Cane sugar Mexican Coca-Cola may be endangered?

Hi,

Last night while driving into the city for dinner, I was listening to a Wall Street market report. They mentioned a surge in Archer Daniel Midland's stock due to potential sales of corn fructose to the Mexican beverage industry. I tried to locate a related news story and found the following:

Corn Products International, press release of October 19, 2004 wrote:"Going forward, we continue to be optimistic that a solution will be found to the Mexican tax on high fructose corn syrup (HFCS). Late in the third quarter, our shipments of HFCS to beverage accounts increased. If this increase continues, we expect our performance for the year could be somewhat stronger than forecast in our updated guidance

From the news story on the radio it suggested this trade barrier has been dropped. If so, then Coca-Cola bottlers in Mexico will very likely make the switch. We may be enjoying this period of sugar cane colas ONLY because of this trade barrier. Maybe cane sugar was present not due to local taste preferences, rather to import taxes on the alternative sweetener.

Most mexican coca cola is currently using a mixture of sucrose and corn syrup anyway. Some are corn syrup only already.

Ed Fisher wrote:Most mexican coca cola is currently using a mixture of sucrose and corn syrup anyway. Some are corn syrup only already.

Hi Ed,

I have seen the sticky labels on the Mexican Coke with fructose/corn syrup specified as the sweetner. I was advised the fructose, though mentioned, was not present. The label was there to appease the authorities fructose was used when it was cane sugar (sucrose, isn't it?).

So if your information is true, then why does it taste and react differently from the domestically produced colas, which we know has fructose? Is it psychological on our part hoping to find 1970's cola in these Mexican imports?

What do you think?

In the "OLD" days twenty or so years ago when I was in the business, I was not allowed to purchase Coke (in cans) from my primary vendor in Maryland. I was required to buy from the local bottler as that firm had the license to sell Coke in the area my operation was at. I am a bit surprised that the local bottlers have not made an effort to eliminate the import of the Mexican product.

jlawrence01 wrote:In the "OLD" days twenty or so years ago when I was in the business, I was not allowed to purchase Coke (in cans) from my primary vendor in Maryland. I was required to buy from the local bottler as that firm had the license to sell Coke in the area my operation was at. I am a bit surprised that the local bottlers have not made an effort to eliminate the import of the Mexican product.

They have, but since it's not a counterfeit product, they can't generally get the government involved. The bottlers from mexico aren't selling in the US, it's all third party distributors.

Cathy, see http://www.philly.com/mld/inquirer/news ... 405.htm?1c for a mention of corn syrup being used instead of sucrose sometimes. Beet sugar is also sometimes used.

One other difference may simply be formula differences. Coca Cola claims they use the same formula everywhere, but I doubt it.

-ed

Hi,

Today, I spent the day trudging around McCormick Place learning about the business side of food. In my last breath of energy before accepting a ride home, I saw a Coca-Cola marquee not too far from the section I was checking out. Despite my interest in walking the least amount, I detoured to Coca Cola.

I gratefully took my full cup of Coca-Cola with ice, then asked the server whom can I talk to about the business-side of Coke. She pointed out one gentlemen who might want to help. I introduced myself, then inquired if Mexican Coca Cola was really sweetened by corn-syrup (citing the lobby), by cane sugar or a mixture of both. He said the Mexican market prefers a sweeter Coca-Cola, so they use a mixture of both. I then relayed how people from our website actively seek out Mexican Coca Cola, which has been referred to as 1970's Coke. I wondered if, despite the corn syrup lobby, there would be a chance of a regularly available sugar-cane sweetened Coke. I especially underlined this idea by advising people covet the Kosher Coke they find at this time of year.

I learned the Hispanic population of the USA is projected to be 25% by 2050. Coke is considering targeting product for various minority demographics, like the Mexican Coca-Cola. I then mentioned the Indian Coke product Limca, which can be found here in Chicago in India town as well as at some Indo-Pak restaurants. They were at first surprised I was aware of the relatively obscure Coke product, then I learned the syrup is made in the USA and shipped to India. They are considering bottling limited quantities in the USA for these ethnic-Indian population centers.

Of no surprise, the importation and distribution of Mexican Coca-Cola is unofficial and causes some problems with local bottlers. Though they understood the difference in taste and having something familiar from home drove this market.

To further underline the pleasures of cane sugar sweetened colas, I told them there is exactly one Dr. Pepper plant in the United States who uses cane sugar. I have had a bottle on my desk for over six months (thanks SteveZ), which I prize. I haven't drunk it because once it is gone, it is gone. I told him I am not alone in prizing this singular opportunity of a sugar cane sweetened Dr. Pepper.

I gave them our website url advising them to do a search for Mexican Coke and they will find posts supporting my opinion.

Sometimes you have to give fate a little push!

Regards,

On a related note:

The Atlanta Business Chronicle reports that PepsiCo has filed a lawsuit against the Diaz Wholesale & Manufacturing Co. in Atlanta, charging that the company is illegally importing Pepsi from Mexico. Pepsi says that the imported product may be flat because of how it has been transported, plus says that Mexican bottling procedures do not live up to US standards.


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