Extortion and gang violence are hitting even big corporations and business leaders in Mexico

Mexican soldiers stand guard outside an Oxxo grocery shop near the Tamaulipas Chamber of Commerce, where its president Julio Cesar Almanza was killed, in Matamoros, Mexico, Tuesday, July 30, 2024. Mexican soldiers stand guard near the Tamaulipas Chamber of Commerce, where its president Julio Cesar Almanza was killed, in Matamoros, Mexico, Tuesday, July 30, 2024.

The company said it had long had to deal with cartel demands that its gas stations buy their fuel from certain distributors. But the straw that broke the camel’s back came in recent weeks when gang members abducted two store employees, demanding they act as lookouts or provide information to the gang.

Cartel violence in Mexico has long been focused on smaller businesses, where owners often visit their shops and are easily abducted or approached by gang members to demand extortion payments. But Femsa is the largest soft drink bottler in Latin America and is listed on the Mexican stock exchange.— an offshoot of the old Zetas cartel — but the problem is starting to hit larger companies nationwide.

In the past, cartels have carried out violent attacks, arson and even killings of those found selling goods that had not been “authorized” by them or bought from distributors they control.

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Extortion and gang violence are hitting even big corporations and business leaders in MexicoEven Mexico's largest corporations are now being hit by demands for protection payments from drug cartels, and gangs are increasingly trying to control the sales, distribution and pricing of certain goods.
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Sheriff's office squash rumors of extortion of local business from deputiesRumors are running rampant online accusing the Alameda County Sheriff's Office of extortion, officials said.
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