Waiting for the Rain — How Drought in Northern Mexico Impacts the Country’s Beer Industry

Months after President López Obrador’s announcement, it is still unclear if existing permits and concessions will be protected, and if the moratorium on water concessions will apply to all breweries or only industrial ones. Diego Balmori, the head brewer at Cervecería Transpeninsular in Ensenada, Baja California, believes the restrictions will only apply to large, industrial breweries. “Although we craft brewers are an important part of the movement, we don’t make up more than 1% of the beer produced in Mexico,” he says. “Those comments and regulations always end up affecting us in some way, but I don’t think it’s a direct measure for us.” Beyond making up only a small portion of national sales, craft beer in Mexico often operates informally, with homebrewers selling their products under the table, making such a measure difficult to enforce. The future of major breweries is also uncertain. Constellation has plans to expand its production sites in the northern state of Sonora, claiming that the president has “expressed full support” for its growing operations, possibly due to concessions from the company.

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