Draexlmaier Expands Operations in Nicaragua

    WASHINGTON, DC, June 30, 2013 /24-7PressRelease/ -- In less than three years, Draexlmaier, a German auto wire harness company established in Nicaragua and attracted by PRONicaragua, the official investment and export promotion agency of Nicaragua, has multiplied its personnel by 30 and is now preparing to double its industrial space.

"We are doing this expansion as a future investment, because we think that we are going to obtain more contracts with our clients. We are expanding so that we can receive more production in terms of volume between 2014 and 2016. This is part of our strategic planning," explained Tom Dompert, Country Manager of Draexlmaier.

The company's history with Nicaragua began in 2008, when the company decided to expand its production to Central America. Dompert highlights that the first step they took was to evaluate seven countries in order to find the ideal one for investing. Nicaragua was selected because of its high levels of personal safety, its competitive labor costs and its attractive fiscal incentives, starting with the possibility of operating under the free zone regime.

This fiscal regime allows the company to resolve issues with ease, whether it's importing raw materials, exporting their products or obtaining tax exemptions. "In our case, being a free zone, we are able to import raw materials from other countries because our providers are in Mexico and Europe" commented Dompert.

An additional plus for Draexlmaier is the strategic geographical location of Nicaragua. The company has access to ports in Honduras and Costa Rica, which they need for shipping their products to the east coast of the United States.

The company began operations with 30 employees, which they trained in Mexico. Later, the group of 30 was in charge of hiring new people with the help of experts brought in from Draexlmaier Mexico. In 2011, they reached 150 employees, and today there are 900 people working for the company.

PRONicaragua is the Nicaraguan Investment and Export Promotion Agency, established in 2002. It is a non-profit, public-private institution whose mission is to generate economic growth and job creation in Nicaragua by attracting high-quality foreign direct investment. The agency provides complimentary support services to qualified investors seeking investment opportunities in our country. For further information, please contact us at (505) 2270-6400 or http://pronicaragua.org.

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