Corn as protagonist: trade tensions between Mexico and the U.S.

The United States Department of Agriculture (USDA) has recently reported the sale of 133,000 tons of corn to Mexico, one of the main importers of this American cereal. This transaction, scheduled to be delivered during the 2024/2025 campaign, highlights the importance of the commercial relationship between both countries in the agricultural sector. Mexico is a significant market for genetically modified yellow corn from the United States, with an investment of nearly $6 billion annually in this product. Despite this, the new Mexican government has declared its decision to abandon the goal of reducing yellow corn imports and achieving self-sufficiency in its production. The dispute between Mexico and the United States regarding corn trade has reached a critical point, being submitted to a dispute resolution panel of the United States-Mexico-Canada Agreement (USMCA). A resolution is expected to be reached in the last quarter of the year, marking a milestone in the commercial relations between both nations. The conflict originated from a decree issued in 2023 by Mexico, which prohibits the use of genetically modified yellow corn for human consumption, especially in the production of products like flour and dough for tortillas, an essential food in the Mexican diet. The United States has argued that this measure lacks scientific basis and goes against the commitments established in the USMCA. On the other hand, Mexico has defended the validity of its decree, ensuring that it does not affect corn imports and allows the use of genetically modified yellow corn as animal feed, as well as for industrial applications. This stance has sparked intense debates between both parties, discussing not only the current regulations but also the economic and social impact of the decisions made. The importance of corn in the Mexican diet and culture cannot be underestimated, being a fundamental pillar in the population's nutrition. Therefore, the implications of policies regarding this product go beyond mere commerce, encompassing identity and food security aspects. In a global context of economic uncertainty and agricultural challenges, the stability in commercial relations between Mexico and the United States becomes even more crucial. Both countries heavily rely on these exchanges to meet domestic demands and maintain an efficient and sustainable supply chain. As the resolution of this dispute approaches, it is essential for both nations to seek avenues of understanding and cooperation to ensure a prosperous and equitable future in the agricultural sector. The ability to find common ground and negotiate mutually beneficial solutions will be decisive in building a lasting and fruitful commercial relationship between Mexico and the United States.