Agri News Mexico – April 2013

Agri News Mexico

Agri News Mexico April and beginning May have been very active for the agricultural office, particularly as a result of different visits from the Netherlands, namely the Animal Health mission and the Plant Health mission, both aimed at negotiating market access issues with the Mexican authorities, which have resulted in very fruitful efforts on both sides. The recent Animal Health and the Plant Health missions were very successful, mainly as a result of the number of items (dossiers) discussed and also the approval of animal and plant health certificates that will now be available to export products from the Netherlands to Mexico.

Ambassador Dolf Hogewoning on Queen’s Day celebration April 30, 2013.

Welcome to Agri News Mexico, the April 2013 edition, with agricultural news of Mexico and the agricultural office of the Netherlands Embassy in Mexico. Please feel free to send us relevant news on your operations in Mexico you may wish for us to include in this publication in the months to come. Note: Upon demand, Agri News Mexico will continue as a monthly edition.

Agri News Mexico is a monthly bulletin prepared by the agricultural office of the Netherlands Embassy in Mexico. It is a compilation and translation of the most relevant news in the Mexican agricultural sector. This agricultural office is not responsible for the truthfulness of the information presented here, but we can always offer the list of information sources upon request.

Another very important event this month has been the visit of representatives of Alterra (Wageningen) to review the actual viability of the establishment of agro food clusters in the states of Nayarit and in the near future, this will also take place in the South-eastern state of Chiapas. Beginning April we had the visit of the Netherlands Water Platform (NWP), a group focused on business opportunities for SME’s in Mexican horticulture. Last month too, Mexico had its yearly event: Expectations Forum for the agricultural sector, aimed at giving the latest information on the state of affairs of the agricultural sector and its growth possibilities. This year, food security was an important subject for discussion. On April 12, Ambassador Hogewoning hosted an event on Corporate Social Responsibility in the agriculture sector with the participation of several companies. We have finished the month of April with the celebration Queen’s Day and a new King and Queen of the Netherlands. =================================

E-mail: [email protected] Tel. +52 55 11 05 65 58 (NEW NUMBER) Enjoy your reading! Editor: Leonora Hammer Coordinator: Gabrielle Nuytens-Vaarkamp

1 Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

Agri News Mexico – April 2013

Agri News Mexico1

MARKETS Good signs for Mexico’s economy2 Mexico’s economy has shown continuous grown over the last couple of years; and, recently well ahead of its northern neighbor. Recognizing the management of the economy, Mexico’s Secretaries of the Treasury (Hacienda) have regularly been included in the list of top Latin American treasury secretaries. Adding to investor confidence has been the recent “Pact for Mexico” signed by the country’s political parties, which some political analysts say should be a model for the United States to adopt. The vision of and confidence in Mexico’s economic growth according to the Financial Times is reflected in the country being the number one Latin American target for M&A ventures during the first quarter of the year. However, there are still some dark spots and concerns. Unemployment, for one, has been sticky, according to official figures, around five percent. The strong peso has helped to keep down inflation, but it has also meant that the peso value of remittances, which is an important source of income for many poorer Mexicans, has fallen. The strong peso also has the potential of lessening export competitiveness.

XIII Forum of Expectations for Agri Food3 During the XIII Forum of Expectations for the Agri Food Sector, organized yearly by the Mexican Ministry of Agriculture, there were many interesting presentations and panel discussions opinions on the subject. Raul Urteaga Trani, General Coordinator of International Affairs of the Ministry of Agriculture said that modern public policies for the rural sector positively face the challenge of increasing production and meet the global demand for food, of which growth is estimated at 2.5 times for the year 2050.

Mexican food exports have diversified marginally so the entry of Mexican products to Japan and Europe has grown only at an average annual rate of 17.1 percent and 9.1%, respectively, between 1994 and 2011. Mexico is a major exporter of value-added products to the ultimate consumer, such as vegetables, fruits, beverages and processed foods, in addition, is the seventh largest producer of animal protein worldwide, Urteaga Trani said. In the panel of analysis The challenge of Mexico’s competitiveness: food power or impotent dependent?, Vice President for Latin America of RJ O'Brian of the Chicago Stock Exchange, Antonio Ochoa, explained that Mexico has 12 trade agreements with 44 countries. The general coordinator of Livestock SAGARPA, Francisco José Gurria Trevino, described the situation of the Mexican livestock sector, which ranks seventh in the world production of animal protein. He added that Mexico ranks third in export of honey (27 000 tons) and fourth in live cattle (1.2 million heads). It contributes 32 percent of gross domestic product and has primary 3.4 million production units and 13.6 million people involved in the activity itself is carried out on 113 million hectares.

