IX - 2011

MeXIcan ports Sailing Towards Growth

ElEctronicindustry

Plug & Succeed

2 Negocios

From the CEO 6

Briefs 8

Business Tips Mexico,BRicSANDBeYoND 13

Mexico’s Partner eLcoTeQ 28

FLexTRoNicS 30

MABe 32

SAMSUNG 34

ceLeSTicA 36

ABB 38

20ELECTRONIC

INdusTRyPlug & Succeed

Contents

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MEXICAN PORTSSailing Towards Growth

Through a significant invest-ment in its port system, Mexico sails firmly to increase its trade with the world, consolidating its position as a logistics platform in America.

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58 The Lifestyle ReportdIsTINCIóN bOhEmIa:100% mExICaN,100% GOuRmET

4 Negocios

54 InterviewTÊTE à TÊTE

wIThvICENTE TORREs

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aThe lifestyle Contents

PROméxICO

carlosGuzmánBofillceo

ilseoehlerGrediagaimageandcommunicationsDirector

SebastiánescalanteManagingcoordinatorsebastian.escalante@promexico.gob.mx

MiguelÁngelSamayoaAdvertisingandSuscriptionsnegocios@promexico.gob.mx

NataliaHerreroRaquelcajigacopyediting

q-10 COmuNICaCIóN

emmaLucilaLópezValtierrapublisher

SergioAnayaeditorinchief

paolaValenciaTheLifestyleeditor

carlosMolinaDesign

ThisisaneditorialprojectforproMéxicobyq-10 Comunicación.

Download the PDF version and read the interactive edition of Negocios ProMéxico at: negocios.promexico.gob.mx

Negocios ProMéxico esunapublica-cióngratuita,editadamensualmen-teeninglésporproMéxico,caminoaSantaTeresanúmero1679,coloniaJardines del pedregal, DelegaciónÁlvaroobregón,c.p.01900,México,

guanajuatoThe City

of Many Roads

62

42The Lifestyle Feature

mExICaNCONTEmPORaRy

CuIsINE

D.F.Teléfono:(52)5554477000.páginaWeb:www.promexico.gob.mx. correo electrónico:negocios@promexico.gob.mxeditor responsable: Gabriel Sebastián esca-lante Bañuelos. Reserva de derechos al usoexclusivo No. 04-2009-012714564800-102.Licituddetítulo:14459.Licituddecontenido:12032,ambosotorgadosporlacomisiónca-lificadoradepublicacionesyRevistasilustra-dasdelaSecretaríadeGobernación.iSSN:2007-1795.Negocios ProMéxico año 4, número ix, sep-tiembre2011,seterminódeimprimirel14deseptiembre de 2011, con un tiraje de 11,000ejemplares.impresaporcía.impresoraelUni-versal,S.A.dec.V.Lasopinionesexpresadasporlosautoresnoreflejannecesariamentelapostura del editor de la publicación. Quedaestrictamenteprohibidalareproduccióntotaloparcialdeloscontenidoseimágenesdelapublicación, sin previa autorización de pro-México.

ProMéxico is not responsible for inaccurate information or omissions that might exist in the information provided by the participant companies nor of their economic solvency. The institution might or might not agree with an author’s statements; therefore the re-sponsi-bility of each text falls on the writers, not on the institution, except when it states otherwise. Although this magazine verifies all the infor-mation printed on its pages, it will not accept responsibility derived from any omissions, in-accuracies or mistakes. September 2011.

You may not know that your mobile phone, TV or PC contains important Mexican-made components or that such technology bears the design and innovation of Mexican minds. There are many reasons why Mexico has become an important development pole of the electric and electronics industry. The technological

sophistication of Mexican products, the strength of the local supply chain that offers products and solutions complying with the highest quality standards, and a suitable logistics platform have led the country to consolidate its industry leadership.

With more than 730 electric and electronics industry companies —including some of the world’s largest electronics manufacturers— Mexico is now a global production platform for the industry. For example, it is the leading exporter of flat screen TV’s, the third largest mobile phone exporter and one of the top computer equipment producers in the world.

Furthermore, heavyweights are now turning their attention to Mexican talent. The country is not just an important manufacturing center; Mexico is on track to become a world-class design, research and development center. The top performance of the Mexican electric and electronics industry as a dynamic component of the country’s economy has made it an important source of jobs and investment.

The likelihood that a small –but substantial– piece of Mexico is in your hands, is very high.

Welcome to Negocios!

Carlos GuzmánCEOProMéxico

From the CEO.

Building a New Automotive Cluster

AuTOMOTIvE

Tlaxcala’s 2011 Automotive Forum registered the attendance of 800 par-ticipants, held 205 business meetings and reached an initial balance of 21 million usd worth of negotiations. As a result, several companies are evaluating their expansion projects and considering the establishment of their operations in the state. Some of the key factors that have enabled this automotive resurgence in Tlaxcala are: its strategic geographical loca-tion, a flourishing relationship between businesspeople and universities, as well as the benefits that the state government has to offer.

www.foroautomotriztlaxcala.mx

Photos ARcHiVe brieFs.

Several businesses and civic lead-ers in Ciudad Juárez, Chihuahua, have organized Juárez Competi-tiva, a two week event to be held from October 13 to 28.

The event will focus on Ciu-dad Juárez’s efforts to regain be-lief and trust at national and in-ternational level, with the aim of building up the city as a strategic site, with a strong emphasis on

world-class manufacturing and economic force.

A set of activities have been programmed to showcase the eco-nomic drivers behind the El Paso del Norte region which includes El Paso, Texas, Las Cruces and Ciudad Juárez, Chihuahua, as key economic partners.

www.juarezcompetitiva.org

COMPETITIvENESS

The Resurgence of a Competitive Region

The consortium which com-prises the Mexican and Chi-nese companies, Paradox and Xingye, will invest 10 million usd in the María mining facili-ties in Choix, in the state of Si-naloa, creating 280 new jobs.

This is the consortium’s fourth milling facility in Si-naloa.

The María mining facilities have an installed milling capac-ity of 1,500 tons per day, which will generate between 500 and 750 tons of high content iron ore per day.

Thus, with the opening of that new plant, Sinaloa will be-come a leading iron producer in Mexico.

MINING INduSTRy

Grinding Solid Investment

The city of Tijuana, in Baja California, is outgrow-ing itself. Expansion is mostly geared towards the south east, where the area is thriving with industry, housing, amenities and a population that is increasingly becoming an independent community.

El Florido is setting Los Nogales Master Plan in motion, emerging with a strong foundation as the answer to the city’s growth: a mixed use plan anchored by retail space, perfectly balanced with healthcare centers, education and technology institutions, offices, hotels, recreation and green areas.

Efforts are geared towards a sustainable growth, through the use of native plants for land-scaping, the creation of alternate forms of trans-portation and water re-use for irrigation. With the creation of Los Nogales Master Plan, the well-being and comfort of the community and surrounding areas is met, and the growth of the area is consolidated so that it may grow stronger .

www.florido.com

Los Nogales: A New Community in Baja California

Photos ARcHiVe brieFs.

INfRASTRuCTuRE

DHL Supply Chain provides specialized logistics services to compa-nies in the life sciences and healthcare sector. Through PharmaShare, this company makes supply chains more efficient and reduces logis-tics costs by creating distribution synergies between its customers. In Mexico, DHL Supply Chain’s footprint includes 50 warehouses with more than 800,000 square meters of space. The company employs more than 6,500 associates within the country. It is the only third-par-ty logistics company with client operations in every productive sector in the industry, including capabilities all along the supply chain.

www.dhl.com.mx

lOGISTICS

An Expert in LogisticSolutions in Mexico

brieFs.

OIl INduSTRy

UK Firm Tapped for Pemex Redevelopment

Last March, Petróleos Mexicanos (Pemex), the Mexican state-owned oil company, announced its first incentive-based contracts for explora-tion and production in three mature fields.

UK firm Petrofac Management Ltd was the successful bidder on two integrated services contracts with Pemex to develop the Magallanes and Santuario blocks, in the state of Tabasco.

Pemex has operated Magallanes and San-tuario since the early 1960s. The combined fields contain almost 1000 wells, of which 100 are currently producing about 14,000 barrels per day.

Petrofac will be charged with reactivation and development of both blocks and will provide on-going operation and maintenance. The contract will last 25 years and operations will get going after a three month transition period.

The company plans to deploy about 150 employees across both blocks and has com-mitted 500 million usd to the project, giving it a 90% interest, with Pemex retaining 10%.

Petrofac is an international provider of services to the oil and gas production and processing industries.

The company is quoted on the London Stock Exchange and is a constituent of the FT-100 index of companies. Petrofac has over 14,000 employees in 26 countries.

www.petrofac.com

AuTOMOTIvE

Italian - MexicanPlastic ComponentsWith an investment of 10 million usd, the Italian company Zanini Auto Grup, will open a production plant in Reynosa,Tamaulipas, to manufac-ture plastic automotive parts.

In a press release, the company stated that it chose Tamaulipas be-cause of the state’s competent workforce, infrastructure, logistics, location and economic policy. Some of Zanini Auto Group’s customers are Ford, Volkswagen, Volvo, Fiat, General Motors, Mazda, and Mercedes-Benz.

www.zanini.com

Bombardier Transportation unveiled the first of 32 electric-diesel loco-motives manufactured for Progress Rail Services Corporation in Ciudad Sahagún, Hidalgo, Mexico. Production on this project began in April 2010. Each locomotive develops 4,300 horsepower (HP); weighs 194 tons; mea-sures 22.5 metres in length, 3 metres in width and 4.8 metres in height.

Over 100 highly skilled Bombardier employees are involved in this project, in the areas of manufacturing and assembly, technical support, and supply management. Since 1997, more than 1,300 locomotives have been manufactured and assembled in Bombardier Transportation’s facili-ties in Mexico, mainly for exports to the US.

www.bombardier.com

TRANSPORTATION INduSTRy

4,300 HP Assembled in Mexico

Photos ARcHiVe brieFs.

The 24th edition of the World Road Congress will be held in Mexico City from September 26 to 30, 2011. The Congress showcases inno-vation, progress and proposals in every area of road transport. This year’s program offers sessions and meetings to open up discussion concerning road transport and it presents attendees with the opportunity to foster re-lations with specialists and decision makers from around the world.

The current edition of the World Road Congress conveys current research, best prac-tices and a venue fit for stakeholder and inves-tor networking, collaboration and information exchange. The Congress’ official languages will be English, Spanish and French.

www.aipcrmexico2011.org

INfRASTRuCTuRE

Roads for a Better Life

The Spanish company Preneal Internacional will invest around 300 million usd in the installation of a 153 MW wind farm in the state of Zacatecas, which will begin operations in late 2013.

www.preneal.es

Enhancing CapabilitiesMexican steelmaker Villacero will invest 100 million usd to build and equip a logistics com-plex at the Lázaro Cárdenas port, in the state of Michoacán.

The project is currently 85% complete and the complex is slat-ed to open by the first quarter of 2012. The facility includes a mul-tiuse terminal with an installed

capacity of 80,000 tons that allows for the transfer of cargo between ships and trains or trucks.

Villacero has global opera-tions exceeding 5.5 million tons of flat and long products, as well as warehouses and distribution centers in Mexico and the US.

www.villacero.com

Exploring New Winds

RENEwAblE ENERGy

INfRASTRuCTuRE

BRICS have been hogging the conversation in in-ternational diplomatic and financial circles for almost a decade now. But just what are they all about?

