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Soft drinks bottler follows Coca-Cola FEMSA in closing Mexico plant amid security fears

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A PespiCo bottler in Mexico has shut down a distribution plant two months after Coca-Cola FEMSA shuttered its factory in the area, amid concerns over employee intimidation.

Grupo Gepp is a bottler and distributor for PepsiCo in Mexico

Grupo Gepp is a bottler and distributor for PepsiCo in Mexico

Grupo Gepp, which bottles and distributes PepsiCo soft drinks among others, informed its customers this week that it will temporarily close its plant in Ciudad Altamirano. A statement from the company cited "a lack of conditions required for the distribution" of soft drinks, however the BBC reported that the decision was made because of organised crime activity in the city.

In April, Coca-Cola FEMSA announced the indefinite closure of its Altamirano plant following two months of "criminal harassment" to employees. The company, which has operated a distribution centre in the territory for around four decades, said employees had received "constant threats and acts of aggression from organised crime".

Altamirano is in the southern state of Guerrero, where ongoing gang violence has long marred local security. The state witnessed one of the worst gang-related atrocities in Mexico's history when in 2014 more than 40 students from a teacher training college were kidnapped by local police and presumably killed after they were handed over to drug traffickers.

What can the soft drinks industry learn from The Coca-Cola Co? - Click here for a just-drinks comment


Sectors: HR – personnel, Soft drinks, Water

Companies: PepsiCo

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