Mexico plans to develop beach resort in Baja

Copyright 2001 Reuters
November 28, 2001

MEXICO CITY - Mexico's government said yesterday it planned to develop a beach resort in the northwestern state of Baja California.

The government said that initially it would spend $207 million in developing Puerto Escondido-Loreto, and over the next five to seven years about $1 billion would be invested in the project. Funding will come mostly from the private sector. The development is expected to generate around 35,000 jobs.

The government hopes the resort will draw around 700,000 visitors annually by 2015.

"It's a natural, protected bay of impressive beauty that is unique in the world and with extraordinary tourism potential," John McCarthy, head of the government tourism promotion agency Fonatur, told reporters.

The complex would include a golf course, a marina, three hotels, a port, two recreation centers, two restaurants, condominiums and shopping centers.

The project is part of a wider plan by the government of Mexican President Vicente Fox, a businessman-turned-politician, to exploit much of the Pacific coast for tourism.

Environmentalists oppose the development of the northern Pacific coast, arguing it could harm the delicate ecology.

Every year, gray whales make an annual 6,200 mile (10,000 km) migration to Mexico's Pacific coast from the Arctic to breed.

Last year the government canceled plans to build a salt plant in a wildlife sanctuary in Baja California due to massive protests by Mexican and international environmental groups.

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