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Insight

Need Grows for Industrial Parks

Thu, 09/01/2016 - 08:14

The steady growth of the Mexican manufacturing industry and the increasing number of foreign companies is generating greater demand for industrial space. One of the main drivers for the development of these spaces is the automotive industry, says Claudia Ávila, Executive Director of the Mexican Association of Industrial Parks (AMPIP).

According to Ávila, there is no official description of what constitutes an industrial park in Mexico. Therefore, industrial developers united through AMPIP to create a standard that defines what an industrial park is. A committee created in 1999 established a standard for industrial parks including the usage and acquisition of land, regulation compliance, feasibility of utilities, internal administration and by-laws. This standard requires a land audit, as well as compliance with some of the basic international standards, such as access to electricity, water and waste infrastructure and the inclusion of a certain percentage of green areas and

security protocols. These standards serve as a reference for the architects and engineers designing industrial parks and enhance the quality of their plans. When the industry complies with these regulations and standards, this gives their clients, suppliers and manufacturers the ability to carry out more efficient processes.

Mexico must interpret the construction of industrial parks as a tool to attract foreign direct investment into Mexican industries. Not only does Mexico have an extensive list of free trade agreements and a geographical position that enables it to easily trade with NAFTA countries, it has a growing, talented workforce of young engineers who are able to support industries such as automotive and aerospace. These industries require spaces that facilitate their Just-In-Time and Just-In-Sequence processes, keep their suppliers close to save on inventory costs and have increased accuracy in terms of timing the delivery of products to the end user.