERACRUZ 9.4%
MORELOS 9.4% 9.4% 9.2%
9%
NEWS BLACKOUT NEWS BLACKOUT NEWS BLACKOUT 35.8% 64.2% Mural59.5% published La Voz de MichoEl Norte ran 1,600 67.2% El Mañana ran 1,252 crimes stories acán ran 1,226 crime VERACRUZ news stories on 1,506 crime sto- VERACRUZ NEWS BLACKOUT 12.7% VERACRUZ DALGO HIDALGO MORELOS MORELOS HIDALGO MORELOS of which 10 percent stories but only 9 crime, 9 percent of ries, but only 1 perEl Diario de MoreÓN TAMAULIPAS of which were about percent were relatwhich dealt with cent of them were los ran 253 crime 87.3% 87.3% 87.3%SAN LUIS POTOSI 94%94% 94% MICHOACÁN NUEVO LEÓN TAMAULIPAS 64.2% 35.8%35.8% 35.8% drug trafficking and ed to the drug war. drug trafficking; 8 about Nuevo Larstories, of which 37 % 90.6% 11 percent of these Only 3 percent inof these inedo and most of percent were about 91.6% 99.5%percent 90.8% 90.6% 12.7%12.7% 12.7% 6% 6% 6% carried bylines. cluded contextual cluded contextuthese reported the drug trafficking. It Drug trafficking information on the al information and arrest of youths caris the only news9.2% 9.4% 64.2% 64.2% rying drugs. stories usually reconflict and the rea byline or “Staff” There paper running sto8.4%64.2% 9.2% 9.4% .5% fer to seizures and porter’s byline. credit, 45 percent were zero reports ries about the “nardrug labs being Over 50 percent of carried no byline. on gangland execomantas,” the RUZ discovered. the stories were critThe paper covered cutions and 99 perlarge banners carAnyHIDALGO stories menical reviews ofMORELOS Army stories about the re- VERACRUZ cent of the stories tels hang from over% tioning drug bosses, and government aclationship between on drug trafficking passes with mesexecutions and artions while 15 perpolice and orgacovered events that sages to the public 87.3% 94% 35.8% rests are about incicent of the stonized crime, govoccurred across the and threats to rival 6% dents in other states. ries had no byline ernment operations border in Texas. or public officials. 12.7% 6% whatsoever. and crimes such as drug possession.
64.2%
.5%LEÓN NUEVO
67.2% NEWS 91%BLACKOUT Pulso ran90.8% 1,641 crime
99.5%BELIZE
87.3% 90.6% 90.8% 90.8% 99.5% 90.6%90.8% 76.7% 91% 32.8% 8.4%
JALISCO
32.8%
12.7% HIDALGO UA CHOACÁN MICHOACÁN JALISCO SAN SAN LUIS LUIS POTOSI POTOSI NUEVO LEÓN MICHOACÁN NUEVO LEÓN TAMAULIPAS SAN LUIS POTOSI NUEVOMORELOS LEÓN 8.4%TAMAULIPAS .5% SONORA SINALOA CHIHUAHUA JALISCO
91.6% 91.6% 32.8%
91% 90
67.2% 32.8% 99.5%
23.3%
J
SAL 67.2
HIDALGO JALISCO CHIHUAHUA CHIHUAHUA SINALOA
News not related to drug violence
GUATEMALA
76.7% 91.6%
GUATEMALA
JALISCO NUEV
SALVADOR
MEPI GRAPHIC
76.7% 76.7% BELIZE
40.5% 40.5%
HONDURAS CHIHUAHUA SAN LUIS POTOSI
SALVADOR SALVADOR
40.5% 59.5%
SINALOA SONORA SINALOA
GUATEMALA
MICHOACÁN
SAN LUIS POTOSI
MEXICO
ACRUZ
ONORA SONORA
CHIHU GUA
94% 6%
NEWS BLACKOUT El Dictamen published 306 crime stories, 6 percent of which were related to drug violence and organized crime. It runs an average of three stories a month about organized crime. None include contextual information about the drug cartels’ presence in the state.
Friday November 26, 2010 : MEXICOWEEKLY 19
6%
TA
VER TAMAUL
90.6
MEXICO WEEKLY PHOTOS/FRANCISCO CANDIDO
FEATURE
The Artesana Rosewood Residences is due to partially begin operations in January.
