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Mexico’s dairy sector is facing challenges, including the rising cost of many inputs. Consumers are grappling with growing food inflation and importers are affected by rising global commodity costs. However, cheese and milk powder consumption and imports, particularly from the United States, remain strong. This report updates Post’s production, supply, and distribution figures from October 2021.

Assuming normal conditions for open-field cultivation and continued growth in the sector’s use of greenhouse and shade technologies, Mexico’s fresh tomato production for October-September marketing year (MY) 2022/23 is projected to match the official production estimate for MY 2021/22 of 3.7 million metric tons (MMT). Despite abnormally dry conditions in some areas, no major production shortfalls due to weather are present at this time.

Mexico coffee production for marketing year (MY) 2022/23 is projected at 3.84 million 60 kg/bags, on optimal weather conditions during the fruit development stage in the top producing states that will improve yields, and sustained strong global prices that will incentivize optimal harvest.

On May 16, 2022, the Government of Mexico (GOM) published a presidential decree temporarily exempting the payment of import duties on 66 tariff lines covering staple food items and basic commodities for food processing. The tariff suspension is part of the GOM’s recently announced Program to Combat Food Price Inflation and Scarcity (PACIC).

On May 16, 2022, the Government of Mexico (GOM) published a presidential decree temporarily exempting the payment of import duties on 66 tariff lines covering staple food items and basic commodities for food processing. The tariff suspension is part of the GOM’s recently announced Program to Combat Food Price Inflation and Scarcity.

The Government of Mexico (GOM) has announced a program to combat food price inflation and scarcity titled “Paquete Contra la Inflacion y la Carestia (PACIC).” Along with PACIC, President López Obrador announced a plan to maintain “fair prices” for the basic food basket, through a voluntary agreement with the private sector, without the use of mandatory price controls.

Oilseed production is met with mixed expectations in 2022. Total soybean production is forecast to increase slightly due to higher planted area in marketing year (MY) 2022/23. However, the cancellation of federal commercialization support programs...

Mexico sugar production and exports are forecasted forecasted marginally higher for 2022/23.

Mexico cotton production and area planted is forecasted to increase in marketing year (MY) 2022/23, mainly due to high global demand and corresponding high prices. Additionally, drought conditions observed during the planting season over the past two years, has encouraged the planting of cotton over other more water reliant crops.

The 2021 U.S. Agricultural Export Yearbook provides a statistical summary of U.S. agricultural commodity exports to the world.

Mexico is the third largest food processor in the Americas behind the United States and Brazil, and it is in the top 15 worldwide. Moreover, the food industry in Mexico is one of the most dynamic with an average annual growth of 4.3 percent, with a gross domestic product (GDP) contribution of $39.4 billion in 2020.

Mexico’s livestock production is forecast to remains strong; in light of fluctuating feed market conditions, the sector remains profitable.