GMO IS OMG BACKWARDS

Mexico denies permit for new GMO corn variety, first time ever

David Alire Garcia and Adriana Barrera
Fri, October 8, 2021

MEXICO CITY, Oct 8 (Reuters) - Mexican health safety regulators have rejected a new variety of GMO corn for the first time, according to German conglomerate Bayer which makes the grain and blasted the decision, saying it was looking into its legal options.

Mexico, birthplace of modern corn, has never permitted the commercial-scale cultivation of GMO corn but has for decades allowed such varieties to be imported, mostly from U.S. farmers and overwhelmingly used to fatten livestock.

Mexican regulators did not confirm the decision and also did not reply to several requests for comment. Regulators must approve each new variety developed by seed companies before crops grown from them can later be imported.

In late August, heath regulator Cofepris rejected a permit for a new GMO corn variety sought by pharmaceutical and crop science giant Bayer, according to data from Mexico's National Farm Council (CNA) later confirmed by the company.

The regulator determined that the new seed variety was designed to tolerate weed-killer glyphosate, adding it considers the widely used herbicide dangerous and said its rejection was based on a "precautionary principle," the data showed.

The Cofepris ruling was never publicly disclosed, and its press office did not respond to requests for comment.

CNA President Juan Cortina said in an interview that Mexican corn importers will begin to feel the impact from the rejection as soon as next year.

"This is the first obstacle, which isn't immediate, but it's coming," he said, pointing to seven other pending GMO corn seed permits that have been waiting from between 14 to 34 months for a resolution. He said he believed the decision violated the USMCA North American trade agreement.

Neither Mexico's economy ministry, responsible for international trade, or the Office of the U.S. Trade Representative in Washington, immediately responded to a request for comment on Cortina's allegation.

While regulators worldwide have determined glyphosate to be safe, Bayer agreed last year to settle nearly 100,000 U.S. lawsuits for $9.6 billion, while denying claims that the herbicide caused cancer. In February, it struck a $2 billion settlement to resolve future legal claims that glyphosate causes cancer.

In a statement sent to Reuters, Bayer said it was disappointed by the regulator's decision which it described as "unscientific." The company said regulatory delays and the possibility of additional permit denials could have a "devastating impact" on Mexican supply chains.

Bayer said GMO crops have undergone more safety tests than "any other crop in the history of agriculture" and have been judged safe.

In the past, the Mexican government has approved some 90 GMO corn varieties for import, among nearly 170 total approvals for GMO seeds including cotton and soybeans. But under President Andres Manuel Lopez Obrador, who took office in late 2018, no GMO seeds have been approved by Cofepris.

Last year, Mexico imported more than 16 million tonnes of corn from U.S. suppliers, almost all of it grown from GMO varieties.

Cortina said this year the country was poised to import "more than 19 million tonnes," which would mark an all-time record, even as the government pledges to boost domestic production.

Mexico is mostly self-sufficient in its production of white corn, which is used to make the country's staple tortillas, but depends heavily on yellow corn imports for both livestock feed as well as numerous industrial uses like making cereals and sauces.

Lopez Obrador issued a decree late last year that seeks to ban by 2024 both glyphosate and GMO corn for human consumption, but officials have yet to clarify if the ban would apply to livestock feed or the industrial demand.

Deputy Agriculture Minister Victor Suarez, an influential backer of the decree, said last month that the government is now aiming to cut corn imports by half by 2024.

"Right now, I don't think it's going down," said Cortina, referring to the country's demand for imported corn.

He pointed to official agriculture ministry data showing that domestic corn production is down more than 5% during the first six months of this year. 

(Reporting by David Alire Garcia and Adriana Barrera; Additional reporting by David Lawder in Washington; Editing by David Gregorio)

Bayer blasts 'unscientific' rejection by Mexican regulator of GMO corn permit

David Alire Garcia
Fri, October 8, 2021

FILE PHOTO: The historic headquarters of German pharmaceutical and chemical maker Bayer AG is pictured in Leverkusen

BAYER OFFICE DURING WWII

By David Alire Garcia

MEXICO CITY (Reuters) -Bayer is evaluating its legal options after Mexican health regulators for the first time rejected a GMO corn permit it was seeking, the German pharmaceutical and crop science giant said in a statement to Reuters on Friday, blasting the decision as "unscientific."

Reuters reported earlier in the day that regulator Cofepris rejected the corn permit for future import as the government of President Andres Manuel Lopez Obrador hardens its opposition to genetically modified crops.

"We are disappointed with the unscientific reasons that Cofepris used to deny the authorization," the statement said, identifying the rejected corn variety as using its proprietary HT3 x SmartStax Pro technology.

Bayer stressed that the permit denial does not affect its current business, noting that last year the company stopped work on its HT3 hybrid corn varieties due to regulatory delays in the European Union in favor of a new HT4 line which the company expects to launch later this decade.

Bayer nonetheless criticized what it described as continuous regulatory delays with Cofepris as well as the possibility of additional permit denials that could have a "devastating impact" on Mexican supply chains.

The company said genetically modified crops including corn have undergone more safety tests than "any other crop in the history of agriculture" and have been judged safe for humans, animals and the environment.

The Cofepris press office did not respond to multiple requests for comment.

Lopez Obrador issued a controversial decree at the end of last year that outlined a three-year plan to ban the weed killer glyphosate and GMO corn for human consumption.

Industry associations have sharply criticized the plan and have sought unsuccessfully to persuade judges to strike it down, arguing that it risks a trade dispute with the United States. If the ban is interpreted to include animal feed or other industrial uses, they say it will ultimately hit consumers with higher food prices.

The planned prohibition, however, is popular with environmentalists and health-food advocates who argue that spraying glyphosate on the GMO crops designed to tolerate them is indeed harmful.

Glyphosate was pioneered by the Roundup brand of weed killers from agrochemical company Monsanto, which was bought by Bayer as part of a $63 billion acquisition in 2018.

