Mezcal Market Size 2021 - Industry Size, Share and Analysis to 2027

The mezcal market was valued at US$ 727.11 million in 2019 and is projected to reach US$ 1,136.55 million by 2027; it is expected to grow at a CAGR of 6.1% from 2020 to 2027.

Mezcal beverage is made from the agave plant (traditionally, it is known as maguey). The big difference between the Mezcal and Tequila is the way agaves are cooked to extract all the fermentable sugars. Agaves or magueys are mostly found in many parts of Mexico and south to the Equator, though most mezcal is made in Oaxaca. Mezcal can be prepared from many different varieties of agave. Agave Espadin is the most popular variety, and it is produced in specific states as well.

In 2019, North America accounted the largest share of the mezcal market owing to the several mezcal breweries that have a strong foothold in the region. These breweries are constantly working toward innovation and development of different varieties of mezcal with improved tastes along with qualities to attract new consumers and widen the consumer base in the region. The export of mezcal to several countries across North America as well as innovative programs aimed at marketing the product in the region drive the market growth in North America. The demand for spirits throughout the on-trade sales channels, together with full-service restaurants along with cafes/bars, is also anticipated to rise significantly over the forecast period. High disposable income and changing lifestyles attract consumers to consume luxurious beverages such as mezcal, which is anticipated to expand the mezcal market in North America.

The COVID-19 outbreak was first reported in Wuhan (China) during December 2019. As of January 2021, the US, Brazil, India, Russia, Spain, and the UK are among the worst affected countries in terms of confirmed cases and reported deaths. The COVID-19 pandemic is adversely affecting economies and industries in various countries due to lockdowns, travel bans, and business shutdowns. The food and beverage is one of the world’s major industries suffering serious disruptions such as supply chain breaks, technology events cancellations, and office shutdowns. For instance, China is the global manufacturing hub and largest raw material supplier for various industries and it is also one of the worst affected countries. The lockdown of various plants and factories in China is hindering the global supply chains and disrupting the manufacturing activities, delivery schedules, and various materials sales. Numerous companies have already announced possible delays in product deliveries and slump in future sales of their products. In addition, the global travel bans imposed by countries in Europe, Asia, and North America are hampering the business collaborations and partnerships opportunities. All these factors are anticipated to hinder the food & beverages industry, which would restrain the growth of various markets related to this industry in the coming months.

Global Mezcal Market

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Market Insights

Increasing Demand for Luxury and Premium Beverages

The increasing trend of premiumization, which is leading to the consumption of luxury alcoholic as well as non-alcoholic beverages, boost the demand for Mezcal. The premiumization trend is more than sipping spirits. There is an increasing demand for the premium mezcal products among millennial consumers. They are ready to spend high amount on the high-end and super-premium products owing to the increasing disposable income in developed economies such as North America and Western Europe. The market for high-end premium spirits grew by 5–6% per year by volume from 2019 to 2021 owing to the growing per-capita disposable income of consumers and the persisting growth of the economy. The demand for mezcal has increased significantly over the past few years, and the market is expected to grow during the forecast period. There is an increasing trend amongst wealthier consumers in established spirit markets to seek exciting and new premium products and trade up to drinks of niche varieties with a high production value. As a result, the volume of premium spirits improved significantly when compared to that of the familiar spirits. The rising demand for premium mezcal outlines the growth of the global mezcal market. It highlights the potential for smaller manufacturers to partner with the larger players to enter new markets, which is anticipated to be an essential step to ensure growth in the mezcal market.

Type Insights

Based on type, the mezcal market is bifurcated into 100% Agave and Blends. The 100% agave segment led the mezcal market with a larger share in 2019. 100% Agave mezcal meant that all the fermented sugars which are distilled to become tequila come from the Blue Weber agave plant. Mezcal can be obtained from more than 30 varieties of agave. According to spirits writer Chris Tunstall, the most common varieties of agave utilized for mezcal making are tobalá, tobaziche, tepeztate, arroqueño, and espadín, which is the most common agave and accounts for up to 90% of mezcal. The two types of mezcal are made of 100% agave and are mixed with other ingredients, with about 80% agave. Both types consist of four categories. White mezcal is clear also hardly aged. Dorado (golden) is not aged; however, a coloring agent is added. This is primarily done with a mixed mezcal. Reposado or añejado (aged) is poured in wood barrels mostly from two to nine months. This can be made with 100% agave or mixed mezcals. Añejo is aged in barrels for a minimum time of 12 months. The best of this type is basically aged from 18 months to three years. If the añejo is 100% agave, it is usually aged for about four years.

Mezcal Market, by Type – 2019 and 2027

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Sales Channel Insights

Based on sales channel, the mezcal market is segmented into HoReCa, specialty stores, supermarkets and hypermarkets, and online. The HoReCa segment led the market with the largest share in 2019. The hospitality industry, also known as the HoReCa  (Hotels, Restaurants, and Catering) industry, is one of the fastest-growing markets across the world. B2B wholesale giants, such as Walmart, are increasingly becoming part of the FMCG along with the beverages supply chain due to their reach in the HoReCa space that services the hotel industry. Since the first steps on the market, products requires attentive care. Also, retail marketing offers an exclusive network of sales supporters in the HoReCa field who will use their expertise and skills to highlight the brand according to the channel it belongs to. Alcoholic beverages are eying at this lucrative segment today, since it outnumbers the bars, cafes, clubs, and pubs globally. There is an increasing footfall of consumers into the hotels, restaurants, cafes, bars, and other such places, which is positively contributing to the mezcal market growth.

Strategic Insights

A few key players operating in the Mezcal market are El Silencio, Mezcal Vago, Pernod Ricard, Ilegal Mezcal, Rey Campero, Mezcal Amores, Craft Distillers, Los Danzantes, Mezcalgulroo, and Wahaka. Major players are focused on strategies such as mergers and acquisitions, and product launches to increase the geographical presence and consumer base globally.  

Report Spotlights

• Progressive industry trends in the global mezcal market to help players develop effective long-term strategies
• Business growth strategies adopted by developed and developing markets
• Quantitative analysis of the global mezcal market from 2017 to 2027
• Estimation of the demand for mezcal across various industries
• PEST analysis to illustrate the efficacy of buyers and suppliers operating in the industry to predict market growth
• Recent developments to understand the competitive market scenario and the demand for mezcal  
• Market trends and outlook coupled with factors driving and restraining the growth of the mezcal market
• Decision-making process by understanding strategies that underpin commercial interest with regard to global mezcal market growth
• Mezcal   market size at various nodes of market
• Detailed overview and segmentation of the global mezcal market as well as its dynamics in the industry
• Mezcal market size in various regions with promising growth opportunities

Mezcal Market, by Type

• 100% Agave
• Blends

Mezcal Market, by Product

• Mezcal Joven
• Mezcal Reposado
• Mezcal Anejo
• Others

Mezcal Market, by Sales Channel

• HoReCa
• Specialty Stores
• Supermarkets and Hypermarkets
• Online

Company Profiles

• El Silencio
• Mezcal Vago
• Pernod Ricard
• Ilegal Mezcal
• Rey Campero
• Mezcal Amores
• Craft Distillers
• Los Danzantes
• Mezcalgulroo
• Wahaka