Mexico: Dairy and Products Semi-annual

  |   Attaché Report (GAIN)   |   MX2021-0037

In light of pandemic-related macroeconomic shocks during 2020, 2021 is showing slow, but steady growth for dairy product production and consumption in Mexico. Even with ongoing regional drought, the dairy heard has not been reduced in size and milk production continues to rise. Industrial producers and processors have fared better than small- and medium-sized producers due to economies of scale. However, growing inequality in purchasing power across socioeconomic levels, as reflected in official statistics showing close to 60 percent of the population now living in poverty, hamper expectations of a quick recovery to pre-pandemic levels, particularly outside of beach resort and hotel, restaurant, and institution (HRI) hot spots.

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