In the middle of July 2022, The ‘National Water Commission’ (Conagua) declared the beginning of a drought emergency in Mexico: More than 70% of the municipalities of the Latin American country are being hit by this transitory anomaly characterized by temporary water shortages.
In particular, Nuevo León is one of the states that has had to deal with the phenomenon that affects the water security of its inhabitants. “It was and is undoubtedly the worst crisis that the state has experienced” declared Samuel García, governor of the Mexican municipality.
The lack of rain, social unrest and the impact on other sectors such as agriculture, led the president of Mexico, Andrés López Obrador, to sign a decree at the beginning of August in which he admitted the irremediable: the water crisis is now a “national security issue”.
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Faced with this scenario, the Mexican president spoke again, but this time, to prohibit the production of beer in the north of the country, alleging that given the scarcity of water in Nuevo León, it was important “put order” regarding concessions.
“It is not to say ‘we are no longer going to produce beer’, it is to say ‘no beer is going to be produced in the north. Do you want to continue producing beer? all support for the south, southeast. The same in the case of other products, but permission can no longer be given where there is no water”the leader specified in a press conference on August 8.
López Obrador emphasized that beer production would not be eradicated forever in the country, On the contrary, he stressed that the beer industry will have all the support to establish itself in the south of Mexico, where companies such as Constellations Brands would have done so previously.
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The measure would seek to guarantee the supply of water resources for the next eight or ten years.
Overview of the brewing industry in Nuevo León
According to ‘Conagua’, companies such as ‘Heineken’, ‘Coahuila’, ‘Compañía de Cerveceras de Zacatecas’, ‘Cervecería Artesanal de Colima’, among many other organizations dedicated to brewing in northern Mexico, they would make use of hundreds of millions of annual liters of water, which could be used for domestic consumption in response to the water alert.
Among the 11 companies established in Mexico, which also have concession rights for the exploitation of goods, would consume 222 million 305 thousand 898 cubic meters of water per year, an equivalent to the water that could supply all the inhabitants of Nuevo León.
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Although companies like Heineken have tried to contribute with the production of more than 7 million cans of water to deliver to the affected communities, their contribution does not compensate for the different concessions that have been granted for millions of cubic liters of water resources.
Just to exemplify, the five concessions given to the Cuauhtémoc Moctezuma Brewery, owned by ‘Heineken’, gather a total of 6 million 845 thousand 600 cubic meters of liquid per yearan amount that does not represent even 1% of all the water that the brewing company owns.
Now that the situation is advancing by leaps and bounds, López Obrador did not miss the opportunity to announce that, if the drought worsens, companies will have to “Stop production and dedicate all the water that is required to the people.”
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