Government
Introduction
Competitive Strategy
What PAI is?
Incentive Programs
Description
Summary of
Incentives 2015
Contact Information
Contents
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• In 2010, the State of Mexico´s Economic Development Law was enacted in order to enhance economic development and encourage
investment in the region.
• With the enactment of this law, the State Council of Economic Development and Competition (CEFEC) was created. The CEFEC’s main objective is to design policy, strategies, programs, and actions to enhance investment and economic activity in the State of Mexico.
• CEFEC´s main attribution is to design and approve the Government Incentive Programs (PAI) .
Introduction
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COORDINA
TION OF ECONOMIC PROMOTION
AND COMPETITION
COMPETITIVINESS ·TRANSP
ARENCY
· GROWTH
Federal and State Economic Policies.
Competitive
Strategy
NATIONAL DEVELOPMENT PLAN 2013-2015 PROSPEROUS MEXICO Objective: Enhance economic growth andcompetition, and increase employment. STATE DEVELOPMENT PLAN 2011-2017 PROGRESSIVE STATE Objective:Further economic competition.
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IMPULSE
6
The Government Incentive Programs (PAI) include all fiscal and non-fiscal incentives designed by the Government of the State of Mexico to stimulate economic development and growth. The PAI’s main objectives are:
• Attracting new investments. • Strengthening local enterprises.
• Supporting enterprises in strategic industries.
• Supporting creation of new business ventures, specially Small and Medium Enterprises (MiPyMES).
• Enhancing economic development and competition in municipalities that have been deemed “extreme poverty areas”.
ES
INCENTIV
Incentive
Programs 2015
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ES
INCENTIV
For Fiscal 2015, the Government of the State of Mexico approved 32 incentive programs that will benefit the productive sectors in the region. It is important to mention that this year’s PAI include benefits for the health sector, the social and productive organizations, small business owners, fireworks manufacturers, and rural enterprises. This year, nine government entities collaborated to develop the 2015 Incentive Programs. This effort reflects directly on the Government of the State of Mexico’s compromise to further growth in all productive sectors in the region.
SECRETARIAT IncentiveFiscal IncentiveNon-Fiscal Total
Total 1. Agricultural Development 2. Economic Development 3. Education 4. Finance 5. Environment 6. Health 7. Public Safety 8. Labor 9. Tourism 2 2 5 7 2 7 2 1 1 3 2 30 5 7 2 9 2 1 1 3 2 32
Genetically superior animals
• Subsidize the acquisition of genetically superior animals.
Aquaculture Development
• Help farmers improve the processes of breeding, rearing, and harvesting of plants and animals in all types of water environments.
Livestock Identification and Traceability Program
• Livestock Identification and Traceability conducted by the National System for Livestock Identification (SINIGA). This program has the objective of identifying diseases that might affect livestock in the southern region of the State of Mexico, thus hindering production.
Women empowerment
• Program designed to empower women in rural areas and help them become self-employed.
Adequate intake of water
• Provide construction materials to benefit Agricultural infrastructure and sustainability.
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DEVEL
OP
A
QU
A
CUL
TURE
Secretariat
of Agricultural
Development
MENT
Industrial Parks
• Preferential terms for acquiring spaces in Industrial Parks.
International Trade Training
• Provide programs, training and certification in international trade designed to enhance the enterprises´ trade practices.
Investment Assistance
• Provide assistance to potential investors.
Trade Missions and Trade Fairs
• Financial Support for enterprises attending trade missions and trade fairs that could result into business opportunities abroad.
Export Development Program
• Eligible companies will receive legal, fiscal, and
administrative information related to exporting processes.
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INDUSTRY
Secretariat
of Economic
Development
DEVEL
OP
MENT
NEW
EMPLOYMENTS
State of Mexico Certificate of Origin
A certificate given to enterprises which are enrolled in the State Economic Development Registry. The benefits provided by this recognition are:
• Tie-breaker factor in public procurement processes. • Elegibility for Business Excellence Award.
• Elegibility for Government Incentive Programs.
Business Excellence Award
• An award to recognize business excellence in the following areas: Human Development, Competitiveness, Environment Protection, Exports, Social Responsibility, Gender Equality.
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BUSINESS
EXCELLENCE
Secretariat
of Economic
Development
NEW
EMPLOYMENTS
Payroll Tax Exemptions
Enterprises will benefit from a 100% payroll tax exemption for up to 36 months if they:
• Employ elderly workers (60 years-old and plus). • Employ Education, Technological, and Technical
Graduates from the Classes of 2013,2014,and 2015. • Move its business from other entity to the State of
Mexico.
