Mexico’s largest companies are facing increasing demands from drug cartels who are seeking to control the sale, distribution, and price fixing of various products. This problem doesn’t discriminate the most recognized business leaders either.
The president of the Federation of Chambers of Commerce of the State of Tamaulipas, Julio Almanza, was killed after denouncing in a television interview the extortions of cartels, describing the situation as a national sport in the state.
The problem reached a critical point when FEMSA, the administrator of OXXO, announced the closure of its 191 stores and seven gas stations in Nuevo Laredo due to violence. FEMSA had faced demands from cartels to buy fuel from specific distributors and recently two employees were kidnapped to gather information.
This situation reflects how the cartels see convenience stores as strategic points to monitor movements of law enforcement and rivals. The cartels have also expanded their influence beyond small businesses, affecting large corporations in sectors such as agriculture, fishing, mining, and consumer goods.
A survey by the Chamber of Commerce revealed that 12% of its members have seen their operations partially controlled by organized crime. Companies reported attacks on trucks and demands for extortion, dedicating up to 10% of its budget to security. FEMSA reported that it is in conversations with authorities to guarantee the safety of its employees and reopen its stores in Nuevo Laredo. This situation isn’t isolated.
Cartels have entered legitimate businesses and controlled exports such as iron ore in Michoacán. They’re also accused of manipulating crop prices and implementing illegal internet systems in local communities, charging high rates under threat of violence. President Andrés Manuel López Obrador has made recommendations to FEMSA. Suggesting hiring security guards, installing panic buttons and surveillance cameras.
However, his government’s strategy has been to avoid direct confrontations with cartels, leaving businesses and the population under constant threat. This approach highlights the urgent need for more effective measures to combat the growing influence of organized crime in the Mexican economy.
* FEMSA is a company that generates economic and social value through businesses and institutions and seeks to be the best employer and neighbor in the communities where it operates. It participates in the retail industry through the Americas Proximity Division, which includes OXXO, a chain of small-format stores, and other related retail formats
Sources: Sin Enbargo Al Aire, Cartel Insider
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