The trade dispute between the United States and Mexico over corn ignites. The Joe Biden government said on Monday (03.06.2023) that it will take steps to challenge the Mexican government’s ban on introducing genetically modified corn from the US to Mexico.
The center of the conflict resides in the fact that Mexico wants to gradually curb the use of transgenic corn, as well as the herbicide glyphosate until 2024. But the US considers that the export limitations introduced by decree by Mexico -which only refer to human consumption of transgenic maize – are not based on scientific knowledge. And it is a multimillion-dollar business in which transnational business groups participate.
In 2022, Mexico imported nearly $6 billion worth of corn from the United States. It is, after China, the second largest market for corn in the US, a country where the majority of genetically modified corn is grown.
Will there be customs fines?
“Mexico’s policies threaten to disrupt a multi-billion dollar agricultural trade and will nip in the bud the innovations needed to address the climate crisis and food security challenges,” US Trade Representative Katherine Tai said in a statement. release.
The technical consultations already requested by the United States to Mexico are the first step in a process that could lead to the northern neighbor filing a formal lawsuit against Mexico. The parties must meet within 30 days to discuss the matter. If no agreement is reached, the US can seek a separate resolution under the North American Free Trade Agreement., which includes Mexico and Canada. If that were to fail, too, the US could apply customs fines to Mexican products. There were already government consultations in the US on the subject five months ago.
The US National Corn Growers Association has described the impending import ban on GM corn as “catastrophic” and said GM corn is safe for human consumption. The president of Mexico, Andrés Manuel López Obrador, justified the prohibition for human consumption alleging health risks. There is “no individual, group or economic interest,” he said.
Search for solutions
The Mexican government tries to meet Washington’s demands by making adjustments to a previous decree, from 2020, and relaxing the restrictions. Mexico said it would allow imports of genetically modified corn for animal feed and industrial uses, but not for human consumption. The new decree is strictly limited to corn, and does not affect other crops, such as rapeseed, cotton or soybeans, although it does also entail a decrease in the use of glyphosate. Establishes a transition period for the implementation of the planned measures until March 31, 2024.
But for the US, that’s not enough. About 90 percent of the corn grown in that country is genetically modified, making it resistant to herbicides and insects. Those in favor of the Mexican ban fear, on the other hand, that the introduction of transgenic maize may endanger native species.
The Mexican Ministry of Economy reiterated that the decree is intended to “ensure that Mexican tortillas are produced with native corn to guarantee the preservation of the biological diversity of more than 64 varieties of corn, of which 59 are endemic.”
