Agribusiness Faces Environmental, Geopolitical Challenges

From recurring land burnings to water scarcity amid the Russia-Ukraine conflict, the agribusiness sector is facing multiple challenges. Sustainable and innovative strategies are being implemented to overcome the havoc of environmental and geopolitical impacts.

The Mexican agribusiness industry is also struggling with the image that foreign importers have of national exporters. According to Lia Bjinsdorp, Managing Director, United Producers of Mexico, transforming this conception will allow the potential of the industry to be channeled appropriately to grow export volumes and growers’ incomes. On the other hand, Mexico’s agribusiness industry is being boosted by international trade agreements. Over the past days, Argentina and Mexico modified ACE 55, which will benefit agriculture business.  

This is the Week in Agribusiness and Food!

The Image of Mexican Agro Exporters

Mexico is an important exporter of agriculture products. However, the impression that European importers have of the Mexican exporter ranges from informal to professional. This mixed image needs to be transformed so Mexico continues growing in the agribusiness sector. Good communication between growers and clients, as well as inspections for all fruit exports are two of the recommendations that Lia Bjinsdorp, Managing Director, United Producers of Mexico, gives to take advantage of the great potential of agribusiness. Read her contribution here.

Mexican Agriculture Goes Green

Sustainable agriculture contributes to reduce recurring land burning and close gender gaps in the countryside. Green strategies will benefit the growth of the agribusiness industry, which in January 2022 registered a surplus. The Ministry of Agriculture and Rural Development (SADER) announced that Mexican agricultural exports totaled US$3.68 billion while imports totaled US$3.22 billion. Learn more, here. 

Overcoming Water Challenges in Agriculture

World Water Day is celebrated on March 24 to raise awareness on the increasing shortage of this resource. Better use of rainwater in rainfed areas, investing in sustainable irrigation, policies that foster innovation and increasing the use of non-conventional sources of water, are some of the measures that FAO recommends to overcome the obstacles that agribusiness is experiencing amid water scarcity. Learn more about each proposal.

The geopolitical conflict in Eastern Europe is also expected to increase water challenges, as reported by MBN. "We have to be more efficient in the use of water to produce the same volumes with less of this resource through innovation, technology and the promotion of perennial forages in areas of water stress," said Mexico’s Minister of Agriculture and Rural Development ,Víctor Villalobos.

Mexico, Argentina Sign Trade Agreements

Updates to ACE 55 and ACE 6 between Mexico and Argentina maintained a trade dynamic based on quotas. Argentinean black bean imports will enjoy a temporary preferential quota. Learn more about the agreements between Mexico and Argentina.

Forest Products in the Global Bio-Economy

Forests provide food and according to the FAO, these ecosystems allow sustainable food production practices. Because of their importance, FAO, in collaboration with the European Forest Institute, launched the Forest Products in the Global Bio-Economy report, which highlights strategies to support the 2030 agenda through the transformation to more efficient agri-food systems. Also, the report focuses on the importance of forest products in a circular bio-economy.