The term –an acronym for Brazil, Russia, India, China and South Africa– was coined in 2001 by Jim O’Neill, chief economist at Goldman Sachs. In his report, Building Better Global Economic BRICs, O’Neill projected that by 2050, Brazil, Russia, India and China –South Africa wasn’t initially included– would be international actors. The idea, he says, came to him in the wake of 9/11, which revealed just how vulnerable the US was. The tragic events of that day in 2001 drove home the fact that global challenges cannot be met without the cooperation of other countries. According to O’Neill, globalization requires more active participation by in-fluential actors because otherwise “the world won’t be able to function.”

Goldman Sachs reaffirmed its projections that Brazil, Rus-sia, India and China will be the powerhouses of the global economy by 2050 in another study, Dreaming with BRICs: The Path to 2050, published in 2003. To silence critics of such long-term forecasts, the study clearly states that these estimates are based on the premise that the countries in question will

Mexico,brics anD beyonDcoNSULTiNGFiRMSANDFiNANciALiNSTiTUTioNSHAVeTAkeNToReSeARcHANDcATeGoRizeTHeecoNoMieSTHeYTHiNkWiLLLeADGLoBALDeVeLopMeNTiNTHeDecADeSTocoMe.

byMARíAcRiSTiNARoSAS*

busINEss TIPs

maintain rates of economic development similar to those they have been posting to date, but that failure to implement policies to support growth could result in a completely different scenario.

With purchasing power on the rise world-wide, Goldman Sachs ventures that BRIC countries will drive demand-led growth. By 2050, BRIC-like economies will have seized some if not all of the 10 countries that domi-nate today’s global economy, forcing compa-nies to adapt their expansion strategies.

In the case of South Africa, which joined the BRIC group in late 2010, Goldman Sachs does not wax as optimistic about its economic performance compared to the “original quar-tet.” With an average annual growth rate of 3.5%, South Africa will not be on a par with its four companions by 2050 but reduced de-mographic growth is expected to push its per capita income to above that of, say, Russia.

Neither Mexico nor South Korea were considered in Goldman Sachs’ analysis be-cause they were more developed than Brazil, Russia, India and China. However, in 2005, the firm compiled a category called Next 11 or N-11, which includes another clutch of de-veloping nations –Bangladesh, South Korea, Egypt, the Philippines, Indonesia, Iran, Mex-ico, Nigeria, Pakistan, Turkey and Vietnam– that could potentially play a major role in the global economy in coming years, albeit to a lesser extent than BRIC countries –except for Mexico and South Korea.

The BRIC concept was introduced a decade ago and while Goldman Sachs has taken pains to illustrate the importance of these countries, entrepreneurs and mutual funds the world over are exploring other op-tions due to fears of overexposure to markets in Brazil, Russia, India and China that could create a bubble that may burst in the faces of financial institutions, whose image has al-ready been tainted.

To hedge against that eventuality, corpora-tions, banks, consulting firms and other finan-

cial entities have been hunting down other groups of countries with BRIC-like character-istics: stable, mixed, multi-sector economies that are growing, that are strategically posi-tioned geographically and that are not listed on international exchanges.

Several groups have emerged and Mexico’s name crops up in more than one of them, which is an encouraging sign. Although which one best meets its interests and needs remains to be seen.

From a country-brand viewpoint, Mexico clearly stands to benefit from the kind of at-tention corporations, mutual funds and the media have been paying BRIC nations. The aura of prosperity and profitability Goldman Sachs created around BRIC countries has re-verted, at least to some degree, their image in the eyes of the international community. Combined with the image and public diplo-macy policies all four original BRIC coun-tries have implemented to improve how they are perceived worldwide –some to a greater extent than others– the benefits are multi-fold. Clearly, nations have no choice but to engage in PR tactics to be in the spotlight, be-cause in today’s world, projecting a solid im-age and leadership qualities is the only way to draw investors, close deals, attract tourists and boost revenues.

In the event Mexico chooses to join or actively promote a BRIC-like group, a great deal of thought needs to go into which of these is likely to best represent its interests, aspirations and/or image as a country.

In November 2010, BBVA published a study on emerging and growth-leading economies, otherwise referred to as the EAGLE group. The BBVA report criticizes the BRIC concept, saying that, while innovative in its day, it is par-tially out of synch with today’s reality, given the growth gaps that have emerged between its four members. Nor does it take into account the other economies that now aspire to play a role at least as relevant as BRIC nations in the global economy. It would seem, then, that

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14 Negocios iLLustration archive

the BRIC concept does not have the capacity to adapt to changing realities because “club membership” criteria is neither objective nor measurable, as became evident when South Africa joined up.

In that respect, BBVA believes EAGLE to be a much more flexible concept, since coun-tries are only invited into the “nest” based on growth projections and the evolution of their individual economies. Unlike BRIC, which focuses on a very small group of coun-tries, the EAGLE approach does not limit the identification of attractive opportunities for BBVA customers.

Only countries whose contribution to global economic growth is projected to surpass that of developed nations in the next 10 years will be admitted to the EAGLE eyrie, which, accord-ing to BBVA, includes the four original BRIC countries plus Mexico, Turkey, Indonesia, South Korea, Egypt and Taiwan. And whereas Goldman Sachs’ initial estimates vis-à-vis the state of the global economy in 2050 featured three Asian nations –if we consider Russia to be both Asian and European– and one Latin American country, the wings of EAGLE span four continents. That suggests that in its BRIC analysis, Goldman Sachs did not view either Europe or Africa as prominent players in de-cades to come.

Since 9/11, and especially since the out-break of the recent international financial crisis, it has become clear that certain de-veloped countries are running out of gas. Like its European allies, Washington has not been able to reactivate its domestic economy, much less the global market. Last-ing solutions appear to be out of reach and unemployment has hit unprecedented levels in several EU countries. Hence the focus on so-called emerging economies –BRIC and EAGLE broods that are going from strength to strength and that are performing well un-der adverse circumstances.

Large corporations, international con-sulting firms and financial and credit institu-

busINEss TIPs

tions are seeking out new destinations with a brighter outlook than their more developed competitors. The British weekly The Econo-mist and other influential international pub-lications, organizations and institutions have repeatedly touted China and India as the future engines of the global economy. These large emerging economies, along with ones like Mexico and Brazil, offer countless invest-ment opportunities. In the end, their per-

formance could prove crucial in defeating the crisis, while contributing to increased competitiveness, innovation and economic stability worldwide.

Along with its EAGLE partners, Mexico belongs to a rising generation of countries with broad-based markets and a young workforce with innovative capacities. It is these attributes, plus its strategic geographi-cal location and ever-expanding infrastruc-

ture that have attracted the attention of BBVA and other consulting firms at a time when the fate of the global economy rests on nestling economies such as these. n

*Professor and researcher in the Political and

Social Sciences Faculty, National Autonomous

University of Mexico (UNAM).

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16 Negocios Photo archive

sPECIaL REPORTMexicANpoRTS

Ports play a vital role in meeting the needs of the production sector in Mexico and in responding to con-sumer demand in national and international markets, through na-

tional and international trade.Moreover, the operation of Mexican ports

and the transportation of goods through them, either for internal use or on their way to other markets like the US and Central America, is the ground for development of other economic ac-tivities. Thus, distribution of goods to different markets is an important source of income and jobs in sectors such as road transport and logis-tics infrastructure.

The Mexican port system is dynamic and is going through a growth spurt that makes its future prospects very favorable. In that sense, ports are one of the key sectors of the strategy of openness and diversification in foreign trade

adopted by Mexico. Today the country’s port system has corporations and workers operat-ing under the highest international standards and with productivity levels on a par to those seen in major ports worldwide.

uNPRECEdENTEd INvEsTmENTBetween 2007 and 2010 there was an investment of more than 2.5 billion usd in Mexican seaports. Fifty three percent of the total investment, (1.34 billion usd) came from public funds, while private investment accounted for 47% (nearly 1.2 billion usd). About 16% of resources invested went to constructions designed to connect the seaports with the country’s road network and rail system.

The planned investment for modernization and construction of port infrastructure in 2011 is close to 690 million usd; public investment will be just over 532 million usd, while private investment will exceed 155 million usd.

18 Negocios PhotosARcHiVe

NEw avENuEs fOR GROwThIn the last five years, the Mexican government has promoted the construction of specialized terminals and industrial plants in several of the country’s ports, thus encouraging produc-tion and domestic and international trade of products such as sheet steel, fertilizer, copper, fluids and the handling of containers.

On the other hand, access to facilities for the mooring of last generation ships has in-creased and substantially improved in an ef-fort to interconnect sea transport with other means of transportation.

For example, in 2011, the Port of Lázaro Cárdenas, Michoacán, docked the largest ca-pacity container ship to ever set sail in a Latin American port.

Identified as one of the main logistics plat-forms for transit of goods in the Asia-Pacific, the Port of Lázaro Cárdenas also docked the Carsten Maersk, the largest capacity ship to ever arrive at a port in Latin America, since it carries more than 9,500 TEUs and is 347 me-ters long, 15 meters deep and 43 meters wide.

For its part, Puerto Chiapas was the first port to export titanium to Asia. The shipping line responsible for carrying the first shipment of 500,000 tons of ore was Germany’s Hapag Lloyd, which in July 2011 operated the contain-erized shipping to the port of Xingang, China.

This shipment is the first of its kind in the his-tory of this Chiapas port, which will trigger op-erations of bulk minerals for export in the future.

A similar story is recorded in the Port of Topolobampo, Sinaloa, which, with an invest-ment of more than 27 million usd, opened a maneuvering and loading dock to host the Iron Vassilis -the largest vessel to arrive at that port, with a cargo of 55,000 tons of iron ore at a rate of 36,000 tons of cargo per day, to be delivered to China.

In El Cuyo, Yucatán, a dredging of the navi-gation access channel was carried out. As a result, there is now a more adequate depth and navigation of about 410 fishing boats has since become efficient and safe. That has al-lowed the revival and development of fisheries in the area and has benefitted more than 800

families who depend on that economic activity, besides helping the navigation of tourism and recreational vessels.

In addition, the construction has contrib-uted to the program for the regeneration of eroded beaches, since the dredged material was used to restore beaches affected by the coastline current.

Works are currently underway in different ports. For example, in the Port of Topolobampo, dredging works were carried out in the main navigation channel. With an investment of 17.6 million usd, the channel will increase its depth by one meter, to reach 14.5 meters, allowing the safe navigation of vessels of up to 70,000 tons of cargo.

Through the Ministry of Communications and Transportation, Mexico’s government will invest a total of 3.36 million usd in the con-struction of the second multipurpose pier at the Multipurpose Terminal of Port of Dos Bo-cas, Tabasco. It is estimated that the construc-tion will be completed in December 2011. With it, the port of Dos Bocas will reach 550 meters of quay length and increase the current port’s activities and cargo handling.

Similarly, in Puerto Salina Cruz, Oaxaca, the access entrance is being enlarged. Since the construction of the dock and yard of the container terminal in 1981, there had been no major infrastructure works in this port. Today, with a public investment of more than 30 mil-lion usd, 165 meters of breakwater will be built at an early stage, after which the access chan-nel to the port’s main pier will be extended 40 meters, and will reach a width of 120 meters.

That construction work will generate 800 direct jobs and 1,500 indirect jobs. Once com-pleted, the Puerto Salina Cruz will be equipped to host larger vessels, the security levels in the entry and exit maneuvres will increase and night departures will be made possible, all of which will bring savings in time and cost to shipping lines.

