Rosarito, Baja California – Business leaders warned that tourism in Rosarito drops 20% due to extortion by state and federal police, a trend that is eroding the city’s appeal and putting pressure on hotels, small businesses, and the broader regional economy. The claim was made August 3, 2025, during a meeting between private-sector representatives and Governor Marina del Pilar Ávila Olmeda, when Roberto Lyle Fritch, president of the Tijuana Business Coordinating Council (CCE) and head of the State Technical Council of CCEs, framed the decline as a direct consequence of abuse by law enforcement.
Tourism in Rosarito drops 20% due to extortion
Lyle Fritch told the governor that persistent extortion by state and federal police officers has undercut confidence in Rosarito Beach, triggering a 20% drop in hotel occupancy and tarnishing the municipality’s image as a safe destination. That loss, he said, is not isolated: it ripples through restaurants, service providers, and transportation operators who rely on a steady flow of visitors. The extortion, he added, is part of a larger security breakdown that makes investment and daily operations uncertain.
He placed insecurity at the top of the list of obstacles to economic stability in Baja California. The business delegation urged a rapid expansion of law enforcement capacity, proposing the training and graduation of 1,000 police officers annually to close a current shortfall. The state faces a reported backlog of 7,146 officers, with Tijuana alone accounting for 2,262 vacancies. While the police academy can handle up to 500 cadets per semester, it lacks the resources to recruit and sustain them, creating what Lyle Fritch described as a “critical shortage” in municipal and state police forces as well as in prison staffing.
The pressure on Rosarito’s tourism sector is set against a broader backdrop of eroding public trust. Data cited from the Baja California Social Observatory shows a perception of impunity exceeding 80% in Tijuana, where extortion is spreading across multiple boroughs and directly affecting small businesses in commerce, services, and transportation. That same climate of systemic coercion and weak accountability, Lyle Fritch warned, could amplify the fallout in Rosarito and other border-adjacent cities if left unaddressed.
Beyond the security crisis tied to extortion, business leaders used the meeting to lay out a patchwork of economic and infrastructure issues affecting other municipalities in the state, underscoring how varying local challenges intersect with and compound the threat to sustainable growth.
In Mexicali, private-sector representatives flagged underinvestment by the Federal Electricity Commission (CFE) in energy transformation and distribution. They asked Governor Ávila Olmeda to intervene to accelerate approvals related to the IMMEX export maquiladora program, speed up value-added tax (VAT) refunds, and ensure continuation of a reduced 20% income tax rate for the agricultural sector—moves they argue are necessary to keep manufacturing and farming competitive amid regional instability.
Ensenada’s delegation pressed for the revival of stalled road projects, the creation of exclusive freight lanes, and the deployment of an emergency water plan to cope with shortages. They emphasized the need to repair leaks in aging infrastructure and modernize treatment plants to guarantee reliable potable water, which they framed as essential for both residents and industries.
Tecate business leaders highlighted connectivity deficits, pushing for progress on projects such as the East Access, the La Paleta node, and the El Bajío overpass. They also requested feasibility studies for a new treatment facility in the East Zone, positioning improved sanitation and transport links as core to long-term economic resilience.
Throughout the session, the private sector positioned itself not as an antagonist but as a partner. Lyle Fritch reiterated a willingness to work with the government to tackle structural weaknesses, expressing confidence that the dialogue would yield a tangible, verifiable agenda for each city. The goal, he said, is clear: fix the immediate security breaches—starting with the extortion undermining Rosarito’s tourism—and layer in infrastructure and fiscal reforms so that businesses can operate without fear and investors can return.
Governor Ávila Olmeda responded by committing to sustained follow-up. She pledged to meet individually with the president of the CCE in each municipality to track progress on proposals and ensure local priorities are elevated in state planning.
The sharp downturn in Rosarito’s hotel occupancy serves as an early warning: without decisive action on the Tourism in Rosarito drops 20% due to extortion crisis, other sectors and cities may feel similar shocks. Business leaders say the path forward hinges on pairing immediate security reforms with consistent institutional follow-through, turning the promises of August 3 into measurable results.
