Monday, June 17, 2024

On International Beer Day, supplies are nearly back to normal in Mexico

Friday is International Beer Day and it’s an event that Mexicans can celebrate: the beer industry is recovering after it was shut down during April and May due to the coronavirus pandemic. 

According to Cerveceros de México, the national brewing industry association, exports are currently at 70% of 2019 levels, production is at 80% and distribution is at 90% of what it was last year.

Beer’s production chain, which has 55,000 direct and 600,000 indirect employees, was disrupted during the coronavirus lockdown as it was considered a nonessential business and was ordered to close down, leading to beer shortages across the country and skyrocketing prices of existing stock. 

Despite the shutdown, all 55,000 employees have remained on the job, said Karla Siqueiros, director of Cerveceros de México.

However, faced with a slow reopening of restaurants, bars and sports activities, the Mexican beer industry expects a staggered recovery, she said, as it struggles to make up for lost time amid the current economic crisis.

Beer industry chief Siqueiros: returning to normal.
Beer industry chief Siqueiros: returning to normal.

“Our challenge is to meet our international commitments as an export power, to maintain production,” Siquieros explained, adding that the industry represents 1% of Mexico’s gross domestic product and 25% of agro-industrial exports.

Beer is, indeed, a major industry in the country. The largest exporter and fourth-largest producer of beer in the world, Mexico produced 124.5 million hectoliters of beer in 2019, of which 40 million were exported to 180 countries.

Judging by the near panic that broke out in some regions of the country as beer supplies withered and black-market beer smuggled in from the United States sold for 300% more than pre-pandemic prices, beer is an important product for Mexicans, although not an essential one in the government’s eyes.

According to market researcher Kantar Media, Mexicans consume between 22 and 23 liters per capita each year. 

In the first quarter of this year, before the coronavirus hit, production was up 7% and the industry is hopeful it can regain that momentum and end the year at pre-coronavirus levels.

“Yes, the pandemic had a strong impact; we are trying to return to normality as soon as possible, to the capacity, production [and] the numbers that we were driving … and if we do not achieve it we hope to be close to what we obtained in 2019,” Siquieros stated.

Source: Milenio (sp), El Universal (sp), La Jornada (sp)

Have something to say? Paid Subscribers get all access to make & read comments.
Worried guests gather around a hot tub in Puerto Peñasco

Wife of US tourist who died in Puerto Peñasco hot tub electrocution files US $1M suit

0
When she saw her husband struggling under the water, Zambrano jumped in to help, only to be electrocuted herself.
A group of mostly Black migrants, some of whom maybe be undocumented foreigners, walks down a Mexican highway under a bright sun.

Nearly 1.4 million undocumented migrants detected in Mexico so far this year

0
The National Immigration Institute (INM) data on encounters from January to May is almost double the number for all of 2023.
NOAA satellite imagery of low pressure system in Gulf of Mexico

Meteorologists monitor possible tropical storm in the Gulf of Mexico

0
A low pressure system in the Gulf of Mexico could become a tropical storm by midweek, as torrential rains hit the Yucatán peninsula.