Resort to boost San Miguel Developers strive to produce positive impact within the local community
Rosewood Hotels & Resorts and Banamex are developing a residential/tourism complex in San Miguel de Allende that combines the classic colonial image of the town with all the modern amenities. Bald Mountain Development of Aspen, Colorado, is building the high-end resort/condo project in conjunction with its Bald Mountain de México affiliate. Rosewood Hotels & Resorts of Dallas will operate the resort. For the past two years, the development firm has been constructing a 5-star hotel that will double as a residential complex right in the middle of the iconic “Pueblo Mágico.” The complex adheres to all the architectural norms established by INAH and the Guanajuato Tourism Council to ensure that new developments do not alter the integrity of the colonial appearance of the town. JOB CREATION
Beyond the expected value the project will provide to the region based on its potential
The interior designs feature local handiwork.
as a tourism magnet, the new complex aims to be a productive participant in the local economy and is already serving as a steady source of jobs. “We frequently have around 700-1,000 workers on site, typically in two shifts,” said Víctor Cortés, director general of Bald Mountain de México. “By January, when we expect the hotel to be open and the first section of housing units, we will still
20 MEXICOWEEKLY : Friday November 26, 2010
be employing 300 to 400 in ongoing construction work in addition to 200-300 people on the hotel staff.” The developers have focused on hiring labor from San Miguel and nearby towns and have been using primarily materials from Guanajuato and nearby Querétaro. “We actively sought craftsmen – woodworking, carpentry, wrought iron work, electrical work – from San Miguel and surrounding area, Cortés told Mexico Weekly. “We wanted local craftsmen to make the kitchen cabinets, the countertops, exterior and interior detailing, etc. … It helps lend a genuine look.” The resort will also feature a garden that not only will provide products for the kitchen but it will be utilized for the benefit of local organizations, Cortés said. “We’ll have a garden on site, and local produce will be procured for our kitchen. The goal is to have a very positive impact on the local community,” he said. “We’ve also [contacted] local organizations and cooperatives that focus on organic farming. Our gardens will also be used by these organizations to teach farmers and farm groups how to grow organically and provide social benefits, environmental benefits.” To further cement their commitment to the community, the developers say they will be restoring the surrounding streets and will build a new sewage and water supply system for both the complex and the immediate neighborhood. BY FRANCISCO CÁNDIDO/MEXICO WEEKLY
www.mexicotoday.com.mx/information/lifeleisure
life& leisure
Roma and Condesa: Cafes and lounges invite customers to stay and play in spaces decorated in vintage style. : 22
FOOD
Mexican food celebrated UNESCO has recognized Mexico in its list of intangible Cultural Heritage of Humanity for its cuisine as central the country’s identity.
TRAVEL
Boutique Hotel prize for Riviera Maya
La Tortuga Hotel and Spa earns ‘Leading Boutique Hotel’ in 2010 World Travel Awards.
“It’s
good to have a little meat on your bones. ” Heidi Klum
NATURE
ENTERTAINMENT
Monarch Butterflies to be protected President Calderon inaugurated the Sierra Chincua Cultural Center to protect their dwindling numbers
HP7 beats expectations
Harry Potter 7-1 opened in November, breaking all previous HP box office records, with $24m USD alone on its first night in the US.
LITERATURE
Bush Memoirs lauded
With approval from Bill Clinton and many others, “Decision Points” continues to sell above expectations.
Friday November 26, 2010 : MEXICOWEEKLY 21
MEXICO WEEKLY PHOTOS/BLANCA ROBLEDO
Period Pieces
life& leisure
ROMA AND CONDESA
Inside Jobs
Roma and Condesa: With new trends in interior design sweeping the bars and cafés of Mexico City’s Roma and Condesa neighborhoods, it’s not where you sit, but what you sit on.
T
he history of Mexico City’s Roma-Condesa neighborhoods is a shifting one – at first an aristocratic playground, then a bohemian underground, and today a hipster-chic foreground of art, style and architecture. The area’s latest movement in interior design is equally as mingled. Trendy bars, elegant tea salons and hole-in-the-wall cafés are tossing out uniform chairs and tables to make way for vintage velvet armchairs, retro vinyl sofas, antique crystal chandeliers and art-deco lamp stands. Each piece aims to engage customers by giving them something intriguing to sit on. Raúl Santos Coy, co-owner of the yearold La Casa Roma, said that his restaurantcafé’s blend of modern and vintage looks allows guests to “escape the ordinary.” Most people who own antiques or vintage items don’t really know what style or time those objects belong to,” he said. “But I think they feel attracted to their unique vibe, perhaps as a way to (try to) defy time and space.” Discrete wooden doors hide La Casa Roma’s entrance near Plaza Rio de Janeiro in Roma Norte. Steep marble steps lead up to the foyer of a two-story, 1930sera home, where a mix of open rooms and intimate corners host a mosaic of furniture. In the dining room, a red velvet sofa tufted with oversized buttons surrounds a low-lying round marble table. In the next room, an heirloom record player spins vinyl from Santos Coy’s extensive personal collection, and upstairs, a set of converted church pews with elaborate wooden
Walking the line between art and functionality.
The Caravanserei aims for elegance
Aaron Flores: Setting a different tone
headboards flash their faded rouge fabric. Quality used furniture can be found just about anywhere in Mexico City,” said Santos Coy, noting that the pieces in La Casa Roma are inherited, rented, purchased from auctions or swapped up from the Lagunilla flea market. Many chairs, sofas and tables at the restaurant are for sale. “The key is to have a good eye, and a good relationship with your grandparents.”
