The CEO of global agribusiness company Bunge Limited says U.S. corn is a better deal for Mexico than corn from Argentina or Brazil. Soren Schroder states he does not think Mexico would start heavily buying corn from South America, simply because the U.S. offers a better deal. He says Mexico purchasing corn other than from the U.S. would require a price shift in Brazil and Argentina. Concerns over Mexico sourcing corn beyond the U.S. surfaced this month after a Mexican lawmaker planned to introduce legislation to instruct the nation to buy corn from South America rather than from the United States. The bill is seen as a response to trade rhetoric by U.S. President Donald Trump.
Trump plans to renegotiate the North American Free Trade Agreement and build a wall between the U.S. and Mexico while implementing an import tax of 20 percent on Mexican goods entering the United States.
Source: NAFB News Service