Tequila in Mexico", except that it may be diluted with water for bottling in Canada. Similar to the law of Canada, the U.S. law (27 CFR 5.22 (g)) says that tequila must be "manufactured in Mexico in compliance with the laws of Mexico regulating the manufacture of Tequila for consumption in that country". Tequila Tequila () is a regional distilled beverage and type of alcoholic drink made from the blue agave plant, primarily in the area surrounding the city of Tequila, northwest of Guadalajara, and in the Jaliscan Highlands ("Los Altos de Jalisco") of the central western Mexican state of Jalisco.
Agave moisture from rain, condensation and dew. In addition to growing from seeds, most agaves produce 'pups' – young plants from runners. "Agave vilmoriniana" (the octopus agave) produces hundreds of pups on its bloom stalk. Agave leaves store the plant's water and are crucial to its continued existence. The coated leaf surface prevents evaporation. The leaves also have sharp, spiked edges. The spikes discourage predators from eating the plant or using it as a source of water and are so tough that ancient peoples used them for sewing needles. The sap is acidic. Some agaves bloom at a height up to