Alcoholic beer market in Nicaragua

Earlier Report Observations

The alcoholic beer market in Nicaragua expanded sharply from 88.8 million liters in 2018 to 141.2 million liters in 2019, driven by rising domestic consumption supported by tourism inflows and remittance growth. Product innovation from the dominant player CCN, such as the launch of Victoria Frost with cold micro-filtration, stimulated demand. During this period, the craft beer segment began to grow, introducing new unfiltered and unpasteurized varieties. In 2020, the COVID-19 pandemic introduced disruptions, contributing to a slight market contraction to 136.5 million liters.

Market volume fell markedly to 94.3 million liters in 2021 and further to 84.9 million liters in 2022. The latter drop coincided with the July 2022 publication of the Regulation on the Liquor Tax, which imposed stricter fiscal rules on alcoholic beverages, likely raising costs and dampening consumption.

A modest recovery occurred in 2023, with the market reaching 89.5 million liters. This growth was supported by economic factors such as remittances and tourism, which offset the effect of a specific tax increase on alcoholic beverages announced earlier that year. The craft beer segment continued its expansion, adding more variety to the market.

Production alcoholic beer in Nicaragua

In kind, 2017-2020, M l

Top producers of alcoholic beer, 2017-2020

World map of production of alcoholic beer, 2017-2020

In 2020, Nicaragua produced 142.0 million liters of alcoholic beer, remaining nearly unchanged from 2019. Over the period from 2017 to 2020, production grew by 52.7%, with an average annual growth rate of 15.2%. The lowest production level was recorded in 2018 at 88.0 million liters, while the highest was in 2019 at 142.0 million liters. The largest decline occurred in 2018, dropping by 5.4%, whereas the most significant increase was in 2019, rising by 61.4%.

Annual dynamics of production in Nicaragua in kind, 2017-2020, M l

In value, 2017-2020, K $ US

In 2020, the output value of alcoholic beer in Nicaragua was 64 056 thousand US dollars, marking a 20.2% decrease compared to 2019. Between 2017 and 2020, production value fell by 15%, translating to an annualized decline of 5.3%. The minimum value was recorded in 2018 at 59 173 thousand US dollars, and the maximum was in 2019 at 80 285 thousand US dollars. The largest decline occurred in 2018, dropping by 21.5%, while the biggest increase was in 2019, rising by 35.7%.

Annual dynamics of production in Nicaragua in value, 2017-2020, K $ US

Exports alcoholic beer from Nicaragua

Exports in kind, K l

Alcoholic beer exports from Nicaragua increased for the third consecutive year. In 2020, exports totaled 8 734 thousand liters, representing a 61.6% rise compared to the previous year. Between 2017 and 2020, exports surged by 685.6%, equating to an average annual growth rate of 98.8%.

Annual dynamics of product's exports from Nicaragua in kind, 2017-2020, K l

From 2017 to 2020, Honduras, the United States, and El Salvador were the key partners for Nicaragua's alcoholic beer exports in volume terms. Honduras accounted for 62.3% of exports, the United States for 12.8%, and El Salvador for 11.8%, collectively representing 86.9% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Nicaragua in kind, 2017-2020

Exports in value, K $ US

Alcoholic beer export volumes from Nicaragua increased for the third year in a row. In 2020, exports reached 3 940 thousand US dollars, reflecting a 28.9% increase relative to the prior year. Over the period from 2017 to 2020, exports grew by 337.2%, with an average annual growth rate of 63.5%.

Annual dynamics of product's exports from Nicaragua in value, 2017-2020, K $ US

Throughout 2017 to 2020, Honduras, the United States, and Costa Rica formed the core of Nicaragua's alcoholic beer exports in value terms. Honduras contributed 51.5% of export value, the United States 18.3%, and Costa Rica 14.2%, together accounting for 84.0% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Nicaragua in value, 2017-2020

Imports alcoholic beer to Nicaragua

Imports in kind, K l

In 2020, Nicaragua imported a total of alcoholic beer, showing a sharp reduction of 31.5% year-over-year. Over the period from 2017 to 2020, imports decreased by 35.6%, with an average annual decline of 13.6%. The largest increase was recorded in 2019, rising by 22.5%.

Annual dynamics of product's imports to Nicaragua in kind, 2017-2020, K l

From 2017 to 2020, Mexico, Costa Rica, and Portugal consistently held leading positions in Nicaragua's alcoholic beer imports by volume. Mexico accounted for 51.3% of imports, Costa Rica for 14.8%, and Portugal for 14.1%, jointly making up 80.2% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Nicaragua in kind, 2017-2020

Imports in value, K $ US

In 2020, Nicaragua's alcoholic beer imports were recorded at 2 617 thousand US dollars, down by 24.7% compared to 2019. Between 2017 and 2020, imports fell by 37.4%, equating to an annualized decline of 14.4%. The largest decline occurred in 2018, dropping by 32.7%, while the biggest increase was in 2019, rising by 23.7%.

Annual dynamics of product's imports to Nicaragua in value, 2017-2020, K $ US

Throughout 2017 to 2020, Mexico, Costa Rica, and Portugal remained the key directions for Nicaragua's alcoholic beer imports in value terms. Mexico represented 54.5% of import value, Costa Rica 17.1%, and Portugal 10.4%, together accounting for 82.1% of total import flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Nicaragua in value, 2017-2020