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Brazil and Mexico ink Tequila-Cachaça Agreement

The Brazilian and Mexican governments have concluded negotiations to “recognise and protect” Tequila and Cachaça.

Brazil Cachaca
The Cachaça and Tequila categories could be set for a boost following a new bilateral GI agreement between Brazil and Mexico

Under the agreement, only cachaça produced in Brazil can legally be sold in Mexico. The same rules will apply to Mexican Tequila sold in Brazil.

In a statement on its website, the Brazilian government says the Tequila-Cachaça Agreement recognising geographical indication (GI) ensures the two countries are protected against “unfair competition”.

“The agreement also contributes to the expansion of world recognition of cachaça and Tequila,” said Tatiana Palermo, international relations secretary at the Ministry of Agriculture (from translation).

The Tequila-Cachaça Agreement, which provides for a working group to discuss issues including the misuse of ‘Tequila’ and ‘cachaça’ names, still needs to be ratified by the governments of both countries.

Negotiations took place during the third Brazil-Mexico Bi-national Commission, which took place in Mexico City this week.

According to the Tequila Regulatory Council, 2015 Mexican drinks exports to Brazil totalled 1.3 million litres, valued at US$8 million. Cachaça exports to Mexico reached US$65,000 on 40,000 litres.

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