Customized Report Services – Market Overview – Livestock, meat, dairy and genetics (beef, pork, eggs) in Mexico

Production

In 2020, Mexican farmers produced 35.6 million cattle and 18.8 million pigs, representing approximately a growth of 1.3% and 3.0%, respectively since 2016. Other top livestock produced in Mexico includes chickens (591.6 million), goats (8.8 million), sheep (8.7 million) and ducks (8.5 million).

In Mexico, the number of hen eggs (in shell) produced were 56.9 billion (3.0 million tonnes) in 2020. The number of cows producing whole fresh milk were 2.6 million heads (12.6 million tonnes), followed by milk producing sheep of 1.5 million heads (56.4 thousand tonnes), and milking goats equivalent to 765.6 thousand heads (163.6 thousand tonnes).

Mexico's trade of livestock (genetics), meat, dairy and egg products

In 2021, Mexican the number of imports of live pure-bred cattle totaled 2,589 (Can$5.3 million) and the number of live pure-bred swine were 4,795 (Can$4.3 million). Over the year, Mexico imported 2,776 kilograms (Can$21.6 million) in bovine semen and 660 (Can$161,991) embryos of cattle, horses, pigs, sheep and goats. Lastly, 37,086 tonnes (Can$235.9 million) of birds' eggs used for incubation were imported by Mexico in 2021.

Top supplier markets for all these livestock or animal genetic types (including eggs imported for incubation) were the United States (Can$213.3 million), Brazil (Can$26.1 million), Canada (Can$7.5 million), Spain (Can$4.2 million), Denmark (Can$905,355), and France (Can$543,344).

Beef and veal meat products

In 2021, Mexico imported a total of Can$1.6 billion in beef and veal meat products, growing at a CAGR of 5.4% (2017 to 2021). Top supplier markets were the US (75.8%), Canada (11.5%), Nicaragua (9.4%), Australia (0.8%), and Costa Rica (0.2%). Other smaller import markets included Japan, Panama, Brazil, Chile and New Zealand.

The top global imports in 2021 of beef and veal commodities into Mexico were fresh/chilled boneless bovine meat at Can$1.1 billion (HS: 020130), frozen edible bovine offal, excluding tongues and livers at Can$266.0 million

(HS: 020629), frozen boneless meat of bovine animals at Can$88.3 million (HS: 020230), fresh/chilled bovine cuts with bone in (excluding carcasses) at Can$86.3 million (HS: 020120), and prepared/preserved meat or offal of bovine animals (excluding sausage products) at Can$16.4 million (HS: 160250).

Over the last year, other top Canadian beef and veal products supplied to Mexico (including top 4 global products) were fresh or chilled edible offal of bovine animals (HS: 020610), frozen edible bovine tongues (HS: 020621), and frozen bovine cuts, with bone in (excluding carcasses) (HS: 020220).

Pork meat and pork products

In 2021, Mexico imported a total of Can$3.4 billion in pork and pork meat products, growing at a CAGR of 7.1% (2017-2021). Top supplier markets were the US (82.0%), Canada (15.8%), Spain (1.5%), Chile (0.2%), and Denmark (0.1%). Other smaller import markets in 2021, included Italy and France. Germany did not supply any pork to Mexico in 2021, while China and Brazil only supplied small amounts back in 2018.

The top global imports of pork commodities into Mexico were fresh/chilled hams, shoulders and cuts thereof of swine, bone in at Can$2.0 billion (HS: 020312), frozen meat of swine (excluding carcasses or with bone in) at Can$279.3 million (HS: 020329), sausages of meat, offal or blood, and similar food preparations/products at Can$269.1 million (HS: 1601), fresh/chilled meat of swine (excluding carcasses or with bone in) at Can$233.3 million (HS: 020319), and fresh/chilled edible offal of swine at Can$187.5 million (HS: 020630) in 2021.

Over the last year, other top Canadian pork products supplied to Mexico (including top 4 global products o/t HS: 1601) were frozen edible offal of swine, excluding livers (HS: 020649), fresh/chilled, frozen or salted pig fat, free of lean meat, not rendered or extracted, in brine, dried or smoked (HS: 020910), and hams, shoulders and cuts thereof of swine, salted, in brine, dried or smoked, with bone in (HS: 021011).

Milk, dairy and egg products

In 2021, Mexico imported a total of Can$2.4 billion in milk and dairy products, growing at a CAGR of 3.2% (2017-2021). Top supplier markets were the US (81.4%), New Zealand (4.6%), the Netherlands (2.0%), Uruguay (1.2%), and Chile (1.1%). Other smaller import markets in 2021, included Germany, Italy, Denmark, France, and Spain. Canada was the 11th largest dairy supplier to Mexico for pork related products at a value of Can$5.2 million in 2021.

