Victor Hugo Roldan, the chief of emergency services and firefighters in Jalisco state, told Reuters the blast occurred in a 500,000-litre tank at the plant, and the resulting fire was put out by company personnel.
At least two other tanks at the facility, operated by the world's largest tequila maker Becle, also collapsed, he said.
In a statement, the company confirmed the death toll from the accident at its Rojeña plant, adding that several other workers were injured.
The explosion in one tank triggered a fire in three others, according to a statement from emergency services released later on Tuesday. The cause of the blast remains unknown.A photo of the aftermath of the explosion released by emergency services showed a large metal tank emblazoned with the Cuervo logo collapsed on its side.
The town of Tequila, home to several distilleries of the agave spirit, is a popular tourist destination about an hour's drive northwest of Guadalajara, Mexico's second largest city.