LINCOLN, Neb. (DTN) -- The Mexican government on Thursday repealed its ban on genetically modified corn imports from the U.S. after losing an arbitration ruling under the U.S.-Mexico-Canada Agreement, or USMCA, in December 2024.
Mexico declared "ineffective" two sets of measures that the U.S. Trade Representative successfully challenged in the USMCA dispute.
That includes an immediate ban on the use of GM corn in dough, tortillas and an instruction to the Mexican government agencies to gradually eliminate the use of GM corn for other food uses and in animal feed.
The U.S. exported $5.6 billion of corn to Mexico in 2024, which is the largest export market for U.S. corn. In the 2023-2024 season, the U.S. exported a record 24.5 million tons of corn to Mexico, according to the USDA's Foreign Agricultural Service.
The USTR said on Thursday it would "continue to monitor closely" Mexico's compliance with its USMCA commitments to "ensure that Mexico's agricultural biotechnology measures are based on science and provide U.S. corn growers the market access that Mexico agreed to provide in the USMCA."
The U.S. established a dispute settlement panel under Chapter 31 of the USMCA on Aug. 17, 2023, challenging two sets of measures reflected in Mexico's February 2023 presidential corn decree.
The USMCA panel issued its final report on Dec. 20, 2024, and the U.S. prevailed on all seven of its claims. Under USMCA rules, the countries were required to try to agree on a resolution of the dispute within 45 days from the date of the final report.
American Farm Bureau Federation President Zippy Duvall said in a statement that the industry is pleased the dispute was resolved.
"Farm Bureau applauds Mexico's President Claudia Sheinbaum for repealing her country's ban on biotech corn imports from America," Duvall said.
"Her predecessor's attempt to limit trade between the two countries was a clear violation of the USMCA trade agreement which was recently confirmed by a USMCA panel decision. A ban would have hurt hard-working families on both sides of the border. America's famers are dedicated to growing safe and affordable food, and they look forward to continued access to an important trading partner."
Corn Refiners Association President and CEO John Bode said that Mexico's actions were a "strong step" toward restoring U.S. market access for GM corn.
"We are encouraged to see the Sheinbaum administration respect the science-based obligations in USMCA and the USMCA dispute settlement process," Bode said in a statement.
"Science has proven crops produced using biotechnology to be safe and we welcome the opportunity to share American harvests with consumers in search of quality, affordable food. CRA appreciates efforts to resolve bilateral trade irritants so we can work together toward a productive six-year review of USMCA."
Read more on DTN:
"US Wins Corn Case Against Mexico," https://www.dtnpf.com/…
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