Mexico has officially rescinded its proposed ban on biotech corn imports, resolving a trade dispute with the United States under the United States-Mexico-Canada Agreement (USMCA). The move follows a February 2023 presidential decree that faced a legal challenge from the United States Trade Representative (USTR) and has been welcomed by advocates of US corn exports.
On February 5, Mexico formally declared ineffective two measures that had been successfully contested by the USTR through the USMCA. These included an immediate prohibition on genetically engineered (GE) corn in dough and tortillas and a directive for Mexican agencies to gradually phase out GE corn in food production and animal feed.
Council on Foreign Relations
The United States initiated a dispute settlement panel under Chapter 31 of the USMCA on August 17, 2023, challenging these restrictions imposed by the administration of former Mexican President Andrés Manuel López Obrador. The US cited violations under the Sanitary and Phytosanitary Measures Chapter and the National Treatment and Market Access for Goods Chapter of the trade agreement. The panel ruled in favor of the United States on all seven claims in its final report issued on December 20, 2024. Under USMCA provisions, Mexico and the United States were required to resolve the dispute within 45 days of the panel’s decision.
“The United States will 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 US corn growers the market access that Mexico agreed to provide in the USMCA,” the USTR stated.
Industry trade associations in the US hailed the repeal as a positive step in strengthening trade relations. The National Corn Growers Association (NCGA) emphasized the role of advocacy efforts in reaching this outcome. NCGA President Kenneth Hartman Jr. highlighted the significance of Mexico complying with the dispute panel’s findings, stating, “Mexico must comply with the report and eliminate all measures that ban or restrict the trade of genetically modified corn.”
Zippy Duvall, president of the American Farm Bureau Federation, noted that the ban would have negatively impacted farming communities on both sides of the border. “A ban would have hurt hard-working families on both sides of the border. America’s farmers are dedicated to growing safe and affordable food, and they look forward to continued access to an important trading partner,” he said.
John Bode, president and chief executive officer of the Corn Refiners Association, praised the decision as a step toward restoring market access for GE corn. “We are encouraged to see the (Mexican President Claudia) Sheinbaum administration respect the science-based obligations in USMCA and the USMCA dispute settlement process,” Bode stated. “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.”
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