Beer: a Strong National and International Economic PillarFri, 07/06/2018 - 11:12
Q: What is Cerveceros de México's impact in the local beer industry?
A: Cerveceros de México’s goal as a chamber of Mexican industrial and craft brewers is to promote the brewing industry in Mexico. The chamber strives to participate beyond regulatory and fiscal matters and has broadened its scope over the past years to promote the national beer industry, as well as responsible alcohol consumption to nurture the culture of beer and beer-related topics. One of the objectives of Cerveceros de México is to highlight the importance of beer and the brewing industry in the country’s economy. We also battle underage drinking through the campaign ¡No te hagas güey! (Do not play dumb!).
Q: How does Mexico rank in terms of beer production compared to the rest of the world?
A: Mexico is the fourth-largest beer producer after China, the US and Brazil. In 2017, the country produced 110 million hL, while China produced 449 million hL, the US 219 million hL and Brazil 129 million hL. The Mexican beer industry is positioned above other traditional beer producers like Germany. In overall export percentages, Mexico ranks first with 21 percent of the global beer exports, followed by the Netherlands with 14.4 percent and Belgium at 11 percent.
Q: What impact is technology having on the brewing industry’s value chain?
A: Beer production in Mexico is growing and with it the technological development of the industry. Technology improves processes through greater digitalization and automation but also improves the use of resources needed to brew. Heineken has opened a plant in Meoqui, Chihuahua, which exceeds the traditional technological methods of brewing in Mexico. It can be considered the most technologically advanced plant in the world. In the beginning of 2019, Grupo Modelo opened a plant in Hidalgo with an initial investment of MX$1.4 billion (US$72.3 million).
Q: Which countries are the top consumers of Mexican beer and how are brewers diversifying export destinations?
A: The US is the main buyer of Mexican beer, taking 81 percent of our exports. The UK is next with 2.8 percent of exports, followed by China with 2.3 percent, Chile with 1.6 percent and Canada with 1.4 percent. Beers made in Mexico are present in more than 180 countries. Our internationalization plan is to continue consolidating the countries where we already have a presence but we also want our beers to reach every corner of the world. Cerveceros de México wants Mexican beer to be recognized as a symbol of quality throughout the world.
Q: How do beer companies work with the agricultural sector and producers?
A: Malt barley production in Mexico has been positive in recent years. Between 2007 and 2017, production grew at an annual average rate of 4.2 percent, from 653,000 tons in 2007 to 982,000 tons in 2017. Between 2007 and 2017, the average yield increased from 2.3 to 2.8 tons per hectare. In 2017, the state of Guanajuato was crowned the top producer of malt barley in the country with 358,000 tons, followed by Hidalgo with 240,000 tons, Puebla with 85,000 tons and the State of Mexico with 50,000 tons. In the same year, Queretaro’s production grew 42 percent compared to 2016, with over 40,000 produced tons, a production level that had not been seen in 11 years. Our affiliates Grupo Modelo and Heineken México are committed to investing in the entire value chain and both groups expect that 100 percent of the barley used for beer will be domestically produced by 2020.
In 2016, Grupo Modelo created an initiative called Agricultural Development in Mexico to promote the production of barley and improve the quality of life of the country’s producers. In addition, Grupo Modelo supports its programs through a barley collection center in Sobrerete, Zacatecas and a sustainable agricultural program that provides technical advice to barley growers in the area. In the case of Heineken México, the company has developed a technology program focused on sustainability.
Cerveceros de México is a chamber that represents Mexican industrial and craft brewers. Its objective is to grow the value of the brewing industry and promote its impact on the country’s economic development