BEYOND THE VINTAGE
22 MEXICOWEEKLY : Friday November 26, 2010
When Aaron Flores and his two partners took over Rococó Café Espresso in early 2010, the team hired architect Armando Rolón to revamp the space into a cozy coffee bar. The Condesa café outside Parque España is a simple two-room set up with a smattering of cloth couches boasting curved wooden legs and commanding armchairs
MEXICO WEEKLY PHOTOS/BLANCA ROBLEDA
The T Gallery strives for a vanguard approach
with high backs and opaque floral fabrics. “Many people really enjoy this (vintage) set-up when they come to chat or read a book,” Flores said. “The café feels as if you were in your grandmother’s house sitting and having a coffee. Each of the furniture pieces in the Rococó Café Espresso has a different tone. “This goes hand-in-hand with the history of Condesa and Roma, two old colonias
Frenzied but sophisticated: The T Gallery lounge
: Design Tour
Rococó Café Espresso: A vintage set-up
where many French, Spanish and other Europeans came to live,” he said. “They brought their customs and lifestyles with them.” Antique and vintage furniture pieces are not the only trends sweeping the neighborhoods. At the T Gallery lounge bar located in the Condesa neighborhood, nearly half a dozen rooms are fitted with furniture
LA CASA ROMA Orizaba 76, near Plaza Rio de Janeiro Col. Roma Norte 5533-7780 ROCOCÓ CAFÉ ESPRESSO Parque España 495, corner of Juan de la Barrera Col. Condesa T GALLERY Saltillo No. 39, between Mexicali and Campeche Col. Condesa 5211-1222 THÉ CARAVANSERAÏ Orizaba 101-A Col. Roma 5511-2877
from styles such as Art Deco, mod, retro and contemporary. BY MARIA GALLUCCI
Maria Gallucci is a freelance journalist based in
Mexico City and New York. Her work has been published in The News, The Associated Press, SolveClimate News and Fodor’s Honduras. She’s currently on assignment with the official News Center for the United Nations’ COP16 climate summit in Cancún.
Friday November 26, 2010 : MEXICOWEEKLY 23
life& leisure
ART IN REVIEW
Back
to the
PHOTOS COURTESY PABLO GOEDEL FINE ARTS
Land Eric Pérez: Memory-altered visions
A gallery show featuring five important Mexican artists reminds us that landscape art, like the landscape itself, is not what it used to be When Antonio Luquín, lanky and sharp- institutions exist to prevent progress.” eyed, stood beside one of his paintings reWe have this habit of associating landcently at the opening of the intriguing “En- scape art with the pretty and the predictgramas: Urbanas y Rurales” exposition at able, the stock and trade of community Mexico City’s Pablo Goedel Fine Arts gal- art fairs in a thousand tourist towns every lery, he seemed to out-height the top of the weekend. Even a cursory look at Engramframe, as though taking on the point of view as puts an end to that stereotype, revealing of one of the wayward aircraft that in his instead an evolved genre that in the hands work frequently menace the Valley of Mex- of accomplished artists can be as compelico below, or what’s left of it. ling as anything out there right now, and His recent works on display are land- unmistakably contemporary. scapes – the featured genre of the fiveWith the exception of Eric Pérez’s artist show – but for Luquín dreamily blurred and memoa landscape is not so much ry-altered visions of the indisomething to depict as someThe urban vidual’s rather puny presence thing to comment upon. His in the natural world, most of comments generally have to context in the show’s works are aggresdo with mankind’s escalat- Mexico City sively urban, which makes ing assaults on nature, and today is them not a whit less recoghe’s not shy about expressing nizable as landscapes. Alemore violent jandro Pintado has superthem, verbally or on canvas. We’re turning into an than the imposed urban images on anonymous society,” he said, actual rural scenes, while Armanpondering the cluster of paddo Romero goes crazy ecleclocks falling from a prop plane violence. tic, filling much of one paintover a wounded Mexico City Raymundo Sesma ing with graffiti, stickers, carin one of his large oils. “Our Chiapas-born artist toons characters, photos and
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24 MEXICOWEEKLY : Friday November 26, 2010
Antonio Luquín: A lot to say
movie-influenced outer-space references that overwhelm what once may or may not have been a schlock-less, perhaps even natural setting – it hardly matters any more. Raymundo Sesma, the Chiapas-born artist who at 56 has earned considerable prominence over the decades, contributes a version of landscape art that consists of taking found urban objects and changing them – often by manipulating a photograph of them, as in the case of all but one of the pieces in the Engramas exposition. “I find buildings and I intervene,” is how Sesma puts it. That’s not always literally true. Two of the most effective pieces in the show are colored-up versions of drab chairs and assorted tables and cabinets.