(Reporting by David Alire Garcia in Mexico City;Editing by Christian Plumb and Matthew Lewis)

Mexico pressing ahead with GMO corn, glyphosate bans, says key official

By David Alire Garcia


MEXICO CITY (Reuters) - Mexico is sticking to a plan to stop importing genetically modified corn and a ban on a widely used herbicide, a senior official told Reuters, doubling down on a policy that has pleased green advocates but alarmed industry leaders.

The plan announced late last year by executive order aims to replace some 16 million tonnes of yellow corn imported mostly from U.S. farmers and nearly all of it genetically modified, with new, local production by 2024. The imports represent more than a third of the country’s demand for the grain, and mostly feed Mexico’s large livestock industry.

Victor Suarez, the deputy agriculture minister and a key architect of the order, argued that GMO corn and the herbicide glyphosate are too dangerous and that local output and sustainable “agroecological” practices must be prioritized.

Hi cited studies linking glyphosate to cancer and saying that it harmed pollinators like bees and separately alleged that GMO corn contaminates Mexico’s native strains of the grain.

Bayer AG, one of the main producers of glyphosate, has said decades of studies have shown that the substance is safe for human use.

Backers of GMO crops, including corn, argue that they have dramatically boosted farmer productivity and that studies have shown no ill effects on humans.

“We are moving in this direction, and this must be clear: No one should think that they can bet that this decree will not be implemented,” said Suarez, an agronomist and long-time ally of leftist President Andres Manuel Lopez Obrador, who has pledged to wean Mexico off its dependence on foreign supplies.


If it does take effect, the end of GMO corn imports would be a heavy blow in particular to the mostly American farmers who for years have relied on Mexico as their top export market.

He described GMO corn and glyphosate as “undesirable and unnecessary” to reach the government’s goal of making Mexico self-sufficient in food.

“We have to put the right to life, the right to health, the right to a healthy environment ahead of economic and business (interests),” said the former congressman, who also manages Lopez Obrador’s direct cash-payment program for some 2.3 million smallhold farmers with a budget of 13.5 billion pesos ($662 million) this year.

Critics counter that the self-sufficiency plan’s local production goals are wildly unrealistic and would lead to higher consumer prices.

Mexico is mostly self-sufficient in white corn, used for the country’s staple tortillas, but meat producers have for years relied on growing volumes of yellow corn imports to fatten cows, pigs and chickens.

Asked if the Dec. 31 decree applied to animal feed as well processed foods that include GMO corn, Suarez said that the law covers all food that “will eventually reach human consumption.”


While Suarez sees no need to modify the decree, which he acknowledged will be difficult to carry out, he did leave open the possibility that as the 2024 deadline approaches, the government could show some flexibility.

“Let’s say we don’t reach the goal of substituting the 16 million tonnes (of imports), and we only reach the substitution of 10 million,” he said.

“Well, we would evaluate that along the way and we could eventually make the necessary adjustment,” he added, providing a strand of hope to those in the industry hoping moderate voices in the government will prevail.

Suarez noted that over the past couple years domestic corn production grew by about 7%, as the government seeks to boost farmer productivity. Local output, however, would need to increase by nearly 60% to make up for present import volumes.

He also cited ongoing research into alternatives to glyphosate, but did not name specific products.


Reporting by David Alire Garcia; Editing by Christian Plumb and Nick Macfie

Experts Warn of Toxins in GM Corn Amid US-Mexico Trade Dispute

"The Mexican government is both wise and on solid ground in refusing to allow its people to participate in the experiment that the U.S. government is seeking to impose."

Farmer Arnulfo Melo shows harvested corn from his organic field in Milpa Alta, Mexico, on October 18, 2021, months after the Mexican government banned genetically modified corn for human consumption.
(Photo: Rodrigo Arangua/AFP via Getty Images)


JESSICA CORBETT
Mar 26, 2024
COMMON  DREAMS

Friends of the Earth U.S. on Monday released a brief backing Mexico's ban on genetically modified corn for human consumption, which the green group recently submitted to a dispute settlement panel charged with considering the U.S. government's challenge to the policy.

Mexican President Andrés Manuel López Obrador announced plans to phase out the herbicide glyphosate as well as genetically modified (GM) or genetically engineered (GE) corn in 2020. Last year he issued an updated decree making clear the ban does not apply to corn imports for livestock feed and industrial use. Still, the Biden administration objected and, after fruitless formal negotiations, requested the panel under the United States-Mexico-Canada Agreement (USMCA).

"The U.S. government has not presented an 'appropriate' risk assessment to the tribunal as called for in the USMCA dispute because such an assessment has never been done in the U.S. or anywhere in the world," said agricultural economist Charles Benbrook, who wrote the brief with Kendra Klein, director of science at Friends of the Earth U.S.

"The U.S. is, in effect, asking Mexico to trust the completeness and accuracy of the initial GE corn safety assessments carried out 15 to 30 years ago by the companies working to bring GE corn events to market."

The group's 13-page brief lays out health concerns related to GM corn and glyphosate, and the shortcomings of U.S. analyses and policies. It also stresses the stakes of the panel's decision, highlighting that "corn is the caloric backbone of the Mexican food supply, accounting, on average, for 50% of the calories and protein in the Mexican diet."

Blasting the Biden administration's case statement to the panel as "seriously deficient," Klein said Monday that "it lacks basic information about the toxins expressed in contemporary GMO corn varieties and their levels. The U.S. submission also ignores dozens of studies linking the insecticidal toxins and glyphosate residues found in GMO corn to adverse impacts on public health."

The brief explains that "since the commercial introduction of GE corn in 1996 and event-specific approvals in the 1990s and 2000s, dramatic changes have occurred in corn production systems. There has been an approximate fourfold increase in the number of toxins and pesticides applied on the average hectare of contemporary GE industrial corn compared to the early 1990s. Unfortunately, this upward trend is bound to continue, and may accelerate."

The U.S. statement's assurances about risks from Bacillus thuringiensis or vegetative insecticidal protein (Bt/VIP) residues "are not based on data and science," the brief warns.

