The Real Thing
There’s a delightful trademark law story in today’s Wall Street Journal. Some pockets of the United States are awash in imported “Mexican Coke” — Coca-Cola produced legally in Mexico. The reason is this: “Mexican Coke” is still produced with cane sugar, rather than the corn syrup now used in the U.S. There’s nostalgia at work among Mexican immigrants to the U.S., but the cane sugar-based product tastes different, too. A snippet from the WSJ:
Mexican-made Coke is such a popular taste of home for many immigrants that Las Tarascas sells about 20 cases a week, or nearly 500 12-ounce bottles at $1.25 apiece. “It’s what they grew up with,” says Mr. Carvallo. Meanwhile, he sells fewer than five cases a week of the cheaper U.S. version, in cans and plastic bottles on a nearby shelf after his Mexican supply is gone. (A plastic 20-ounce bottle of U.S. Coke sells in some parts of the country for about $1.)
Coke from south of the border is a big business, fueled by the Hispanic population, the fastest growing minority group in the U.S., and soda connoisseurs drawn to its taste and the old-time look of the iconic bottle. Fans insist the Mexican cola, made with cane sugar, has a better “mouth feel” than the U.S. formula. U.S. bottlers switched from cane sugar to high-fructose corn syrup in the 1980s to cut costs.
Coke claims that importing “Mexican Coke” violates U.S. trademark law, and it may be right. But here’s where the case gets fun.