MEXICO CITY, MEXICO — Mexico’s corn imports are forecast to climb to 18 million tonnes in marketing year 2023-24, up 5% from the previous year, owing to increased demand from the starch and animal feed sectors, according to a Global Agricultural Information Network report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture.

The increase comes on the heels of presidential decrees banning the use of biotech corn in tortilla and dough production and establishing an export tariff that impacted corn imports in 2022-23, which are estimated at 17.2 million tonnes, a drop of 2% year over year.

On Feb. 13, Mexico published a presidential decree that includes an immediate prohibition on the use of biotech corn in Mexico’s dough and tortilla production. On June 2, the United States requested dispute settlement consultations with Mexico under the United States-Mexico-Canada Agreement (USMCA). The presidential decree for a temporary 50% tariff on Mexico’s white corn exports expires on June 30.

Corn production for 2023-24 is forecast slightly higher than the previous marketing year at 26.9 tonnes. The main factor driving the increase in production is a slight increase in estimated planted area. Corn production in 2022-23 is estimated at 26.5 million tonnes based on more complete harvest results from the Secretary of Agriculture and Rural Development (SADER).

In 2023-24, reported falling wheat prices are expected to dissuade farmers from planting at the elevated levels seen in 2022-23. Wheat planted area for 2023-24 is forecast 5% lower at 560,000 hectares and forecast production is lowered to 3.4 million tonnes.

Mexico is expected to import 800,000 tonnes of rice in 2023-24, 4% higher than 2022-23 based on increased consumption, while sorghum imports will remain flat at 200,000 tonnes with production projected at 4.9 million tonnes.