Antonio Luquín: An anonymous society
Raymundo Sesma: Artistic intervention
Another is a live piece squeezed into the Polanco gallery – a discarded table-andchair set-up resurrected in the black and white of a Holstein cow. That those things aren’t buildings is a distinction without a difference for Sesma. “I didn’t see them as furniture,” he said. “I saw them as architecture.” ENGRAMAS MESSAGE NOT GLOOMY
Sesma’s interventions are an aesthetic act; the things look better when he’s done with them. But they’re also symbolic, because Sesma is as horrified by the soul-numbing dynamic of modern urban life as Luquín is. “The urban context in Mexico City today is more violent than the actual violence,” he
Raymundo Sesma: Furniture as architecture
said. “It registers in the unconscious and it stays there.” Still, the take-home message of Engramas is not gloomy. Sesma, after all, fixes the problem he identifies, if only artistically. Luquín, far from indulging in a dystopian vision, is showing us the same Valley of Mexico we all see, like a modern Velasco, whose influence on Luquín is evident in his composition, if not his attitude. (“Velasco is a hero to all five of these artists,” gallery owner Pablo Goedel said of the iconic 19thcentury Mexican landscapist.) That valley is not as pleasant as it used to be, so why pretend otherwise? Besides, there’s room for optimism. “All that clean area,” Luquín said, pointing to a
broad expanse of blue sky that takes up a disproportionate amount of space in many of his landscapes, “that’s hope.” Engramas: Urbanas y Rurales,” the fourth installment in the ongoing series of expositions entitled “Contemporary Painting and Sculpture in Mexico,” designed to showcase the work of some 50 living Mexican artists over a period of several years, continues at the Pablo Goedel Fine Arts gallery, Schiller 251 in the Polanco neighborhood of Mexico City, through Jan. 20. Hours are from 9 a.m. to 6 p.m. Monday through Friday, with Saturday visits available by appointment. BY KELLY ARTHUR GARRETT
Friday November 26, 2010 : MEXICOWEEKLY 25
r&r
: what : when : where
MUSICAL EVENTS
Bring Me the Horizon
Jose Cuervo Salon; Lago Andromaco 17, Colonia Granada 30 November, 9pm Tickets: 407 MXN The British metal group brings its relentless nihilsm for one night only to the Jose Cuervo Salon; a welcome event for angst-ridden teenage boys.
Alondra de la Parra
Auditorio Nacional November 30, 8.30pm Tickets: 200 – 1000 MXN The internationally acclaimed conductor will lead the Philharmonic Orquestra of the Americas in a Revolution-themed program, “Mi Alma Mexicana.”
Stone Temple Pilots
Palacio de los deportes December 1, 8.30pm Tickets: 461 – 691 MXN The grunge graduates reunited in 2008 and included Mexico City in their latest tour, following the release of their new album.
ART EVENTS
José Clemente Orozco
Antiguo Colego San Ildefonso Until 16 January, Tues: 10am-8pm; Wed-Sun: 10am-6pm Tickets: $ 45 An exhibit showcasing some 20 unknown paintings by the famed Mexican artist, from 1948-49.
National Symphony Orquestra
Palacio de Bellas Artes December 3, 5 Tickets: $100–250 Carlos Miguel Prieto directs a concert that includes vocals, a world premier by Mexican composer Federico Ibarra, and Works by Haydn and Glass.
LCD Soundsystem
Hipodromo de las Americas, Acceso 2, Av Industria Militar; Lomas de Sotelo December 4, 8.30pm Ticket: $ 400 – 750 James Murphy and friends do dancepunk on the infield in what’s been officially designated as happening.
Museo Nacional de Antropologia e Historia Every Wednesday until 1 December, from 7-10pm A series of talks and an opportunity to visit Mexico’s grandest museum, shrouded in darkness.
The Mexican Revolution in caricatures
Museo de Arte Carrillo Gil Until 20 March, Tues-Sun: 10am-5pm Though it took place in Mexico, the revolution was well recorded in the US, which these caricatures demonstrate.
26 MEXICOWEEKLY : Friday November 26, 2010
Onegin
Palacio de Bellas Artes November 21, 25 and 28 Tickets: $ 112 – 590 Sylvia Reynaud directs the Nacional Dance Company in this choreographedversion of Pushkin’s novel, with music by Tchaikovsky.
Teatro Metropolitan December 6, 8.30pm Tickets: $ 372 – 1261 Jeff Beck brings his strong sense of dual focus on experimentation along with his guitar virtuosity and ability to turn otherwise staid guitar solos into soul-soaring experiences.
AT THE MUSEUM
ON STAGE
Autumn Evenings
Jeff Beck
Juegos Siniestros (Sleuth)
Teatro Insurgentes Thurs-Sun, until 19 December Tickets: $ 200 – 500 Anthony Shaffer´s famous suspense drama set in the English countryside is brought to life by an entirely Mexican cast.