"The U.S. is, in effect, asking Mexico to trust the completeness and accuracy of the initial GE corn safety assessments carried out 15 to 30 years ago by the companies working to bring GE corn events to market," the document says. "The Mexican government is both wise and on solid ground in refusing to allow its people to participate in the experiment that the U.S. government is seeking to impose on Mexico."

"The absence of any systematic monitoring of human exposure levels to Bt/VIP toxins and herbicides from consumption of corn-based foods is regrettable," the brief adds. "It is also unfortunate that the U.S. government rejected the Mexican proposal to jointly design and carry out a modern battery of studies able to overcome gaps in knowledge regarding GE corn impacts."

"The U.S. government's case against Mexico has no more scientific merit than its sham GMO regulatory regime, and should be rejected by the USMCA dispute resolution panel."

Friends of the Earth isn't the only U.S.-based group formally supporting the Mexican government in the USMCA process. The Center for Food Safety sent a 10-page submission by science director Bill Freese, an expert on biotech regulation, to the panel on March 15. His analysis addresses U.S. regulation of genetically modified organisms (GMO) along with the risks of GM corn and glyphosate.

"GMO regulation in the U.S. was crafted by Monsanto, now owned by Bayer, and is a critical part of our government's promotion of the biotechnology industry," Freese said last week, referring to the company known for the glyphosate-based weedkiller Roundup. "The aim is to quell concerns and promote acceptance of GMOs, domestically and abroad, rather than critically evaluate potential toxicity or allergenicity."

His submission notes that the U.S. Food and Drug Administration "does not require a GE plant developer to do anything prior to marketing its GE crop or food derived from it. Instead, FDA operates what it calls a voluntary consultation program that is designed to enhance consumer confidence and speed GE crops to market."

"When governmental review is optional; and even when it's conducted, starts and ends with the regulated company's safety assurance—what's the point?" Freese asked. "Clearly, it's the PR value of a governmental rubber stamp."

"The Mexican government's prohibition of GM corn for tortillas and other masa corn products is fully justified," he asserted. "The U.S. government's case against Mexico has no more scientific merit than its sham GMO regulatory regime, and should be rejected by the USMCA dispute resolution panel."

In a Common Dreams opinion piece last week, Ernesto Hernández-López, a law professor at Chapman University in California, pointed out that Mexico's recent submission to the panel also "offers scientific proof and lots of it," including "over 150 scientific studies, referred to in peer-review journals, systemic research reviews, and more."

"Mexico incorporates perspectives from toxicology, pediatrics, plant biology, hematology, epidemiology, public health, and data mining, to name a few," he wrote. "This clearly and loudly responds to American persistence. The practical result: American leaders cannot claim there is no science supporting the decree. They may disagree with or dislike the findings, but there is proof."

The Biden administration's effort to quash the Mexican policy notably comes despite the lack of impact on trade. While implementing its ban last year, "Mexico also made its largest corn purchase from the U.S., 15.3 million metric tons," National Geographicreported last month.

Kenneth Smith Ramos, former Mexican chief negotiator for the USMCA, told the outlet that "right now, it may not have a big economic impact because what Mexico is using to produce flour, cornmeal, and tortillas is a very small percentage of their overall imports; but that does not mean the U.S. is not concerned with this being the tip of the iceberg."

FOOD NOT FUEL

U.S. raises 'grave concerns' over Mexico's anti-GMO farm policies




Mon, January 23, 2023 
By Kanishka Singh and Tom Polansek

WASHINGTON (Reuters) -U.S. farm and trade officials raised "grave concerns" over Mexico's agricultural biotechnology policies in meetings with their Mexican counterparts on Monday, as lingering disagreements threaten decades of booming corn trade between the neighbors.

Washington's concerns center on the Mexican president's push to ban so-called biotech corn, or varieties developed with genetically modified organisms (GMOs), from entering Mexico if it is destined for human consumption. The United States accounts for most of Mexican corn imports.

"We made it clear today that if this issue is not resolved, we will consider all options, including taking formal steps to enforce our rights under the U.S.-Mexico-Canada Agreement (USMCA)," the office of U.S. Trade Representative (USTR) Katherine Tai said in a statement on Monday.

"Mexico's proposed approach, which is not grounded in science, still threatens to disrupt billions of dollars in bilateral agricultural trade, cause serious economic harm to U.S. farmers and Mexican livestock producers, and stifle important innovations needed to help producers respond to pressing climate and food security challenges," it added.

U.S. officials traveled to Mexico to discuss Mexico's approach to agricultural biotech products.

Mexico's agriculture ministry declined to comment, while the country's economy ministry, which handles trade, did not immediately provide comment.

The countries have been at loggerheads over a decree issued by Mexican President Andres Manuel Lopez Obrador in 2020 that sought to phase out imports of genetically modified corn and the herbicide glyphosate by 2024.

Mexico decided to postpone its ban of GMO corn purchases from the United States until 2025, a decision deemed satisfactory by the U.S. government, Mexican Agriculture Minister Victor Villalobos said last month.

Mexico is one of the biggest buyers of U.S. corn with American farmers sending about 17 million tonnes of mostly GMO yellow corn to Mexico annually, the majority of which is used for animal feed. Mexican officials have said they will keep importing GM corn for animal feed.

U.S. officials are "making it crystal clear" that Mexico must abide by its USMCA commitments and this "is a significant development and good news for corn growers," said Tom Haag, president of the National Corn Growers Association.

Biotech industry group BIO said it appreciated U.S. efforts to get Mexico to "maintain a science-based risk regulatory system," according to statement from Beth Ellikidis, vice president for agriculture and environment.

(Reporting by Kanishka Singh in Washington and Tom Polansek in Chicago; Additional reporting by Cassandra Garrison in Mexico City; Editing by Himani Sarkar)

Mexico to fight US dispute over GM corn after formal consultations fail

A worker holds GMO yellow corn imported from the U.S., in Tepexpan

Story by By Cassandra Garrison • Yesterday 

MEXICO CITY (Reuters) -Mexico said on Friday it would counter U.S. arguments over agriculture biotech measures, including plans to limit its use of genetically modified (GM) corn, in trade dispute settlement consultations requested by Washington earlier in the day.