Herminio Blanco, Mexican candidate for Director of WTO4 The Government of Mexico presented the nomination of Dr. Herminio Blanco Mendoza to the position of Director-General of the World Trade Organization (WTO). On April 26th, during the WTO Council’s session it was announced that Doctor Herminio Blanco Mendoza has been chosen to participate in the final phase of the selection process to appoint a new Director-General of st the WTO as of September 1 ., 2013.

Meeting between Minister Martínez y Martínez and Japanese Senator5 The Secretary of Agriculture, Enrique Martinez y Martinez, met with the president of the parliamentary group of Japan to the G-20, Hirofumi Nakasone, and exchanged views to strengthen trade relations and brotherhood between the two nations.

1

Please contact: e-mail: [email protected] for more detail of this information. 2 Source: “Agribusiness World this Week”, by Kenneth Shwedel. Edition: April 1-5 , 2013. 3 Source: SAGARPA (13-04-13)

4

Source: Trade Links Publication (March), Mexican Ministry of Economy. 5 Source: Notimex, 05/04/2013 2 Volume 7 | number 14 | April 2013

Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

Agri News Mexico – April 2013

Enrique Martinez y Martinez said that in the Japan is an important trading partner for Mexico, especially in the agricultural sector, and it is necessary to strengthen the presence of Mexican food in that market. He also informed that soon, the President of Mexico will visit Japan to strengthen constructive dialogue with that country, to share knowledge and identify trading opportunities. In their participation, Senator Nakasone, who is also a member of the parliamentary group of Mexico-Japan Friendship acknowledged Mexico's progress in recent months, and said his country needed to increase agrifood trade with Mexico. Japan, is a major consumer of Mexican agricultural goods, particularly fruit and vegetables such as mango and avocado, as well as meat and seafood. Senator Nakasone pointed out that the Parliamentary Meeting of the Forum of Asia-Pacific Cooperation (APEC) will be hosted in Mexico, in the first months of 2014, and this is of major interest to his country.

Buying less, spending more6 Based on the latest Consumer Price Index (CPI) and Nielsen’s findings on consumer spending in Mexico, between March of last year and March 2013 the overall CPI increased 4.3 percent. The food component of the CPI grew practically twice as fast increasing 8.4 percent. With approximately 60 percent of the population in the lower social economic stratum (the top stratum accounts for eight percent of the population, with the remaining 32 percent considered as middle income consumers), price continues to be a key factor in consumers’ decisions. Data points to MX$15 (approximately US$1.23) being the crucial price point in the market, i.e. approximately half of all individual items are sold at MX$15 or less. There is the opinion that a change is underway driven by technology in the relationship between the consumer and market, with the consumer becoming increasingly more informed: some 40 million Mexicans have access to the internet and 100 million have mobile phones, making it easier to get information, while, at the same time, opening up new channels of communication between retailers, food manufacturers and consumers.

HORTICULTURE Promoting the consumption of organic products7 The Secretariat of Agriculture, Livestock, Rural Development, Fisheries and Food (SAGARPA), through its Agency of Marketing Services and Development of Agricultural Markets (ASERCA), encouraged the consumption of organic food in the country and abroad, with the aim of encouraging the production and marketing of these crops in Mexico. ASERCA, directed by Baltazar Hinojosa conducts a campaign for the development and promotion of the consumption of certified organic products for the national and export markets. The interest in organic production in Mexico has increased. Proof of this is the growth of the sector in the last ten years, which increased from 33.5 thousand to 169.5 producers, informed the secretary of the association Impulso Orgánico Mexicano. In the same period, organic acreage grew from 85.6 thousand hectares to 351.9 hectares. The main organic products grown in Mexico are coffee, which occurs in about 50 percent of the area devoted to organic, medicinal and aromatic herbs, with 10.31 percent of the surface; vegetables, 8.45 percent; cocoa 5.92 percent, and wild grape, with 4.11 percent.

