by Nallely Garza (Navarro), Business Development Manager at Prodensa
If you're a foreign food manufacturer evaluating expansion opportunities, whether through a greenfield investment or a brownfield site renovation, the food industry in Mexico presents one of the most strategic and sustainable options in North America.
Mexico: A Proven Destination for Food Industry FDI
Mexico has long been a top recipient of foreign direct investment (FDI) in the food industry. According to Mexico’s Ministry of Economy, the country attracted over $16.7 billion USD in FDI for the food sector between 1999 and March 2020—accounting for 2.8% of total national FDI during that period.
The leading sources of food-related FDI include:
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United States (59%)
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Switzerland (16%)
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Netherlands (6.5%)
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United Kingdom (4.3%)
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Japan (3%)
Key Mexican states attracting this investment are Mexico City, Jalisco, State of Mexico, Nuevo León, Guanajuato, and Puebla—each offering a unique combination of infrastructure, logistics, and consumer market access.
Greenfield vs. Brownfield: What's Best for Food Manufacturers in Mexico?
The COVID-19 pandemic brought renewed scrutiny to the resilience of food manufacturing operations, highlighting the need for flexible, hygienic, and scalable facilities. As reported by Food Engineering Magazine, many companies are reassessing their physical operations to ensure continuity in future disruptions.
This has led many food companies—especially in dairy, meat, and large-scale packaged goods—to favor greenfield investments over brownfield renovations. Here’s why:
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Greenfield sites allow customized facility design, streamlined workflows, and minimized contamination risk.
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Brownfield sites, while potentially more cost-effective up front, may not align with new sanitary standards and can come with layout constraints or legacy issues.
Investing in automation, innovation, and spatial efficiency is now a priority. Greenfield expansions in Mexico enable companies to build with long-term adaptability and food safety in mind.
Strategic Advantages of the Food Industry in Mexico
Mexico offers several strategic benefits to global food producers:
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Proximity to major consumer markets in the U.S. and Latin America
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Extensive trade network, including the USMCA, allowing duty-free access to North American markets
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Skilled labor force with a growing number of food technologists and engineers
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Abundant agricultural base and competitive utility and labor costs
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Modern industrial parks and logistics infrastructure supporting cold chain and export operations
For companies balancing cost-efficiency, quality, and market access, the food industry in Mexico is a highly competitive location.
Free Food Industry in Mexico Report
For a deeper look into market entry strategies, investment models, and location comparisons tailored for food and beverage companies, explore:
👉 Doing Business in Mexico - Food Industry Edition