The consultation request comes as the North American neighbors inch toward a full-blown trade dispute under the U.S.-Mexico-Canada Agreement (USMCA) over Mexico's policies to limit the use of GM corn, which it imports from the U.S.

If the consultations fail to resolve disagreements within 75 days, Washington can request a dispute settlement panel to decide the case.

Mexico said it was committed to "constructive dialogue" regarding U.S. concerns and to "reach a mutually satisfactory agreement."

Asked if Canada would take similar action to the U.S., a spokesperson for the Trade Ministry said Canada is "considering its next steps" and would be "guided by what is in the best interest of our farmers and the Canadian agriculture sector."

The United States requested formal trade consultations in March over objections to Mexico's plans to limit imports of GM corn and other agricultural biotechnology products. Those consultations took place, but failed to resolve the matter, senior officials of the U.S. Trade Representative's office said.

Mexico's agriculture ministry declined to comment, but the minister this week expressed confidence that the dispute with the U.S. would not escalate to a dispute settlement panel.

The conflict comes amid other disagreements between the U.S. and Mexico, most notably over energy in which the U.S. has argued that Mexico's nationalist policy prejudices foreign companies.

Despite February changes to Mexico's decree on GM corn, the U.S. said the Latin American country's policies are not based on science and appear inconsistent with its commitment under the USMCA.

The new decree eliminated a deadline to ban GM corn for animal feed and industrial use, by far the bulk of its $5 billion worth of U.S. corn imports, but maintained a ban on GM corn used in dough or tortillas.

Mexico argued on Friday the ban will not affect trade with the U.S., as Mexico produces more than enough white corn used for tortillas.

A senior Mexican executive, speaking before consultations were requested, said that because Mexico is not formally preventing sale of U.S. GM corn, any dispute panel would likely find little material damage had been done to U.S. business.

Mexican President Andres Manuel Lopez Obrador has also said GM seeds can contaminate Mexico's age-old native varieties and has questioned their impact on human health.

February's revised "decree does call for a gradual substitution and eventual banning of biotech corn, and this part of the measure itself is not science-based," said a senior USTR official.

The consultations will also address Mexico's rejection of new biotech seeds for products like soybeans, cotton and canola, U.S. officials said.

Mexico argued on Friday that the decree "encourages Mexico to preserve planting with native seeds, which is done in compliance with the USMCA's environmental regulations."

Some sector experts have expressed concern that the move could set a precedent among other countries, which would disrupt the global corn trade.

The National Corn Growers Association, which represents U.S. farmers, praised the U.S.' move.

"Mexico's actions, which are not based on sound science, have threatened the financial wellbeing of corn growers and our nation's rural communities," association President Tom Haag said in a statement.

(Reporting by Cassandra Garrison; Additonal reporting by Adriana Barrera, Kylie Madry and Dave Graham in Mexico City and Ismail Shakil in Ottawa; Editing by Leslie Adler and William Mallard)

Mexico president says he'll accept resolution of panel in corn trade spat with US

Reuters
Fri, August 18, 2023 

A worker holds GMO yellow corn imported from the U.S., in Tepexpan


MEXICO CITY (Reuters) -Mexican President Andres Manuel Lopez Obrador said on Friday he would accept the decision of a trade panel requested by the United States to solve a spat over the Latin American country's move to ban genetically modified, or GMO, corn imports.

The United States on Thursday escalated its objections to Mexico, requesting a dispute settlement panel to carry out negotiations under the North American trade pact.

The panel came after formal consultations failed to resolve divisions between the two trade partners over GMO corn, which is widely produced by U.S. farmers.

If the panel rules in favor of the United States and Mexico fails to comply with its directives, the U.S. Trade Representative (USTR) could ultimately win the right to impose tariffs on Mexican goods.

Mexico's Economy Ministry has argued the country's policies are consistent with trade obligations.

Nonetheless, Washington alleges that Mexico's decree banning imports of GMO corn is not based on science and violates its commitments under the U.S.-Mexico-Canada Agreement on trade launched in 2020.

(Reporting by Valentine Hilaire and Raul Cortes Fernandez; Editing by Isabel Woodford and Jonathan Oatis)

GMO

Concern for canola

By Robert Arnason

WESTERN PRODUCER

Published: 3 days ago

In 2022, Mexico was Canada’s third largest market for canola. It imported $1.2 billion worth of canola seed and $436 million worth of canola oil. | File photo

Mexico has become more hostile to genetically modified crops, agricultural innovations and pesticides, which could jeopardize Canadian ag exports to Mexico, says a biotechnology expert from the University of Saskatche

Given changes in policy, there’s a chance that Mexico’s dispute with America about genetically modified corn could spread to other crops.

“It would be very prudent for the Canadian canola sector to be on top of what’s going on between the States and Mexico over corn,” said Stuart Smyth, a U of S agricultural economist.

“Mexico has demonstrated a willingness to try and prevent Bt cotton. They’ve got GM corn clearly in their sights. I think the canola export sector and the entire canola sector has to be very worried about Mexico’s ag and trade policies and the direction they’re heading in.”

For most of 2023, Mexico and the United States have been locked in a political battle over GM corn.

In February, Mexico announced a ban on GM corn use in tortillas and dough, with a plan to gradually substitute the use of biotech corn in all products for human consumption and for animal feed.

The U.S. pushed back against that decision and tried to convince the Mexican government to alter its position, to no avail.

On Aug. 17, the U.S. announced it would use the dispute settlement panel in the U.S.-Mexico-Canada Agreement (USMCA), to challenge the ban on GM corn

“Mexico’s measures are not based on science and undermine the market access it agreed to provide in the USMCA,” the Office of the U.S. Trade Representative said in a statement.

Smyth, who studies agricultural innovation and the regulation of ag technology, is concerned that Mexico’s policies have become more like Europe, where environmental organizations seemingly dictate policies around GM crops and pesticides.

