Mexico expands its global dominance in beer exports


Mexico exported beers to the world for a value of 5,016 million dollars in 2021, with which it managed to increase its participation in the world market for eight consecutive years, according to data from the World Trade Organization (WTO).

With this, the participation of Mexico in world exports went from 16.4% in 2013 to 30.3% in 2021.

Thus, of every 10 beers exported globally, three were produced in Mexico, where companies stand out. Anheuser-Busch InBev (ABI), Heineken Y Constellations Brands.

Among the world’s major exporters, Mexico surpassed in 2021 with more than double its closest competitor, the Netherlandswhose exports were 2,184 million dollars.

then followed Belgium (2,010 million dollars), Germany (1,396 million) and USA (722 million).

In 2013, ABIthe largest brewer in the United States, sought to acquire Grupo Modelo, the third largest beer company sold in the United States, for $20.1 billion (specifically, the remaining 64.7% of Grupo Modelo that ABI did not already own).

the brands Crown Y Model from Grupo Modelo competed closely with ABI’s Budweiser and Bud Light brands.

In its lawsuit, the Department of Justice’s Antitrust Division alleged that the transaction would likely result in ABI raising prices on all of its brands because, with more brands in its portfolio, ABI was more likely to recoup a significant portion of lost sales. as a result of price increases.

The Division also argued that ABI Y MillerCoors engaged in tacit price coordination through ABI’s “price leadership” strategy, but that Modelo pressured ABI to maintain or lower prices.

In an agreement, Antitrust Division demanded to ABI sell Grupo Modelo’s entire US business, plus a state-of-the-art brewery in Mexico, to Constellation Brands.

Since the sale, Constellation has been very successful in expanding its sales of the brands Model in competition with ABI and others.

In the last nine years, Constellations has quadrupled its production capacity in Mexico, providing the company with the opportunity to further expand its leadership position in the high-end segment of the US beer market.

Since acquiring the imported beer business in 2013, Constellations has invested more than $5.6 billion in the Beer Projects of Mexicowith approximately 800 million dollars during fiscal year 2022.

At the beginning of fiscal year 2022, the company completed part of a planned expansion project in the Obregon Brewery. This project increased its total production capacity to approximately 39 million hectoliters, which helped meet its medium-term capacity needs.

The company expects to spend an additional $5 billion to $5.5 billion between fiscal 2023 and fiscal 2026, with most of the spending expected to occur in the first three fiscal years of that period.

The expansion, optimization and/or construction activities continue under their Brewing Projects in Mexico to support expected future business needs.

In 2021, the United States imported $6.626 billion worth of beers from around the world, an increase of 10.9% year over year.

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