Brewers put Mexican President on bottle labels

Protesting higher taxes for craft beer production than commercial ones

MEXICO. - For many, having a craft beer named after us would usually be the equivalent of a compliment or life homage; however, for brew masters of the collaborative beer Lupe-Reyes 2014 edition's next launch, this isn't the case.

The new presentation of the Dunkel Weizenbock style beer features Mexican president Enrique Peña Nieto, Secretary of Finance and Public Credit, Luis Videgaray and its Undersecretary Miguel Messmacher re-imagined as The Three Wise Kings as part of a protest that demands new measures in favor of the craft industry.

Source: Zocalo
Source: Zocalo

More specifically, the Mexican Republic Brewers Association (Asosiacion de Cerveceros de la Republica Mexicana, ACERMEX, in Spanish) pursues financial support in order to pay less taxes so they can increase competitiveness with other brands. How you ask? Through a fixed fee by liter (33 oz) or hectoliter based on the Special Production and Services Tax (STPS).

Several breweries united to launch this product, and come from all parts of the Mexican Republic: Minerva, from Jalisco; Primus from Queretaro; Malafacha and Bocanegra from Nuevo Leon and Baja Brewing from Baja California Sur. It is estimated that they will produced 1,500 boxes of 660 milliliter bottles (20.20 oz), available starting this December 12th.

Regarding the matter, Malfacha's director José Manuel de Urquidi said:

"Like it happens with the majority of countries with craft beer, we as Acermex have this label as a form of protest, on behalf of an equitable payment for tax calculations".

According to complaints from Acermex, the amounts they pay in STPS does not allow them to lower the price in their beverages, making less attractive in a market that sells Tecate, Sol or XX Lager to $15 pesos (slightly less than a $1 USD) per bottle against the $50 or 60 pesos a craft beer usually costs.

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This is due to the fact that a microbrewery pays one thousand pesos to the STPS per hectoliter, while bigger brands pay only $300 for the same amount of beer.

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