The food and beverage subsector represents approximately 47.7 percent of Guatemala’s industrial GDP, representing one of the most significant economic activities in the country. In 2024, the food and beverage industry consolidated its position as the leading exporting sector. In the first quarter, exports reached USD 1.1 million, representing 16.5 percent of total Guatemalan exports. Guatemala produces a wide variety of processed food and beverage products, covering various categories and intended for both domestic consumption and export.

The areas with the most growth potential for the food processing industry are the following:

Industry Products

• Beverages: Coffee, rum, fruit juices, and soft drinks
• Snacks and confectionary: Candies, chips, baked goods, and cookies
• Canned and packed goods:  Sauces, soups preserved fruits and vegetables
• Dairy products: Yogurts, artisanal cheeses (fresh), processed cheeses, ice-cream, butters
• Bakery products: Pancake mixes, cookie pre-mixes, and bulk cake flours

The industry faces challenges such as rising input costs and the need to adapt to global sustainability and health trends. However, it also presents significant opportunities in product innovation, expansion of international markets and adoption of advanced technologies to improve efficiency and quality. In summary, the food and beverage processing industry in Guatemala continues to be a key sector for the national economy, with robust performance in exports and a constant commitment to innovation and sustainable growth.

Overview of the Consumer-Oriented Sector 

Table: Main suppliers of processed products to Guatemala:

Source: Trade Data Monitor (www.tdm.com)
 

Leading Sub-sectors

Processed Meats  

The processed meats sector in Guatemala is experiencing notable growth with retail value sales expected to rise by 1 percent in 2024 reaching USD 1.1 billion. Leading this market is Embutidos Bremen, S.A., accounting for over a third of total sales. The company offers a diverse range of processed meat products, available in both traditional and modern grocery retailers showcasing the company’s ability to cater to diverse consumer preferences. As high-end stores are expanding their selection incorporating value-added products, including those featuring organic ingredients and those free from nitrates and additives. However, Guatemala’s market remains price-sensitive where consumers prioritize affordability.

In this competitive landscape, Empacadora Toledo stands out as the second-largest meat processor in the country. The company offers a variety of processed beef, pork, and chicken products, with a nationwide presence. Notably, its ready-to-eat frozen chicken items, such as nuggets and wings, are especially popular among younger consumers seeking convenience. 

Despite the growing interest in frozen processed meat, this segment remains the smallest due to a lack of freezers in traditional retail channels. While modern grocery stores have the necessary equipment to handle frozen goods, they primarily cater to middle-to-upper-income shoppers. Within this niche, frozen burgers are a favorite for Sunday family barbecues. To meet this demand, local food service companies are launching their own frozen burgers, enabling consumers to recreate restaurant-quality meals in the comforts of their homes.

Bakery Products  

Guatemala is the largest market in Central America for U.S. wheat and is unique in the region for its domestic wheat production, estimated at 5,000 MT. However, local production does not compete with U.S. wheat imports, which totaled USD 72M in 2024. The reliance on imported wheat highlights the importance of trade relationships with the U.S. in meeting the nation’s demand for high-quality wheat products. 

Guatemala’s wheat milling industry is dominated by three major players: Molinos Modernos, MOLSA, and Grupo Centia. These companies play a crucial role in the processing of wheat and the supply of flour to the local market. Guatemala’s annual per capita consumption of baked goods is 40 kg. Bimbo remains the leading bread producer in Guatemala, although artisan bread manufacturers also hold a significant share of the market. A local brand, INA, produced by Molinos Modernos leads the pasta sector and exports to various Central American countries. Guatemala’s top cookie brand in Guatemala is GAMA with Mondelez dominating the Central American market. 

Bread is a staple component of the Guatemalan basic food basket, with an annual per capita consumption of baked goods reaching 40 kg. Within this category consumers regularly enjoying artisanal varieties such as pan francés (French bread) and pan dulce (sweet bread) during their daily meals. Local bakeries, predominantly small and family owned, play a vital role in the distribution of bread. Bread is mostly sold through typical bakeries usually located in residential neighborhoods for easy access throughout the country. Additionally, foodservice companies have entered the market, blending gourmet bakeries with restaurant services. 

Multinational companies maintain robust distribution networks, ensuring that both grocery stores and small corner shops are well supplied. The emergence of delivery service platforms and social media-based ordering has allowed larger bakeries and cake businesses to expand their reach significantly. 

Guatemala is an active player in international trade concerning bakery products. In 2024, the country imported bakery items worth USD 365M while exported USD 361M. The primary export markets include other Central American countries, the Dominican Republic, Mexico, and the United States, indicating Guatemala’s strategic importance in regional trade.

Dairy Products  

In 2024, Guatemala reached a significant milestone in its dairy products market, with imports of U.S. dairy products surging to a record USD 12M. This marks a 14 percent increase compared to 2023. Guatemala’s dairy market has seen remarkable growth, driven primarily by imports of various dairy products. The top-selling dairy products in the Guatemalan market include fresh, UHT, and powdered milk; butter; processed and fresh cheese; yogurt; heavy and sour cream; ice cream; whey; and casein for dairy processing. The surge in imports reflects growing consumer preferences and demand for driver dairy offerings. 

Guatemala has a well-established dairy industry that benefits from favorable weather conditions conducive to milk production. The country’s primary dairy companies include: Pasajinak, Parma, and Trebolac. These companies play an essential role in supplying both milk (fresh and powdered), fresh cheese, and heavy cream, which are integral components of the Guatemala’s basic food basket alongside other 10 products categories. 

There is a shift in consumer preferences toward dairy products that offer added-valued benefits, such as”: increased protein content, lactose-free options, lower fat, organic ingredients, and clean labeling. This trend indicates a growing health consciousness among consumers, creating opportunities for dairy producers to innovate and diversify their product lines. However, despite the strengths of the Guatemalan dairy industry, certain challenges impede its growth. One significant issue is the lack of refrigeration in small corner stores and rural households, which restricts the distribution and availability of dairy products. This limitation can lead to spoilage and waste, further hindering consumer access to dairy items. With strategic focus and investment, Guatemala can continue to strengthen its diary industry while meeting the diverse needs of its consumers.

Web Resources

U.S. Department of Agriculture, Foreign Agricultural Service in Guatemala: www.fas.usda.gov
Search engine for USDA reports 2024: https://gain.fas.usda.gov/ which includes reports updated annually such as Food and Agricultural Import Regulations, Exporter’s Guide, Retail Report, Hotel, Restaurant, and Institutional Report, and Food Processing Report.

Trade Shows

Third Convention of the Food & Beverage Industry:  The third edition of the International Convention of the Food and Beverage Industry is a space where topics of interest to the sector will be presented with high-level international speakers to promote a favorable business industry. Companies will be able to consolidate their position in the national and regional market through the exposure of their brands, corporate image and the quality of their products. In addition, suppliers, marketers and investors, who want to generate new opportunities, will be able to use this space as a platform and boost their businesses to another level. This is a every two years activity, and the next event will take place in 2027. 

Feria Alimentaria: This is the largest food show in Guatemala with approximately 200 stands with local companies that exhibit and promote food products, services, packing, and equipment for the restaurant and hotel industries.  The show is also used to address end consumers, introducing new products into the market. During the show there are chef competitions and cooking presentations. 

Contact Information  
Interested parties may contact Marketing Specialist Edith Vasquez at VasquezE@state.gov