Thus, Mexico is following the right naviga-tion path to assert its position as the logistics platform of America and as a major player in the international trade scene. n

sPECIaL REPORTMexicANpoRTS

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20 Negocios20 Negocios Photos archive

Mexico is an important electric and electronic device producer. The country manufactures high-demand products worldwide, including cell phones, video game gadgets, computers and televisions. Numbers speak for themselves: over 730 manufacturing plants related to the electronic industry, 709 companies dedicated to the electric industry and 197 electric-appliance companies; thousands of jobs across the country and millions of dollars in exports and Foreign Direct Investment (FDI).

electronic industry Plug & Succeed

Electronics is one of the fastest growing industries in Mexico in terms of export potential and employment generation. Cur-rently, Mexico is the second larg-

est supplier of electronic products to the US market, which comprises audio and video, telecommunications, computer equipment and its parts.

There are over 730 manufacturing plants related to the electronic industry in Mexico, located mainly in the northern region, in the states of Baja California, Chihuahua and Tamaulipas. Eight out of the 10 world’s largest manufacturing service suppliers operate in

COvER fEaTuREeLecTRoNiciNDUSTRY

Mexico, including firms such as Flextronics, Jabil Circuit, Celestica and Sanmina SCI.

Between 2003 and 2009, Mexican elec-tronic industry exports registered an average annual growth of 17.1%. In 2009, the sector’s exports, which added up to 59.6 billion usd, represented 30% of Mexican non-petroleum exports and the industry’s production ammo-unts to approximately 6.7% of the country’s GDP. In 2010, the sector exported 71.4 billion usd, 20% more than the previous year.

The US is the most important market for electronic products manufactured in Mexico. It operates 83% of the sector’s exports, followed by Canada with 6%. Other important destinations for electronic products manufactured in Mexico are the Netherlands, Colombia and Finland.

Mexico’s electronic industry is all about technology. The manufacture of computer components and products is a widespread activity of the sector in the country. Com-panies producing items such as modular circuits for telephony equipment, process-ing units, computer equipment, telephone switching apparatus or laptop computers, have been operating in Mexico since the 1970s. These businesses are now present in several Mexican cities, generating jobs, at-tracting new investments and fostering the development of the sector’s production and supply chains.

Over the past decade, the industry has made significant progress and products now include everything from systems that can be used for brain-scanning as well as 3D anima-tion, or for financial system planning and multinational corporations’ strategic work.

Guadalajara is probably one of the pre-ferred destinations for transnational compa-nies that manufacture electronic products. Firms like Burroughs and Motorola were the first to discover and make the most of the city’s advantages. In the 1970s, both compa-nies established maquiladora plants, giving birth to what 20 years later would become the Mexican Silicon Valley.

Today, the Guadalajara cluster –with com-panies such as IBM, Flextronics, Sanmina, Jabil, Intel and some of the world’s software giants– offers clear advantages when com-pared with other development nodes in Mex-ico and Latin America.

Other regions, such as Estado de México, have kept their focus on mobile telephony

with the presence of companies such as Erics-son and Pantech.

Currently, Mexico is the third largest ex-porter of cell phones. In 2009, exports of mobile phones manufactured in the country reached 9.84 billion usd.

suCCEss IN fuLL hdTV manufacturing industry has become a high-tech cluster within the electronic indus-try scene in Mexico. The market for new tech-nology TV screens has grown rapidly in the last years, in order to meet the US’ demand. Today, the production of high-tech TV screens

has displaced that of Cathode Ray Tube (CRT) televisions and has reached up to 91% of the total annual production of TV manufacturers in Mexico.

Flat screen TVs represent around 25% of Mexican electronic industry annual exports. In 2009, Mexico was ranked the largest ex-porter of flat screen TVs in the world, above countries like China, Germany and the US, reaching 15.6 billion usd –which represented 26.3% of the sector’s total exports that year. In 2010, the total value of flat screen TV ex-ports was 17.4 billion usd, 12% growth com-pared to 2009.

22 Negocios Photos archive

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Thus, this is the cluster generating the high-est manufacturing output in Mexico. Most of the manufacturers of these products are located along the Mexico-US border. The large expanse of these manufacturing plants convert many of companies in veritable industrial parks, as their premises include services such as clinics, child nurseries, canteens and sports facilities.

A map generated by the Ministry of Economy, marking the location of the most representative industries, shows that around 61% of the audio and video electronic industries are located in Baja California. Companies such as Samsung, Sony, Sanyo, JVC and Pioneer have established opera-tions in the Tijuana and Mexicali cluster, which generates the highest manufacturing output of flat screen TVs and audio and video systems. Af-ter the Baja cluster, Ciudad Juárez, Chihuahua, is the second largest producer of TV screens in Mexico. In that border city operate 26% of the TV and audio and video systems manufacturing companies established in Mexico.

fROm mExICO TO yOuR hOmEMexico is at the forefront of the production of domestic electric appliances which are rec-ognized for their quality and sold around the world.

Products made in Mexico include micro-wave ovens, coffee makers, juice extractors, dishwashers, air conditioning vacuum clean-ers, plasma televisions, blenders, refrigera-tors, mixers, washers, dryers and irons.

Mexico is the second largest exporter of refrigerators and freezers with a separate ex-terior door, vacuum cleaners with a 1,500 W power and electric water heaters.

In 2010 this sector grew 11.37%. Expected growth for 2011 is 5.4% and, according to experts, the Mexican electric industry could grow at a 4% annual rate during the following seven years.

There are 709 companies dedicated to the electric industry and 197 electric-appliance companies in the country. There are a total of 78 white goods manufacturing plants in Mex-

COvER fEaTuREeLecTRoNiciNDUSTRY

ico, all well distributed among the states. The industry generates about 35,000 direct jobs and 110,000 indirect jobs.

Such has been the proliferation of white goods manufacturing in Mexico that if we were to look into homes in the US and Can-ada, we would find that most of its electrical appliances –washer, dryer, range, refrigerator, vacuum cleaner and microwave oven– were made in Mexico.

In 2009, Mexico’s exports in this sector reached 16.55 billion usd, while the period be-tween January and October 2010, added 17.8 billion usd, having the US and Canada as the main markets, followed by Colombia, Venezu-ela and Saudi Arabia.

International firms like Electrolux, ABB, Areva, Mitsubishi Electric, Condumex, GE and Delphi, among others, are established in Mexico.

For most companies, North America repre-sents an attractive share of the domestic elec-

trical appliance market. For example, Mexico, the US and Canada represent 27% of over 47.4 billion products that LG sold in 2007. The com-pany’s three plants in Mexico supply 90% of LG products sold in Mexico and 80% of those sold in the US. LG also manufactures for Latin America, which represents 10% of the compa-ny’s total sales worldwide.

hOmE TO TEChNOLOGyBetween 2000 and 2010, FDI in the electronic sector registered a total of 20.55 billion usd, concentrating on the production of informat-ics process equipments and spare parts for communication devices. In 2010, FDI totaled 1.3 billion usd.

Meanwhile, FDI in the electric industry to-taled 8.65 billion usd between 2000 and 2010. FDI focused on electric accessories and mate-rials, as well as in electric-appliance produc-tion and assembly. During 2010, FDI in this industry reached a total of 360 million usd.

So why Mexico? Without a doubt, proxim-ity to the world’s largest market for electronic and electric devices explains exports and FDI growth rates in that sector.

Also, manufacturers are unanimous when they say that Mexico’s skilled workforce, strate-gic location, large suppliers and supply chains and logistics are the main reasons for locating in the country.

Mexico is the country with the lowest in-dustry component manufacturing costs, being 18.2% above other countries such as Canada, the Netherlands, the UK, France, Germany and Japan, according to Alix Partner’s Outsourcing-Manufacturing Cost Index 2010 and to KPMG’s Competitive Alternatives 2010 report.

Because of this and due to Mexico’s young growing talent –each year, 114,000 students of engineering and technology-related fields, graduate from Mexican universities– electric and electronic industries have had an impor-tant development in the country. n

24 Negocios inFograPhic oLdemar

BAJA CALIFORNIA

DeltaDisplay OrionHitachiIchiaJVCKing Cord MexLGMatsushitaMerry TechMitsubishiPioneerSamsungSanyoSharpSonyThomsonWistronBenQKodakDelphiAmphenolADI SystemsPhilipsKyoceraRectificadores InternacionalesVigobyteCoumsBoseSkyworksPanasonic

MAJOR FIRMS

The Geography of the

Electronic Industryin Mexico

BAJA CALIFORNIA

SONORASONORA

CHIHUAHUA

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MORELOS

ESTADO DE

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MAJOR FIRMS

The Geography of the

Electronic Industryin Mexico

BAJA CALIFORNIA

SONORASONORA

CHIHUAHUA

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MORELOS

ESTADO DE

MÉXICO

AGUASCALIENTES

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Universal ScientificMotorola

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ElcoteqAFL

Nippon DensoAxa Yazaki

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26 Negocios

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Maytag Mexico Appliance Products

Tutco de México

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Industrias Rheem

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Matamoros

Kimco

Wiegand

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Home Appliancesfrom Mexico to Your Home

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Criotec

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Calentadores Magamex

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Gillete de México (Braun)

Industrias Técnicas Mexicanas (Lenisco)

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COvER fEaTuREeLecTRoNicSiNDUSTRY

TAMAULIPAS

Maytag Mexico Appliance Products

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Juver Industrial

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Honeywell Manufacturas

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NUEVO LEÓN

LG Electronic Monterrey

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Industrias Acros Whirlpool

Carrier México

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Panasonic Home Appliances

York Aire

Starion México

Criotec

ESTADO DE MÉXICO

LG Electronics México

Calentadores Magamex

Koblenz Eléctrica

Gillete de México (Braun)

Industrias Técnicas Mexicanas (Lenisco)

Philips Mexicana

Sunbeam Mexicana(Sunbeam, Osterizer, Oster and Mr. Coffee)

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Appleton Electric

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Hamilton Beach Proctor Silex

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28 Negocios Photos courtesy of eLcoteQ

elcoteQ:FLat screensMaDe in MeXico

Elcoteq’s success can be summa-rized by its global sales of more than 70 million Euros in 2010, its 8,000 employees around the world and its operations in 14 coun-

tries on four continents. This Finnish electronics leader has two of its global operation centers in Ciudad Juárez, Chihuahua, and Monterrey, Nue-vo León, in the northern part of Mexico.

Nokia, Siemens, Sony Ericsson and Huawei are a few of the main clients of this company, that has gained experience in the electronics world as a service provider through a wide global network that includes important service centers in Hungary, Estonia, the US, Mexico, Brazil, China and India, since 1984.

In 1973, Elcoteq set up in Ciudad Juárez. Thirty-five years later, in 2008, the company

merged with one of its main clients, Philips, to produce plasma screen TVs.

Occupying 21,000 square meters, Elcoteq’s plant in Ciudad Juárez is equipped with the lat-est technology to manufacture and offer after-sales services for the firm’s products. In these facilities, the company performs all types of functional and environmental testing, as well as acquisition services, supply chain manage-

With almost 40 years of operation in Mexico, Elcoteq is one of the leading companies in the electronic industry. Thanks to its alliance with Philips, it is among the top plasma screen TV manufacturers in the country.

mExICO’s PaRTNEReNeRSAVemExICO’s PaRTNEReLcoTeQ

ment and logistics. Among the repair processes performed in this plant are metals, plastics and packaging suppliers for products such as flat screen TVs and other consumer electronics.

Elcoteq Juárez has a wide variety of certifica-tions, including ISO 9001:2008, ISO 14001:2004, UL and NOM. It is also involved in BASC (Busi-ness Alliance for Secure Commerce) and C-TPAT (Customs-Trade Partnership Against Terrorism), which enables the company’s custom’s to speed up clearance at the Mexico-US border.

