Bayer to Invest MX$800 Million to Expand Orizaba Plant

Germany-based Bayer announced plans to invest MX$800 million (approximately US$43 million) to modernize and expand its Orizaba–Ixtaczoquitlan plant in Veracruz as part of a broader MX$3.5 billion (approximately US$188.1 million) investment in Mexico over the next five years.

The investment will focus on the production of Active Pharmaceutical Ingredients (APIs) and the development of a new line of sterile hormonal injectables. Of the total, MX$600 million (approximately US$32.2 million)  will be allocated to modernizing the API plant, one of four such facilities Bayer operates globally, while the remaining MX$200 million (approximately US$10.7 million) will upgrade infrastructure, laboratories, and systems.

“Bayer’s investment reflects our commitment to innovation and production excellence in Mexico,” said Manuel Bravo, President, Bayer Mexico. The company is also expanding biological fungicide production at its Tlaxcala plant, exporting to over 100 countries, and investing in agricultural digital technologies that can reduce farmers’ water usage by 30%.

The Orizaba facility supplies both domestic and international markets, reaching more than 60 countries, and is recognized as a key economic and technological hub in Veracruz.

The announcement was made in the presence of Veracruz Governor Rocío Nahle García; Daniel Londero, Director General, Bayer Mexico’s Pharmaceutical Division; and Shashank Shukla, Plant Leader. Governor Nahle highlighted that the investment demonstrates Bayer’s confidence in Veracruz as a stable and skilled investment destination that offers stability, infrastructure and skilled human capital. The governor reiterated the state’s commitment to attracting future projects.

“Veracruz offers the infrastructure, stability, and human talent necessary for strategic industrial growth,” Nahle said, accompanied by Minister of Economic and Port Development Ernesto Pérez Astorga.

In her social media account, the governor highlighted the promotion of investments that generate employment, development, and well-being for the people of Veracruz, assuring that this commitment reflects the confidence that companies have in the state. 

Sustainable Agriculture in Mexico

Last month, MBN reported that Alejandra Menache, Bayer Mexico’s Manager of Sustainability and Social Responsibility, emphasized the company’s use of advanced technologies to foster a sustainable agricultural sector in Mexico. “Mexican agriculture is at a pivotal moment,” Menache explained. “Innovative solutions can help ensure a more productive and resilient future.”

One notable development is Vitala, a short-stature hybrid maize created by Mexican scientists. This variety is designed to endure extreme weather conditions while boosting yields, an essential advancement as Mexico faces intensifying droughts that threaten key crops such as corn and sorghum.

Bayer also promotes Carlota, a digital farming tool aimed at optimizing irrigation and conserving water. Menache noted that Carlota has saved over 14 million m3 of water, equivalent to the yearly usage of more than 73,000 households, representing a major step for regenerative agriculture in the country.

Additionally, Bayer Mexico employs FieldView, a digital platform that delivers real-time data on crop health, including moisture levels, pest activity, and productivity. This tool provides farmers with tailored recommendations to reduce losses and increase yields amid more frequent extreme weather events.

Menache highlighted that Bayer Mexico’s commitment to innovation positions the company as a leader in modernizing agriculture. “Through these technologies, Bayer supports farmers, enhances productivity, and advances environmental sustainability,” she said.

Bayer operates in over 80 countries, with its Mexico operations spanning three divisions: Pharmaceuticals, Consumer Health, and Crop Science. The company maintains multiple production centers and administrative offices across the country.