As examples, Mexico hasn’t approved new Bt cotton varieties for several years. The government has also been phasing out the use of glyphosate, the most common herbicide in the world, and is planning a complete ban in March.

Last fall, the national legislature studied a bill that would prohibit 183 pesticides and encourage use of biological products, Reuters reported.

“Mexico, their regulations (were) solidly science-based,” Smyth said. “(But) in the past decade they’ve become very European, where they are precautionary based. Scientific evidence and data doesn’t play much of a role in Mexico’s current regulatory and policy framework.”

If Mexico’s rejection of ag technology continues, it could target other GM crops.

In 2022, Mexico was Canada’s third largest market for canola. It imported $1.2 billion worth of canola seed and $436 million worth of canola oil.

“Mexico is an important and valued market for Canadian canola. It’s Canada’s largest agri-food export to (Mexico),” said Chris Davison, Canola Council of Canada president and chief executive officer. “They have a well-established processing and crushing industry.”

Like Smyth, Davison is concerned that Mexico is moving away from science-based policies for agriculture technologies.

 “There have been challenges to regulatory predictability in Mexico over the last few years that have impacted multiple crops. That was reflected in the queue of ag biotech products in their regulatory system,” he said.

“There have recently been some actions to address that, but we’re unsure about potential future direction.”

The outcome of the U.S-Mexico dispute over GM corn may alter future Mexican decisions around agriculture and biotechnology.

The Canola Council of Canada is closely following the dispute panel to see if there are implications for future ag biotech approvals for non-corn crops.

“What we’re looking for is reassurance,” Davison said. “Assurance of a clear and timely and predictable science-based approach.”

He didn’t mention it directly, but Mexico’s opposition to ag technology could have implications for plant breeding innovations like gene editing.

If a gene-edited canola is developed for Canadian farmers, there’s a chance Mexico would not approve the technology or the trait. That could hinder canola exports to Mexico.

Such a scenario is hypothetical, but the risks are real when a country abandons science-based policies.

“There still remains some lack of clarity and certainty about Mexico’s regulatory approach moving forward,” Davison said. “Without that, there’s a concern that similar issues could arise in the future.”

Contact robert.arnason@producer.com

Ukraine expected to harvest record canola crop
By  Sean Pratt

WESTERN PRODUCER
Published: 3 days ago

The Ukrainian government expects farmers to plant 4.69 million acres of winter canola this fall following a record harvest this summer. | Reuters/ Valentyn Ogirenko photo

The big harvest is likely to translate into a strong export program with much of the crop destined for European markets

Ukraine is harvesting what analysts expect will be a record crop of canola.

Svitlana Kupreeva, oilseed market analyst with UkrAgroConsult, said farmers planted record acreage of the crop and final yields should also set a new high.

The firm is forecasting 4.2 million tonnes of production, shattering last year’s record of 3.5 million tonnes.

Kupreeva said there is also potential for record exports of canola, oil and meal from the country.

“The key to achieving such results is not only a large rapeseed harvest and the commissioning of new processing plants, but also highly efficient logistics,” she said in a recent article published on the UkrAgroConsult website.

MarketsFarm analyst Mike Jubinville has seen reports calling for an even bigger Ukrainian crop of 5.4 to 5.5 million tonnes.

The obvious market for that crop is the European Union, where it is already weighing down rapeseed futures prices.

The premium of Canadian canola futures over European rapeseed futures has reached “extraordinarily wide levels,” he said.

“We’re not going to ship to Europe and we haven’t for the past year or two,” said Jubinville.

But that is not a big deal this year because of Canada’s short crop and huge anticipated domestic crush program.

Statistics Canada is forecasting 17.56 million tonnes of production, a six percent drop from last year. Jubinville thinks it could be smaller than that, in the low-17 or high-16 million tonne range.

In past years, the split between domestic crush and exports was about 50-50. That will not be the cast in 2023-24.

He is forecasting 10 to 11 million tonnes of crush and 6.5 to 7.5 million tonnes of exports. China, Japan, Mexico and the United States will be vying for that limited volume of product.

There is plenty of economic incentive for a huge domestic crush program and that will set the tone for prices.

Ukraine’s 2023-24 export program got off to a good start with strong sales in July despite the demise of the Black Sea Grain Initiative.

“Logistics are being redirected to the Danube ports and overland routes through the western borders,” said Kupreeva.

But with “constant attacks” by Russia on the Danube and Odessa ports, the September canola export contracts are focusing instead on shipments by road and rail.

Ukraine ships out almost all the canola it produces. The country exported an estimated 3.5 million tonnes of the oilseed in 2022-23, a 26 percent increase over the previous year’s record.

The European Union is the main destination for Ukraine’s canola and meal, while China is purchasing most of its oil.

The EU accounts for about 85 percent of Ukraine’s seed exports.

Reuters reports that Poland, Bulgaria, Hungary, Romania and Slovakia are all in favour of extending an EU ban on Ukrainian wheat, corn, canola and sunflower imports to those countries until the end of the year.

However, they will allow the transit of those cargoes through their countries to other export markets in the EU and elsewhere.

The current ban is set to expire on Sept. 15.

The U.S. Department of Agriculture is forecasting that the EU will use 6.38 million tonnes of rapeseed/canola oil in its biodiesel/renewable diesel sector in 2023, a 2.8 percent increase over the previous year.

Rapeseed oil is still the dominant biodiesel feedstock in the EU, accounting for an estimated 42 percent of total biobased diesel feedstock use in 2023.

But used cooking oil has been gaining ground, with an estimated 4.35 million tonnes of use. It has been capturing most of the lost market share of palm oil, which is being phased out.

Palm oil use is expected to drop 15 percent in 2023 after falling 25 percent in 2022. France, Austria and Germany have already banned the consumption of palm oil-based biofuels. However, the fuel can still be produced in those states if it is for export.

Rapeseed/canola oil remains the most popular feedstock choice due to its domestic availability, the higher winter stability of rapeseed-based fuels compared to other feedstocks and the phase-out of palm oil, according to the USDA.