Elcoteq’s performance in Ciudad Juárez, ensures its clients efficiency in volume and time at a competitive cost. The integrity, expe-rience and professional commitment of each of the company’s 700 employees guarantees a management system that ensures the smooth operation of a supply chain, which meets envi-ronmental standards.

In 2008, Elcoteq acquired Philips’ plasma TV factory in Mexico. The collaboration agree-ment signed by both parties has positioned Elcoteq as a flexible company with a wide range of activities. Before said agreement, the company’s main commercial activity had been to manufacture electronic equipment and mo-bile telephony components. The union of both companies meant the hiring of 740 employees

and enabled Elcoteq to provide manufacturing support to Philips through the Philips Business Services unit in Latin America.

In February 1998, Elcoteq began operations in Monterrey, in the state of Nuevo León, with an 18,000 square meter plant devoted to intensive manufacture of filter assemblies. Since then, El-coteq has used state-of-the-art technology to de-velop adjustment procedures, functionality tests, wave welding and X-rays, among other activities. Since 2003, this plant has stood out as one of the first in the region to manufacture Wi-Fi systems.

Elcoteq Monterrey operates according to strict environmental, health and safety stan-dards and has ISO 9001:2008, 14001:2004 and 27001:2005 certifications. Like the Ciudad Juárez plant, this facility is C-TPAT (Customs-Trade Partnership Against Terrorism) compliant.

Elcoteq Monterrey’s track record guaran-tees volume, speed and low costs for its clients, through a workforce of 1,500 employees.

In 2010, Elcoteq Monterrey was one of the top 10 companies that contributed to the state’s ex-ports. Thus, Elcoteq has proved that Finn invest-ment in Mexican soil is a good and longstanding relationship, with a very clear future. n

www.elcoteq.com

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30 Negocios Photos courtesy of fLextronics

flextronicS:a part ofeveryday lifeMore than 15 years ago, Flextronics chose Mexico as one of its main operation centers. Since then, the country has been key to the company’s world leadership.

Flextronics is everywhere: in your smartphone, your videogame console, your washing machine, your car. More than 15 years ago, this leading Asian electron-

ics company chose Mexico as one of its main operation centers from where to offer “ver-tical integration” to its customers – who are leading brands of mobile telephones, home appliances, automobiles and videogames, among others.

“What we give to our customers is vertical integration. Customers find what they need on one site. Geographically, we are next to the larg-est market in the world [the US] and are part

of the North American Free Trade Agreement. We have the lowest costs in the region, which is why we are attractive to our customers, espe-cially in Guadalajara, where talent abounds,” says Guillermo del Río, from the business de-velopment and relations area of Flextronics in Guadalajara, on western Mexico.

Del Río explains what he means by “verti-cal integration.” At each of its operation cen-ters, Flextronics pays attention to every prod-uct, doing repairs, assembly and measure-ment of the quality of components, among other processes. Unsurprisingly, the compa-ny, which originated in Singapore, currently has over 200,000 employees in 30 countries.

“Flextronics is strong in terms of investment and cash flow. That is another advantage for our customers. When they do business with us, they know they are partnering up with a strong company that will back them up even in the event of a global crisis,” adds Luis Villase-ñor, also from the business development and relations area of Flextronics, Guadalajara.

fROm mExICO TO mILLIONs Of smaRTPhONE usERsWestern Mexico has been key to Flextronics’ world leadership. In Guadalajara, the capital of the state of Jalisco, the company has two plants that constitute a single site. It is the

sPECIaL fEaTuREMexicANSHoeiNDUSTRY

company’s second largest site in Mexico, after Ciudad Juárez, in the northern state of Chi-huahua.

“Here in Guadalajara we provide end-to-end solutions, which means that we can manufacture the product in a single process, from the mechanical part to plastics, metal, electronic card integration with 20,000 compo-nents, assemblies, testing, repairs –everything, in 240,000 square meters of facilities,” explains Villaseñor.

In 1997, Flextronics set its sights on Guada-lajara’s metropolitan area. During June and September of that year, the company built its two plants and hasn’t stopped since. In 2010, Flextronics Guadalajara’s sales reached 3.7 million usd. The government of Jalisco has recognized the company as the leading ex-porter and the largest employer in the state: of its more than 21,000 employees, 37% hold Degrees or Master Degrees and 63% have technical Degrees; 46% are women and 71% are trained to perform more than three tasks.

Flextronics Guadalajara contributes with approximately 13% of the company’s total an-nual sales. Total sales in Guadalajara are as follows: 47% are from mobile telephony, 39% from telecommunications, 9% focus on the industrial part, 3% from the company’s re-pair services, 1% from the metals sector and 1% from the plastics division.

Flextronics is embedded in the everyday life of many. Although they are probably un-aware of this fact, many end consumers of electronics around the world hold a product bearing the Flextronics stamp inside. Mobile phones, home appliances, washing machines, dryers, television sets, videogames and lap-tops, the list of everyday devices that carry Flextronics’ mark is endless, according to del Río.

“We partnered with the leader in smart-phones. That mobile phone is manufactured in Guadalajara and sent to the company’s cus-tomers. Every month, we produce close to 1.5 million of them,” explains del Río.

In the automotive sector, which Flextron-ics supplies with plastics for various brands, the company’s philosophy has aligned to one credo: zero flaws.

“Human lives are at stake, so we cannot allow any mistakes,” explains Luis Villaseñor.

Flextronics has an ace up its sleeve: certifi-cations that allow the company entrance to the US market in less time than other companies.

One of these documents is the C-TPAT (Cus-toms-Trade Partnership Against Terrorism).

“We were one of the first companies to be C-TPAT certified, so our containers can cross US borders in less time than usual, which is approximately 18 hours,” explains Guillermo del Río, who adds that although China is very competitive in the technology sector, Mexico is still the best option. “Competition with China is closing. However, it takes a month to bring containers with millions of products by ship from China, because of in-transit inven-tory. On the other hand, we can distribute to North America in one or two days, at most.”

Another of Flextronics’ advantages is its so-called “lean manufacturing,” which enables an operator to suggest improvements for a product; the proposal is then analyzed and considered. In short: Flextronics is a company that is open to innovation.“We convey popular wisdom. Even Harvard has made studies on the way we convey it,” concludes Guillermo del Río. N

www.flextronics.com

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32 Negocios Photo courtesy of mabe

If you wanted to label the success of Mabe, it would have to be “Made in Mexico”. And if you wanted to be a bit more specific, adding “Since 1947” would suffice. This Mexican company

has manufacturing facilities in six Latin Ameri-can countries and its appliances are used in homes across 72 nations.

Corporativo Mabe, as it is known today, was founded in Mexico in the mid-20th cen-tury, when the market for home appliances was booming worldwide.

Dozens of companies sprang up in the frenzy to make “modern” life more convenient but Mabe is one of the few that is still standing. Like all successful enterprises, it was its ability to adapt to changing times that secured its survival.

The company started out making lamppost bases and fitted kitchens but soon began manu-

the “MaDe in MeXico” warrantyThe appliances manufactured by the Mexican company Mabe are used in homes across 72 countries.

facturing white goods like gas ranges and refrig-erators. Just 13 years later, in the early 1960s, Mabe had established itself as Mexico’s leading exporter of home appliances.

In 1987, a strategic alliance with the US-based General Electric boosted Mabe‘s annual sales from 111 million to over 3.7 billion usd in 2007.

That growth was supported internally by the purchase of a leading washing machine producer in Saltillo in 1989, the building of facilities to produce ranges in San Luis Potosí in 1990 and a plant for the manufacture of re-frigerators in Querétaro. Externally, the com-pany has launched an aggressive internation-al expansion strategy, with Mabe acquiring companies in Venezuela, Ecuador, Colombia, Brazil, Peru, Argentina and Canada. Around this time, Mabe bought up 14 home appliance brands from all over the world.

Today Mabe is a multinational corporation and the leading manufacturer of home appli-ances in the Americas, employing 24,000 people at its 15 manufacturing plants in the region and creating over 70,000 indirect jobs.

In the 1990s, more than half of the gas ranges and refrigerators sold in the US were designed and manufactured by Mabe Méxi-co. Nine out of every 10 of these appliances sold under the General Electric brand were manufactured at the company’s plant in San Luis Potosí, in north Mexico.

mExICO’s PaRTNERMABe

Mabe has an extensive product portfolio, ranging from microwaves, washing machines and dryers to wine storage systems, air con-ditioning, motor-compressors, plastic injec-tion and die-casting machinery. Dryers and dishwashers are manufactured in Canada; refrigerators and ranges in Colombia; freez-ers, refrigerators and ranges in Ecuador, and refrigerators, washing machines and ranges in Argentina and Brazil.

According to Mabe spokesman Rafael Nava, the company’s manufacturing facilities in Mexico –located in the Mexico City metro-

politan area and the states of Coahuila, Gua-najuato, Nuevo León, Querétaro and San Luis Potosí– continue to account for half its output.

In 2008, a strategic alliance with Fagor of Europe marked the beginning of Mabe’s opera-tions in Russia.

And for its contribution to economic growth through job creation, in October 2009 Mabe was presented with the National Export Award in the Corporate category at the 16th Mexican Foreign Trade Congress –the most coveted award granted by the Ministry of Economy to

private organizations that have managed to in-crease and diversify their foreign sales.

“Our company harnesses the best of each country it operates in. Mexico has skilled labor, technicians, engineers, masters, doctors, inno-vators and a positive, winning attitude, not to mention a prime geographic location and great brand positioning hard earned during 60 years of uninterrupted presence and undisputed lead-ership,” and that, says Rafael Nava, is the key to its success. n

www.mabe.cc

34 Negocios Photo archive

The Mobile boom Goes Through Mexico

mExICO’s PaRTNERSAMSUNG

The Mobile boom Goes Through Mexico

Today Samsung is one of the leading technology compa-nies worldwide. Curiously, the company started out as a business exporting dried fish, vegetables and fruit from Korea to Manchuria and Beijing in 1938, under the com-mand of Byung- Chull Lee.

Times changed and in 1970, the company began manufacturing the first black and white televisions.

Today, the Internet, cell phones and the tablet boom are exploited by the Korean multinational. The trend of smartphone usage in the Latin American market is to date a staggering 40 million units sold by Samsung in Argentina, Mexico, Venezuela and Brazil.

Every minute about 65 smartphones are sold in Latin America and Samsung does not want to stay out of this attractive market. The company has a market share of 16.3% in Mexico alone.

“Being in Mexico is very important for the com-pany. Through a commercial involvement with leading brands worldwide, today we are active players in the market. Furthermore, the country is one of our most important supply centers in the Americas, from Cana-da to Argentina,” says Mauricio Silis, human resources manager at Samsung, one of the older heads at the company in Mexico.

“We are part of the trend of diversification in mo-bile technology products, from cell phones to the new tablets, a market in the making and growing,” he adds.

The company, expert in technology and electronics, has been well received in Mexico. Today, Samsung has 319 employees in Mexico focused exclusively on sales, 3,400 employees dedicated to the development of white goods in its Querétaro factory –operating since 2003– and nearly 5,000 more employees in a plant located in Tijuana, where monitors are manufactured.

According to Ronaldo Duarte, vice president of Samsung consumer electronics in Mexico, Internet TV

is another niche for potential growth. The company is currently working on the creation and development of applications for local television sales, which requires collaborative work with local broadcasters for content creation in 3D format.

Not to minimize the drive of electronics in the coun-try, Samsung also won a contract of 409.3 million usd for a proposed liquefied natural gas terminal in the seaport of Manzanillo, which must be completed by December 2011.

