Constellation Brands confirms investment of 1,300 million dollars for beer plant in Veracruz

The new brewery will be in the municipality of Veracruz in the Old Hacienda de Santa Fe, Never.

the brewery Constellation Brands, which has the rights to produce and market Grupo Modelo's portfolio for the United States, announced that its Veracruz plant will have a thousand budget 300 millions of dollars to run for four years.

“In a private meeting with the president of Mexico, Monterrey., the governor of Veracruz, Cuitlahuac Garcia, as well as federal authorities, state and municipal, Constellation Brands formalized its commitment to contribute to the promotion and development of the southeast of Mexico through the installation of a new brewery located in the port of Veracruz”, It was reported in a statement.

The Veracruz plant is given to replace the Mexicali project, Baja California, which was withdrawn in the 2020, and where they already had the 70 percent of an investment of one thousand 400 millions of dollars.

The new brewery will be in the municipality of Veracruz in the Old Hacienda of Santa Fe, Never, considering that it has favorable conditions for the industry: important transport infrastructure, one of the most prominent seaports in the region and access to highly-skilled labor.

Another strategic factor is the availability of sufficient resources, including the water, of which the corresponding authorities have confirmed an independent source to that of the city, while preserving the environment and the water balance of the area.

The investment of the thousand 300 millions of dollars is included in the plan 2023-2026 from 5 one thousand 500 millions of dollars that the company plans to invest in all its operations in the next four years.

They detail that during the construction stage of the brewery in Veracruz, more than 2 thousand jobs, Sicom 10 thousand indirect.

In the period from September to November 2021 the firm accumulated sales per thousand 752.6 million dollars in the beer portfolio, an annual rise of 4 percent, where the brands Modelo especial and Corona Extra stood out.

“The beer business now expects growth in net sales of 10 al 11 percent, and growth in operating income 6 al 7 percent for the fiscal year 2022, reflecting the strong performance of the core beer portfolio”, predicted the signing chaired by Bill Newlands.

Since 2013 Constellation Brands is the company that has the rights to produce and market Grupo Modelo brands in the United States, that is supplied from two plants in Mexico located in Ciudad Obregón, Sonora, and Nava, Coahuila.

Fountain: The financial