Corona Beer to Halt Production Amid COVID-19 Pandemic

Tanya Simon
April 4, 2020

Grupo Modelo, which produces and exports several popular beer brands including Corona, Pacifica and Modelo, will be temporarily suspending production after its breweries were deemed non-essential by the Mexican government.

Mexico has at least 1,500 confirmed coronavirus cases and 50 deaths.

President Andres Manuel Lopez Obrador said that Mexico is now under a health emergency after he was criticized for not responding fast enough to the pandemic.

"Grupo Modelo announces that this Sunday it will complete the process of suspending its production and marketing operations for beer", wrote Grupo Modelo, per a translation of its press release.

Agriculture and food production are among the key sectors which are still allowed to function under Mexican government orders.

Despite the shutdown, Grupo Modelo said that could guarantee a supply of beer if the government will reverse its order and consider breweries as an essential business.

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Mexico's other major beer producer Heineken - which makes the Tecate and Dos Equis brands - could also stop activities on Friday, Mexican media said.

However, Constellation Brands said that their sales weren't affected despite the misconception.

Ironically enough, Corona Beer bears the unfortunate burden of its name being associated with the coronavirus ravaging the world at the moment.

A poll by 5W Public Relations found that out of 737 beer drinkers in the United States, 38 per cent wouldn't buy a Corona "under any circumstances" because of the outbreak. Its sales rose up to 24 percent this March compared to the same period previous year.

Beer and other alcohol are rising in sales this month as Americans are being forced to hunker down in light of the coronavirus.

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