Mexico to Proceed with GMO Corn Ban

Mexico says it is on track to halve its U.S. imports of yellow corn and will look to make direct deals with farmers in the U.S., Argentina and Brazil who produce non-GMO corn to secure the remaining supplies.

Corn Harvest, Lindsey Pound
Corn Harvest, Lindsey Pound
(Lindsey Pound)

Mexico doesn’t plan to amend its ban on GMO corn imports that starts in 2024.

Deputy Agriculture Minister Victor Suarez told Reuters Mexico is on track to halve its U.S. imports of yellow corn via increased domestic production and will look to make direct deals with farmers in the U.S., Argentina and Brazil who produce non-GMO corn to secure the remaining supplies.

“There are many alternatives to importing non-GMO yellow corn from the United States,” Suarez said.

This appeared to reverse assurances Ag Minister Victor Villalobos made to USDA Secretary Tom Vilsack last year, that Mexico would not limit imports of GMO corn from the United States.

Suarez said he did not believe Mexico’s decree presented any violation of the U.S.-Mexico-Canada Agreement (USMCA), saying the country was “under no obligation to buy and grow GM corn.”

Biden’s Next Steps

Pressure on Biden administration continues to come for them to launch a complaint under the USMCA over Mexico’s crop provisions that U.S. lawmakers and U.S. corn growers fear could lead to them losing an important market.

Meanwhile, Sen. Chuck Grassley (R-Iowa) again tweeted on the issue.

“It’s long overdue for Pres Biden & USTR to use USMCA to challenge Mexico on their threat of banning GMO corn + start believing what Mexico has been saying all along Pres Biden stop being weak This game of chicken will cost Iowa farmers big time,” he said on Twitter.

The U.S. has challenged Canada’s implementation of dairy tariff rate quotas (TRQs) under USMCA, winning a decision via dispute settlement provisions, but the U.S. has also charged that Canada’s subsequent action to resolve the situation still did not meet terms of USMCA.

More on trade:

USMCA Disputes Run Ramped Again, This Time with Mexico
Saudi Arabia Accuses Unnamed Countries of Using Emergency Oil Reserves to Manipulate Markets
U.S. Diesel Crisis Lingers as Europe Prepares for Russian Oil Ban

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