Blog: Andy MortonMexico's uncomfortable truth - soda before toilet paper

Andy Morton | 2 May 2014

Before the government introduced a new sugar tax this year, Mexico's soft drinks industry was one of the world's biggest.

Despite January's duty hike, it's still pretty huge, largely because - no matter the price - Mexican's won't give up their soda.

What they are willing to give up in its stead was put in stark relief by Coca-Cola FEMSA CFO Héctor Treviño Gutiérrez this week. Consumers, he said, hit by across-the-board price jumps on household staples, are “prioritising” soft drinks.

“They are not spending as much on other things like toilet paper."

Analysts, I hear, are unsure what this means for the bottom line.

Sectors: Soft drinks

NEWS

Coca-Cola Enterprises lines up Monster energy boost as European merger looms

Coca-Cola Enterprises (CCE) is planning to roll out new Monster energy drinks in Europe, ahead of its expected bottler merger in the region....

BLOG

To the morgue for Thai drink drivers

Would the thought of working in a morgue stop you from drink driving? ...

BLOG

Heineken plays 'hard' ball in US cider

You would be forgiven for thinking that the US cider boom is over. Sales growth of as much as 90% in the past few years has shrunk to double figures. ...

ANALYSIS

Premiumisation comes to the bottled water segment - NPD round-up

It's good to be in the bottled water business. According to Canadean, packaged water sales are expected to drive almost all of the net growth in beverage consumption over the next five years in the US...

BLOG

PepsiCo's Johnston's new Twitter role is hard to Tweet

The drinks industry could do more to benefit from new technology. ...

BLOG

Lessons from the past in PepsiCo heir-apparent talk

The soft drinks world is abuzz today over what an executive shake-up at PepsiCo might mean to on-going speculation over CEO Indra Nooyi's successor....

just-drinks homepage



Forgot your password?