An agreement was signed between the governments of Brazil and Mexico, which establishes that all drinks sold in Brazil under the name of tequila will be of Mexican manufacture, as well as all cachaça sold in the Mexican market must have been manufactured in Brazil. With the agreement, cachaça and tequila will now have full protection of property and quality in marketing in both countries.
According to IBRAC – Instituto Brasileiro da Cachaça, cachaça exports do not exceed 1% of the volume produced and this should encourage the sector to increase investments in the Mexican market. In addition, the agreement should also prevent the use of the name “cachaça” by producers from other countries.
Currently, according to IBRAC, there are 40 thousand producers and 4 thousand brands of cachaça in the national market, mainly located in the states of São Paulo, Rio de Janeiro, Pernambuco, Ceará, Minas Gerais and Paraíba. Micro-enterprises represent 99% of this universe.
IBRAC estimates that the installed capacity in Brazil is 1,2 billion liters/year, with 70% industrial cachaça and 30% artisanal cachaça (still). Cachaça is the second most consumed beverage in the country, second only to beer. Among distilled beverages, it holds absolute preference among Brazilians. Its consumption is almost five times greater than that of whiskey (348 million litres) and vodka (270 million litres).
Source: EmbaNews
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