Beer production will resume from June 1 in Mexico City

"The brewers will do everything in their hands to guarantee the conditions of investment and competitiveness". (Photo: Milenio)

Beer production will resume on June 1 in Mexico City, after the capital’s government considered it as an essential activity alongside other activities such as mining, construction and the manufacture of transport equipment.

“Each of these activities must have a protocol with occupational health measures, operating rules with flow charts, distribution of employees and customers and signage for each one,” said Claudia Sheinbaum, head of government of the Mexico City, in virtual press conference.

The official explained that Mexico City will be at a red light until June 15, but these essential activities will be able to resume operations from June 1.

Grupo Modelo Ab InBev, the owner of the Victoria, Modelo and Corona beer brands, has a production plant in the Mexican capital and about 21% of the country’s craft beer plants are concentrated in the capital, according to a report issued by Acermex.

Grupo Modelo has 56.80% market share in Mexico and Heineken Mexico 40.80%, according to Euromonitor. Modelo’s production capacity is approximately 70 million hectoliters.

In late March, both brewers decided to stop their operations in the country because the government did not consider the beer industry as an essential economic activity to continue working during the Covid-19 contingency.