Over the last year, Mexico imported a total of Can$315 million in egg products (with/without shell), growing at a CAGR of 7.4% (2017-2021). Top supplier markets were the US (84.3%), Brazil (8.3%), Spain (1.2%), Canada (0.6%), and Argentina (0.1%). Other smaller import markets in 2021, included France, while Denmark (2018-2019) and Germany (2019-2020) supplied smaller amounts of egg products in previous years.

The top global imports of dairy or egg commodities into Mexico were milk and cream in solid forms, fat content by weight (≤ 1.5%) at Can$1.3 billion (HS: 040210), cheese and curd (excluding fresh cheese; including grated/powdered cheese, whey, processed and veined cheese) at Can$409.7 million (HS: 040690), grated or powdered cheese of all kinds at Can$298.9 million (HS: 040620), fertilised eggs for incubation, of domestic fowls at Can$234.2 million (HS: 040711), and whey and modified whey, whether concentrated or containing added sugar/sweetener at Can$106.8 million (HS: 040410) in 2021.

In 2021, top Canadian milk, dairy and egg products supplied to Mexico were fertilised birds' eggs for incubation (excluding of domestic fowls) at Can$1.6 million (HS: 040719), milk and cream in solid forms, of a fat content by weight of ≤1.5% at Can$734.6 million (HS: 040210), and whey and modified whey, whether/not concentrated or containing added sugar/other sweetening matter at Can$204.5 million (HS: 040410). Canadian products such as unsweetened milk and cream in solid forms, of a fat content by weight of >1.5% (HS: 040221) (2017), and fertilised eggs for incubation of domestic fowls (HS: 040711) (2017-2019) were imported from Mexico in previous years (as indicated).

Retail sales – meat, dairy and fresh eggs in Mexico

Meat

The Mexican fresh meat sector based on retail sales (including beef and veal, poultry, pork, lamb/mutton/goat, and other remaining meat categories) have grown at a CAGR of 8.3% from US$15.4 billion in 2016 to US$22.9 billion in 2021. Over this period, the highest growing categories in value terms included poultry, pork, and other combined fresh meat categories (horse, venison, camel, buffalo, game meat, rabbit) with registered historical CAGRs of 10.1%, 9.1%, 7.2%, respectively.

In volume terms, the fresh meat sector grew from 5.9 million tonnes in 2016 to 6.5 million tonnes in 2021, registering a CAGR of 2.1% in Mexico. Between 2021 and 2026, fresh meat is expected to grow by 1.9% to reach 7.2 million tonnes by 2026.

Per capita consumption (PCC) of meat in Mexico stood higher in the fresh meat category at 51.2kg versus processed meat at 3.6kg in 2021, compared to Canada at a fresh meat PCC level of 73.5kg versus 23.0kg in processed meat. In 2021, per capita expenditure (PCE) on both fresh and processed meat in Mexico amounted to a total value of US$198.6, representing a CAGR of 7.5% (2016-2021). Meanwhile, Canada's PCE on both fresh and processed meat totaled US$420.9 in 2021, at a CAGR of 1.1% over the same period.

In 2021, the processed meat industry reached sales of US$2.4 billion with volume sales of 454.9 thousand tonnes within Mexico. Processed red meat accounted for 70.5% (US$1.7 billion), while the remaining 41.9% (US$719.8 million) were for sales of processed poultry. Chilled red meat represented the bulk of its red meat sales at 87.3%, followed by frozen (12.4%) and shelf stable (0.3%) red meat types in 2021.

Dairy and fresh eggs

In 2021, the dairy sector in Mexico reached retail sales of US$12.3 billion and eggs totaled a value of US$3.3 billion (2.5 million tonnes). Top categories in the dairy sector included drinking milk products (US$4.2 billion), cheese (US$3.8 billion; 518.6 thousand tonnes), and yoghurt and sour milk products (US$1.5 billion).

Notably, purchases for dairy products and alternatives are more popular over real dairy products registering a total sales value of US$13.5 billion in 2021.

Retail distribution of meat, seafood and alternatives to meat

The distribution channels in which consumers chose to purchase their meat, fish and seafood products did not alter much between 2020 and 2021. Mexicans continued to avoid frequent outings by most often shopping from within modern grocery retailers (45.8%) such as hyper/supermarkets and discounters, along with traditional independent smaller grocers (38.4%), which offers a larger variety of products under one location in a quick and safer fashion and may be able to support online orders. Mixed retailers held a 9.6% market share with 1.3% of Mexican consumers shopping from non-store (e-commerce) retailers in 2021.

Competitive landscape in the meat and dairy sectors

In 2021, leading brands in the meat sector included Sigma Alimentos SA de CV (brands : Fud, San Rafael, Tangamanga) at a 41.4% value share, Grupo Bafar SAB de CV (Sabori, Bafar, Parma) at 13.8%, and Xignux SA De CV (Zwan, Kir, Duby) at 13.1%. Private labels held a 1.0% market value share at US$25.6 million in 2021 within the overall meat sector.