Also, Samsung won a tender from the Federal Elec-tricity Commission (CFE) for Combined Cycle Power Plant Project Norte II, being built between Korea Elec-tric Power Corporation, Samsung C&T Corporation and Techint. The power plant will be capable of gener-ating 376 megawatts and will be located 30 kilometers from the city of Chihuahua.

Among the social responsibility projects that the Korean company is developing the Pink Care with Samsung campaign in Mexico, with the aim of sup-porting Cim*ab Foundation by donating a percentage of sales of the brand’s pink washer-dryer machine. Through that support the company contributes to the prevention and treatment of breast cancer, the disease with the highest rate of deaths among Mexican women.

Samsung holds first place in television manufactur-ing and the second in phone production and sales. That rate is only possible through the environment offered by Mexico. In Tijuana, for example, there are plans for an investment of 70 million usd that will result in the creation of 1,000 direct jobs. n

www.samsung.com

Sixteen years ago, Samsung came from Korea to develop products and explore new markets in Mexico. In these three decades, the company has positioned itself as a leader in television production and today the advancement of mobile technologies and smartphones is part of its growth strategy.

byGUSTAVoARécHiGA

36 Negocios Photo courtesy of ceLestica

CELEsTICa The Full Technology Cycle

Ever since the company began operations in the country 13 years ago, Canada’s Celestica has grown to the degree that its plants in Mexico top the list of its

production capacity worldwide. Ever since it moved to Monterrey, Nuevo

León, in 1998, the company –engaged in design and engineering, electronics manufacturing and supply chain management services– has tripled its presence in Mexico, as it currently operates plants in Monterrey and Reynosa, Tamaulipas with more than 8,000 employees.

In just three years, between 2008 and 2010, Celestica Mexico production has grown from 14

to 27% of the company’s total production world-wide, surpassing Thailand, which boasts 21% of the company’s production across the globe, China with a 14% share and Malaysia with a 11% share.

The company’s services in the Monterrey and Reynosa Celestica plants include circuit printing, assembly systems, value-added engineering, and supply chain management and support.

In 2005, the Monterrey plant won the Shin-go Prize for Operational Excellence, which is managed in Mexico by the Tec de Monterrey, for its work in waste management.

The company created 2,000 new jobs in Monterrey in July 2011, which demonstrates its positive business perspectives.

ThE PERfECT CyCLEAlthough the company is defined as an OEM (Original Equipment Manufacturer), it is hard to describe exactly what Celestica does in Mexico and across the globe. In its own words, the compa-ny delivers end-to-end product lifecycle solutions, which involves a long chain of processes that span the entire product lifecycle –from design to deliv-ery and ongoing after-market support.

It all begins with design, because innovation can be the difference between a product that gets to market and one that defines the market, says the company’s website.

Aware of the need to have a more elabo-rate design, electronic companies start work-

This Canadian company has operated its world’s largest production plants in Monterrey and Reynosa in northern Mexico, since 1998.

bykARLAGARDUño

mExICO’s PaRTNERceLeSTicA

ing on the process with Celestica from the mo-ment an idea is created, which helps reduce time and development costs.

Engineering comes next. With the com-pany’s expertise in this field, which is based on sophisticated laboratory equipment, Celestica seeks to improve product performance, re-duce time to market and lower overall prod-uct development costs.

Delivery of the product, for example, in-cludes storage and inventory management. The company is committed to driving an ef-ficient and high-speed chain, while reducing costs and the supply chain’s complexity.

Product delivery is followed by the entire “after-market” process, which includes product return, repair and remanufacturing processes, management warranties and even recycling.

CusTOmERsCelestica manufacturing processes span a wide range of markets that includes everything from

the aerospace industry to healthcare and green technology.

It’s aerospace and defense services include design, engineering, manufacturing and sup-port for control, monitoring, communication and information systems.

Celestica assembles BlackBerry and iPhone devices and Xbox consoles, for the communica-tions industry. It also produces all-inclusive solu-tions for healthcare technologies and the creation of “green” technologies, from research, laborato-ries, marketing, and product manufacturing and management.

hIsTORyCelestica was founded 75 years ago and has grown based on acquisitions and mergers, like all international companies.

Celestica was incorporated as a wholly-owned subsidiary of IBM in January 1994. Later on, in October 1996, it was acquired by Onex Cor-poration.

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The company completed its first acquisition in 1997, when it purchased Design to Distribution Company, one of the largest independent provid-ers of EMS (Electronic Manufacturing Service).

Celestica entered into a full growth stage in 2001, when it announced a strategic manufac-turing agreement with Lucent Technologies in Monterrey worth up to 10 billion usd. It acquired a Singapore-based plant that same year, when it reported record revenues.

Celestica has more than 20 manufacturing and design facilities worldwide and approximate-ly 33,000 employees.

CORPORaTE REsPONsIbILITyCelestica created the Code of Conduct for the Electronics Industry with other industry lead-ers. This Code defines the rules needed to guar-antee safe working conditions in the supply chain, make sure workers are treated with re-spect and dignity, and ensure sustainable manu-facturing processes.

This consists of a number of environmen-tal policy precepts that are part of a complete guide on the subject and include being respon-sible neighbors in the communities where they operate; implementing anti-pollution programs, which undergo unending renovation processes; design conservation practices in all areas; de-velop safe and energy efficient products based on environmental awareness and manufactur-ing processes; help develop technological solu-tions for environmental issues; comply with laws, regulations and other requirements on the subject; apply strict self-evaluation practices and audits to guarantee the company’s ongoing compliance with this policy. n

www.celestica.com

38 Negocios Photo courtesy of abb

The Swiss-Swedish firm has placed its bets on energy efficiency and works at it for the industry’s benefit.

bykARLAGARDUño

Abb:PRODUCINGSUSTAINABILITY

Swedish-Swiss ABB commitment to the environment has become a distinctive trait of its work. In re-cent years, the company, mainly dedicated to energy generation and

distribution, has developed a set of projects that place it at the forefront in the fields of sustain-ability and technological innovation.

For Daniel Galicia Virúes, CEO of ABB Mex-ico since 2009, one of the components that gives greater strength to the company is its portfolio of products, systems and services, which are well reputed in the market.

“ABB is a leader because it has a long his-tory in the energy sector since the birth of the

original companies that integrated it, ASEA and Brown Boveri. Globally, ABB has launched a series of initiatives ranging from venture capi-tal investments in some companies that are developing innovative concepts in the energy sector to the development of technologies, sys-tems, equipment and key components in the different fields of generation and management of traditional, alternative and renewable ener-gies,” Galicia explains.

Mexico has become a strategic location for the company in this area. The country is considered to be one of the largest and most dynamic economies in the world, with great industrial activity that provides a very impor-

tant local market with many opportunities for a company like ABB, focused on the develop-ment of electrical, industrial and services’ in-frastructure, in line with a sustainability phi-losophy, says Galicia.

“We are setting an example in our own facili-ties, by self-generating a significant part of our electricity consumption. That also allows us to show our customers what we can do in their facilities and help them reduce their carbon footprint,” he adds.

Since 2006, ABB has had a program to reduce energy consumption in its global op-erations and energy efficiency has been imple-mented as a key element to achieve its goal: re-

mExICO’s PaRTNERABB

ducing energy consumption in its manufactur-ing operations and facilities at an annual rate of 2.5% during 2010 and 2011.

The company was recognized by the Mexican Ministry of Environment and Natural Resources for having signed a voluntary “GEI-Mexico Pro-gram,” which states that the industrial sector should reduce its emissions of greenhouse gases.

The aim has been to generate models for technology development that respond to to-day’s environmental challenges and to vitalize national economic activities, such as large na-tional power generation and petroleum com-panies.

susTaINabLE PROjECTsRather than products, ABB develops technol-ogy for all kinds of energy: solar, eolian, water-driven, tidal and geothermic.

In addition, the company develops indus-try-specific solutions applicable to the entire water cycle, which can reduce costs with zero environmental impact. The technology and solutions developed by ABB are fitting in in-dustries such as mining, automotive, air con-ditioning, food and beverage, water, construc-tion, electricity and transport, as well as all the renewable energy industries.

“ABB helps 70 million people receive re-newable energy through power networks, some of them remotely located. Our effort to harness renewable energy is making electric-ity networks smarter, which contributes to protect the environment and curb climate change,” says Galicia.

The company is responsible for major inter-national projects, such as the development of

fast and efficient rail services in Switzerland, in-cluding the Gotthard railway tunnel, the longest in the world.

The company also took part in building of the Bird’s Nest stadium in Beijing to host the 2008 Olympic Games - where a consider-able reduction of the impact of noise from the audience and of the environmental risk of the construction works was achieved. It also partici-pated in the construction of the Elis Park, Soc-cer City and Green Point soccer stadiums for South Africa World Cup 2010. Soon, the ABB label will take part in the headquarters for the 2014 World Cup in Brazil.

Recently, ABB acquired a company dedicat-ed to the research and development of batteries for electric cars. In addition, it made a strategic investment to develop advanced technology sensors to control and optimize wind turbines in wind farms.

Currently, ABB’s interferometer is searching for signs of life on Mars.

The company is a pioneer in FACTS (Flexi-ble AC Transmission Systems), a set of technolo-gies that improve safety, capacity and flexibility of power transmission systems, so it is possible to maintain and improve operating margins necessary for stability. That technology, which allows power to reach consumers with mini-mum environmental impact, was nominated in early September as one of the 11 most impor-tant and of greater impact technologies of the decade by the Institute of Electrical and Elec-tronics Engineers.

In February 2011, the ABB Safety Execu-tion Center in Mexico was certified by TÜV Rheiland Group for the implementation of a Functional Safety Management System-FSMS. Thus, ABB Mexico became one of the first companies across America to be granted that

abb IN mExICOABB has a global presence in 100 countries. In Mexico, its history goes back to its predeces-sors ASEA (Sweden) and Brown Boveri (Switzerland), who settled in the country in the early 20th Century. In 1988 the two companies merged to give way to ABB, a company that came to Mexico as such in 1992.

ABB employs over 1,200 people in the various facilities it has in the country: headquarters in Estado de México; a plant in San Luis Potosí, where high, medium and low voltage products are manufactured, as well as robots; a turbochargers workshop in Veracruz and sales branch-es in Villahermosa (Tabasco), Monterrey (Nuevo León), Coatzacoalcos (Veracruz), Tampico (Tamaulipas) and Ciudad del Carmen (Campeche).

Its mission is to help its customers, both industry and public service, to use energy more efficiently, increase productivity and reduce the impact of their activities on the environment in a sustainable way.

40 Negocios Photo courtesy of abb

certification, which recognizes that the man-agement system of functional safety meets in-ternational standards and best practices for its products, installation methods and engineer-ing and project managing teams.

Another objective of ABB is to design and implement tailored intelligent network solu-tions, maximizing the integration of existing as-sets, as a standard solution would not guarantee the diverse needs of customers.

INNOvaTION IN RObOTICsABB is a leading supplier of industrial robots, flexible manufacturing systems and service activities. ABB robots are used to produce parts and assemble virtually all cars manu-factured in Mexico.

In June 2011, within Expopack – an exhibi-tion of technology, products and services for food and beverage processing and packaging, which is held annually in Mexico City –ABB introduced the world’s fastest robot capable of packaging products at a rate of up to 150 pieces per minute with the option of working 24 hours a day uninterruptedly.

“ABB robots generate profits for our custom-ers. Traditionally the largest business client is the automotive manufacturing industry but, at the moment, the robots are ideal for various segments, including food and beverage,” says Galicia.