Faces of Divinity
Museo Nacional de Antropologia e Historia until 30 November; Tues-Sun: 9am-7pm Tickets: $ 51 An exhibition highlighting the ceremonial masks worn by nobles in Mayan civilization.
www.mexicotoday.com.mx/information/security
NOTIMEX PHOTO/JOSÉ PAZOZ
Unified command hits snag Comprehensive judicial reform proposals are finally getting a hearing in Congress but session is fast approaching its end : 28
ARREST
Kidnap gang had plans for Cancún summit
Marines arrested a suspected kidnap ring on Nov. 21 in Playa del Carmen, Quintana Roo. The gang, in possession of fake police uniforms, was carrying detailed, hand-written security plans for the upcoming climate conference in Cancún. The marines freed two captives being held by the gang at a hotel and arrested 10 suspects in all.
JUSTICE
DRUG WAR
‘LA BARBIE’ COULD BE ON WAY NORTH
CONFISCATED GOODS SOLD AT AUCTION
Drug kingpin “La Barbie” faces extradition to the U.S. on drug trafficking charges. Edgar Valdez, born in Texas but with dual Mexican and U.S. citizenship, was arrested on Aug. 30 and the extradition process is under way.
The government held a two-day auction on Nov. 18-19 to sell off luxury items seized in its war on drug cartels. The auction aims to raise millions of pesos, profits from which will be channeled into crime-fighting programs.
Friday November 26, 2010 : MEXICOWEEKLY 27
SECURITY
GOVERNMENT
Judicial bills stagnate in Congress A lack of consensus has kept lawmakers from taking action on reforms that address shortcomings in national security as Tec de Monterrey tracks a series of proposals it submitted back in April
A
U.S. Army War College institute is- unwilling to back the plan, and the expecsued a report that insists drug car- tation is that the bill will be altered considtel violence in Mexico has trans- erably before it is voted on. formed into a narcoinsurgency.The Mex“There is no consensus, not even withican Federal Police released a study that in the PAN. There is a lot of opposition to reveals hijacking of long-haul trucks has a unified police command,” PAN Sen. Alesurged 245 percent over the past four years. jandro González, who heads the Senate During a recent meeting of the National Justice Committee, told Reuters. Security Council, President Calderón and The bill aims to bring poorly paid, illstate governors urged the Senate to ap- equipped and notoriously corrupt local poprove legislation that would create a uni- lice forces under the control of state goverfied police command across nors, ending a dysfunctional the country. Bills that would system of 2,200 different juhelp authorities combat monThere have risdictions across the couney laundering and reform the try, Reuters reported. military justice system are al- been Critics insist the proposal advances ... so languishing in Congress. would concentrate too much Since President Calde- Congress power in the hands of state rón felt compelled to task the governments that do not apmilitary with the responsibili- approved a pear to be up to the task. “One ty of fighting the drug war, the new of the principal reasons drivgravity of the national security kidnapping ing crime and violence in the situation has become increascountry is governors not doingly evident. While soldiers law. ing their job,” Gonzalez said. have taken on duties normally Dr. Bernardo Governors resoundingassigned to local, state and fed- González-Aréchiga ly back the proposal and in eral police, the death toll has March they announced their soared past 30,000 since December 2006. approval of a unified police command. In Yet despite these increasingly dramat- recent days, members of Calderón’s nationic signals, Congress appears unlikely to ful- al security team have met with PAN senaly act on national security reforms before tors to discuss modifications to the bill but the next session begins in February 2011. this produced little progress. Eight different schemes for how to coordinate the OPPOSITION UNMOVED command are on the table, each backed Political squabbling ahead of key elections by different interest groups. in 2011 and the presidential campaign that Two plans propose eliminating municwill follow in 2012 has hindered Calde- ipal police forces entirely, another would rón’s effort to win support for his judicial transfer command of existing forces to reform proposal. Even his own party seems state authorities.
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28 MEXICOWEEKLY : Friday November 26, 2010
CREDITO_FOTO
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President Calderón speaks during a National Security Council meeting in November.
TEC MONITORS PROGRESS
In April, the Tecnológico de Monterrey presented a comprehensive proposal to improve national security and, in early November, university officials presented a thorough report on progress made. “There have been concrete advances made – for instance, Congress approved a new kidnapping law … and the president
NOTIMEX PHOTO/SEGOB
Interior Secretary Francisco Blake says the
NOTIMEX PHOTO/BERNARDO MONCADA
government is holding its own.
