Mexico farming regulations will strain US trade ties

Significance

Mexico’s position has triggered opposition from producers both within Mexico and in the United States, especially those of the ‘corn belt’ states of Iowa, Illinois and Nebraska. The situation could become a source of long-running tensions between Mexico and its main agricultural trading partner.

Impacts

• If the ban on GM corn prevails, restrictions could be extended to other GM crops.
• The measures could have a negative impact on AMLO’s plan to fight inflation by increasing access to agroindustrial products.
• Mexico would struggle to replace the GM corn imports it has hitherto received.