Mezcal’s Rise Amid Challenges in Mexico

Mezcal’s Rise Amid Challenges in Mexico

High in the hills of Oaxaca, the scent of roasted agave drifting from traditional wood-fired ovens signifies success. In 2025, Mexico generated 7.7 million bottles of mezcal, marking a growth from earlier years. A visit to a distillery in the town of Santiago Matatlan reveals the intricate path mezcal takes—from its origins in a secluded village to crossing 750 miles to the U.S. border.

This achievement faces threats from violent criminal groups. Mexico tops global high-risk countries for violent cargo truck hijacking. Highways from Oaxaca through central Mexico are now the most dangerous for logistics. In September 2024, a truck transporting Monte Alban mezcal was hijacked in an armed robbery on the Mexico-Tuxpan highway near Zempoala. In July 2025, 9,000 bottles of premium agave spirits, valued at $1.3 million, were stolen in Guanajuato. Another truck with 64 tons of alcohol bottles was taken in Hidalgo.

These incidents fit a larger pattern. Organized crime units target food and beverage shipments which are resellable in informal markets. While Oaxaca is not yet a major hijacking hub, mezcal shipments face risks through Puebla, Mexico State, Michoacan, Jalisco, and Guanajuato—key hotspots. Analysts consider Puebla a prime danger zone for these shipments, with locals and authorities allegedly aiding criminal groups.

Data from the Mexico Cargo Truck Hijacking Data Portal shows that in the first half of 2026, over 79% of hijackings occurred in Mexico State and Puebla, states critical to northward transport. Despite dangers, mezcal sales in the U.S. are surging, with an average of 20,000 trucks crossing from Mexico to the U.S. in 2025. The global mezcal market is predicted to exceed $1 billion by early 2030s.

Oaxaca produces nearly 90% of Mexico’s mezcal, mostly from small, family-run distilleries using traditional methods. Unlike tequila, mezcal remains predominantly artisanal. It is a beacon for Oaxaca, the third poorest state in Mexico, which garnered a modest $5 million in foreign investment in 2025 out of a nationwide $41 billion.

Daily cargo thefts result in nearly $1 million losses. Estimates suggest around 50 cargo trucks are hijacked in Mexico each day. The Mexican Association of Transport Organizations held a large protest to highlight these issues. President Claudia Sheinbaum has managed a decrease in overall violence since her term began in 2024. However, accusations persist about her Morena party’s connections with criminal groups.

Governors of states like Oaxaca and Puebla, belonging to Sheinbaum’s party, face scrutiny. Efforts to dismantle hijacking rings might necessitate probing these political ties. Mezcal’s prominence depends on delivering safely to high-end U.S. establishments. For artisan producers, losing a truckload to theft is a significant financial blow. Ensuring safe transit for mezcal is crucial to sustaining Oaxaca’s growing industry amid political and criminal challenges.

Mark Vickers is the executive vice president and head of International Logistics at Reliance Partners.

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