Mexico Loses GMO Corn Dispute with USA: What’s Next?

Mexico has lost a dispute against the United States over restrictions on Mexican imports of genetically modified (GM) American corn. According to informed sources, a preliminary official report has been distributed to relevant parties, with the final report expected to be made public by the end of the month.

The ruling could force Mexico to reverse a decree that bans the import of GM corn for human consumption. If Mexico does not comply, it could face retaliation. While Mexico can challenge any such reprisals, it would still be impacted during the resolution process.

The preliminary ruling was delivered to the involved governments for final comments. From January to September 2024, Mexican imports of corn from the United States totaled $4.313 billion, with $55.9 million corresponding to white corn.

Kenneth Smith, an international trade specialist and partner at AGON, stated, "From the start, it was clear Mexico was likely to lose. They have never been able to prove that consuming Genetically Modified Organisms (GMOs) is harmful to health. We have been consuming these products in Mexico for over 30 years with no evidence of any damage."

Mexico's violations of the USMCA agreement relate to the Market Access Chapter and the Sanitary and Phytosanitary Measures Chapter. Smith added, "We have a long-standing framework ensuring all agricultural biotech products entering Mexico are reviewed and authorized. It is unnecessary to have a decree limiting the import or use of GM corn in Mexico, as there is no health justification."

The burden of proof generally falls on the country imposing the measure, in this case, Mexico. The Mexican government's 2023 order instructs authorities to conduct scientific studies on the consumption of GM corn in industrial use products for human and animal food, based on potential and proven health risks.

The panel rulings from the US and Canada against Mexico on GM corn will not occur until November 2024. Mexico is the world's highest consumer of corn and a key center for corn diversification. Since the late 1980s, there have been calls for the liberalization of GMOs, but Mexico's scientific and peasant community have identified risks to the genetic wealth of corn, leading to a de facto moratorium.

In the ongoing dispute, the United States does not question Mexico's origin center but does question the restriction on the use of the glyphosate agrochemical.