U.S. demands formal talks with Mexico over GMO corn dispute

The United States has requested formal trade consultations with Mexico over U.S. objections to its southern neighbor's plans to limit imports of genetically modified corn and other agricultural biotechnology products. The U.S. Trade Representative's office announced the request for technical talks on Monday after months of informal discussions with Mexican officials over their plans to ban GMO corn for human consumption failed to satisfy U.S. trade officials.

The consultations are the first formal step toward a U.S. request for a dispute settlement panel under the U.S.-Mexico-Canada Agreement on trade (USMCA) that could ultimately lead to retaliatory tariffs if the dispute is not resolved. "Mexico's policies threaten to disrupt billions of dollars in agricultural trade and they will stifle the innovation that is necessary to tackle the climate crisis and food security challenges if left unaddressed," U.S. Trade Representative Katherine Tai said in a statement.

"We hope these consultations will be productive as we continue to work with Mexico to address these issues." The United States has previously threatened to take the issue to a trade dispute panel under the trilateral agreement with Mexico and Canada over the plan, which would ban genetically modified corn for human consumption.

Washington will do whatever is necessary to ensure U.S. farmers and exporters have "full and fair access" to the Mexican market, U.S. Agriculture Secretary Tom Vilsack said in a statement. "We remain firm in our view that Mexico's current biotechnology trajectory is not grounded in science, which is the foundation of USMCA."

The consultations are requested under USMCA's chapter on food safety, which requires a science-based approach to national regulations. A USTR official said the talks would cover Mexico's planned rejection of GMO corn and other agricultural biotechnology products that have been shown to be safe in the United States and other countries for decades. The dispute threatens "serious harm to U.S. farmers and Mexican livestock producers," the official said.

Mexico's Agriculture Ministry declined immediate comment. The country's Economy Ministry did not immediately respond to a request for comment. Mexico's government has said it believes the disagreement with Washington is politically motivated. Corn for food use comprises about 21% of Mexican corn imports from the U.S., a representative from the National Corn Growers Association said, citing U.S. Grains Council data.

The corn growers' lobby group called on the USTR to expedite the process under the USMCA. "Mexico's position on biotech corn is already creating uncertainty, so we need U.S officials to move swiftly and do everything it takes to eliminate this trade barrier in the very near future," said NCGA President Tom Haag.