Mexican Wines Surpass Expectations at International Competition

Abroad, Mexican food products are performing well, including a category that is still not strongly associated with Mexico: its wines.

In other news, the Ministry of Agriculture and Rural Development pointed to very promising total production volumes for this year for a number of crops. It also announced that the amount of beef exported to the US has risen significantly, despite the ongoing COVID-19 contingency.

Want to know more? Read the week’s biggest news in agribusiness & food below:

Weather & Pest Monitoring

The National Institute for Forestry, Agricultural and Fishery Research (INIFAP) announced this week it is working to provide greater accessibility to climate data that is collected by its 440 automatic meteorological stations across the country. These stations are normally used primarily to assess the potential occurrence of phytosanitary threats such as pests and disease. The agency  wants to stimulate the development and distribution of mobile application for producers.

SENASICA and SADER have activated a response mechanism to curtail the spread of the Mediterranean fly from Chiapas state to the rest of the country.  The fly represents a pest to over 250 fruit and vegetable species. Earlier this year, the pest was controlled in Colima state. Currently the government is using various control mechanisms which include the use of the organic insecticide Spinosad, frequently applied in organic agriculture.

Production & Export

The Ministry of Agriculture and Rural Development (SADER) reports that despite the ongoing COVID-19 contingency, the country has sold almost 80 thousand more heads of beef when compared to last year´s cycle. According to the national phytosanitary agency SENASICA, of the total number of heads during this cycle exported, 1.71 million were standing calves, and 321.6 thousand heifers.

The Vice Minister of Agriculture, Miguel Garcia Winder said he expects that by the end of the year Mexico should have produced over 1.3 million tons of beans, which would be 55.3 percent above the 2019 agricultural year figure. For corn, he expects a total of 29 million tons, 7.3 percent higher than 2019. For rice, the indication is 318 thousand tons, an increase of 30.7 percent. For bread wheat, Garcia Winders  expects 1.6 million tons, another 19.4 percent higher than 2019. He also stated that the Mexican Food Security Agency (SEGALMEX) has been able to distribute more than 155 thousand tons of fertilizer to small scale producers in Guerrero, under the government fertilizer scheme.

During the Concours Mondial de Bruxelles 2020, taking place from 4 to 6th of September in the city of Brno in Czech Republic, Mexican wines won over 50 recognitions. Mexican wine makers took home 2 Grand Gold Medals, 19 gold medals and 37 silver medals. In addition to this, the Pozo de Lunca Malbec 2015, from wine house Vinicola Pozo de Luna in San Luis Potosí, was awarded with the recognition Revelation of Mexico. Amongst the winners of medals where wine houses Monte Xanic, El Cielo, San Lorenzo, Predro Domecq, Hilo Negro, L.A. Cetto and Santos Brujos, The latter is the only Mexican wine with biodynamic certification. The vineyards receiving medals and recognitions are located in the ubiquitous Valle de Guadalupe in Baja California, as well as Queretaro, Coahuila, Aguascalientes, Ensenada, Guanajuato, and Chihuahua. The performance of Mexican wines this year was markedly better than past years.

Water Conflict Mexico-US Border

The director for North America of the Mexican Foreign Ministry, Roberto Velasco, warned this week that if the conflict between authorities and farmers over local water supply in Chihuahua state prevents Mexico from complying with its water payments to the US, this country could renounce the conditions stipulated by the International Water Treaty of 1944. This would leave the distribution of water from the Rio Grande and Colorado rivers between the two countries unregulated. It could also, he warned, lead to the US not complying to corresponding deliveries of water from the Colorado River to Mexico, which could cause serious draughts risks in receiving areas.

Restaurant Loan Scheme

Uber Eats and Credijusto have announced a partnership that will offer a  digital financing solution to restaurants allied with the food delivery platform. Restaurants on the platform will be able to apply for loans that range between MX$10,000 (US$460) and MX$4 million (US$184,000) over the next 12 months.