Strong EU demand for the product could be one of the reasons that Ukrainian farmers intend to grow a lot more canola in 2024.

A government survey of 2,403 Ukrainian farmers shows that 38 percent plan to increase their total seeded area of their winter crops, while 45 percent said they will not reduce it.

“Rapeseed remains the key factor in the expansion of the sown areas, with planted area under it expected to increase by almost 40 percent,” Ukraine’s agriculture ministry said, according to the UkrAgroConsult story.

The government is forecasting 4.69 million acres of winter canola.

Much of the increase in canola planting will come at the expense of barley, which is forecast to shrink by 1.24 million acres or 5.4 percent.

Exclusive-Biden administration moving to escalate energy trade dispute with Mexico

1st anniversary of entry-into-force of the United States-Mexico-Canada Agreement


By Jarrett Renshaw and David Lawder

Wed, September 6, 2023 

(Reuters) - President Joe Biden's administration has asked U.S. energy companies to prepare affidavits documenting how Mexico’s protectionist policies disrupted their investments as Washington prepares to escalate a trade dispute with its neighbor, according to three people familiar with the discussions.

The request for affidavits from major U.S. oil and renewable energy companies represents the latest and clearest signal that the Office of the United States Trade Representative (USTR) plans to seek an independent dispute settlement panel under the United States Mexico Canada Agreement trade pact, or USMCA.

Mexico President Andres Manuel Lopez Obrador's steps to roll back reforms aimed at opening Mexico's power and oil markets to foreign competitors ultimately sparked the trade dispute.

U.S. energy and power companies, such as Chevron and Marathon Petroleum, which sought to expand in Mexico, have complained that they have been denied simple permits and applications in decisions that favored state oil company Petroleos Mexicanos (Pemex) and national power utility Comision Federal de Electricidad (CFE).

The United States is likely to seek a dispute panel before the end of the year if talks on the issue continue to stall, and the affidavits represent evidence that would be included in the panel request, the sources said. If that panel rules against Mexico and it fails to take corrective action, Washington could ultimately impose billions of dollars in retaliatory tariffs on Mexican goods.

The people asked not to be named because they are not authorized to speak publicly on the matter.

The steps add to a significant worsening of trade relations between Washington and Mexico City, even as their economic integration grows. In August, USTR requested a USMCA dispute settlement panel to intervene in a disagreement over Mexico's curbs on genetically modified corn imports. Mexico now buys about $5 billion worth of U.S. GM corn annually, mostly for livestock feed.

Like the energy policies, Washington argues that banning GMO corn for human and animal consumption violates Mexico's obligations under the trade pact.

Obrador is seen as a major obstacle to resolving both disputes since he sees energy and corn as important to Mexico’s national identity.

A USTR spokesperson declined to comment.

Mexico’s Economy Ministry, in response to a Reuters request for comment, said it had no information regarding the matter.

The White House has hoped to avoid escalating energy trade tensions with Mexico as it sought help on immigration and drug trafficking, but talks that began last year have made little progress. Raising the stakes in the dispute carries significant risk for Biden, who will face Republican criticism over his handling of immigration and drug trafficking as he seeks reelection in 2024.

Mexico overtook Canada and China to become the largest U.S. goods trading partner in the first half of 2023, reaching total trade of $396.6 billion for the period as Mexico's automotive production grows and other U.S. companies shift supply chains from China closer to home.

In 2022, Mexico had a $130.5 billion goods trade surplus with the United States. It is on track to more than double from the $69 billion surplus in 2017, when former President Donald Trump launched a renegotiation of NAFTA after threatening to quit the pact, claiming it was draining U.S. manufacturing jobs.

DISPUTE PANEL

By seeking a dispute settlement panel, USTR would be essentially giving up negotiations, turning instead to a form of litigation created in the 2020 revamp of the former North American Free Trade Agreement.

Under USMCA's dispute settlement rules, a five-person panel, chosen from a roster of pre-approved experts, must be convened within 30 days, with a chair jointly chosen and the U.S. side choosing two Mexican panelists and Mexico choosing two American panelists. The panel will review testimony and written submissions and its initial report is due 150 days after the panel is convened.

Last year, one such panel ruled in Washington's favor in a dispute over Canadian dairy quotas, and against the U.S. on automotive rules of origin, siding with Mexico and Canada.

(Reporting By Jarrett Renshaw and David Lawder; additional reporting by Stephen Eisenhammer from Mexico; Editing by Tomasz Janowski)

What The Corn Industry Doesn't Want You To Know


Gina Badalaty
Sun, September 24, 2023 

hand holding ear of corn - Infusorian/Shutterstock

Corn is everywhere in the American household. This ubiquitous crop is on our plates, in our products, and even in our gas tanks. Maybe it's because of its versatility -- it can be considered a vegetable or grain, depending on when you harvest it. Because it has been modified to resist all kinds of external threats, a bumper crop is ensured every time so you can have perfect corn on the cob every summer.

Yes, corn is a modern wonder of technology found everywhere thanks to Big Agriculture (Big AG) -- those corporate entities that make millions from pushing factory-farmed corn across the country.

But this abundant crop has a dark side. Industrial farming with advanced technology has done far more harm than good to the planet, farmers, cattle, and workers. There are even questions about the health impacts and safety of Big AG corn.

The way America farms corn puts the entire industry and our food supply at risk. There are many things that the corn industry does not want you to know.

Read more: Mistakes You're Making With Your Corn On The Cob

Corn Farming Methods Increase Air Pollution

tractor and corn crops - Fotokostic/Shutterstock

Right off the bat, corn farming was recently found to be one of the top causes of air pollution. Studies show that 16% of all pollution caused by humans can be attributed to industrial farming processes including fertilization, seeding, and harvesting. These processes cause small, toxic particles to enter the atmosphere that we can actually inhale.

