Over 500 million liters of tequila stock causes crisis in Mexico
(MENAFN)
Mexico is grappling with over 500 million liters of tequila stock, the Financial Times stated on Tuesday, quoting the nation’s Tequila Regulatory Council.
In line with the group, in 2023, Mexico made about 599 million liters of the drink. In the end of the year, almost one-sixth of the number made kept unsold and stored. United with the old unsold stock, the glut is currently about equivalent to the nation’s yearly manufacturing level, at 525 million liters.
The surplus has been caused to a fall in demand in the neighboring US, Mexico’s largest trading mate and tequila customer, and the potential of tariffs on bring out under President-elect Donald Trump’s incoming authority.
Almost two-thirds of all tequila manufactured in Mexico was bring out in 2023, with 80 percent shipped to the US, while other two hugest bring out markets, Spain and Germany, each made up just 2 percent. Nevertheless, in the first seven months of 2024, tequila use in the US shrunk by 1.1 percent, a stark opposition to the 17 percent rose happened in 2021 in the peak of the tequila rise.
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