Dr. Bernardo González-Aréchiga presents the Tec report on advances in public security reform.
submitted proposals to reform the Military Justice Law,” said Dr. Bernardo GonzálezAréchiga. “But it is absolutely necessary that the consideration of and implementation of these reforms be accelerated in order to give greater assurances to the public that their safety concerns are being addressed.” González-Aréchiga – dean of the Graduate School of Public Administration and Public Policy at the Tec de Monterrey – said the state security apparatus must be strengthened, while guaranteeing complete respect for the rights of the public. The November Tec report acknowledged that progress is visible, but hastened to add that the public is fast losing confidence in security institutions. The report also criticized detractors who question the benefits of comprehensive judicial reform. With respect to the penitentiary system, suggestions included improved prison infrastructure, the accelerated construction
of new federal prisons, increased respect for the human rights of prisoners and wider application of the presumption of innocence. These proposed reforms – in conjunction with reforms to the court system – aim to introduce a new and deeper sense of justice into the penitentiary system, as well as to ease the burden on overcrowded prisons by reducing the number of people sentenced for minor crimes without having had recourse to a strong defense. The report stated that the further development of systems, protocol and intelligence for the detection and prevention of money laundering and the operation of the black market were essential. Money laundering undercuts the economy and strengthens operative links between everyday crime and organized crime. The report recognized advances in the regulation, practices and systems working against money laundering, as well as improvements in the exchange of information
on an international level, but advised that further steps must be taken. Suggested reforms: standardization of the penal code with respect to money laundering, safeguarding the data of financial institutions, reinforcing protocols and practices, and constant monitoring of the Mexican financial system with reference to international standards. Other areas highlighted within the report include adjustment of the Military Justice Code such that civil justice is applied in peacetime to members of the armed forces, as part of an overall objective of creating a regulated, clear and detailed framework for the armed forces when fighting organized crime. Also highlighted was the need for improved vetting procedures of authorities – as well as regular performance evaluations – to monitor the transparency and integrity of the operations of state government workers: only three states had reported significant improvement, and 22 states had only carried out checks on 10 percent of their staff. A strong theme of the report was the complex, multidimensional and chronic nature of the national security situation. The Tec urged the dedicated participation of different levels of governance - local, state, national and international – as well as the private sector and civil society, in order to reach an integrated solution to a challenge that now defies the ability of the state to face alone. MEXICO WEEKLY
Friday November 26, 2010 : MEXICOWEEKLY 29
SECURITY
NARCO-VIOLENCE
In regions where drug gangs operate, newspapers have been forced to exercise self-censorship.
Drug cartels control media message Crime gangs have learned the importance of propaganda and they now use mainstream media to exercise control over their territory
In 1986, the signals of drug violence so pervasive today were only noticeable in faraway places like Matamoros, the border town where the Gulf Cartel was born. Norma Moreno Figueroa was only 24, but she wrote the most influential column in the local newspaper El Popular. Her propensity to give thrift to rumors and innuendo about powerful local figures had earned her a few enemies. Her last encounter, fellow reporters say, was a column attacking Matamoros Mayor Jesús Roberto Guerra Velasco, a relative of Gulf Cartel founder Juan Nepomuceno Guerra. The next day,
July 7, 1986, shortly after 7 a.m., unknown assailants mowed down Moreno Figueroa and her editor, Ernesto Flores Torrijos, with automatic weapons. The crime has never been solved. The meaning of her death still resonates. “That murder,” said a veteran reporter this year, “defined the limits of our job as journalists in Matamoros.” Rule No. 1: Don’t publish the names of capos, said the reporter. The MEPI study found that Matamoros and other regions of Tamaulipas partly controlled by the Gulf Cartel are veritable black news holes – 0 percent
30 MEXICOWEEKLY : Friday November 26, 2010
of violent incidents connected to drug trafficking appear in news pages. The only exception is in Nuevo Laredo where El Mañana ignores drug stories from the violent border town, but carries stories on drug-related violence in Laredo, Texas. “Different cartels have different methods for controlling the media,” said a senior journalist from Sinaloa, another state ravaged by drug violence. The methods that are becoming the norm are those that started emerging when Moreno Figueroa, the young columnist, was murdered. Those are the methods created by the Gulf Cartel henchmen, which became more deadly after the Zetas began to work as Gulf Cartel enforcers. After their split from their
NOTIMEX PHOTO/ALEJANDRINO GONZALEZ MEXICO WEEKLY PHOTOS/FRANCISCO CANDIDO
Drug-related crime scenes often feature narco-mensajes left near the bodies of victims.