Recently, some researchers wanted to explore this problem in more depth. In the first study of its kind, the journal Nature Sustainability published a 2019 report that broke down each process involved with industrial corn farming and how they contribute to air pollution. They looked at the entire pre-harvest process around the U.S., from farming to fertilizer manufacturers. By combining corn production and emission models with what is known about how pollution impacts human health, they discovered that corn farming could be responsible for a stunning 4,300 premature human deaths per year.

GMO Corn May Be Bad For You

inspector looking at corn crop - Casarsaguru/Getty Images

Most corn in the U.S. today is produced by Big AG. These companies use genetically modified organisms (GMOs) to create herbicide-resistant corn. Bt corn is a GMO that carries a pesticide to ward off pests. The health hazards of this product are hotly debated. GMO foods have been accused of being an allergy trigger even though research shows that they are no more likely to cause an allergic reaction than their non-GMO counterparts.

Another accusation links GMOs to cancer and other health conditions. While the American Cancer Society has said there is no evidence linking the GMO pesticide, glyphosate, to cancer, the International Agency for Research on Cancer, part of the World Health Organization (WHO), called GMOs a potential carcinogen in 2015. The WHO dismissed the study, calling it tainted, but the agency disagrees. That said, many other studies are calling the safety of glyphosate into question. For example, new research has linked it to non-Hodgkin lymphoma.

Another challenge of GMO crops is that it allows for the rise of super pests. In Canada, the corn borer -- a moth that can devastate crops -- adapted to resist genetic modifications. Over time, according to some researchers, a similar resistance could become widespread among moth populations. If crops are at risk from pesticide-resistant pests, stronger -- and potentially more harmful -- solutions may be developed to protect corn.

Industrial Corn Farming Creates Toxic Algae

toxic algae in water - mivod/Shutterstock

Most of us understand that our oceans are polluted by many byproducts of modern convenience. Corn is no exception. Across America, our watershed resources are falling victim to toxic algae. This issue is primarily caused by industrial corn farming. These algae blooms come from the runoff of the phosphorus and nitrogen found in corn fertilizer. Algae outbreaks force authorities to shut off water supplies, which can cause water shortages.

Ironically, these fertilizers were promoted as an eco-friendly way to farm. The U.S. Farm Bill has authorized programs in the past that encouraged fertilizer runoff. Although they are not harmful themselves, they create a toxic form of algae in the water. Even the Environmental Protection Agency recognizes "nutrient pollution" as one of the country's worst problems contributing to climate change.

The issue is so prevalent that NASA recently designated satellite tools to track these algae blooms, which can clearly be seen from space. They estimate that nearly 2,000 tons of marine life have been killed due to these blooms, including fish, sea turtles, and marine mammals. And that damage is not just limited to wildlife. When algae come ashore at beaches, harmful toxins are released into the air that can cause respiratory problems in humans.

Corn-Based Ethanol Could Be Even Worse For The Environment Than Gasoline

ethanol factory blowing pollution - Simplycreativephotography/Getty Images

A recent study shows that ethanol, derived from corn, contributes far more to global warming [Note: That's a fairly well disguised misinformation site, hence the slide exclusion.] than regular gasoline. The research was published in February of 2022 and was partly funded by the National Wildlife Federation and the U.S. Department of Energy. The study concluded that ethanol releases far more carbon into the atmosphere than gasoline derived from petroleum. The main culprit here? Once again, industrial farming deserves the credit.

This study examined the U.S. renewable fuel standard, which has regulated fuel standards since 2005. The regulation requires all fuel produced in the U.S. has renewable fuel mixed into it. In other words, all standard gasoline available today has ethanol mixed in. Since then, the corn industry has grown and greatly profited from this regulation.

The Renewable Fuels Association accuses the study of faulty methods and incorrect assumptions. In 2019, the U.S. Department of Agriculture performed its own study, which claimed that the carbon emission of ethanol was far below gasoline. The debate continues, but with climate change at the forefront of politics, the corn industry needs to answer for its process.

Corn Crops Are One Of The Most Wasteful

man irrigating corn crops - Simonskafar/Getty Images

Factory-farmed corn is an incredibly wasteful crop. First, it requires a large amount of water to thrive. Because the corn industry is so immense -- comprising about a third of all industrial farming in America -- that the need for water during dry seasons and periods of drought is high. Irrigation must be employed, but as of 2017, corn uses more irrigation water than any other crop in the U.S. with some 12 million acres of irrigated farmland. Some systems are inefficient, too. The increased need for irrigation also leads to more fertilizer runoff and nutrient pollution.

Plus, much of the harvested crop ends up as waste. Only about a third of America's corn harvest is used for food today; the rest is split equally between ethanol and livestock feed. Nearly 50% of harvested plants are tossed aside and burned by many corn producers, including stalks, leaves, husks, and cobs. Researchers are now seeking ways to repurpose this corn waste into activated carbon rather than add more injury to the environment with these fires.

Corn Is Harmful To Ecosystems Around The Globe

man inspecting corn crop - Casarsaguru/Getty Images

From the U.S. to Brazil to the Amazon rainforest, the demand for corn has led to a loss of natural ecosystems. Factory-grown corn relies on monocropping, which destroys the beneficial biodiversity found in nature.

In traditional farming, land and crops are rotated. This is key to keeping the soil healthy, ensuring a plentiful harvest every season. Industrial farming, on the other hand, employs monocropping -- the process of exhausting the land by planting the same thing over and over. How did it become so popular?

Decades ago, global leaders wanted to create solutions to combat hunger. They believed that monoculture was the best way to increase crop yields. By creating large industrial farms dedicated to a single crop, they saved time and money.

However, with monocropping, when a crop fails -- as it might during a drought or when pests successfully work their way through the field -- it fails spectacularly.

But it gets worse. Countries around the world are destroying their native ecosystems to plant this monocrop. For example, Brazil's increase in corn production has increased deforestation of the Amazon Rainforest. And in Africa, water resources in areas at risk of drought are being depleted by corn irrigation. Such widespread loss of natural biodiversity and resources leaves us at serious risk of a global environmental disaster.

