As the Unites States plans to renegotiate the North American Free Trade Agreement with Canada and Mexico, U.S. agricultural exports to Mexico have declined over the first few months of 2017.
The Wall Street Journal reports that Mexican imports of U.S. soybean meal dropped 15 percent, the first decline in four years. Meanwhile, chicken exports to Mexico where down 11 percent, the biggest decline since 2003. Finally, U.S. corn exports to Mexico dropped six percent. Mexico is the largest export market for soybean meal, chicken and corn for the United States.
The Wall Street Journal attributed the declines to friction between Mexico and the U.S. from NAFTA renegotiation’s, as Mexico is moving to reduce its reliance on the U.S. for commodities. The declines also come as U.S. farmers deal with low commodity prices and excess supply that has reduced farm income over the last few years.