Grape wine market in Mexico

Earlier Report Observations

The Mexican grape wine market began the period in 2018 with the enactment of the Viticulture Promotion Law, aiming to double vineyard area and increase national production. Market volume nonetheless declined from 107 485 thousand liters in 2018 to 87 797 thousand liters in 2020. This occurred alongside the experimental expansion of vineyards in several states, supported by public institutions, which laid the groundwork for future capacity. In 2020, increased competition from affordable young wines produced by local wineries in regions like Baja California helped shift consumption toward domestic products, reducing import volumes and contributing to a smaller overall market.

Market volume rebounded sharply to 107 376 thousand liters in 2021 and further to 134 516 thousand liters in 2022. This growth was driven by the continued expansion of vineyards and experimental wine production, bolstered by institutional support. A key event in 2022 was Mexico hosting the 45th World Congress of Vine and Wine, which enhanced the sector's visibility. Simultaneously, wine imports reached record levels, with Spanish wine accounting for nearly 30% of import sales, significantly expanding market supply.

The market stabilized at 134 195 thousand liters in 2023, a year in which online sales channels became relatively less important for distribution. In the first half of 2024, wine imports set a new record, led by Spanish wine with 39.3 million liters, though the growth of local consumption faces territorial constraints, with only an estimated 7 500 to 8 500 hectares suitable for vineyard expansion.

Production grape wine in Mexico

In kind, 2018-2021, K l

Top producers of grape wine, 2018-2021

World map of production of grape wine, 2018-2021

Mexico's grape wine production has increased for the second consecutive year. In 2021, the country produced 43 268 K l of grape wine, marking a 9.8% rise compared to the previous year. Between 2018 and 2021, production grew by 12.4%, which translates to an annualized growth rate of 4.0%. The lowest production level was recorded in 2019 at 36 640 K l, with the largest decline of 4.8% also occurring that year.

Annual dynamics of production in Mexico in kind, 2018-2021, K l

Exports grape wine from Mexico

Exports in kind, K l

Grape wine exports from Mexico have declined for the second consecutive year. In 2021, Mexico exported 334 K l of grape wine, representing a significant contraction of 59.7% compared to 2020. Over the period from 2018 to 2021, exports decreased by 58.7%, with a compound annual growth rate of -25.5%. The highest export volume was recorded in 2019 at 833 K l, which also saw the largest increase of 2.9% that year.

Annual dynamics of product's exports from Mexico in kind, 2018-2021, K l

From 2018 to 2021, the United States was the dominant buyer of grape wine from Mexico, accounting for 90.7% of total exports in volume terms.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Mexico in kind, 2018-2021

Exports in value, M $ US

After a two-year advance, Mexico's grape wine export value declined. In 2021, exports amounted to 2.4 M $ US, which is 33.3% less than the previous year. Over the period from 2018 to 2021, exports decreased by 30%, with a compound annual growth rate of -11.2%. The peak value was recorded in 2020 at 3.5 M $ US, which also experienced the largest increase of 3.8% that year.

Annual dynamics of product's exports from Mexico in value, 2018-2021, M $ US

From 2018 to 2021, grape wine from Mexico was supplied almost exclusively to the United States, which absorbed 91.3% of total exports in value terms.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Mexico in value, 2018-2021

Imports grape wine to Mexico

Imports in kind, K l

After a two-year decline, grape wine import volumes in Mexico increased. In 2021, Mexico imported 64 442 K l of grape wine, reflecting an uptick of 30.9% compared to 2020. Over the period from 2018 to 2021, imports decreased by 7.7%, with a compound annual growth rate of -2.6%. The lowest import volume was recorded in 2020 at 49 221 K l, while the largest decline of 19.8% occurred in 2019.

Annual dynamics of product's imports to Mexico in kind, 2018-2021, K l

Throughout 2018 to 2021, Spain (29.5% of imports in volume), Chile (20.0% of imports in volume), and Italy (19.7% of imports in volume) remained the key partners for imports, together accounting for 69.3% of total flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Mexico in kind, 2018-2021

Imports in value, M $ US

After a two-year drop, foreign grape wine supplies to Mexico increased. In 2021, imports registered 260.9 M $ US, which is 23.2% greater compared to 2020. Over the period from 2018 to 2021, imports decreased by 3.5%, with a compound annual growth rate of -1.2%. The lowest value was recorded in 2020 at 211.9 M $ US, which also saw the largest decline of 16.9% that year.

Annual dynamics of product's imports to Mexico in value, 2018-2021, M $ US

In 2018 to 2021, the leading destinations for imports in value terms of grape wine to Mexico were Spain (29.1% of imports in value), Italy (19.6% of imports in value), and France (16.4% of imports in value), which jointly accounted for 65.1% of total flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Mexico in value, 2018-2021