Be part of Mexico’s most important horticultural exhibition! As in previous editions of the ExpoAgroalimentaria Guanajuato in Irapuato, the Netherlands Embassy in Mexico is organizing the Holland pavilion for the 2013 edition. This year’s event takes place from November 12 to November 15. Advantages of being part of the pavilion are, among others, being located at a prime location, having the Embassy take care of your booth reservation, booth design, and even hotel reservation. If you are interested in being present at the most important horticulture fair in Mexico, and you would like to be part of the Holland pavilion, please contact email: [email protected] a.s.a.p. for more information! * We only have a couple of booths left! Check attached document!

6

Source: Agribusiness World, by Kenneth Shwedel. April 2226.

7

Sagarpa 13/04/2013

Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

3

Agri News Mexico – April 2013

Certification as key element to export success8 Two important Mexican food companies have seen tangible growth of their businesses since receiving the certifications Mexico GAP and Global GAP, allowing them to increase both sales and exports.

From 1999 to 2012, the average annual growth in purchases in the United States of fresh Mexican horticultural products grew by 15 percent, compared with 14 percent of Canada. In the case of U.S. imports of fresh vegetables coming from Peru, with a share of only 5 percent in the value of total imports in 2012, its growth was of 31 percent per year in that period.

During a recent visit to Mexico, foreign journalists were able to witness some of the activities undertaken by the industry nonprofit association Mexico Supreme Quality to help Mexican companies increase sales by obtaining certification standards recognized worldwide.

The volume of U.S. imports of vegetables has grown on average at a rate of 5.1 percent in the last twelve years, almost double the average for fruits, 2.7 percent.

The first example is company Abogue, a producer of tomato, pepper and broccoli. The company highlighted the tremendous progress made since the obtaining certification in 2011. The company has invested large amounts in the construction of high-tech greenhouses where pesticide use is minimal and where it is strongly committed to the use of biological pesticides.

The city of Irapuato in the state of Guanajuato has become the first producer of broccoli, with an annual harvest of 200 000 tons. Now farmers want the entity to be qualified as "Premium Zone", as it meets the requirements demanded by the Department of Agriculture of the United States, and thus could enter other international markets.

The complete product range of the company also includes carrots and garlic, which grows in a total of 115 hectares, including 6.6 hectares of greenhouses. It is estimated that 90% of the company's total production is currently exported to the United States and Canada, but Europe and Asia might be interesting markets in the future. Mr. Lucky, another important horticultural producer in the state of Guanajuato explained that its accreditation of Mexico GAP and extensive production schedule can cause a good impression on the European market and offer a competitive advantage over its American rival exporters. Mr. Lucky is a major producer of lettuce, celery, garlic, asparagus, broccoli, cauliflower, berries, cabbage, sweet corn, beets and onions, among other products.

Mexican horticultural presence in the United States9 Agriculture Department statistics show that U.S. Mexico is by far the largest supplier of fresh produce to the U.S. market, accounting for 69 percent of total imports of fresh vegetables and 37 percent of imports of fresh fruits in 2012.

8 9

Source: mexicocalidadsuprema.com, 04/05/2013 Source: The Packer, 04/04/2013

Broccoli production10

In Guanajuato, there are about 16 thousand hectares cultivated with broccoli, this whole area has modern irrigation and it requires heavy investment and high technology and protection against pests. This type of cultivation employs more than 40,000 people, and there is an important income generated mainly by the export of frozen product by companies located in the industrial corridor, mainly Leon, Irapuato, Salamanca and San Francisco del Rincón of the state of Guanajuato. Exports are made by 90 percent through refrigerated trailer and 10 percent through sea containers, 90% of the exported product going to the U.S., 5 percent to Canada and the rest to Europe, Central America and other regions. The state of Guanajuato has several advantages, such as the central location, and Mexico's primary neighbor is the U.S. consumer. In addition, broccoli from Guanajuato meets quality and safety certifications required for marketing and even has an agreement with the federal health risk commission (COFEPRIS), that can speed up certification for export.

