
Nearshoring in Mexico
November 24, 2022
El grupo de los 7 (G7)
December 19, 2022The Tehuantepec Isthmus Interoceanic Corridor (CIIT) is planned to be the backbone of the Program for the Development of the Isthmus of Tehuantepec (PDIT). This project will make the South-Southeast of the country a key region for global trade.
It seeks to add to the Interoceanic Corridor as an alternative for the transfer of goods on the routes of world shops. Through the combined use of various means of transport.
Proyecto del Corredor Interoceánico del Istmo de Tehuantepec
Goals of the Tehuantepec Isthmus Interoceanic Corridor
The Corridor includes modernizing the 309 kilometers of the Tehuantepec Isthmus railway; this will allow a reduction in transfer time from 7.5 hours to 4 hours. Modernization of the ports of Coatzacoalcos in Veracruz and Salina Cruz in Oaxaca. As well as the modernization of Ixtepec and Minatitlán airports. Road and rural road infrastructure, as well as the port network, will be strengthened and a gas pipeline will be built to supply companies and domestic consumers. With this project, Mexico will be able to take advantage of the 12 International Treaties in force with America, Europe and Asia


The plan is to connect both ports, for the transport of merchandise. In Oaxaca, the merchandise can be easily mobilized to Europe through Veracruz, which has a departure to the Gulf of Mexico and will be faster through the Corridor. In the same way, Veracruz will be able to mobilize the exit of merchandise to Asia through Oaxaca, with the exit to the Pacific Ocean.
Why is the Corridor important?
- It will improve the connectivity of the region, and favor the offer of services to the peoples and communities of the Isthmus.
- It will generate lower costs and shorter time to transport merchandise.
- Linking the Mexican Isthmus to the global network of means and transport systems and Logistics.
- With the geopolitical conflict between China and the United States, Western companies will come to Mexico using Nearshoring, the Program for the Development of the Isthmus of Tehuantepec (CIIT) plans to provide them with a space to settle.
The Isthmus of Tehuantepec
- It includes 79 municipalities: 33 from Veracruz and 46 from Oaxaca.
- It is the access point to the South-Southeast region. In Veracruz via the Gulf of Mexico and in Oaxaca by the Pacific Ocean.
- The South-Southeast is part of a quarter of the country's federal entities.
Main Objectives of the Corridor
1. Strengthen social and productive infrastructure in the region of the Isthmus of Tehuantepec
The region has a significant lag in terms of social infrastructure. According to data published by the National Council for the Evaluation of Social Development Policy (CONEVAL) on municipal poverty, in the Isthmus of Tehuantepec 45.5% of the population is in a situation of shortage due to basic services in housing.
What this means is that this population has, at least, one of the following deficiencies in their homes:
- 1. Water is obtained from a well, river, lake, pipe stream or the piped water is obtained by carrying another house, or from the public key or hydrant.
- 2. They do not have drainage service.
- 3. They do not have electricity.
- 4. The fuel used to cook or heat food is firewood or coal without a fireplace.
Faced with this problem, the Interoceanic Corridor aims to generate greater economic growth, which translates into well-being for the population. This means providing physical, social and productive infrastructure that offers the possibility for the population to participate in development.
2. Encourage a new model of economic growth for development for the benefit of the entire population of the Isthmus of Tehuantepec
Most countries around the world have spent the last decades in the constant emergence of crisis situations in the economic and social environment. These have required effort and immensity of resources. Almost all countries have entered a spiral of recurring crises, a situation that is hindered by the rise in oil prices and the debt crisis of the early eighties.
Mexico's solution to this problem was to guide the growth and development of infrastructure to the areas of the periphery. In short, metropolitan areas grow in industrial areas such as Mexico City, Monterrey and Guadalajara.
With the development of the Interoceanic Corridor, it is expected to direct investment and economic activity, public and private, towards economically lagging and marginalized regions, such as the Isthmus of Tehuantepec, with the purpose of correcting the imbalances between regions generated by market movements.
The objective is to enhance development and increase the resource attraction capacities of other regions of the country and other countries. With the purpose of reviving the economy and local society, and thus starting a new stage of development.
3. Ensure the articulation of emerging actions for the population in extreme poverty in the Isthmus of Tehuantepec.
The emerging actions that must be ensured for the community are to provide infrastructure for its growth. The Corridor project plans to seek participation and collaboration with the different dependencies and secretariats that make up the Government of Mexico. Through the implementation of social programs, both housing, food and education.
The Isthmus Interoceanic Corridor aims to be one of the pillars to generate well-being for the population of the region. The project plans to obtain collaborations with the different dependencies and secretariats that make up the Government of Mexico, so that, through these, social programs can reach the 79 municipalities covered by this project. covers.
According to INEGI, a person is considered in poverty when he has at least one social deficiency (explained above) and does not have enough income to pay for goods and services that meet his food and non-food needs.