• Build a startup company in the State of Mexico.
Enterprises will benefit from a 100% payroll tax exemption for up to 36 months if they:
• Employ first-time workers.
Secretariat
of Finance
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BUSINESS
PATENTS
CORPORATE
EQUALITY
Solidarity Sourcing Program
The Solidarity Sourcing Program opens the Government’s purchasing process to new categories of suppliers who have trouble accessing major contractors. All registered suppliers are eligible to contracts up to $500,000 MXP.
Waiver on Contractual Warranties and Hidden Defects Liabilities
Waiver on contractual warranties and hidden defects liabilities to those suppliers registered in the Solidarity Sourcing Program.
Registration in the Solidarity Sourcing Program
100% payment exemption for business owners who register in the Solidarity Sourcing Program.
Equal treatment for Small and Medium Sized Enterprises (MiPyMes)
Equal treatment for Small and Medium Sized Enterprises (MiPyMes) in all procurement processes in the State of Mexico.
PATENTS
CORPORATE
EQUALITY
Research, Technological Development, and Innovation Incentives
Enterprises who invest on Research, Technological Development, and Innovation are eligible for financial incentives.
Patents Support Program
Its objective is the securing of intellectual property created in the State of Mexico by providing total reimbursement on patent fees required by the Mexican Institute of Industrial Property (IMPI).
Program for Strengthening the Scientific and Technological Capacity
Incentives for financing research and development of the enterprises’ technological capacities. With special focus in: Training for personnel, internships, specialized training, hiring of graduate professionals, and attraction of subject area experts.
State Innovation Systems
A program developed for the very small, small, and medium enterprises (MiPyMES) who wish to enhance and further their competitivity through innovation.
The State of Mexico’s
Council for Science and
Technology (COMECyT)
DUAL
EDUCATION
Creation of local business ventures with Parents Associations
Promote the creation of small business ventures among parents associations to manufacture uniforms (5 to 7 parents).
Dual Education System (MMFD)
The objective of this program is to further the Students’ formation by integrating them to the working force through apprenticeships and practicums.
Secretariat
of Education
Secretariat of
Environment
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CLEAN
INDUSTRY
Clean Industry Certification
The Clean Industry Certification is given to companies that demonstrate satisfactory accomplishment of legal requirements regarding environmental protection. Those companies that comply are eligible for the following benefits: exemption on inspections, savings on raw materials and energy, increased comparative advantage, and benefits for exporting.
Hydrological Environmental Services
A program to pay landowners with 76,667+ Hectare of land to maintain their forest and thus protect the hydrological functions of the different areas.
TRAINING
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SANIT
A
TION
CER
TIFICA
TION
Food Safety and Sanitation Program
Provide enterprises with the necessary information for complying with the following requirements:
• Sanitation Certification for food and beverages service providers. • Certification for food and
beverages handlers.
• Notifications of Operations. • Application for Sanitary Permits.
Secretariat
of Health
TRAINING
Training for pyrotechnic manufacturers
• Teach the State of Mexico’s fireworks manufacturers the essential safety measures for the production, handling, and storage of fireworks.
Secretariat
of Public Safety
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SANIT
A
TION
CER
TIFICA
TION
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A
UT
OEMPLEO
Scholarships for Corporate Education (Bécate)
• Program targeted to people who wish to enhance their professional capabilities and skills in order to become self-employed or further their professional career.
Promoting Social Organizations
• Advise autonomous associations of persons who want to establish Co-Operatives for their mutual social, economic, and cultural benefit .
Promoting Self-Employment
• Encourage the creation and strengthening of new business ventures by providing financial and non-financial incentives to entrepreneurs. Entreprenerus may be eligible for the following: • Up to $25,000 MXP
for equipment and infrastructure.
• Up to $125,000 MXP for equipment and infrastructure (If the enterprise is integrated by 5 or more people).
Secretariat
of Labor
Sale of Traditional Crafts
Provide State of Mexico’s craftsmen with a space to sell their products in CASART’s store. This program operates under CASART’s consignment terms.
Promotion of Traditional Crafts
Encourage participation of State of Mexico´s craftsmen in state, national, and international events in order to increase sales and expand markets.
