South Plains corn producers worried about possible regulations from Mexico

LUBBOCK, Texas (KCBD) - Texas corn producers worry that an executive order in Mexico could have a serious negative impact on exports.

2022 was a tough year for farmers and 2023 is already sowing fear about what’s coming next across the border.

“President of Mexico, several years ago, issued an executive order that there would be no more GMO corn in Mexico,” the director of the Texas Corn Producers Association, Joe Reed, said.

The USDA released its World Agricultural Supply and Demand Estimates monthly report Thursday. It shows corn exports are projected to drop by 150 million bushels this year. The USDA blames the slow pace of shipments in December, and the lowest level of outstanding sales in early January since the 2019/2020 marketing year.

Reed says without the United States-Mexico-Canada Agreement (USMCA), exports are going to be lower.

“Mexico’s if not the largest, one of the top one or two exporting partners,” Reed said. “So, Texas farmers will be hurt most if he stays with that.”

The monthly report from the USDA shows that a bushel of corn costs $6.70 on average. Reed says that price could change if an agreement isn’t reached in favor of the farmers in Texas.

“So, price is where a farmer will get hurt,” Reed said. “If Mexico follows through and does not buy any more corn, that will have to drive the price down.”

Lubbock Congressman Jodey Arrington wrote to President Biden when Biden went to the North American Leaders Summit on Monday. Arrington encouraged President Biden to highlight the significance of the USMCA agreement at that meeting.

“The passing of USMCA was a huge win for America and advanced the interests of our farmers, ranchers, and workers across the country,” Arrington wrote.

The full letter Arrington wrote to Biden can be found here.

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