The Mexican Beer Industry is Driving Economic Growth

The Mexican beer industry stands out as one of the nation's most economically significant sectors, boasting a rich history of contributing to Mexico's economic growth. Over the years, it has established robust linkages throughout its production chain, playing a pivotal role in the country's economic landscape. 

According to data by the Mexican Chamber of Beer and Malt, the Mexican beer agro-industry contributes 1.5% to the country's GDP. In 2023, Mexican beer was the country’s top-selling agri-food product, fetching US$6.1 billion in sales, as reported by Banxico. Furthermore, between January and February, 2024, Mexican beer maintained its dominance in the global market, boasting the highest export value within the agri-food industry at US$1.01 billion.

The beer industry ranks among the 19 most important activities in the country's manufacturing industry out of a total of 288 activity classes. Moreover, it has a significant level of integration with the national industry, as 73% of the total inputs it requires are domestic, unlike the average for manufacturing industries where domestic inputs represent 42.1%, according to INEGI.

Employing nearly 700,000 individuals directly and indirectly, the industry encompasses a wide array of sectors within its production chain. In the agricultural sphere, approximately 5,000 farming families are engaged in barley production, with Guanajuato, Hidalgo, Tlaxcala, the State of Mexico, and Puebla collectively contributing to around 87% of national barley output.

During the production phase, an estimated 55,000 jobs are concentrated in production plants, distribution networks, and administrative roles, forming an integral part of the beer industry's value chain. Leading beer-producing states including Zacatecas, Coahuila, Nuevo Leon, and Sonora collectively accounted for 56.2% of Mexico's beer production in 2019, according to INEGI.

According to INEGI's "Understanding the Beer Industry" report, the beer sector stands out for offering the highest average remuneration among alcoholic beverage industries, with employees earning around MX$34,900/month (US$2,038.4). This is followed by the agave distilled beverages industry, where salaries average MX$13,081/month, and grape-based alcoholic beverages, which offer approximately MX$12,090/month. Employees in the rum and other sugarcane distilled beverages industry earn around MX$9,345/month, while those in the pulque industry receive an average of MX$7,279/month. Moreover, the cider and other fermented beverages sector provides salaries averaging MX$6,443/month. 

INEGI also underscored that as economic units within the beer industry expand, wages tend to increase, highlighting the industry's positive impact on labor remuneration. With an average of 117 employees per economic unit, the beer industry boasts the highest employment rate among alcoholic beverage sectors, far exceeding the mere 17 employees per unit in grape-based alcoholic beverages. Finally, within the production chain, beer sales contribute significantly to the livelihoods of over 800,000 small retailers across Mexico, representing 30% of their total income, as per data from the Mexican Chamber of Beer and Malt.

At the global scale, Mexico ranks as the fourth-largest beer producer, trailing only behind China, the United States, and Brazil. Since 2010, Mexico has consistently led the world in beer exports, surpassing major beer-exporting nations such as the Netherlands, Belgium, and Germany. Notably, the United States remains the largest importer of Mexican beer, accounting for 81% of total exports in 2021, followed by Guatemala, Chile, Australia, and the United Kingdom, as reported by the Mexican Chamber of Beer and Malt.