Mexico: The country seeks an agreement with China to reduce tariffs

The Tequila Regulatory Council (CRT) wants China and India to lower taxes on the Mexican drink to increase exports to those markets and combat the overproduction of agave that has caused the price of the material to drop.

Image: Consejo Regulador del Tequila AC

"We are working to get China and India to reduce our taxes and instead of saying how much agave is going to be left over, it is better to say how much more tequila is going to be sold. We are having a hard time because China is a very closed market that has certain tax rates. These are very high, around 180 percent and, as long as we have those rates, it is very difficult to compete," said the director of the CRT, Ramón González. According to CRT information, China currently ranks 25th among the countries where tequila is exported and, despite the size of that market, the industry sells around five million liters annually.

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