A
Historical Perspective
An economic model based on the intensive exploitation of
natural resources |
 |
Latin
America and the Caribbean mainly export the following products:
- Minerals
- Agricultural products
- Timber
- Fish
- Other manufactured products with only 3% of national
input
A low commercial value e.g. the petroleum industry
Exports make up a minority of large industries (635)*
98% of companies (280,000) are SMEs in Mexico and are not central to industrial and economic development policies.
The SMEs offer the majority of jobs (79%)
Problems of SMEs
Excessive taxes
The absence of adequate financing
Interest rates higher than in developed countries
A lack of a skilled labour force
Bureaucracy and a complicated governmental system
Globalisation and accelerated technological changes
High costs of input and very little power of negotiation
Very little innovation and low quality products
The Environment and Industry
The need for training and clean technologies
The increase of scientific research focused on cleaner industry
Competitive interest rates and access to capital
Environmental Impact
Environmental degradation::
Loss of Forests.
4.5 million hectares of forest are lost each year
- - In Mexico, 600, 000 hectares per year
-- In Central America, 200,000 hectares per year.
Soil Erosion
243 million hectares in South America and 65 million hectares in Mesoamerica
Biodiversity
Thousands of endangered species and many already extinct
Corredor Biolσgico Mesoamericano
- A high level of pollution
In Central America, only 2% of sewage is treated. In Mexico,13%.
- Water Supply is critical in some regions (In Mexico, the Central Zone and the North).
Coastal and Marine Areas
- Pollution
- Loss of mangroves (65% lost)
- Damage to coral reefs
- Sedimentation
- Chemicals
- Increased exploitation of fish reserves
- Industrial waste
Urban Areas
- In Mexico, 75% of the population is urban
- In Central America, 50%
- 65% of the poor live in cities
- Disorganized growth towards areas that are not fit for urbanization
Solid Waste
- Only 40% is adequately managed
Water Pollution
Air Pollution
- Transport
- Small and medium-sized industries
The need for productivity
Official support for development
Investment into education, health and the environment
Free trade
The opening up of the market for Latin American and Caribbean products with a higher commercial value
The problem of international debt
Mayor Inversiσn Privada
Increased Private Investment in productions of high commercial value and the creation of more and better paid jobs.
Environmental quality certificates in SMEs to increase competition
Interest rates at international levels allowing for the development of cleaner production
Tax and economic incentives for clean industry
The reduction of bureaucracy and the establishment of clear regulations
Investment in training and scientific research
