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Heineken to build US$457m brewery in the south of Mexico

Heineken has revealed that it plans build a new €430 million (US$457 million) brewery in Mexico’s Yucatan state.

The brewery, which will be based in Kanasin, will be Heineken’s eighth in Mexico and, according to local reports, will brew the brands Tecate, Dos Equis, Indio, Bohemia, Amstel Ultra, and Sol as well as create 2,000 jobs.

The move coincides with the government stepping up its efforts to attract investment to the south of the country and is expected to open in 2026. Additionally, the new brewery is set to reuse water through treatment systems and take advantage of the region’s transport connectivity.

Speaking about the new brewery site this week, a spokesperson for Heineken said in a statement that the new brewery will also “operate with minimal waste and utilise renewable energy sources through advanced processes, equipment, and technology”.

President Andres Manuel Lopez Obrador, has sought to attract business to Mexico’s less-developed southern states to prevent a concentration in central and northern parts of the country which has reportedly been preferred by businesses due to it’s proximity to the US.

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In support of urging brewers to look further south. Economy Minister Raquel Buenrostro has also highlighted how, unlike the north, the southern region has good water supplies and ample availability of clean energy.

Last year, the president called on producers to stop making beer in the north of the country amid a severe drought that hit Monterrey, the country’s industrial heartland.

In 2020, the government also held a public referendum about a planned US$1.5 billion Constellation Brands brewery in Mexicali which was already half finished however according to reports, about 76% of those who participated in the vote rejected the new plant.

Heineken entered Mexico in 2010, buying the Cuauhtémoc Moctezuma beer business of beverage and retail company Femsa. Its most well-known Mexican beer brands include Tecate, Sol and Dos Equis and Mexican beer is consumed in more than 180 countries, with annual exports of close to US$1.6 billion, mostly led by sales in the US and Canada.

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