Industrial Corn Farming Creates New Risks

corn borer on corn cob - Bigc Studio/Shutterstock

Industrial corn farming also can breed new diseases. Scientists are already warning that a new pandemic danger could arise that impacts high yield crops instead of people. Once again, monocropping is at the root of the issue. When so many acres of farmland are dedicated to a single crop, the risk of a virus or bacteria wiping out much of the yield is comparatively high.

It's happened before. In the 1970s, a fungus swept through the U.S. Corn Belt, devastating 15% of the anticipated harvest. And today? Recently, a new bacterial disease spread through corn fields in one of those corn belt states: Texas. This fungus cost some farms up to 90% of their crops. The pathogen first struck in 2021 during a fungicide trial and in 2021 at seven farms. The corn industry could look for ways to re-introduce biodiversity to farming methods to protect both crops and the affected ecosystems.

Corn Crops Cause Soil Degradation

field soil degradation - Meryll/Shutterstock

There is yet another ecological challenge of industrial corn farming: Soil degradation. In 2021, satellite imaging demonstrated that the American Corn Belt has lost at least a third of its topsoil, with some farms losing as much as 50%.

That poorer soil quality means worse yields of corn, which could be quite a blow since this region produces 75% of corn in the U.S. And soil degradation is costing farmers millions of dollars in fertilizer to compensate for increasingly infertile soil. In other words, more and more nitrogen- and phosphorus-rich fertilizer is required, which contributes to greenhouse gas emissions and toxic algae in a vicious eco-cycle.

The farming industry must seriously consider rethinking its processes to maintain crop yield while protecting the environment; the current paradigm does not appear remotely sustainable. Better tools such as regenerative agriculture can help restore soil integrity and reduce costs, but will the corn industry listen?

Corn Feed Harms Cattle

Doctor looking over cattle - Tomazl/Getty Images

As mentioned, one-third of all factory-farmed corn is used for livestock feed. Unfortunately, this feed can lead to pain, illness, and death for livestock. Cattle are natural grazers. Their bodies are designed to ingest and process grass and other fiber-based foods. This helps maintain the microorganisms in their stomach system and aids in digestion, keeping the animals healthy.

Unfortunately, cattle grazing is more expensive for farmers than feeding them grain. Since corn is overproduced, it's cheaply available as feed. Feeding cattle grain is also more convenient for monocropping than grazing. It makes cattle gain weight faster, which is good for the beef industry.

Despite these benefits, eating grain is harmful to cattle. These animals have a unique stomach system adapted to eating grass, not grains. Eating grains causes gas buildup, making them bloat. This leads to inflammation that stresses their lungs, which can get so bad that cattle may slowly die of asphyxiation.

Besides this agonizing death, corn feed can cause other health issues in cattle, including abscess, tumors, and acidosis, which are prevalent among factory-farmed cattle.

Industrial Corn Farming Is Killing Small Farms

father and son on farm - Maksim Shmeljov/Shutterstock

Small- and medium-sized family farms are being gradually pushed toward extinction. The numbers prove it. In a 12-month period, farm bankruptcies increased 50% in the Northeast and 12% in the Midwest, in 2019. While several factors contribute to this phenomenon, the rise of factory farming, especially from products like corn, is the prominent cause.

How did this happen? In the '70s, the government pushed smaller farms to massively increase production. Many complied, but in 10 years, overproduction led to skyrocketing costs. This put many farms upside-down in debt. Some went bankrupt, leading corporations to sweep in to pick up the slack. These corporate farms make CAFOs -- short for "concentrated animal feeding operations." Today, CAFOs are the only way to run a farm and still earn a profit. Most small farms were forced to change from traditional farming, including dairy or livestock, to corn and soybean farming to stay alive. The crop is then sold as cattle feed for Big AG companies.

Some farmers claim that companies game the system by intentionally keeping prices low, hiring cheap labor, and preventing the remaining farmers from earning more. This caused many Midwestern farming towns to die out or slide into poverty as the CAFO companies turned a big profit.

Most Corn Is Grown On Farm Subsidies

female farmer with tablet - Simonskafar/Getty Images

Once the continual overproduction of corn became a reality, farmers needed subsidies supported by American taxes. This is another hotly debated issue, but many small farmers believe they have done more harm than good.

One point of contention is the problem of who truly benefits from farm subsidies. They should benefit farmers, but if they did, why would so many farms go bankrupt? However, there is conflicting information on this topic. The Cato Institute states that corn, soybeans, and wheat farmers get 70% of subsidies. Yet in 2018, Forbes found that the top 10 subsidy recipients earned over $150 million from their farms. Most commonly, subsidies go to the landowners. However, most working farmers today rent and, thus, do not receive any subsidies.

Subsidies encourage and support the proliferation of factory farming, which can harm the environment, cattle, towns, and people. And since they are regulated under the U.S. Farm Bill, which is reviewed by Congress every few years, this regulation can come with political strings attached, further muddying the integrity of the corn industry.

Corn Farms Exploit Laborers

worker with corn plant - encierro/Shutterstock

Most people know that many farm workers come to America from Mexico and other Central and South American countries to find jobs. You might not know how these workers are treated at industrial corn farms. They are hired by factory farms and paid very little, often less than the low wages they are promised.

As if that wasn't bad enough, some workers are actually trafficked. Workers are lied to about where they will work and then relocated to other farms. Housing conditions can be deplorable, with issues ranging from lice and roach infestations to broken water and bathroom facilities. But that's nothing compared to how they are treated.

One worker speaking to The Guardian revealed the details of a farm trafficking ring in Georgia. He was forced to work 12-hour days for 15 days straight for a total of $225. After that, he was moved to another farm to work for free and eventually returned to Mexico. Other migrants harmed by this ring claimed they were abused, tortured, or raped, and two workers died. Fortunately, this trafficking program was discovered and at least 24 defendants were indicted.

Unfortunately, investigation into this type of trafficking by the U.S. Department of Labor has significantly dropped over the years. This can lead to many more criminal trafficking organizations preying on migrant workers.

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