10

Source: Agrointernet.com, 15/04/2013

Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

4

Agri News Mexico – April 2013

ANIMAL PRODUCTION Livestock11 The General Coordinator of Livestock of the Ministry of Agriculture, Francisco José Gurria Trevino, described the situation of the Mexican livestock sector, which ranks seventh in the world production of animal protein. He added that Mexico ranks third in export of honey (27 000 tons) and fourth in live cattle (1.2 million heads). It contributes 32 percent of gross domestic product of the primary sector and has 3.4 million production units and 13.6 million people are involved in the activity itself, which is carried out on 113 million hectares.

Russia bans imports of Mexican beef12 Beginning April, Russia banned the entry of beef from Mexico and Canada, a market that now accounts for 18 percent of total Mexican exports of the product. In the past year, Russia became the second export destination for Mexican beef, capturing 18 percent of deliveries abroad, according to data from the Mexican Association of Cattle Feedlot (AMEG). Alvaro Ley, president of the organization said that the situation is extremely worrying as it will have a strong impact on domestic livestock. "The Russian market is very important, not only because it is the second largest export destination, but because the meat cuts sent allow us to make better use of each animal, as are other than those sent to the United States and Japan," he said. According to Mexican Beef, an organization that brings together beef exporters, in 2012 Mexico sent 26.8 thousand tons of beef to Russia, 2000 more than in 2011. Ley stated that this prohibition adds to the increase of prices of grain and calves which make farmers lose about about a thousand 500 pesos per head. "Exports are a way that we have to balance the business, because right now the prices are high for calves and for grains. Lack of exports complicate things even more. "

11 12

According to the Federal Service for Veterinary and Phytosanitary Surveillance of Russia, this decision was based on Russia’s concerns that Mexico and Canada use the supplement ractopamine, a growth stimulant for leaner meat. But for the president of the AMEG there are not enough justifications, since the meat sent to Russia is free of ractopamine. Regardless of the Russian veto and the measures to be taken, previously revealed that they were looking for other markets such as Singapore, Turkey and China as part of its business expansion plans. Ley added that currently there is a strong competition with Uruguay and especially from Brazil (one of the main exporters to Russia) to lead sales in this market. He added that await the resolution of this conflict in the course of the second quarter. The European country will block about 80 percent of Mexican beef importing firms, Interfax reported.

FOOD Development of Food clusters From 1 to 5 may 2013 there was a trade mission of Alterra (Wageningen) from the Netherlands to the state of Nayarit, coordinated by FOCIR (Funds for the Rural Sector) and the Ministry of Agriculture (SAGARPA). The state has a favorable geographic position, having nearby both urban areas of Guadalajara and Mexico City, as well as the United States as an export possibility. The plans for an agro food cluster in that state are in an advanced stage, with the local government and the entrepreneurs are being very determined to realize a one or two clusters in the state. Nayarit has the ambition to become the national center of agro logistics. Next month, the mentioned parties will travel to the Netherlands to visit agro parks. In July, there probably will be a follow up mission to Nayarit and other states.

Sagarpa 13/04/2013 Source: Reforma, 04/05/2013

5 Volume 7 | number 14 | April 2013

Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

Agri News Mexico – April 2013

Expo ANTAD13

Nestlé Mexico15

The Exhibition of the Retail Sales Association (ANTAD) was again a successful event, with a grand opening on March 13.

The Federal Competition Commission (CFC) accepted Nestle’s proposal to de-incorporate Pfizer’s infant milk formulas Pfizer in Mexico in order to comply with the ban imposed on this purchase in the Mexican market. In November 2012, Nestlé purchased the nutritional products division of Pfizer globally by 11 thousand 850 million dollars, but in Mexico this purchase was not authorized.

The ANTAD organization has now 30 years of existence, and this event shows its growth and acceptance amongst retailers, many of them in the food business. It is important to mention that ANTAD joins Mexico’s most important retailers, such as supermarkets, convenience stores, shops and also department stores. Most of these retailers are direct or indirect importers and sell different kinds of food products.