TakING advaNTaGE Of ThE NuRsERyOne of the advantages that ABB has found in Mexico is its manufacturing and engineering capability, as well as availability of qualified per-sonnel.

“It’s one of the countries where engineers from various specialties are constantly graduat-ing. For companies like ours, it is very attractive to enhance human capital and to serve the domes-tic and export markets, particularly within the North American region,” says Galicia.

In San Luis Potosí, for example, the com-pany has offered scholarships to outstanding students of engineering in public institutions through its Jürgen Dormann Foundation.

In addition, ABB advised students of Tec de Monterrey campuses in San Luis Potosí and Estado de México into building a robot to participate in the 2011 FIRST Robotics Competition, where they won the Rookie All-Star Award and the Rookie Inspiration Award. n

www.abb.com.mx

The lifestyleT h e C o m p l et e G u i d e of t h e M ex i c a n Way of L i fe . p. 62

GuanajuatoThe City of

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Cuisine pp. 42

Photo courtesy of duLce patria42 Negocios i The Lifestyle

Five Places to spoil Your Palate

Here are five places that any visitor should consider, whether for business or plea-sure, to approach the most innovative con-temporary Mexican cuisine. Many things can be said about each of them: some fa-

vor the use of fresh ingredients, others, besides delighting the palate of its patrons, pay special attention to the details of decoration and their creations are beyond the senses of taste and smell; others offer wine menus that, though not very extensive, promise interesting gastronomic pairings. All five share a common interest in disseminating and preserving the culinary traditions of Mexico, by means of appropriation, recreation and reinterpretation of said traditions.

HeReAReFiVeRecoMMeNDATioNSoFSoMeoFTHeFiNeSTcUiSiNeANDHoTTeSTReSTAURANTSoFTHeDiNiNGSceNeiNMexico.

by ALeJANDRAoSToS

—DULcepATRiA

Dulce PatriaAfter the success of Águila y Sol, a Mexican avant-garde cuisine restaurant in Mexico City, the kitchen of Martha Ortiz Chapa needed a new place to tell her stories. Since August 2010, we can find her in the restaurants Barroco and Dulce Patria of Las Alcobas hotel in Mexico City. Dulce Patria has the power to amaze whoever visits it. With impeccable preparation, its dishes summarize, and sometimes exceed, the imagination of Mexicans. The taste of lemonade with chía, typical in Mexican households; the sound of the tra-ditional sweet potato carts on the streets of Mexican cities, offering roasted and sweetened sweet potatoes and bananas, and the aroma of herbs and chocolate of Grandmother’s kitchen seem to have changed in the collective memory of Mexicans to become playful ingredients in the hands of Martha Ortiz. Thus, those who visit her restaurant can abandon themselves to the taste of a mamey cream stewed on gold leaf with carnation petals jelly. n

www.lasalcobas.com/dining.php

AmarantaThis is one of the cuisine choices found in the city of Toluca in Estado de México. Chef Pablo Salas is in charge of this restaurant that opened its doors in September 2010, when Mexico commemorated the bicentennial of its independence and the cente-nary of the Mexican Revolution. Its statement is to celebrate the rich cuisine of the 125 municipalities of Estado de México. To achieve that, Pablo Salas elabo-rates popular recipes with the latest techniques. Pablo’s family is there to help and this gives life and warmth to the atmosphere. Among its successes one may find the marrow soup in tomato broth flavored with epazote and a touch of chipotle. n

www.amarantarestaurante.com

—AMARANTA

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44 Negocios i The Lifestyle Photo courtesy of azuL condesa

MerotoroMerotoro is owned by Gabriela Cámara, owner of successful seafood res-taurant Contramar in Mexico City. Merotoro is also the stage where, for the past two years, one can taste the culinary creations of chef Jair Téllez, whose talent is an export from Baja California. His formula combines seafood and meats, artisan beers, olive oil garden and the scent of an or-chard that permeates the walls of Laja, Jair Téllez’s restaurant in Valle de Guadalupe, Baja California. Respect for quality products and fair flavors result in a short menu, even if the wine list is longer. Merotoro showcases singular and surprising meat dishes, scallops with cucumber, apple, lemon, pistachio and crisp chamoy, as well as outstanding desserts. n

www.merotoro.com

PaxiaIn the two branches of Paxia restaurant in Mexico City, one in the south-ern San Ángel area and the other in the corporate and financial district of Santa Fe at the NH hotel, chef Daniel Ovadia offers his take on tradi-tional Mexican cuisine. Ovadia is not afraid to alter recipes, rediscover ingredients and include foreign elements, such as white truffles and foie gras, in his dishes. An extensive wine list and 32 different types of mez-cal accompany creations such as pork rinds lasagna in green sauce or chicken breast stuffed with goat cheese in xoconostle sauce. n

www.paxia.com.mx

Azul CondesaThe dedication of Ricardo Muñoz Zurita to keep the culi-nary traditions of Mexico alive can be documented in sev-eral books of indigenous and colonial recipes –Los Chiles Rellenos en México (1996), Verde en la cocina Mexicana (1999), Diccionario Enciclopédico de Gastronomía Mexi-cana (2000), Comida de los Almendros, in collaboration with Mónica Lavin (2001), Salsas Mexicanas (2009) and Los Clásicos de la Cocina Mexicana (2009)– and may be appreciated at the Blue and Gold cafes on the central campus of the National Autonomous University of Mex-ico (UNAM) and, since February 2011, at the restaurant Azul Condesa in the heart of one of the most dynamic dis-tricts of Mexico City –Condesa neighborhood. Muñoz is probably the purest of contemporary Mexican chefs. He doesn’t “reinterpret” dishes, he says, he only “recreates” them. The recipes for dishes found in the Azul Condesa’s menu derived from the regional cuisine festivals the chef has organized. Fritters stuffed with roast duck and bathed in Oaxacan black mole sauce are simply unforgettable. n

www.azulcondesa.com

—AzULcoNDeSA

—MeRoToRo

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46 Negocios i The Lifestyle Photos archive

ThE LIfEsTyLE fEaTuRE MexicANcoNTeMpoRARYcUiSiNei MARTHAoRTiz

in her oWn WordsMartha ortiz anD her “sweet hoMeLanD”

by pAoLAVALeNciA

Dulce Patria (Sweet Homeland)is not only a restaurant but an encompassing experience. As described by its owner and creator, the chef Martha Ortiz: “It is an idea full of flavor. A forum where everything that is Mexican reconciles with its roots through contemporary Mexi-

can cuisine. Dining at Dulce Patria is a ceremony in itself.”The minute you step into the reception area, you see an infinite array of

sword lilies that welcome you in Mexican style. The restaurant’s predomi-nant gold-colored walls are reminiscent of the sun’s rays, which you will always find in Mexico. Food and traditions play a key role at Dulce Patria.

Imagine, if you will, a Popsicle cart (complete with its bells and whistles) moving through the dining area, or a bar where you can order the most de-licious Mexican shaved ice treats flavored with currants, lime or tamarind and a huge variety of fruit-flavored drinks. It would be impossible to see this in a restaurant without it bringing a huge smile to your face. That is exactly what Martha Ortiz intends to do each time she opens a new eatery. She uses the Mexican culture to bring happiness to her patrons. That is not a prepos-terous idea. Mexico is a country full of color and joy and Martha has success-fully rescued many of the country’s great traditions.

The chef displays passion in everything she does. “Eating is a cer-emony in which the visual part of a meal becomes a ritual. Each dish tells a story. I have always maintained that I am not a chef that goes to the market to get her inspiration from a dead fish. Ideas inspire me,” she explains. And the fact is that Martha goes beyond cooking, she tells sto-ries through her cuisine. She also celebrates great Mexican dishes, from ceviche (marinated raw fish or seafood) to the traditional mole de olla (meat & vegetable stew). These are dishes that feature lavish amounts of color, imagination and even fun-filled entertainment.

48 Negocios i The Lifestyle Photos courtesy of duLce patria

Martha is not only an excellent chef who loves to preserve tradi-tions. She is a passionate artist who uses Mexican history to create her dishes, as depicted in her iconic chiles en nogada (stuffed peppers bathed in walnut sauce). “Mexico tastes like glory. I believe it is a won-derful country. If Mexico invented chiles en nogada, what can limit us? Just as we have heroes who gave us our country, we have also dishes that have done the same. Chiles are a national emblem and this dish has a very important meaning as nuns used to prepare it to honor an emperor. The dish features the colors of the Mexican flag. What does Dulce Patria do to these chiles? Well, we have gone back to this wonderful tradition to commemorate those women who graciously created a tri-colored, tri-flavored dish. They spent all day in a convent and I actually believe they were rethinking their sensuality; that sen-suality they were not able to experience firsthand and expressed in dishes such as chiles en nogada. I add more Mexican crystalized candy fruit –such as gout weed, apricots, figs and limes– to the traditional recipe and a bit of foie gras to acknowledge the influence of French food on Mexican cuisine. I also add a very long stick of cinnamon; I tattoo it in gold as I believe chiles are irreverent, sexy, handsome and, in short, they have it all. I call this ‘the jewel’ of stuffed chiles in walnut sauce,” explains the chef.

ThE LIfEsTyLE fEaTuRE MexicANcoNTeMpoRARYcUiSiNei MARTHAoRTiz

Martha Ortiz does not hide her endless pride and love for Mexico and her earnest desire to rescue what characterizes this country, to make sure it does not get lost in the past. She is probably the only wom-an who would like to reincarnate as the winged victory featured in the famous Angel of Independence monument in Mexico City. “I have al-ways said I want to be the Angel of Independence when I die. People ask me why, to which I reply, because it looks spectacular, above all,” she says.

This is how Martha Ortiz proves that she is able to convert even the smallest detail into beauty, elegance and a good dose of humor. She is able to succeed at getting anyone that tries any of her dishes to profess their love for this country, even those diners that are most reluctant to accept the famous Mexican charm, which is something only a true artist can achieve. n

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50 Negocios i The Lifestyle

OaxaCa GOuRmETThe Nouvelle Tradition

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by ALeJANDRAoSToS

Photos courtesy of duLce patria

JOSé MANuEl bAñOS José Manuel’s story is shaped as a plant that sits on his restaurant’s win-dowsill. That is a pitiona, an aromatic herb cooks in Oaxaca are familiar with and commonly used to fix iguana mole sauce and seafood broth on the coast of Oaxaca. It tastes like mint, but has a slightly spicy aftertaste. This is the same herb this chef has tattooed on the side of his body, telling the story of his interest in recovering his grandmother’s recipes and flavors from the coast of Oaxaca and the Mixteca and valley regions.

Before opening his own restaurant, Manuel first worked in Alejandro Ruiz’s kitchen and later with Juan Mari Arzak and Ferran Adrià. Manuel does what he knows best at Pitiona, which consists of subtly mixing cut-ting-edge gastronomic techniques with dishes and ingredients tradition-ally grown and used in the state of Oaxaca.

what to ExpectCarrot tacos stuffed with shrimp ceviche, salad dressed with mango vinai-grette with goat cheese sprinkles, chicatana (a type of ant collected during the year’s first rainfalls) mole sauce and for dessert, arroz con leche or rice pudding mousse.

what to Try His noodle soup with liquid cheese made out of tongue broth, tomato paste, pasta, parsley and liquid cheese balls. A recipe that is simple and complicated at the same time. It forcefully competes with each individual’s memory of his mother’s homemade soup. Manuel serves it in a pewter bowl and spoon, because that is how he ate it as a child.

www.pitiona.com

AlEJANdRO RuIzThe most famous chef in Oaxaca –confirmed not only by the media but also by his peers– led a very simple life when his responsibilities involved stoking the fire, going to the corn mill, crushing ingredients with a mortar and pestle to prepare a sauce or making a mistake by buying parsley for his mother, instead of coriander or cilantro.