Secretariat of Tourism
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INCENTIVES
Summary
of Incentives 2015
1. Genetically superior animals. 2. Aquaculture Development 3. Livestock Identification and Traceability Program 4. Women empowerment 5. Efficient use of water1. Industrial Parks 2. International Trade
Training
3. Investment Assistance 4. Trade Missions and
Trade Fairs 5. Export Development Program 6. State of Mexico Certificate of Origin 7. Business Excellence Award 1. Payroll Tax Exemptions 2. Solidarity Sourcing Program 3. Waiver on Contractual Warranties and Hidden Defects Liabilities 4. Registration in the Solidarity Sourcing Program.
5. Equal treatment for Small and Medium Sized Enterprises (MiPyMes) Agricultural Development Economic Development Finance
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INCENTIVES
1. Creation of local business ventures with Parents Associations 2. Dual Education System (MMFD) 1. Training for pyrotechnic manufacturers 1. Clean Industry Certification 2. Hydrological Environmental Services 1. Scholarships for Corporate Education (Bécate) 2. Promoting Social Organizations 3. Promoting Self-Employment1. Food Safety and Sanitation Program 1. Sale of Traditional Crafts 2. Promotion of Traditional Crafts Education Public Safety Environment Labor Health Tourism
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Secretariat of Education
Coordination of Dual Education
Gladiolas No. 25, Izcalli Cuauhtémoc I, Metepec, Estado de México, C.P 52172
Tel.: (01 722) 219.02.12 Ext. 111.
Unit of Information, Planning, Programming and Evaluation
Otumba No. 782, Col. Electricistas, Toluca, Estado de México. Tel.: (01 722) 384.03.52
Secretariat of Finance
Lerdo Pte. No. 300, Segundo Piso, Puerta 345, Palacio del Poder Ejecutivo, Colonia Centro, Toluca, Estado de México, C.P. 50000 Tel.: (01 722) 276.00.66.
COMECyT
Hacienda Cieneguilla No. 1, Col. Santa Elena, San Mateo Atenco, Estado de México, C.P. 52100
Tel.: (01 722) 319.00.11 al 15.
Secretariat of Economic Development
Paseo Colón No. 220, Col. Residencial Colón, C.P. 50120. Toluca, Estado de México.
Tels.: (01 722) 277.88.71 y 210.50.22 Exts. 106, 109 y 112. Secretariat of Environment
Conjunto SEDAGRO, Edificio C, puerta 101, Col. Ex Rancho San Lorenzo, Metepec, Estado de México, C.P. 52140
Tels.: (01 722) 271.07.79 y 271.07.89 Ext. 144. Secretariat of Health
Josefa Ortiz de Domínguez No. 200 Esq. José Ma. Morelos, Col. San Sebastián, Toluca, Estado de México, C.P. 50150
Tel.: (01 722) 277.39.25
Secretariat of Public Safety
Paseo Tollocan Ote. No. 1324, Esq. Marie Curie, Col. San Sebastián, Toluca, Estado de México, C.P. 50150
Tel.: (01 722) 275.82.00 Ext. 10787
Secretariat of Agricultural Development
Conjunto SEDAGRO, Col. Ex Rancho San Lorenzo, Metepec, Estado de México, C.P. 52140
Tel.: (01 722) 275.64.00 Ext. 5704. Secretariat of Labor
Rafael M. Hidalgo No. 301, Col. Cuauhtémoc, Toluca, Estado de México, C.P. 52130
Tels.: (01 722) 276.09.38 y 276.09.00 Ext. 4777. Secretariat of Tourism
Robert Bosch No. 1731, 2o piso, Col. Zona Industrial, Toluca, Estado de México, C.P. 50071
Tel.: (01 722) 275.68.94 al 95. IIFAEM
Av. Paseo Tollocan Ote. No. 700, Col. Izcalli IPIEM, Toluca, Estado de México, C.P. 50150
Tel.: (01 722) 217.51.08.
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CONT
A
Robert Bosch Esq. 1o de Mayo s/n, Zona Industrial,
Toluca, Estado de México. Tels.: (01 722) 275 81 00 y 275 81 03
CONT
A
CT
COORDINATION OF ECONOMIC
PROMOTION AND COMPETITION
SECRETARIAT OF FINANCE
Lerdo Pte. No. 300, segundo piso, puerta 345, Palacio del Poder Ejecutivo, Colonia Centro, Toluca, México, C.P. 50000
Tels.: (01 722) 276.00.66
SECRETARIAT OF
ECONOMIC DEVELOPMENT
www.edomex.gob.mx/cofec [email protected]