The CFC denied Nestlé's acquisition of Pfizer's nutrition business, since it allowed it to accumulate a market share of 71 and 88 percent of the business of baby formula between zero and 36 months, in a market with high entry barriers.

th

In its 30 edition, the Expo ANTAD had 2200 exhibiting companies, a growth of 22% and reaches 55 square meters of exhibition space. There was a special area dedicated to entrepreneurs and another one for the international companies, which hosted companies from 39 countries.

"The proposed mechanism, accepted by the plenary of the Commission, consists on the sale of all assets necessary to be present in the Mexican market, such as brands, to a third party not connected with Pfizer nor Nestlé " stated the CFC.

There was also an area dedicated to new products, and one for “retail tech” for trade and retail.

Family farming schemes14

Sugar16

Mexican producers and the Produce Foundations seek to promote family farming among rural communities in extreme poverty through the creation of micro enterprises through which they will sell their surplus products.

That is what the market is saying. Just twelve months ago Mexico was facing near historic high prices for sugar. Since then prices have followed a downward track, particularly since last August. The wholesale average price for refined sugar in March of this year was 28 percent below March 2012’s average price.

This project was called "Food production, harvesting of water and employment" and covers 100 municipalities in the states of Puebla, Yucatan, Chiapas, Oaxaca, Guerrero, Veracruz and Hidalgo. The project also considers the integration of a sustainable commercial town trade center, where the surplus will be sold in the local market to eradicate hunger from 10 thousand families. Mauricio Lastra, president of the National Coordinator of the Produce Foundations (Cofupro), said the project includes five areas: seed production areas, basic vegetable production, tropical fruit trees, egg production farms, rainwater capture system for domestic consumption and increase of the food productivity.

Driving price down is the expectation of sugar production reaching 6.2 million tons, a 23.7 percent increase in production over the 2011/12 campaign output. This will translate into a projected 23.1 percent increase in sugar stocks. At the same time that Mexican prices have fallen, U.S. prices continue weak – due to Mexican production, according to some analysts – which limits exporting more of the surplus sugar as an option to move domestic prices higher. Looking for other options to raise prices, the industry is talking about ethanol – which isn’t viewed by some as realistic – and reaching an agreement with the beverage industry to use more sugar and less high fructose corn syrup (HFCS).

15 13 14

Dulcelandia Magazine, may, 2013 Reforma newspaper, 15/04/2013

Source: Reforma newspaper, 15/04/2013 Source: Agribusiness World, by Kenneth Shwedel. April 29May 3. 16

Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

6

Agri News Mexico – April 2013

While an agreement with the industry is foreseen as somewhat more plausible, it should be remembered that corn prices have also fallen which will make HFCS cheaper and, therefore, harder to give up.

TRADE Improving trade conditions17 To promote policies and rules that allow a better flow of perishable goods at customs, development of cold chain infrastructure, support and training field staff are the main lines of action to be promoted to take advantage of the business potential it has Mexico in global agribusiness, said Roberto Abreu, president of the National Association of Importers and Exporters of the Mexican Republic (ANIERM). There is a great opportunity to diversify exports to Mexico, since around 70% of its exports are concentrated in the automotive, electronic, electrical, metal-mechanical and medical devices. Another important factor is to diversify the destination of these products to countries like China, Japan and Russia. Important advances are within the union of small producers who work together to send their crops and increase cargo volumes, mainly to the United States. According to Roberto Abreu, to get more economic growth in the Asian region logistic costs should be reduced, since it absorbs 50% of the final price of a product on the market. According to Andres Vazquez, CEO of Braniff Air Freight, platforms should be developed in airports to maintain the supply of cold temperature in the containers, as well as work with the government to streamline the processes for the certification of products and their customs clearance.

Food and agricultural trade deficit18 Trade numbers for 2012 continue to be in the red, running a US$3.96 billion deficit, up 15 percent over 2011. Mexico’s foreign trade is in a deficit position for both primary agricultural products, which for our purposes includes meats, as well as for manufactured food products. 17 18

Source: T21.com.mx, 10/04/13 Source: Agribusiness World by Kenneth Shwedel. April 8-12.

