Coronavirus: Mexican brewer suspends production of Corona beer | Economic news


Mexican beer brewer Corona suspends production due to the coronavirus pandemic.

Grupo Modelo said the decision was made after its business activities were declared non-essential under a government decree.

Picture:
COVID-19 is known as the coronavirus because of its crown-like shape under the microscope

Corona and the company’s other brands, including Pacifico and Modelo, are exported to 180 countries.

“We are in the process of reducing production at our factories to the bare minimum,” the company said in a statement, adding that it would complete the suspension within days.

The Mexican government this week declared a health emergency and ordered the suspension of non-essential activities after the number of coronavirus cases in the country surpassed 1,000.

As of Thursday, it reported 1,510 cases and 50 deaths.

The brewer said in a statement that the suspension will take effect from Sunday and is already in the process of cutting production to a level where it could resume once the suspension is lifted.

“If the federal government deems it appropriate to give clarification confirming that beer is an agro-industrial product, at Grupo Modelo we are ready to execute a plan with more than 75% of our staff working from home and at the same time guaranteeing l ‘beer supply,’ the statement read.

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Agriculture and food production in general are considered essential activities.

Grupo Modelo, part of the Anheuser-Busch InBev brewing group, operates 11 breweries in Mexico.

Corona means crown in Spanish and the symbol is used on beer labeling. COVID-19 is known as the coronavirus because of its crown-like shape.


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