Introduction
Recent decades have witnessed endless debates among environmentalists and economists on the economic and environmental effect of the current usage of Mexican land. With farmers supporting a policy to strengthen wine production in Mexico, real estate developers are interests in a strategy that would allow urban sprawl on Mexican land. Although, the two ideas are beneficial to Mexican economic development, there is increased concern of the environmental implication of these competing economic undertakings. Real estate developers are by large condemned for facilitating environmental degradation with limited consideration of its impacts on future generation (Johnson 21).
On the other hand, wine farmers are criticised to slowing down the country’s social and economic development. The adoption of sprawl policy has also enlisted new debate between the country poor section of the population and the environmentalists. Based on the recent survey, poor Mexicans are advocating for job creation and economic development through wine production while the country’s environmentalists are for a policy that would support environmental protection. In opposing the idea of sprawl development, environmentalists are quoting the increase in the prices of water in the country. According to environmentalist, the increase in the prices of water is largely due to increase in the level of water consumption in urban areas. Therefore, by considering the impact of wine production and urban sprawl on the Mexican environment and economic trend, a study will be vital in unearthing the most effective means of integrating the two development ideas in one economy without compromising the environment. A study will also play a vital role in facilitating the separation of land that fit wine production and land that ought to be used for urban development purposes.
Research Question
What is the economic and environmental impact of wine production and sprawl project in Mexico?
Literature Review
Climate
Despite the existence of strict regulation and guidelines on the production, distribution and consumption of wine in Mexico, recent studies have confirmed increase in the rate of wine consumption in the country. The increase in Mexican wine consumption has not only played a critical role in facilitating the country’s economic development but has also been critical in dealing with the country’s social and economic challenges. So far, the production of wine in the country has increased by over 40% in the last five years (Damien 1). The increase in the country wine production has one the other hand resulted to the increase in the country’s exports especially in California where over 90% of Mexico wine is consumed. The Mexican wine producers have also embarked on heated and intensive campaigns that aim at increasing wine consumption in a country. With an aim of promoting wine production in the country, the Mexican government has also removed all the barriers that hinder the production and distribution of the product both within the country and in global market. The removal of trade barriers has also resulted to the increase of country market position both at local level and in international level.
Economically, the increase in wine production in Mexico has been useful and beneficial in various ways. For a starter, wine production in the country has been helpful in creating a considerable number of employment opportunities in the country. A good number of Mexican youths are getting employment in wine industry thus reducing brain drain to other countries such as United States of America and United Kingdom. The increase in wine production and consumption in the country has also increased the number of tourists in the country. The increase in the number of tourist has led to the increase in the country exports and foreign earnings. Festivals such as the two-week fiesta have so far increased the number of its foreign visitors to more than 30, 000 foreigners. Wine production in the country has also increased the living standard and most specifically poor section of the population that relies on wine companies as their main mean of living. The increase in the production and consumption of wine has also reduced crime rate in the country. This is because a good number of Mexicans are employment in wine farms and industries hence reducing idleness. The decrease in crime rate has been of essence in increasing the number of investors in the country.
Environmentally, a number of environmentalists have condemned wine production for accelerating environmental degradation. Wine farmers are clearing natural forest with an aim of building wine factories. Huge tracks are also cleared to create enough room for wine farming (Delsol 17). Clearing of natural forest and vegetation has detrimental impacts on environmental preservation. However, compared to other activities in Mexico such as sprawl, wine farming is somehow helpful in reducing environmental degradation. Studies have confirmed an increase in the conflict between the proponents of sprawl activities in the country and wine farmers. With real estate’s developers blaming wine farmers for affecting the environmental degradation, wine producers on their side blame real estate developers for reducing farming land.
In reference to the available numerical figure from Mexican government, urban sprawl in Mexico has been growing at a recommendable rate. As defined, urban sprawl is a multifaceted concept that describes development and expansion of low-density populated areas and auto-oriented development (Norman, Heather, and Christopher 21). Economically, the urban sprawl has been useful in facilitating the country’s economic development. Despite creating job employment in the country, the urban sprawl has also increased the number of foreign investors in the country. The initiative has also played a critical role in supporting rural urban movement. There is also effective and sustainable supply of Mexican currency both in local level and in international levels. The less developed areas are also witnessing considerable level of expansion and development that is useful in supporting the country GDP.
Environmentally, urban sprawl in Mexico is under attack for increasing environmental degradation. Mexican farmers are also blaming real estate investors for reducing farming land in the country. The reduction in farming land has therefore forced a good number of Mexico farmers to clear natural forest with an aim of creating more farming land. Urban sprawl is also criticised for resulting to over consumption of water in the country. Recent studies have observed that the construction of urban areas in less developed areas has played a critical role in increasing water wastages and in facilitating the rise in the prices of water. Urban sprawl is also criticised by foreign environmentalists for advancing global warming. Clearing of forest with an aim of creating more room of constructions has also largely affected ozone air.
