One of the most popular liquors right now is tequila. No surprise, seeing as how most margaritas are served in punch bowls. But that may change very soon. Due to increased demand and soaring agave prices, Mexico is facing a tequila shortage through 2021. Start saving up, margarita happy hour is about to get a lot more expensive.
Tequila is made from agave, a desert cactus that is harvested somewhere between it’s eights and fourteenth year of growth. That means the tequila we are drinking now was planted over a decade ago when demand was much lower than it is today. As a result, agave prices have increased six-fold in recent years according to a recent Reuters report.
As the United States is the top consumer of tequila, we stand to see the greatest effects of the shortage.
Lean times will extend for at least the next three years. But in that time, many smaller companies may not be able to make ends meet. So start stocking up on your favorite bottles because they will only get a lot more expensive in the near future.