- #1 importer of U.S. corn (white and yellow 13.9 MMT).
- #1 DDGS market with imports of 2.1 MMT.
- #1 importer of U.S. barley and barley malt with imports of 285,000 MT.
- #2 importer of U.S. sorghum, down slightly, 568,000 MT.
- Feed industry growth is the main demand driver for grains and co-products.
- Poultry, swine, dairy and beef continue to grow consistently.
- Population / growth: 124 million / -1.3%
- Urban % / growth: 5% / 1.6%
- GDP / growth: $2.4 trillion / 2.3%
- GDP per capita: $19,500
- Mexico is a free market economy, with recent reforms made to allow non-governmental investment in petroleum, gas, electricity and basic infrastructure.
- Mexico must continue to address income and distribution gaps and security issues.
- Exchange rate to dollars and low oil prices complicate economic situation.
Trade and Market Share Issues
- Total U.S. market share is 94%.
- Mexico exported more than 1.4 MMT of white corn to Venezuela, Kenya, and South Africa.
- Significant untapped potential for DDGS (ruminants sector).
- The world’s 4th largest compound feed industry running at 85 percent capacity and expanding at 2.5% annually.
- Significant opportunity for ethanol exports if regulations can be put in place.
- Mexico is leading efforts at the COP-MOP (Cartagena Biosafety Protocol) concerning labeling language for GMO products and traceability documentation.
- Mexico will address low-level presence (LLP) issue at global level.
- Energy sector reform has opened opportunity for ethanol exports to Mexico.