Trade, Sustainability, and AgTech Highlights

Mexico is pursuing an agreement with the United States to lift a cattle trade ban, as rising beef prices and supply shortages strain the US market. Meanwhile, the country is reinforcing its commitment to sustainable agriculture, promoting ecological practices, financial inclusion, and digital innovation.

This is the Week in Agribusiness and Food!

Mexico Seeks Deal to End US Cattle Import Blockade

President Claudia Sheinbaum confirmed that SADER Minister Julio Berdagué will meet with USDA Secretary Brooke Rollins to resolve the border restrictions, while US beef prices have risen sharply, with ground beef averaging $6.12/lb and steak $11.40/lb. The Trump administration plans to expand low-tariff beef imports from Argentina and support domestic ranchers through grazing access and USDA initiatives, but experts caution these measures are short-term fixes that do not address structural challenges in US cattle production.

Mexico Advances Toward Sustainable Agriculture

Mexico is advancing sustainable agriculture through public policies, international cooperation, and support for small-scale producers to reduce deforestation, improve rural livelihoods, and strengthen climate resilience. The Vida y Campo project, implemented with GIZ since 2022, has trained over 4,200 producers in key production systems, promoted digital tools, and helped integrate sustainable practices into public policy while emphasizing inclusion of women and youth. Key priorities include improving financial instruments, adopting soil and water conservation practices, and replacing highly toxic agrochemicals with bio-inputs to align agriculture with biodiversity conservation and climate adaptation goals.

Tomato Tariffs May Force Mexico's Shift to Precision Agriculture

The US reimposition of a 17% antidumping duty on Mexican tomatoes has sharply reduced exports and put pressure on growers facing higher input costs, labor shortages, and climatic stress. In response, Mexican horticulture is accelerating the adoption of Dutch technology, greenhouse automation, precision irrigation, and data-driven management to increase efficiency, yields, and product quality. Experts suggest that this tariff-driven crisis may act as a catalyst for a transition from cost-based competition to knowledge-based, high-value tomato production, strengthening Mexico’s long-term competitiveness and market diversification.

Agentic AI: The Smartest Farmhand No One Sees (Yet)

Agentic AI, a new technology that not only analyzes data but also acts on it, is emerging as a transformative tool for agriculture, particularly for small and midsized farms in Mexico that lack real-time agronomic and financial support. Pilot projects in countries like India and Brazil show significant gains in water efficiency, yield, and access to credit, while global investment in AI-driven agtech continues to rise. Experts argue that adopting Agentic AI in Mexico could increase productivity, reduce input use, and enhance resilience, but successful scaling will require infrastructure, data quality, regulatory support, and farmer trust.

Mexico Enacts Rules to Ensure Sustainable Avocado Exports

The Mexican government has issued a new agreement establishing measures to ensure avocado exports are sustainable, deforestation-free, and comply with national and international phytosanitary standards, while guaranteeing fair and safe labor conditions, including a ban on child labor. The agreement involves SADER, SEMARNAT, STPS, and IMSS, and requires technical verification of deforestation-free land, SENASICA certification, and compliance with labor rights for eligible export orchards.