Alejandro is now at the head of three kitchens at Casa Oaxaca, where he teaches workshops and organizes food festivals. He is not afraid to ex-periment with flavors as he grew up with them. He knows that renewed traditions can excite just about anyone’s palate. He also knows how to be considered haute cuisine and draw the world’s attention.

what to ExpectGrasshopper tostadas with Creole avocado and fresh cheese, tortilla dough stuffed with quintoniles (a wild plant also known as pigweed) served with cheese, beef fillet with yellow mole sauce, corn cake with lemon sauce and ice cream made out of surprisingly tasteful burnt milk.

what to Try His Mexican pepperleaf (Hoja Santa) rolls stuffed with grasshoppers, cheese and santanero bean paste (produced only in certain regions of Oaxaca) and bathed in a guajillo chili sauce. This is a native dish that sums up Alejandro’s desire to discover and recreate the food he grew up eating.

www.casaoaxaca.com.mx

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52 Negocios i The Lifestyle Photos archive

Óscar Carrizosa You can take different routes to reach a kitchen and Óscar Carrizosa took an uncommon path: painting. He initially opened the Casa Crespo Bed & Breakfast where he would invite his artist friends over for dinner. The tables would fill up with food items from all eight regions of Oaxaca, as he sat around the table chatting with his friends.

Óscar’s methodological curiosity and determination led him to con-sider the need to recover traditional Oaxacan cuisine. The canvas and oils were soon replaced with recipes and the hotel was changed into a restau-rant that went by the same name.

At Casa Crespo, Óscar carefully recreates the flavors of the different cultures found in Oaxaca, he resorts to ancient knowledge and techniques and uses ingredients that speak of the state’s folk customs better than a book. Thus, each chile he uses in his kitchen looks more like an entire com-munity’s genealogy. what to ExpectSquash blossoms stuffed with cheese and covered with tamarind sauce; tamal pie (the dough is made out of a blend of corn and chickpeas); bar-becued duck; cheese wrapped in Mexican pepperleaf and stoneground chocolate ice cream sprinkled with guajillo chili powder.

what to Try His stone soup –a simple old recipe from villages surrounded by rivers which Óscar prepares by placing pieces of raw fish and seafood in a gourd, adding onions, tomatoes and wormseed or epazote. He then pours shrimp over this concoction and finally, a boiling stone. The mixture cooks imme-diately and in a striking manner.

www.casacrespo.com

Aurora ToledoAurora Toledo is a native of the Isthmus of Tehuantepec, Mexico’s narrow-est strip of land where the Pacific and Atlantic Oceans almost meet. There, among the region’s Huave, Zapotec and Zoques indigenous communities, stands the creative power of women who have earned a special position in the state’s social fabric, also valued for their traditional textiles and cook-ing skills.

A self sufficient woman, owner of Zandunga restaurant, Aurora has spent nine years working in the city of Oaxaca where she prepares meals every day, or rather, small culinary tributes to their individual regions of origin. She collects flavors and recipes, especially from the older women who tell their secrets in the Zapotec dialect. Her food is a summary of memories, she says, as if it were an album she brings to the table to tell the story of her people.

what to ExpectRoasted corn mole sauce with pork (somewhat like pozole); baked cochito tacos; the Isthmus stew (a meat paste mixed with fruits and vegetables) and plantain fingers or molotes stuffed with cheese.

what to Try Her Isthmus garnachas, small corn memelas seasoned with ground beef, tomato sauce and dried cheese. Prepared with less oil than the original recipe, they maintain the flavor and aroma that characterize this tradi-tional cuisine. These represent the beginning of what would later become Zandunga, since Aurora started out by selling garnachas to friends who would stop by her home to buy her food.

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Juan Pablo lunaAs the head of Los Danzantes, one of Oaxaca’s most prestigious restau-rants, Juan Pablo Luna belongs to a younger generation of chefs who are fully aware of their food’s potential. Luna studied at The Culinary Institute of America in New York where he learned techniques that helped him bring a different approach to traditional ingredients used in Oaxaca’s cui-sine. Making foam out of epazote or devising ways to produce salt with hibiscus flowers are a playful manner to remind yourself that there is no need to invent Oaxaca; you simply require to explore and discover the state.

what to ExpectDry noodles with pasilla chili sauce and Isthmus cheese; tlayuda (thin toasted or partially fried tortilla) covered with shrimp and chipotle meco chiles; duck scallops with black mole sauce; jelly turnovers stuffed with cream cheese and corn bread with poblano chile jam and mezcal.

what to Try His Mexican pepperleaf (hoja santa) stuffed with string and goat cheeses, served on a mirror made out of green tomato sauce. “This dish is the sum of Oaxaca’s flavors,” says Juan Pablo. Nothing would be the same in the region’s cuisine without the herbs grown in this state.

www.losdanzantes.com

Octavio RamírezHe learned what he knows working on the stoves of Los Danzantes’ kitchen. He has only three years of experience, but Octavio Ramírez only needed that much time to start heading the Cocina Azul Restaurant in the Azul Oaxaca Hotel. His recognition and future arrive hastefully, while his dishes build his reputation. He is a daring cook, one of the most experimental chefs in Oaxacan cuisine.

what to ExpectThe huitlacoche cream he invented by playing with the ingredients. It in-cludes pumpkin, carrots, mint, tomato, purple onions, garlic, butter, olive oil, serrano chile, cream, milk, salt and pepper. It is served in a calabash and sprinkled with cheese.

what to Try Salad with goat cheese, apple, roasted pineapple, nuts and blackberries with a brown sugar dressing; tuna with a Mexican pepperleaf crust and fruit preserves mixed with mezcal and mango and ginger sauce.

www.hotelazuloaxaca.com

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54 Negocios i The Lifestyle Photo courtesy of oca

—where did you have your first contact with cooking?If you think I’m going to tell the romantic story that I learned to cook from my mother. No! In fact, I think she never got very excited about cooking. She’s not a bad cook but she is not an expert. At my parents’ home we always ate very normally, nothing extraordinary.

—So how did vicente Torres’ culinary career begin?Since I was 15, at home I was forced to work during the summers in order to learn how hard it was to earn money. The last job I had was in a kitchen in Ibiza –I’m originally from there– and that’s when I realized I loved to cook. I never liked school and was always pretty bad, but I realized that cooking was monopolizing my attention and I was really focused on it. That was when I was 17.

I was lucky to find my passion at such an early age. I went on to study hotel manage-ment at the Joviat school in Manresa [Spain] and my first big start was with Jacques Maximin in Nice [France]. There I realized that I loved the pressure that you experience as a chef.

After working with Maximin, I went to Paris where I worked in the Precatelan and then I moved onto Lucas Carton, a Spanish restaurant that had won a Michelin star, with Alain Senderens.

TêTe à TêTe

WITH VICENTE TORRES

by pAoLAVALeNciA

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INTERvIEw ViceNTeToRReS

56 Negocios i The Lifestyle Photos courtesy of oca

OCa

The interior of Oca, located in the Polanco neighborhood of Mexico City, helps clear the mind, for the decor corresponds with the simplicity of the materials exposed there: wood, glass, slate and metal. The menu, however, encourages and provokes. This is a collection of small celebrations full of flowers, fruits and herbs that Vicente Torres has prepared carefully since May 2009. The technique comes from the avant garde and the inspiration is Mediterranean. But neither foams nor spherical vessels are empty gestures to the chef, who doesn’t hesitate to ignore them when it comes to presenting dishes such as Bogavante rice soup or beef cheek with roasted chicory.

www.ocarestaurante.com

After four years, I was a little tired of Paris and went back to Spain. As I returned, I worked with Martin Berasategui as his chief baker. That’s how I completed a great amount of training, I think with Berasategui I real-ized I was ready to manage a restaurant by myself. I went to Valencia, to the restaurant of the Museum of Modern Art, and after a year and a half working there we got a Michelin star. Then the opportunity arose to come to Mexico and here I am.

—why Mexico?First of all, because my wife is Mexican and she never got tired of selling the country to me. I must say she was not wrong, Mexico is an extraordinary country. In addition, the op-portunity to do business with Karen Wix, an investor with whom I opened OCA, arose. We have developed more of a family relationship than as friends or associates. Karen under-stands gastronomy just the way my wife and I understand it. So I think I’m very lucky to be here. It’s been three years and two months.

—Have you had an experience in Mexico that changed the way you think and the way you see the world?Yes! We had the very great fortune to open OCA during the health alert for the H1N1 virus. The restaurants were closed for a few days to reduce the risk of the virus. We saw it as an omen and this is something I learned in Mexico: from sad things you can always draw good things, no use complaining about the problems, you have to go ahead and you also have to do it with a sense of humor. That’s something I love about Mexico, how people deal with things. It is not resignation, rather it’s seeing the funny side of all things, the positive aspect of every situation. We had to close for 10 days just after the opening but I took it with a very positive philosophy due to Mexico.

—After three years in Mexico, has Mexi-can cuisine influenced your gastronomic concept?Not yet. Mexican cuisine is vast and it will take a long time to know it well. I’m still in the learning process. Although I create a cutting-edge cuisine, I have great respect for Mexican customs and especially for its gastronomy. Mexican cuisine is very old and broad. It was named Intangible Heritage of Humanity by UNESCO. That’s a lot to say, the recognition speaks for itself. The cuisine is culture and as such it must be respected. There are many

people in Mexico who are doing very impor-tant work to conserve, preserve and promote Mexican cuisine, such as Ricardo Muñoz Zurita, Tita of El Bajío restaurant and chef Pa-tricia Quintana, among others. As The Times put it, they are “guarding Mexican cuisine.”

—As a foreigner in Mexico, what are the restaurants that you would recommend?Pujol, Biko and Bakea, of Vicente Echegaray. Since I am addicted to Japanese food, I would recommend Benkay and Tori Tori. In general terms, I think you can eat very well in Mexico.

—what Mexican ingredients have sur-prised you?Recently I gave a presentation at Madrid Fu-sion. I was asked to choose two products that I did not know and to inquire about them. I

chose the Hoja Santa [Mexican pepperleaf, an aromatic plant native to Mesoamerica] and the Chaya Leaf [also known as tree spinach, a shrub native to the Yucatán Peninsula]. They are amazing, magical and wonderful. For example, the Chaya Leaf has spectacular or-ganoleptic properties: three times more iron than spinach and 10 times more vitamin C than a lemon. The Hoja Santa is very aromatic and has many properties. I am delighted with these leaves.

—In addition to congratulating you, what is the best compliment a guest can make? An empty plate. That is an unmistakable sign that a guest really enjoyed a dish. But even if he has seconds, I love it. I am very flattered when a patron comes back with friends and family, that makes me very happy. n

hOja dE Chaya

Commonly known as Tree Spin-ach, the Hoja de Chaya (Chaya Leaf, Cnidoscolus Chayamansa) is one big contribution from the Mayan culture to the world.

Chaya is a good source of protein, vitamins, calcium and iron, and is also a rich source of antioxidants. The chaya is richer in iron than the spinach and it’s a powerful calcium and potas-sium source. It is a beautiful plant that grows easily and in any garden. It is very easy to find it in the Yucatán Pen-insula, where it is sold in almost every market and grocery store.

hOja saNTa

The Hoja Santa (Mexican pepperleaf, Piper auritum) is a popular Mexican herb used to flavor many dishes from soups to Oaxacan Mole Verde.

