Mexico will import at least a fifth more corn from the U.S. next season because output will dip due to rising fuel prices, says a corn federation. Fred Katayama reports.
More of this corn being ground in Mexico will be making its way in from the U.S. yellow corn imports from the U.S. could rise by at least a fifth next season. So says National Federation of Corn Producers president Juan Pablo Rojas. SOUNDBITE: JUAN PABLO ROJAS, PRESIDENT, NATIONAL FEDERATION OF CORN PRODUCERS, (SPANISH) SAYING: "Producers will certainly stop buying fertilizers and other consumables because the cost of production per hectare has gone up between 20 to 40 percent. The price has increased due to increasing taxes, fuel and fertilizer prices." The double-digit fuel price spike over the last two weeks, plus the weakening peso, could cause prices to rise for Mexico's food staple: tortillas. Laura Tellez, who sells food, says she has already seen prices increase. SOUNDBITE: LAURA TELLEZ, FOOD SELLER, (SPANISH) SAYING: "Tortillas, flour, oil, cream, cheese, everything has gone up because of fuel. Fuel price goes up and then prices go up." The situation for corn could still change. U.S. President-elect Donald Trump vows to scrap or re-negotiate the U.S.' free trade accord with Mexico.