Land Use and Rent
In reference to land use and urban development, wine farming and production has played a noticeable role in supporting urban development. This is in reference to the consideration that a good number of professionals who work in wine industries rent their houses in urban areas. The increase in living conditions among wine farmers has also played a recommendable role in supporting rural urban migration. However, wine farming is also criticised for reducing urban development areas. Due to the demand of wine both at local and international level, many Mexicans farmers are reluctant in surrendering their land for urban development. Instead, Mexican farmers are opting to engage in wine production. Wine production has also resulted to the conflict on land use and renting. There is endless conflict between developers and farmers on pieces of land that are useful for farming and areas that should be set aside for development. Wine farming has been of essence in boosting land use and land rent. Recent decades have witnessed increase in the number of people who are interested in renting land for farming purposes.
Contrary to wine farming that is blamed for undermining urban development, urban sprawl is one of the initiatives that have played a critical role in supporting urban development. Through urban sprawl, a good number of Mexican unproductive lands have been turned into urban areas thus supporting the country economic development. Sprawl has also increase the demand and quality of land in Mexico. Based on the available information, it is clear that a good number of real estate developers in Mexico are from United States of America. The importation of entrepreneurs in the country has therefore played a critical role in improving the quality and demand of Mexico currency. However, the sprawl initiative has created endless conflict and confusion on the manner in which the Mexican land is utilised. With some supporting farming activities, real estate developers are advocating for construction of urban centres. Furthermore, sprawl has increased the number of people who lives in rented houses in country. Rural urban migration has not only increase the demand for urban houses, but has also increase the prices of social amenities in urban centres
Wine industry in Mexico compared to England
As compared to Mexico industry, wine industries in England have acquired a sustainable share in global market. Based on the recent studies, England industry is currently dominating over 90% of global market. Wine industry in England has received a substantial level of support by the government. This is contrary to Mexican wine industry that was banned for a number of years. As opposed to Mexican industry, the England wine industry has also embarked on initiative that aims at preventing the environment. Plan to prevent the environment has been useful in improving wine production in England. A good number of England wine is also consumed at local level. The increase in local consumption has therefore been of critical importance in increasing England wine market. This is contrary to Mexican wine that is largely consumed in California. Compared to Mexican wine, the England produces high amount of wine. The quality of England wine is also of high quality compared to Mexican wine (Georgi 1).
Empirical Section
Based on the study findings, it is clear that wine production and sprawl activity in Mexico are incredibly useful in supporting the country’s economic trend. Despite the witnessed conflict between the two sectors regarding land use and rent, wine and sprawl sectors, are key contributors to the country economy. However, at almost equal measures, the two sectors are key contributors to the country’s environmental degradation. Real estate investors clear natural forest to create room for urban constructions while wine farmers clear land for farming. The two sectors have also played a noticeable role in enhancing the current land use and rent status. Urban sprawl has increased the employment level in construction sector from 23.3% in 1990 to over 45% in 2012. Wine farming has on the other hand increased employment level from in the sector from12percentage in 1990 to 53% in 2012. In addition, more than 6,200 acres of natural forests have been cleared in Mexico to pave way for wine farming and for urban development. The decrease in the size of the land that is occupied by natural forest has increased the country average temperature and has reduced the country annual rainfall. Therefore, in reference to the study findings, it is factual to observe that, Mexican wine production and sprawl activities have detrimental impact on environment.
Conclusion
It is apparent that both wine production and sprawl has a detrimental impact on environment. Although the two activities have encouraging impact on the country social and economic trend, their conflict has largely affected the country’s land use and rent policies. Therefore, to realise the best outcome from the two activities, a survey to identify the land that is valuable for agriculture and the land that can be useful for golf resorts and hotels will be vital. Setting aside land for agriculture and allowing developed in marginal areas will also be useful in preventing environmental degradation and in reducing unnecessary conflict between investors. There also need to be a regulation to penalise projects that affects the country’s environment. This kind regulation will play a reliable role in reducing environmental degradation and in regulating the threatening global warming.
Work Cited
Damien, Cave. A Rustic Paradise, Open for Development. The New York Times (2013) retrieved on 17th December 2013. Web: http://www.nytimes.com/2013/12/01/world/americas/a-rustic-paradise-open-for- development.html
Delsol, Christine. A toast to Mexico's undiscovered wine country. San Francisco, CA:San Francisco Chronicle. Print.
Georgi Kantchev. British Wine Benefits as the Climate Changes. The New York Times (2013) retrieved on 17th December 2013. Web: http://www.nytimes.com/2013/12/14/business/international/in-global-warming-a- boon-for-british-wine.html
Johnson, Todd. Low-Carbon Development for Mexico. Herndon, VA, California: World Bank Publications. 2009. Print.
Norman, Jonathan, Heather, MacLean and Christopher A. Kennedy. Comparing High and Low Residential Density: Life-Cycle Analysis of Energy Use and Greenhouse Gas Emissions, Journal of Urban Planning and Development 32, 1 (2006), 10–21.
