Missouri Ag Connection - National/World News - Mexico Mulls Pork as Response to U.S. NAFTA Produce Proposal

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Mexico Mulls Pork as Response to U.S. NAFTA Produce Proposal
USAgNet - 09/18/2017

Mexican negotiators are working on a response to informal U.S. proposals to include protections for fresh produce in the re-negotiation of the North American Free Trade Agreement (NAFTA), two people briefed on the proposals said. U.S., Canadian and Mexican delegations finished a second round of talks last week to renegotiate the 23-year-old treaty, which U.S. President Donald Trump has threatened to abandon if he could not get a better deal for U.S. workers.

According to Reuters, Mexico is looking at creating its own list, that might include pork, in case Washington formally proposes to give seasonal fruit and vegetable farmers added protection, the people briefed on the matter said.

Mexican negotiators are studying the inclusion of pork legs in its counterproposal, including possible limits on the volume of U.S. exports to its southern neighbor, the people said.

The legs account for the bulk of Mexico's pork imports from the United States and are used to make some of the country's most popular dishes, like tacos al pastor and carnitas.

Some Mexican agricultural leaders have said that dairy and chicken could also be deemed sensitive, though those products were not mentioned by the sources briefed on the proposal.

In its NAFTA negotiating objectives published in July, the Trump administration said it would seek a "domestic industry provision for perishable and seasonal products" in trade cases. Since then the issue has not come up in official statements and it was unclear whether the idea was brought up again in the latest round of talks.

However, the possibility of a tit-for-tat response by Mexico to a potential U.S. proposal to limit fresh produce trade highlights the risks of granting exceptions to selected interests. Several U.S. retail, restaurant and agriculture groups flagged such risks last week in letters sent to Trump administration officials.

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