Contrary to what one would initially think due to the importance of basic grains, it is the manufactured food products which account for the lion’s share of the food and agricultural trade deficit: 78.3 percent. On closer reflection the importance of manufactured food products reflects the continued growth of the Mexican economy, resulting in changing food consumption patterns. Since 1995 Mexico’s primary and manufactured food imports have largely grown in tandem, while, by way of contrast, exports of manufactured food product grew more than twice as fast as primary product exports. Looking at food and agricultural export trade compared with the country’s overall export trade, food and agricultural exports have experienced similar growth paths. When compared with agricultural GDP, export trade in food and agricultural products is much more dynamic. Although agricultural policy has tended to focus on reducing imports, given the dynamic nature of food and agricultural export growth, policy should place more emphasis on expanding food and agricultural exports as way to stimulate development of the sector and protect producer incomes.

BUSINESS PARTNER SCAN

The Agentschap NL in cooperation with this Agricultural Office is offering the possibility to develop a “business partner scan” that helps find market entry and contact potential agents or distributors and also manufacturing partners. For more information, please contact: http://www.agentschapnl.nl/onderwerp/zakenp artnerscan-vind-uw-zakenpartner-het-buitenland

SUSTAINABILITY The Ministry of the Environment will support the Crusade Against Hunger19 The Ministry of the Environment and Natural Resources (SEMARNAT) will participate in the National Crusade Against Hunger a presidential initiative which started last January, through five programs that primarily benefit indigenous communities.

19

Source: www.teorema.com.mx

Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

7

Agri News Mexico – April 2013

During the 1st Meeting of Information System Link for the Assistance of Indigenous Peoples in the Environmental Sector, the head of the Coordinating Unit for Social Participation and Transparency (UCPAST) of SEMARNAT reported that the support will be channeled through: the Temporary Employment Program (PET), Conservation Program for Sustainable Development (Procodes), the Program for Construction and Rehabilitation of Water Supply Systems and Sanitation in Rural Areas and ProÁrbol through Payment for Environmental Services and Forest Development.

Barcel opens a 100% sustainable plant20 Mexican company Barcel, part of the Grupo Bimbo bakery group opened a new plant in the western part of Mexico. This plant started operating in the month of March in the state of Jalisco, and is dedicated to the production of chips and confectionery products, that have an important presence in the Mexican market. Moreover, the products of this plant will also be aimed at foreign markets, such as Spain, the United States, the U.K., Guatemala, El Salvador, Nicaragua, Honduras, Costa Rica and Panama.

Green Expo started six years ago with the intention of bringing small and medium green companies to work with investors concerned about the environment. "Today it is considered a sustainable forum for suppliers to the national tourism sector," said Gilda Sigie, project manager. The exhibition had a total of 40 exhibitors who provided sustainable alternatives for the tourism sector. During the three days there were networking activities between companies, government, tourism experts and environmental specialists. It also included the First Congress of European Sustainable Tourism for Mexico-Sustenta Euromex-in order to exchange experiences and learn from success stories presented by internationally by renowned speakers.

The company also showed pride in the reformulation of their products according to the World Health Organization’s recommendations of less trans fats, saturated fats and sodium. The plant was built upon three pillars set by Grupo Bimbo to reduce environmental footprint: carbon footprint, hydric footprint and integral handling of residues.

Green Expo Riviera Maya From May 23 to 25 Green Expo Riviera Maya and Euromex launched the sixth edition of the Green Expo to create links and generate actions between greeninitiatives-NGO or suppliers, tourist branch companies and government towards the state of Quintana Roo for the development of sustainable tourism. Main areas of interest were: conservation of natural resources, links to community producers, the development of sustainable tourism, conservation of species at risk and training.

20

Dulcelandia Magazine, may, 2013

8 Volume 7 | number 14 | April 2013

Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

Agri News Mexico – April 2013

ANIMAL HEALTH AND PHYTOSANITARY ISSUES ANIMAL HEALTH

The Bilateral Meeting on Plant Health took place on May 7. The experts met with Dr. Javier Trujillo, Director General of the Mexican Plant Health office of the Ministry of Agriculture (SENASICA / SAGARPA) and his team.

Animal Health Mission to Mexico

This meeting was very positive and allowed to discuss a number of important import items from the Netherlands that have demand in the Mexican market.

Mexico is a priority country as mentioned in NL Veterinary Export Strategy 2012-2014. Market access is a key element to allow for fluent exports to Mexico of important products from the Netherlands.

