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[BUSINESS] · Mexico · 5 sources

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Mexico sugar industry faces crisis as Veracruz officials secure Ingenio San Pedro

The Mexican sugar industry is facing a significant crisis, with several mills facing bankruptcy or permanent closure. In Veracruz, the situation has been particularly severe, driven by competition from Central American sugar imports and the influx of fructose. To combat this, the National Confederation for the Development of Sucrochemistry and Energy Sustainability (CONADESSE) is promoting a transition toward bioenergy, including the production of alcohol, biofuels, and eco-friendly plastics.

In response to local instability, Veracruz Governor Rocío Nahle García has intervened to ensure the continuity of the Ingenio San Pedro in Lerdo de Tejada. Following negotiations to prevent the factory's closure, the state government has guaranteed that the mill will purchase cane during the upcoming harvest season, scheduled to begin between November and December. This agreement aims to stabilize the regional economy, which relies on the mill for approximately 500 direct jobs and a wide network of transport and service providers.

Entities

CONADESSE · Ingenio San Pedro · Rocío Nahle García · Veracruz