• DEFUNDING: Medium-sized farms will be hit hard due to the Mexican Congress drastic defunding of most agricultural support programs aimed at them in a Government shift to prioritize small low income producers, according to experts.
• NUMBERS: The 2020 budget for the Ministry of Agriculture (SADER) is 27% lower than in 2019 mostly by eliminating all mechanization, technification and commercialization programs helping medium and large farms, per Grupo Consultor de Mercados Agrícolas (GCMA) an ag think tank.
• BLOW: “This is a fatal blow to Mexico’s commercial agricultural activity. This budget goes against the food self-sufficiency that the President raised”, said Bosco de la Vega, head of Mexico’s national farm council (CNA), reminding that medium size farmers represent 45% of total Mexican ag.
• OPPORTUNITY: Given the lack of access to Government programs, Mexico’s medium and large farm sector will face the riskiest cycle since 1994 when the country joined the North American Free Trade Agreement (NAFTA). Mexico is the second export market for US agriculture
