03/20/2026
The History of Agave
Long before the colonial era, the indigenous peoples of Mexico’s central plateau, notably the Aztecs, were already consuming a fermented beverage made from agave: pulque. Distillation at this point was still unknown on the continent.
The arrival of the Spanish conquistadors in the 16th century marked a decisive turning point. Running out of brandy, they adapted European distillation techniques to local resources, giving rise to mezcal, the direct ancestor of tequila. The term “mezcal” comes from the Nahuatl word “mexcalli,” meaning “oven-cooked agave.” At the time, several varieties of agave were used to produce this traditional spirit.
Until the 19th century, the term “mezcal” still referred to all spirits distilled from agave. However, tequila began to stand out thanks to its unique production process, its geographical origin, and the exclusive use of blue agave. With improvements in stills and the expansion of the railroad, tequila became a major export product, especially to the United States at the start of the 20th century.
In 1974, the Mexican government established the Appellation of Origin (AOC) for tequila, restricting its production to five states: Jalisco, Nayarit, Guanajuato, Michoacán, and Tamaulipas. This legal protection regulates its production and ensures its authenticity. Mezcal, in turn, received its own AOC in 1994, twenty years after tequila.
Since the 1990s, tequila has experienced tremendous global growth, driven by the rise of premium and craft bottlings that highlight traditional methods.
The global tequila market size was estimated at USD 10.53 billion in 2023 and is projected to reach USD 19.73 billion by 2030, growing at a CAGR of 9.5% from 2024 to 2030. A significant driver is the increasing demand for premium and artisanal tequila. Consumers are shifting their focus toward quality over quantity, with many willing to pay more for high-quality, 100% agave tequilas.
