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Fertile Western Mexican market fit for investment

EXPO PACK Guadalajara conference session details opportunities for packaging machinery south of the border.

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After an unprecedented opening day, the second day of a potentially record-breaking EXPO PACK Guadalajara began with a standing-room only conference session outlining the current stability of the Mexican market and presented a series of strategies for success.

Luis Doménech M., managing director, MILA, described the Western Mexican market as ripe for investment with multinational consumer packaged goods companies, an exploding beverage sector and an increasing desire for automation driving growth.

As a whole Mexico imported $696 million in packaging machinery in 2016, a record high for the second consecutive year, Doménech said, with Jalisco attracting $2.48 billion or nearly 9 percent of the total national Foreign Direct Investment (FDI). Recognized as the home of Tequila and with beer production at an all -time high, Mexican companies from the food and beverage industry continue to increase investments in the region. Of the 50 companies interviewed for the 2017 Study on the Western Packaging Market, from PMMI, The Association for Packaging and Processing Technology, projected investments in packaging machinery in the 2017-2018 period are worth between US$149.9 and 182.4 million.

Looking deeper at beer, in 2016 the beer industry alone accounted for 20 percent of all packaging machinery imports with the Compañía Cervecera de Coahuila (Constellation Brands) brewery repeating as the single largest importer at US$ 74.5 million. Heineken’s Cervecería Cuauhtemoc Moctezuma ranked second in packaging machinery imports with US$ 31.2 million.

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Break out of the ordinary: see what’s new in packaging & processing!