former bosses, the Zetas wrestled away large swaths of territory and imposed a new media order in other cities in central and southern Mexico. METHODOLOGY
MEPI reviewed crime stories published during the first half of 2010 in the following newspapers: El Noroeste (Culiacán), El Norte (Ciudad Juárez), Norte (Monterrey), El Dictamen (Veracruz), Mural (Guadalajara), Pulso (San Luis Potosí), El Mañana (Nuevo Laredo), El Diario de Morelos, El Imparcial (Hermosillo) and Milenio’s national and Hidalgo editions. The study measured stories that used words utilized to describe drug war incidents: “narcotráfico,” “comando armado,” “cuerno de chivo” (a popular nickname for AK-47 automatic rifles) and so on. Government crime statistics for the same period were not available, thus MEPI gathered data on the number of gangland executions in each city during the months studied and found stark statistics: in eight of the 13 cities studied, the media reported
only one of every 10 incidents of drug-re- to work the same way with the local melated violence. The crime pages were not dia. “There used to be about 20 radio, TV empty, but they were filled with stories on and newspaper reporters here who worked minor crimes unrelated to the drug con- for the narcos.” Today “it’s too dangerous to flict. In the combative daily Notiver, in Ve- take their money,” he said. The city is being racruz, which is also under the aegis of the fought over by rival gangs and violence has Zetas, the newspaper focused on stories of spiked, with Juárez seeing 20 percent of all home burglaries, pedestrians hit by cars, or execution-style murders in the country. family violence. “We have become publiToday, the territories controlled by the cists, and we only cover organized crime Zetas and the Gulf Cartel suffer the greatthrough official communiqués,” explained est restrictions, according to the MEPI one top editor there. analysis. The news media in those states, The Zetas introduced psywhich comprise about onechological operations and third of the country, publish other military expertise inor broadcast between 0 to 5 The to the drug war. Because they percent of drug-related viunderstand the role of pro- journalists olence. Even editors in the paganda, they use the main- could help beleaguered city of Ciudad stream media effectively to multiply the Juárez pity their colleagues: gain and maintain total con“Well the censorship there is trol over a territory. Their force of 100 percent,” said one editor. methods are beginning to in- delivery of The lack of critical reportfluence how other drug car- [the cartels’] ing prevents journalists from tels treat the media. seeing how the influence of “The journalists could help message drug cartels advanced statemultiply the force of delivery Eduardo Guerrero, a drug by-state and few journalof [the cartels’] message,” said trafficking expert ists put together the statisEduardo Guerrero, a drug traftics that show how the meficking expert who works for Lantia Aso- dia was being silenced. ciados in Mexico City. For the Zetas, espe“We let the problem spread,” said one cially, journalists serve as good informants, journalist in Veracruz. “Nobody from since they have access to high places. “For the main cities took care to report on the the narcos, it’s very important to commu- problems in the provinces.” Then he addnicate their message to their enemies and ed: “Many accused the local media of beto society at large,” Guerrero said. ing cowards and going silent; but how could they blame us, if they don’t know reality as 100 PERCENT CENSORSHIP we do.” In Ciudad Juárez, a veteran crime reportFUNDACIÓN MEXICANA DE PERIODISMO DE INVESTIGACIÓN er explained how the Juárez Cartel used
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Friday November 26, 2010 : MEXICOWEEKLY 31
NOTIMEX PHOTO/CARLOS BÁEZ CASTRO
POLITICAL PARTIES
PAN party election looks toward 2012 Despite bleak poll numbers for the PAN, things may get better: Twelve years ago, Estévez said, PRD presidential candidate Cuauhtémoc Cárdenas soared above Fox and the PRI’s Francisco Labastida in early polling, but lost the 2000 election by a significant margin. Six years later, the same was true for the PRD’s Andrés Manuel López Obrador, who lost by a razorthin margin. Campos says the new PAN leader must focus on unity. “The challenge of the new leader is to awaken a new PANismo beyond alliances, awaken a ‘yes we can win’ attitude … without alliances, and most importantly find … a candidate who can
: Blue & White
compete against … Peña Nieto and López Obrador,” Campos explained. This will be in part determined by Nava’s successor and the internal party alliances the winner can formulate. Some candidates have indicated who they would prefer to see as the 2012 party standard-bearer. Madero has already revealed a list of 10 potential candidates, most notably Finance Secretary Ernesto Cordero. Gil Zuarth, for his part, identified three sitting governors and a federal deputy, but the most prominent on his list is Education Secretary Alonso Lujambio. BY BRONSON PETTITT/ MEXICO WEEKLY
The PAN leader
Candidates are already running hard ahead
coordinates party activities and represents the party on a national level, while ensuring cooperation from local party organizations. César Nava’s successor will serve as president of the National Assembly and preside over the National Council and Convention and the National Executive Committee. Other duties: coordinating legislative work by deputies and senators; managing basic party structure; designating more than 20 secretaries and committee leaders.
of the 2012 presidential election.
NOTIMEX PHOTO/PEDRO SÁNCHEZ MUÑOZ
Five lawmakers
PAN president César Nava decided not to see re-relection.
32 MEXICOWEEKLY : Friday November 26, 2010
and former Cabinet officials are vying for the PAN presidency. Sen. Blanca Judith Díaz challenged Dep. Roberto Gil Zuarth’s candidacy, arguing that he has been a registered PAN member for less than three years while national council members must hold at least five years’ tenure. However, the Federal Electoral Tribunal ruled that the membership rule did not apply to the president, securing Gil Zuarth’s run.