The fresh leaves are also used to wrap tamales. The dried leaves can be used as a seasoning, though fresh they are much more flavorful.

The large leaves (up to a foot across) of the Hoja Santa plant have an unusual flavor that is hard to describe. It is part of the peppercorn family and has a slight pepper flavor as well as a black licorice note.

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58 Negocios i The Lifestyle Photo courtesy of cervecería cuauhtémoc moctezuma

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by DAViDRicARDoVizcARRA

—what would you say if you had to describe bohemia as a friend?Bohemia is a friend that invites you to enjoy a great time at the table. However, we are talking about a friend who actually takes the place of three friends: you cannot summon the first friend, Bohemia Clara, at any time of day because you cannot pair it with all food types; the second friend, Bohemia Oscura, has a dark side that tastes great with a very specific type of dish; and the last friend has a European profile –it is friendly and open and can sit at the table chatting with you at any time of day. It is Bohemia Weizen and is made out of a wheat base– a tradition in countries like Germany or Belgium.

—Tell us about bohemia’s presence on an international scale?Bohemia is exported to 37 countries worldwide. It is our presentation

of the highest quality of a Mexican brew. This new phase Cervecería Cuauhtémoc Moctezuma has engaged in within a system such as the Heineken one will help us reach new nooks and crannies where Heineken currently operates a large distribution network.

The two countries that are most relevant to the brand today are Mexico and the US, where Bohemia is held in high esteem and has performed quite well.

We introduced the Limited Edition Frida Kahlo-themed Bohemia brand in the US –as a tribute to this Mexican artist–, featuring her images on the product’s primary and secondary packages, which we launched in Mexico in 2010. It was very well received and widely echoed in Mexico. The proposal was launched in May during an event held in New York City, in which Mara Romero Kahlo, great-niece of Frida Kahlo participated via a videoconference.

ThE LIfEsTyLE REPORT DiSTiNcióNBoHeMiA

60 Negocios i The Lifestyle Photos courtesy of cervecería cuauhtémoc moctezuma / archive

—How does Mexican beer compare to the international market?It would be risky to speak of benchmarking outside of Mexico. There are countries in which the beer culture and the intrinsic profile of the drink per se are very advanced. Analyzing this on a national level, in the case of Bohemia, we find that it is a brand that goes beyond its intrinsic values –including its imported ingredients–, when compared with the rest of the portfolio offered by other Mexican brands. Bohemia has a very European profile ―nice bouquet and full-bodied, full pilsner flavor with a slight bite and greater alcohol content, which is not the common denominator of Mexican beer.

—Is this beer brewed specifically to compete in the European market?And in Mexico. Bohemia plays a very relevant role and we are promot-ing the brand in the Distinción Bohemia circuit. We intend to promote the culture of beer through food. Historically, beer in Mexico is associ-ated with the beach, partying and cooling off; we are used to drinking light beers that are not very bitter. Bohemia takes you to the opposite end of the spectrum, with aromas and ingredients that open up a host of new experiences and an infinite range of possibilities when com-bined with a chef’s skill and mastery of different cuisines.

—Could you tell us more about the Distinción Bohemia?Bohemia is backed by the skills of our master brewer Enrique Elizondo, the person responsible for maintaining the quality standard of our beer and providing us with brews such as Oscura (dark) and Weizen, which are made with the same level of skill a chef uses to blend ingredients for his dishes, which he then prepares and serves his guests. Distinción Bohemia recognizes this art in the kitchen, which we often neglect to take time to enjoy.

For example, our mothers are the very first chefs we meet in life, who serve us a good breakfast, but we often run out in haste to school and do not give ourselves time to sit down to enjoy and thank her for the meal.

We now have a more global knowledge of cooking technologies and techniques that increasingly dare to present new flavors and sensations in regional blends. This is backed by a great deal of expertise. Distinción Bohemia specifically recognizes the chef; it praises his or her attention to detail and concern about the origin and quality of the ingredients. The added value is very high, and this is exactly what Distinción Bohe-mia seeks to reward.

—How would you define bohemia consumers?These are modern consumers who enjoy the moment. Bohemia in-tends for you to pause for a moment as you sit around the table with nice company and a fine cuisine, in midst of our stress-filled lives,

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increasingly shorter schedules and heavy traffic, among other aspects that govern contemporary everyday living. We aim to create these comforting experiences.

—do you think Mexico has a new beer culture? Mexico has two major players in the beer market: Cervecería Cuauhtémoc Moctezuma and Modelo. While per capita consumption of beer in Mexico is high, it does not compare with per capita consumption in a European nation, so we definitely need to promote the beer culture in Mexico. Some micro breweries have started to explore this market in Mexico and have even developed some consumption centers that import foreign brands with the purpose of educating consumer palates. We favor these small businesses. In fact, we participated in Beer Expo 2011, an event promoted by and for micro brewers, which is where we want to be, as we intend to target fine palates that look for a more complex beer profile.

—do you have pairing proposals for weizen and the clear and dark bohemia versions?Yes, our secondary packages offer consumers certain brand recom-mendations on how to pair the brew with certain types of food. However, Distinción Bohemia is not limiting itself to these suggestions, as it keeps looking into new proposals. I personally would never have thought of combining Dark Bohemia with a piece of chocolate; how-ever, you will enjoy a very pleasant experience if you pair this beer with chocolate cake.

Zahie Téllez, the chef the brand appointed to run these tests, sends me midnight messages sharing her new discoveries: caramel wafers with Dark Bohemia, shrimp cocktail with Bohemia Weizen, or steak with a Clear Bohemia. Beer is a very versatile drink and Bohemia with its three variants offers many opportunities to explore different options. We try to encourage our consumers to try different combinations as each palate has its own different and unique preferences.

We think of wine as a good example, considering the fact that it has a ten-year lead as a pairing beverage and its producers have a very clear idea of its features, their wines’ intrinsic values and the power they offer when combined with a variety of dishes. However, wine plays a role, a ritual that includes a more complex pairing process, while beer offers broader possibilities. Going back to the example of chocolate cake paired with Dark Bohemia –whose delightful taste makes it really worth trying– pairing chocolate cake with any red wine would cause a short circuit due to its high level of acidity.

We want to take a step beyond these experiences to offer consum-ers a wider variety of choices. Our chef Zahie, who specializes in Ital-ian cuisine and imports wines from that region of the world, has been surprised to find that the dishes she generally recommended pairing with certain types of wines, now create a totally different type of sensa-tion when paired with beer.

I believe we must personally experience these short stories first-hand. We invite you to try pairing the different Bohemia varieties next time you sit down for a meal, to discover some amazing results. n

ThE LIfEsTyLE REPORT DiSTiNcióNBoHeMiA

62 Negocios i The Lifestyle Photo russ boWLing

Tunnels that stretch for miles underground, city sidewalks and mountain paths. The land-locked city of Guanajuato in Central Mexico is a network

of streets, so narrow and out-of-the-way they still echo with the sobs of jilted lovers and humbled countesses.

Guanajuato, capital city of the homony-mous state, is ideal for a weekend getaway. And if you’re on a business trip to León –the state’s biggest city and one of the largest producers of footwear and leather goods in Mexico– it’s just a 20-minute drive away on a safe, modern highway.

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GUANAJUATO The City of Many Roads

A UNESCO World Heritage Site and the birthplace of the 1810 Mexican War of Inde-pendence, Guanajuato is a destination with something for everyone.

Every building, every street in Guanajuato has a surprise awaiting the unsuspecting visitor.

The adventure begins as soon as you enter the city, by means of an intricate network of tunnels used by motorists and pedestrians, to navigate the city.

The oldest of these tunnels, El Cuajín, was built in 1883 to protect the city against per-sistent floods and connects the San Agustín hacienda with the Embajadoras municipal market.

As you explore these subterranean streets don’t forget to look up at the colonial build-ings, small houses with stone walls, on either side. A waterless Venice, this city of pirates has no port in sight and during the summer months is desert-like, even though it is sur-rounded by rivers, swollen the greater part of the year by surplus water from the nearby Sierra de Santa Rosa.

The proximity of the mountain means Guanajuato rarely suffers water shortages, but it also has drawbacks, the streets you walk today were built on top of older ones, flooded in the early 20th century by outflow from Santa Rosa.

dEsTINaTION GUANAJUATo

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Perched on a hill, it is this vantage point that has ensured Guanajuato’s permanence, while conferring the city its unique identity.

An identity that was forged in the mid-16th century when the Spaniards began coloniz-ing the region. Founded in 1557 as Santa Fe y Real de Minas de Quanaxhuato, Guanajuato was famous for its silver deposits, although the mining boom took place until the 18th century. This new wealth was displayed in the baroque religious and civic buildings of the state’s capi-tal and neighboring cities.

Currently, Guanajuato is less ostentatious, inviting visitors to take a leisurely stroll down the narrow streets of its downtown area and

admire the flower-filled balconies of its stately homes; to take a break in the cafés that line its colonial squares; to take a peek inside its his-toric buildings, like the Alhóndiga de Grana-ditas, site of the first battle in the Mexican War of Independence; and to explore mines such as La Valenciana which accounted for two-thirds of the world’s silver production at its peak in the 18th century and that is still op-erating today.

Alternatively, you can take a boat trip across La Olla dam, a work of civil engineer-ing dating from the first half of the 17th cen-tury, or visit the beautiful Florencio Antillón gardens, hemmed in by the streets of Mar-

qués de Rayas and Conde de Valenciana and their imposing late-19th-century mansions.

For a bird’s eye view, climb the Sierra de Santa Rosa. There you will find the Palomas and Cuenca de la Esperanzas recreational centers, where experts in local flora and fauna are at hand to give you a tour of the for-est. The centers are on the migratory paths of birds that return here every year from Alas-ka, Canada and the United States, and have camp sites where you can stay and places where you can eat.

Guanajuato offers a wide array of natural and man-made attractions. Regarding arts and entertainment, it is hard to find its match.

64 Negocios i The Lifestyle Photos russ boWLing / archive

All year long, the city hosts festivals and cultural events, like the Religious Arttiv Fe-sal in mid-April that showcases the traditional and religious handicrafts of Guanajuato; the Mariachi Festival at the end of April and the Ancient Organ Festival that begins in the third week of May.

The Guanajuato International Film Festival is held during the last week of July; the Todas las Artes, Una Ciudad summer festival in August and September; Transónica, a festival combin-ing music and the visual and performing arts, at the beginning of September.

Finally, the International Cervantine Festival, a three-week-long extravaganza of performances, concerts, musicals, theater and dance that draws visitors from near and far every year. Guanajuato offers many paths. It’s up to you which one you choose to take. n

ThE GRaNd CELEbRaTION Of aRTIsTIC CREaTION

Every Autumn, in October, Guanajuato is home to the most important cultural event in Mexico, the Festival Internacional Cervantino (International Cervantine Festival). Creat-ed as an homage to Miguel de Cervantes Saavedra, author of Don Quijote de la Mancha, features a full range of artistic expressions that comprise music, opera, theater, dance, visual arts and cinema.

During three weeks, the city becomes a living theater and museum, featuring avant-garde artistic performances and exhibitions of fine, classic and modern art.

In 2011, the Festival will bring together 2,800 artists from 29 countries. It’s 39th edi-tion is dedicated to the environment, with the theme The Gifts of Nature. Denmark, Finland, Sweden, Norway and the Mexican state of Nayarit will be this year’s special guests. The cultural buffet includes artists such as the Oslo Camerata, Geir Henning Braaten, Knut Reiersrud, Mari Boine and the Saint Petersburg Philharmonic Orchestra, among others.

www.festivalcervantino.gob.mx