In 2021, leading brands in the dairy sector included Grupo Lala SAB de CV (brands : Lala, Los Volcanes, Nutri Leche) at a 20.1% value share, Ganaderos Productores de Leche Pura SA de CV (Alpura, Forti Leche, Carranco) at 11.7%, and Nestlé SA (Carnation, Nido, Sveltesse) at 8.3%. Private labels held a 1.3% market value share at US$163.0 million in 2021 within the overall dairy sector.

Product launch analysis of beef, pork and dairy

Meat food products - beef and pork

Mintel indicates that there were 1,106 new pork and 677 beef meat food products launched (including new variety/range extension, packaging, formulation or relaunched) within Mexico retail stores between the period of January 2017 and May, 2022.

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	2017	2018	2019	2020	2021	2022 (January to May)	Total
Pork (1,106)	197	203	162	229	228	87	1,106
Beef (677)	121	106	139	165	103	43	677

Source: Mintel, 2022

According to Mintel, the top parent companies launching pork products in Mexico over the five year period were Walmart (28), Productos Chata (20), Qualtia Alimentos Operaciones (15), Sigma Alimentos (14), and Intercarnes (13). Top pork brands over this period were Chata (49), Great Value (25), Peñaranda (19), Kirkland Signature (16), and Fud (16). New pork product brands launched recently include El Pozo (Iberian Chorizo pork slices), CJ Foods Bibigo (Korean style pork and vegetables mini Wontons), and Proan (Pork Picaña).

The top parent companies launching beef products in Mexico over the five year period were Unilever (15), Walmart (9), RYC Alimentos (7), Sigma Alimentos (6), Qualtia Alimentos Operaciones (5), and American Beef (4). Top beef brands over this period were Knorr (41), Marketside (26), SuKarne (21), Great Value (17), and Practi Rico (16). New beef product brands launched recently in Mexico include 7-Eleven (beans and barbecue burrito), Salud y Sabor (beef fajitas), CJ Foods Bibigo (beef Bogogi Mandu dumplings), and Jack Daniel's Old No. 7 (browned, seasoned and cooked beef brisket tips).

In Mexico, the fastest growing flavors paired with pork products were refried/Bayo beans, Chorizo, marinade, potato and honey, while growing beef product flavors were lime, vegetable, past/vermicelli, and barbecue [Q2-2020-2022]. New or popular ingredients paired with pork products were artificial orange flavor/nectar, blueberry, imitation cheddar cheese, liquid smoke flavor, cauliflower, and carrot. Popular ingredients paired with beef products were pepper jack cheese, red jalapeno pepper, grapeseed oil, white corn flour, natural grill flavor, instant coffee, whisky, and orange nectar.

Dairy products

According to Mintel, there were 4,554 new dairy food and 64 (free from) dairy drink products launched (including new variety/range extension, packaging, formulation or relaunched) in Mexico's retail stores between the period of January 2017 and May, 2022.

Note: Several dairy food products and appears to be all of the dairy drink products are claiming to be vegan products that are free from dairy (milk) ingredients. Companies are offering increasingly more dairy-free choices to meet the increasing vegan or food-intolerance trends amongst Mexican consumers.

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	2017	2018	2019	2020	2021	2022 (January to May)	Total
Dairy food products (4,554)	849	836	882	867	812	308	4554
Dairy drinks (64)	7	14	20	5	17	1	64

Source: Mintel, 2022

Over the 5-year period, the top parent companies launching dairy food or (free from dairy) drink products in Mexico were Grupo Lala (135), Sigma Alimentos (60), Ganaderos Productores de Leche Pura (54), Nestlé (54), Groupe Danone (47) and Walmart (34). Top dairy brands over this period were Lala (213), Alpura (126), Santa Clara (95), Great Value (95), and Danone (64). New brands containing dairy or free-from ingredients launched recently include two products by Yo Mama's Yom Foods (Asian Sesame dressing and marinade and a radiant Rosé wine tomato sauce), Holanda Deliciosamente Vegano (chocolate with caramelized hazelnuts flavored ice cream), and Hershey's Almonds (mini chocolate and almonds coated vanilla ice cream pops).

In Mexico, the fastest growing flavors found in dairy products were mango, apple, peach, banana, and pineapple [Q2-2020-2022]. New or popular ingredients found in these dairy products were pepper jack cheese, methylcobalamin, monk fruit juice, sodium reduced salts, shrimp, hydroxypropyl cellulose, rose wine, and zucchini. Trending claims found on packaging included probiotic, diet/light, on-the-go, and vitamin/mineral fortified.

Product examples

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Resources

• Euromonitor International, 2022
• Global Trade Tracker (GTT), 2022
• Mintel Global Data New Product (GDNP) database, 2022

Customized Report Services – Market Overview – Livestock, meat, dairy and genetics (beef, pork, eggs) in Mexico
Global Analysis Report

Prepared by: Erin-Ann Chauvin, Senior Market Analyst

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