In extreme poverty, there are 3 or more deficiencies. People in this situation have such a low income that, even if they spent it completely on the purchase of food, they would not be able to acquire the necessary nutrients to live healthily.
In the Isthmus area, there are 3 municipalities that have the greatest presence of extreme poverty and belong to the state of Oaxaca. This means that 6 out of 10 inhabitants are in extreme poverty. According to CONEVAL, in the Isthmus of Tehuantepec, on average 29.2% of the population does not have enough income to eat.
Faced with this problem, the corridor plans to improve income generation for families, so that with their work they can achieve a dignified life.
4. Increase biodiversity and improve water, soil, and air quality with a sustainable approach in the Isthmus of Tehuantepec region
This area has environmental deterioration, which requires short, medium, and long-term solutions. With the corridor, it is planned to develop and update instruments to maintain and improve the environmental status through adequate management of the CIIT territory and strengthen the skills of the population to conserve its natural resources.
The project also considers maintaining rigorous measures to regulate the industries that plan to operate in the area and avoid environmental impacts. Its objective is to stop the high deterioration and loss of natural capital in the area, protect biodiversity and integrate different schemes for sustainable production.
One of the proposals is the Health and Safety Program by the Ministry of Agriculture and Rural Development (SADER), whose plan is to operate Pollution Risk Reduction Systems and Good Practices, through the implementation of measures that reduce and prevent the presence of pollutants in plants, livestock, agricultural and fisheries products.
It consists of making inspections in 3 aspects:
- Industrial material to sources of pollution to verify the proper handling and disposal of hazardous waste.
- Protection of natural resources in forestry, wildlife, environmental impact, federal maritime land area, and maritime resources.
- Audits regarding air and noise, water; soil and subsoil; waste; natural resources; wildlife; forest resources; environmental risk; environmental management, and environmental emergencies.
Another proposal is by the National Water Commission (CONAGUA) which plans to implement sanitation actions, with the idea of mitigating pollution in the lagoon system of the Gulf of Tehuantepec.
5. Protect, reinforce and disseminate the linguistic and cultural diversity, memory and cultural heritage of the indigenous, Afro-Mexican and comparable peoples of the Isthmus of Tehuantepec, through actions that guarantee their participation and cultural rights.
The Isthmus of Tehuantepec is one of the regions with the greatest cultural and linguistic diversity in the country. This is why it is necessary to establish a relationship with the indigenous peoples of the region, where their rights are recognized and respected. This is essential for the success of PDIT.
About 834,000 people in the region are indigenous and 341,000 speak a native language. The Isthmus project must guarantee their participation in decision-making, in order to contribute to the improvement of the quality of life of the population.
One proposal that stands out in this area is that of the Ministry of Culture, through the National Institute of Anthropology and History (INAH), in which they plan to develop a Methodological Guide for the Community Safeguarding of Cultural Heritage.
This will make it possible to implement 12 projects prioritizing attention to indigenous groups, Afro-descendants, and rural communities by the Multilingual and Community Cultural Actions Program (PACMyC), with an investment of approximately $20 million pesos.
Likewise, it is planned to implement Creative Seedlings, in order to generate collaborative networks between generations to integrate the community. The implementation of a theater and photo seedbed in Juchitán, Oaxaca, and that of a scenic production in the Barrio de la Soledad, Oaxaca, and in Laudería in Cosoleacaque, Veracruz is highlighted.
It is expected that through these Creative Seedlings, artistic and cultural creativity between the communities will be manifested and thus involve the community in the participation of the construction of public space and the reconstruction of real estate.
International Vision of the Corridor of Tehuantepec
The vision of the development of the Tehuantepec Isthmus Interoceanic Corridor (2020-2024) is to help the Mexican economy, population, and diversity through the international framework.
It is contemplated that in the first two years, there will be a strong investment to rehabilitate and modify the existing infrastructure. With the aim of making interoceanic crossing operations more efficient and generating confidence to attract foreign investment. Similarly, efforts will be made to increase the well-being and quality of life of the population.
Between the third and sixth years of operation, the reinforcement of urban equipment and the development of industrial parks are planned. It aims to generate added value to the goods produced in the Isthmus, as well as to the goods that cross the Interoceanic Corridor.
In the long term, it will be sought that the Corridor has a logistics infrastructure that can compete globally. The Isthmus of Tehuantepec will become a global log-economic point and the Interoceanic Corridor is expected to be inaugurated between April and May 2023.
Sources:
DW News. Historic interoceanic corridor
Gobierno de Oaxaca. Corredor Interoceánico
Gobierno de México. PDIT ¿Qué hacemos?
Gobierno de México. PowerPoint del CIIT
Proyectos México. Página Oficial del Proyecto del CIIT
Proyectos México. Presentación PowerPoint
Diario Oficial de la Federación. Publicación del Proyecto CIIT