Doing Business In Mexico

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Food and Drink

Success Story

Until 2008, Mexico was one of the tougher markets for foreign beers.

There was no presence of UK beers in the market until 2008 when Cervecería Minerva started the distribution of Fullers. In the same year, UK Trade & Investment Mexico helped Vallance Imports and Exports by introducing them to City Market, which is a premium and gourmet store and one of the largest Mexican supermarkets.

Other UK brands now available in Mexico are Charles Wells, Youngs, St Peters and Hobgoblin.

Now Mexicans are enjoying some British beers without travelling to the UK.

 

Key Fact

Mexico is the world's second biggest
consumer of soft drinks. It is estimated
that the average daily consumption per
person is three soft drinks or 300 million
soft drinks per day!

Changes to eating habits in a country with a population of over 112 million, rising living standards and the spread of large USA style supermarkets have led to an increase in the importation of foreign foods. The USA, France, Spain and Germany are doing well in this sector as are some British companies.

Beer consumption in Mexico per capita in 2011 was approximately 48.2 litres.

There are approximately 65 million potential beer consumers and every year this number increases by about one million (from consumers that reach drinking age).

Grupo Modelo and Femsa Cerveza have about 97 per cent of the beer market in Mexico. This has limited the inclusion of foreign brands to between 2 per cent and 3 per cent of the Mexican market.

Unilever, Cadbury Adams and Diageo are clear examples of how UK companies are operating and doing business successfully in Mexico.

Given the size of the market and changes to eating habits, opportunities exist for British companies. There is a continuing increase in imports of foreign food and drinks. As the Mexico is price and quality driven, opportunities exist for both investing in the retail sector and for selling to the market.


Business Opportunities

  • Niche products such as delicatessen, gourmet, and organic foods. Including natural and dietary products.

  • Food and drink products reflecting health concerns, weight loss and a healthy way of living.

  • Food and drink products that address the needs of an ageing population including calcium rich and energy specific products.

  • Ready to drink beverages and beer.

  • Specialised food and packaging machinery given the need for many companies to renovate existing machinery to satisfy health and safety standards.

  • Dairy products and services including refrigeration, packaging and advertising.

  • With a young population (the average age in Mexico is 26) and a spread of convenience stores around the country are the two main driving forces creating the growth in the confectionery Mexican market. 32 per cent of Mexican confectionery consumption is imported.

     

Contact and Further Information

A report on the Mexican food and drink sector as well as more information about the specific business opportunities can be obtained by contacting the UKTI team in Guadalajara: 
British Trade Office Guadalajara Tel: +52 33 3630 4357 Email: jlrodriguez@ukconsulate.org

 

Source - UKTI

 

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