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Concern for canola exports to Mexico

There’s a chance that Mexico’s dispute with America about genetically modified corn could spread to other crops.
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In 2022, Mexico was Canada’s third largest market for canola. It imported $1.2 billion worth of canola seed and $436 million worth of canola oil.

WESTERN PRODUCER — Mexico has become more hostile to genetically modified crops, agricultural innovations and pesticides, which could jeopardize Canadian ag exports to Mexico, says a biotechnology expert from the University of Saskatchewan.

Given changes in policy, there’s a chance that Mexico’s dispute with America about genetically modified corn could spread to other crops.

“It would be very prudent for the Canadian canola sector to be on top of what’s going on between the States and Mexico over corn,” said Stuart Smyth, a U of S agricultural economist.

“Mexico has demonstrated a willingness to try and prevent Bt cotton. They’ve got GM corn clearly in their sights. I think the canola export sector and the entire canola sector has to be very worried about Mexico’s ag and trade policies and the direction they’re heading in.”

For most of 2023, Mexico and the United States have been locked in a political battle over GM corn.

In February, Mexico announced a ban on GM corn use in tortillas and dough, with a plan to gradually substitute the use of biotech corn in all products for human consumption and for animal feed.

The U.S. pushed back against that decision and tried to convince the Mexican government to alter its position, to no avail.

On Aug. 17, the U.S. announced it would use the dispute settlement panel in the U.S.-Mexico-Canada Agreement (USMCA), to challenge the ban on GM corn.

“Mexico’s measures are not based on science and undermine the market access it agreed to provide in the USMCA,” the Office of the U.S. Trade Representative said in a statement.

Smyth, who studies agricultural innovation and the regulation of ag technology, is concerned that Mexico’s policies have become more like Europe, where environmental organizations seemingly dictate policies around GM crops and pesticides.

As examples, Mexico hasn’t approved new Bt cotton varieties for several years. The government has also been phasing out the use of glyphosate, the most common herbicide in the world, and is planning a complete ban in March.

Last fall, the national legislature studied a bill that would prohibit 183 pesticides and encourage use of biological products, Reuters reported.

“Mexico, their regulations (were) solidly science-based,” Smyth said. “(But) in the past decade they’ve become very European, where they are precautionary based. Scientific evidence and data doesn’t play much of a role in Mexico’s current regulatory and policy framework.”

If Mexico’s rejection of ag technology continues, it could target other GM crops.

In 2022, Mexico was Canada’s third largest market for canola. It imported $1.2 billion worth of canola seed and $436 million worth of canola oil.

“Mexico is an important and valued market for Canadian canola. It’s Canada’s largest agri-food export to (Mexico),” said Chris Davison, Canola Council of Canada president and chief executive officer. “They have a well-established processing and crushing industry.”

Like Smyth, Davison is concerned that Mexico is moving away from science-based policies for agriculture technologies.

 “There have been challenges to regulatory predictability in Mexico over the last few years that have impacted multiple crops. That was reflected in the queue of ag biotech products in their regulatory system,” he said.

“There have recently been some actions to address that, but we’re unsure about potential future direction.”

The outcome of the U.S-Mexico dispute over GM corn may alter future Mexican decisions around agriculture and biotechnology.

The Canadian Canola Council is closely following the dispute panel to see if there are implications for future ag biotech approvals for non-corn crops.

“What we’re looking for is reassurance,” Davison said. “Assurance of a clear and timely and predictable science-based approach.”

He didn’t mention it directly, but Mexico’s opposition to ag technology could have implications for plant breeding innovations like gene editing.

If a gene-edited canola is developed for Canadian farmers, there’s a chance Mexico would not approve the technology or the trait. That could hinder canola exports to Mexico.

Such a scenario is hypothetical, but the risks are real when a country abandons science-based policies.

“There still remains some lack of clarity and certainty about Mexico’s regulatory approach moving forward,” Davison said. “Without that, there’s a concern that similar issues could arise in the future.”

Contact [email protected]

 

 

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