ELECTIONS
Selection of new IFE councilors hits roadblock The approach to : About the IFE electing candidates The IFE was estabhas been based on lished on Oct. 11, the premise that 1990 as an autonoeach party should mous, public orgahave a quota in pro- nization to organize portion to its stand- federal elections. ing in Congress. The General CounThere appears to cil is the ruling body have been little at- of the IFE comtempt to nominate prised of nine memnon-partisan coun- bers (eight electorcilors and instead, al councilors and a candidates were president) who are nominated on the elected on a twobasis of their party third’s majority by allegiances. the Chamber of As the PRI has Deputies. a majority in the The General CounChamber, it insists cil’s purpose is to enit should be allowed force constitutionto select two of the al and legal provithree candidates. sions of electoral law José Antonio Cre- and to issue electorspo notes that two al guidelines. of the outgoing councilors were PRI candidates, so it is unsurprising that the PRI feels they have the right to select councilors to replace them. Whatever the outcome of the election, it is clear that the IFE, now in its 20th year, is struggling to live up to its original spirit of autonomy. In short, the delay in electing new councilors and the politicking surrounding the decision does not augur well for the IFE’s ability to effectively police the upcoming presidential election. BY REBECCA CONAN/MEXICO WEEKLY
OPINION HUMBERTO CAVAZOS CHEMA
S
upport for labor reform is typically expressed as a desire to bring Mexico in line with other industrialized nations and prevent the economy from losing ground to countries with more favorable employment terms. Current legislative proposals feature several details worth examining, especially those pertaining to part-time employment, hourly pay and emphasis on productivity over seniority.
Other positive aspects of the reform proposals address union issues, including promoting arbitration ahead of strikes. Any reform should also stress greater regulation of union finances and mandate democratic voting procedures. Wage deductions would be limited to six months and disputes over social security issues would be settled according to specific rules to minimize conflict. Naturally, union leaders are unlikely to support reforms that liberalize and democratize union practices, particularly as they pertain to control of accounting for union finances. The fear is that existing unions would lose control of their members as closed shop practices would end. New unions would likely spring up and these could threaten the power enjoyed by umbrella groups like the CTM, the CROC and the UNTE. Still, there are other points legislators should consider, especially on behalf of employers. It can be argued that existing labor law does not view employers – who put capital at risk to create jobs – favorably, especially certain restrictive clauses regarding “unjustified firing.” Here I’m referring specifically to the clause on “the lack of proper notice” when an employee is fired. At present, even a case where administrative oversight is clearly evident, the action would be viewed as “unjustified.” There should be an allowance for broader interpretation of management action. The law should not be so draconian as to automatically penalize employers. This is especially true when illegal conduct
occurs. Present law penalizes an employer who reacts swiftly and the employee is likely to be reinstated, perhaps suffering only a mild fine. Likewise, outsourcing should not automatically be considered deceitful since often it is a calculated business decision whose long-term goal might be to replace lost jobs with better jobs. Management should not be seen as enemies of labor and the reverse is also true. Instead of a law that promotes an adversarial relationship, we should assume good faith in labor relations. The reform should also address arbitration and conciliation action, mandating speedier procedures (some cases last more than two years). Additionally, the lack of funding frequently lengthens cases. Arbitration Boards should get bigger budgets and the case load for audiences could be reduced by splitting responsibilities – one audience focusing on conciliation, suits and exceptions, the other for accusations and evidentiary procedures. This would improve the labor environment by enabling a speedier, more efficient system of labor justice. Labor should favor this since speedier resolutions reduce loss of salary for employees who are in front of the board. These procedures could be further facilitated by the proposal that agents representing unions in arbitration cases be certified as lawyers, or law students. Reform backers believe it will promote the creation of quality jobs in the formal sector, increase productivity and boost salaries as profits rise. The sections addressing union rules would also strengthen democracy and labor freedom. Union autonomy would be respected too and labor strife would be controlled with a better-funded, more streamlined system for conciliation and arbitration. Above all, investors would feel a greater sense of legal certainty. Humberto Cavazos Chena Founding partner of Cavazos Flores S.C. law firm
NOTIMEX PHOTO/NICOLAS TAVIRA
Labor reform requires good faith
Members of the SME march toward the Hemiciclo de Juárez in Mexico City.
Esparza poised to reclaim SME’s formal status A year after the government closed the state-run Central Power and Light company, the union resisting the shutdown appears set to recover its status. The Calderón administration has been clashing with the SME union led by Martín Esparza for several years and canceled last year’s union vote in which he was re-elected due to alleged fraud. Esparza and radical members of the SME that rejected the severance package offered now appear poised to regain official recognition, potentially winning access to billions of pesos worth of union funds. Esparza feuded with his challenger, former SME Finance Secretary Alejandro Muñoz, after the controversial union vote while Muñoz appeared to have the backing of the government. But last week, Esparza launched a bid to reclaim power when retired electrical workers – the only sector of the SME that can legally call for a election since the union was technically terminated once the electric company was shut down – said they would hold a vote. Only the pensioners and those who did not accept severance pay can participate in the election so Esparza appears likely to win re-election. It remains to be seen if the government will challenge the vote or attempt to negotiate with Esparza in hopes of limiting reactionary elements within the Esparza camp. MEXICO WEEKLY
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