Mexico Orders White Corn Production and Sales
Why this is here: The agreement includes 61,000 producers working across 705,000 hectares to produce about 7 million tons of corn.
The federal government of Mexico signed an agreement with producers, buyers, and industry representatives to regulate the production and sale of white corn. The agreement aims to ensure self-sufficiency in corn, stabilize the national market, and increase profitability for farmers across the country.
The deal follows protests in Mexico City by agricultural producers—especially from Sinaloa—who cited low corn prices, rising production costs, and insufficient support. President Claudia Sheinbaum explained the agreement, called the White Corn Production Ordering System: Fair Price, arose from a crisis threatening producers’ ability to cover costs.
The agreement has three parts. These include advance purchases under contract before each harvest, fair pricing for inputs like seeds and fertilizers, and a financial protection mechanism from the Treasury.
About 61,000 producers in seven states work 705,000 hectares and produce roughly 7 million tons of corn under the new system. The agreement covers over 80 percent of formal corn sales, including flour mills and livestock industries.
While more than 80 companies have joined the input supply component, the long-term effectiveness of the financial protection mechanism against climate events and market fluctuations remains to be seen. The government continues to prioritize national food sovereignty, particularly for strategic crops like corn.
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