The United States won a trade dispute with Mexico, which sought to ban the import of genetically modified (GM) corn. Mexico is the largest importer of U.S. corn, most of which is modified, purchasing about $3 billion annually.
Mexico’s Department of Economy said it disagreed with the decision of the panel of experts convened under the North American Free Trade Agreement, known as Usmca, but said it would respect the decision. “The Mexican government does not agree with the panel’s conclusion, as it considers that the measures in question are in line with the principles of protecting public health and the rights of indigenous communities,” said the Mexican Department of Economy. “However, the Mexican government will respect the decision.”
The corn purchased by Mexico is mainly used to feed livestock, but the Latin American country has announced plans to ban the use of the genetically modified grain for human consumption in 2020, including a possible future ban for animal feed as well. Corn consumed by humans in the country is almost entirely white and produced domestically, although processed products such as corn tortillas may contain GM corn.
The US government formally requested the dispute resolution panel in 2023, while Mexico stated that “the measures under debate did not affect trade” and did not violate the trade agreement.
The Office of the US Trade Representative (Ustr) said yesterday that the panel agreed with the US on all legal issues, “concluding that Mexico’s measures are not based on science and undermine the market access that Mexico agreed to provide in Usmca”.
In early 2023, Mexico’s Department of Economy issued new rules that removed the date for replacing GM corn imports for feed. The new rules state that Mexican authorities will carry out “gradual replacement” but do not set a date. Potential health issues will be the subject of study by Mexican experts “with health authorities from other countries”, he concluded.
