Trade Partnerships and Industry Milestones

Mexico and Canada will boost agricultural cooperation through joint initiatives in market expansion, climate adaptation, and innovation. Meanwhile, ADM has inaugurated its first wet pet food plant in Morelos with a US$39 million investment, aiming to strengthen local production and reduce imports.

This is the Week in Agribusiness!

Mexico, Canada Strengthen Agri-Food Trade Amid Tariff Tensions

Mexico and Canada are strengthening agricultural trade and cooperation by promoting climate adaptation strategies, research, and technological exchange, while ensuring sanitary standards for key products. During a bilateral meeting, Mexico’s Agriculture Minister Julio Berdegué and his Canadian counterpart Kody Blois agreed to streamline trade, facilitate market access, and enhance collaboration between their respective food safety agencies. Despite past tariff threats from the US, both nations remain key trading partners, with Mexico exporting avocados, beef, and tequila to Canada, while importing canola, pork, and wheat.

ADM Inaugurates Pet Food Plant in Morelos

ADM inaugurated its first wet pet food plant in Morelos with a US$39 million investment, strengthening its position as one of Mexico’s top pet food manufacturers while reducing reliance on imported ingredients. The company aims to locally source over 50% of its production by the end of the year and plans continued expansion in Mexico’s pet food, livestock, and grain sectors. Government officials welcomed the investment, highlighting its alignment with national strategies to boost domestic production and Morelos’ emergence as an agro-industrial hub.

Mexico Bans Junk Food in Schools With Industry Support

Mexico’s Ministry of Public Education has secured an agreement with major food industry companies, including Coca-Cola, to ban junk food sales in elementary schools as part of the Live Healthy, Live Happy strategy to combat childhood obesity. The measure, taking effect on March 29, is reinforced by a nationwide student health assessment and a guide for school cooperatives on permitted food items. With 37% of elementary school children in Mexico overweight or obese, the initiative seeks to promote healthier eating habits and reduce the country’s high consumption of sugary drinks.

State of Mexico Assigns MX$3.5 Million to Native Corn Producers

The State of Mexico has awarded over MX$3.5 million (US$174,458) in financial aid and agricultural equipment to winners of the First Native Corn and Amaranth Contest, an initiative led by Governor Delfina Gómez to support local farmers and preserve native corn. The contest, backed by the state's law on native corn protection, selected 60 finalists who received machinery and tools to enhance their agricultural production. In collaboration with institutions like UNAM and CIMMYT, the government is also advancing research efforts, donating 833 seed accessions to improve open-pollinated varieties and promote sustainable farming.

Diageo Mexico Strengthens Water Sustainability Initiatives

Diageo Mexico is strengthening its commitment to water sustainability through conservation initiatives aligned with its global Society 2030 strategy, investing MX$100 million (US$4.9 million) in water access and sanitation projects in Jalisco. The company has funded six water replenishment projects, including the Ocotlán Wastewater Treatment Plant, where a cogeneration system now supports long-term operations and reduces carbon emissions. Diageo also participates in watershed restoration efforts, aiming to replenish more water than it uses in its distilleries by 2026, while continuously improving water efficiency across its global operations.