agricultural · input

Blue Weber Agave (Tequila)

Agave tequilana (Blue Weber variety) legally required for tequila production; grown only in Jalisco and 4 other Mexican states; 6-8 year growth cycle makes supply inelastic to demand spikes; 2021-2022 shortage caused massive price spikes

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Source countries

3

Companies

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Goods affected

0

Claims on record

What depends on it

Goods that need this input

1 essential American goods rely on blue weber agave (tequila) somewhere upstream in their supply chain.

Where it comes from

Source countries

Share of global supply, by country.

CountryShare of supply
MXMexico100%

Who makes it

Supplier companies

3 companies produce blue weber agave (tequila).

Grupo Cuervo (Jose Cuervo / La Rojeña)

HQ MX20% share

Grupo Cuervo (Guadalajara Jalisco Mexico; family-owned by the Beckmann family descendants of Jose Cuervo; ~$2B+ tequila revenue; José Cuervo is the world's best-selling tequila brand) is the world's largest tequila producer and a major Blue Weber agave grower. Grupo Cuervo's La Rojeña distillery in Tequila, Jalisco (established 1758 — making it the oldest continuously operating tequila distillery in the world) and associated operations own approximately 25 million+ agave plants. Grupo Cuervo controls Tequila Cuervo 1800, Don Julio (acquired 2014 in swap with Diageo for Bushmills Irish Whiskey), and Maestro Dobel. Don Julio was actually founded by Don Julio González-Frausto Estrada in the Los Altos highlands of Jalisco (2,400m elevation) — producing highland agave with higher sugar content than lowland Tequila Valley agave. Grupo Cuervo's vertical integration (agave plantation ownership + distillation + brand marketing) gives it supply chain security that brands dependent on contracted agave farmers lack.

Patrón Spirits Company (Bacardi Limited)

HQ MX8% share

Patrón Spirits Company (Atotonilco el Alto, Los Altos de Jalisco Mexico; owned by Bacardi Limited since 2018 acquisition for $5.1B; previously privately held by John Paul DeJoria and Martin Crowley since 1989) is the #1 premium tequila brand globally by value. Patrón uses only 100% Blue Weber agave piñas from Los Altos highlands of Jalisco — the high-altitude region where agave grows slower (longer maturation = higher sugar content) and produces a distinctive citrus-forward flavor profile. Patrón's Hacienda Patrón distillery employs traditional tahona (volcanic stone wheel) and roller mill extraction and uses exclusively artisan fermentation and distillation processes. Patrón's acquisition by Bacardi for $5.1B in 2018 was the largest tequila acquisition in history at the time — demonstrating the premium tequila market's value creation.

Tequila Herradura (Brown-Forman Corporation)

HQ MX6% share

Tequila Herradura (Amatitán, Jalisco Mexico; owned by Brown-Forman Corporation USA since 2007 acquisition for $776M) produces Herradura and El Jimador tequila brands. Herradura's Casa Herradura distillery has been continuously operating in the Tequila Valley since 1870 — using agave from its own plantations (Herradura owns approximately 2,000+ hectares of agave fields in Jalisco). Herradura pioneered the reposado (rested) tequila category in 1974, introducing 45-day oak aging to premium tequila before aging was common. Brown-Forman's acquisition of Herradura was part of the same spirits portfolio strategy that owns Jack Daniel's Tennessee Whiskey — giving a Kentucky whiskey company both US and Mexican spirits heritage.