Market Trends of Mexico Glass Packaging Industry
This section covers the major market trends shaping the Mexico Glass Packaging Market according to our research experts:
Glass Bottles and Containers Expected to Witness Significant Growth
- Mexico is one of the prominent markets for glass bottle packaging because of its traditional manufacturing and production of alcoholic beverages. In addition, in December 2020, Country Malt Group broadened its distribution in Mexico with BeerMex, a brewing and distilling supply business in Merida, Yucatan, Mexico. The expanded partnership will enable craft brewers and distillers across Mexico easy access to the full range of quality malts, ingredients, and products in the Country Malt portfolio.
- The country is witnessing new partnerships for the establishment of new breweries. For instance, in the recent past, Heineken partnered with KHS to open one of the largest breweries in Mexico, setting a gold standard for ecological and economic sustainability. Such expansions in production capacities are anticipated to generate demand for glass bottles in the country over the forecast period.
- While the glass industry in Mexico is currently faced with the challenges posed by the COVID-19 pandemic, the trade agreement between Mexico, Canada, and the United States is expected to increase demand in Mexico's glass industry with increased demand for glass bottles and container market.
- Moreover, the president of the country, Andres Manuel Lopez Obrador, criticized the production of beer and milk in areas with insufficient water. In 2020, the populist president canceled plans for Constellation’s new 10 million hl brewery on Mexico’s northern border and questioned the whole idea of producing beer for export. This is currently acting as a restraint for the glass bottle producers in the country.
Understand The Key Trends Shaping This Market
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Personal Care Expected to Witness Significant Growth
- The personal care industry is witnessing increased demand for glass packaging in recent years because of a strong US dollar and the renegotiation of the North American Free Trade Agreement in Mexico.
- In addition, in the recent past, Avon announced its new R&D facility in Mexico. The research and development lab will primarily operate as part of the company’s global R&D network and will help in exploring further innovation possibilities. These expansions from global players are also expected to drive the market in the country.
- Moreover, in Apr 2020, IZO Agave Spirits aided in community preparedness efforts by suspending its production to produce alcohol-based, natural hand sanitizer. The company will be formulating 100% natural alcohol sanitizer to help keep people safe. The company currently plans to provide thousands of bottles of hand sanitizer to the residents of the distillery’s Durango, Mexico community.
- The recent COVID-19 outbreak has seen a rapidly rising demand for sanitizers making the shelves empty at pharmacies, supermarkets, and other stores. Further, organizations in the market are putting effort into meeting increasing demand with glass packaging.