During the meeting, it was agreed that these meetings would take place on a more frequent basis, to assure better phytosanitary communications.

Dutch experts in Animal Health, Ton Akkerman and Diny Claassen visited Mexico from April 15 to 18, 2013.

Cancellation of Mexican Official Norms

The visit was aimed at meeting with their Mexican counterparts in the Ministry of Agriculture, namely the Director General of Animal Health, recently appointed Joaquín Braulio Delgadillo Alvarez and Director of Imports and Exports, Montserrat Arroyo and her team.

The Ministry of Agriculture (SAGARPA) has cancelled the following Mexican Official Norms for agricultural products:

During the meeting, there were a number of items being discussed and conditions agreed, that received great interest and support on the side of the Mexican and Dutch parties, namely products such as: bovine semen, live horses and hydrolysed proteins, among others. During their visit to Mexico, the experts had the opportunity to visit the facilities of the Faculty of Veterinary and meet with its directors. They also participated in the International Meat Congress, where Dr. Akkerman gave a presentation on the Dutch Animal Health system.

PLANT HEALTH Plant Health Mission to Mexico Last May 6-8 was the official Plant Health Mission to Mexico. The Netherlands Embassy hosted Mr. Bert Rikken and Mr. Johan Roman experts from the Ministry of Economic Affairs. On the first day of their visit the experts met Mexican producers and importers in order to know more about the current situation of certain products, such as imported seeds.



NOM-062 - regulating the importation of plants by mail or courier



NOM-044 - regulating processed nuts and vegetables and dehydrated products.



NOM-007 - regulating propagative plant material.



NOM-008 - regulating fresh fruits and vegetables.



NOM-028 - regulating grains and seeds.



NOM-006 - importation of plants, plant products and byproducts.

Requirements for the import of products belonging to these sectors are available upon request in the website of Mexico’s Ministry of Agriculture: www.senasica.gob.mx. For assistance, please contact: [email protected].

Import Requirements in Mexico There have been changes in the import requirements of certain products. Let your importer contact the Netherlands agricultural office in Mexico or the Dutch Food and Consumer Product Safety Authority (www.vwa.nl) in order to get the latest updates on import conditions.

9 Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

Agri News Mexico – April 2013

Products that have changes of import conditions in Mexico are: -

Dairy and products : for human / animal consumption - */new certificate Poultry : genetic material (fertile eggs) */new requirements Poultry: eggs for human consumption */ new certificate Bovine: genetic material (bovine semen) */ new certificate under negotiation Horses : live horses & genetic material */negotiation of a new certificate Feed and vaccines - */ new certificate in process Samples for research, of animal content */new certificate in process Blood and its products for human consumption – */new certificate

AVAILABLE PUBLICATIONS

FAS-GAIN reports on Mexico21: 

Mexico Adjusts for Dry Bean and Lentil Shipments (23-4-13)



Oilseeds and Products Annual (17-4-13)



Sugar Annual (15-4-13)



Coffee Rust Update (5-4-13)

UPCOMING EVENTS 2013 Participation of the Agricultural Office of the Netherlands Embassy: -

Expo Agroalimentaria Guanajuato. Horticultural exhibition. November 12-15, 2013. Available stands in [email protected]

Other events, in 2013*:

Upon request: at e-mail: [email protected] -

Presentation: The Netherlands and the agrifood sector : a small country, a great partner, 2012 Booklet: FIGAP – VIV Animal Exhibition, 2012 The Animal Feed Industry in Mexico, 2012 Animal health establishment approval, LEI, 2012 Mexican Protected Horticulture – WUR 2011 Animal Production Roadshow, 2011 Article: The Mexican Animal Sector, 2011 Trade Fairs and Publications in Mexico, 2013 Latin American Food Processing Machinery, 2010 An Introduction to Mexico: Briefing Horticultural Mission to Guanajuato. 2010 Presentation : Doing Business with Mexicans, Minimizing Differences, 2010 Optimal Climate Regions in Mexico for Greenhouse Crop Production, by Jop Kipp Business Opportunities in the Mexican Dairy Industry - WUR 2010 Mexico Factsheet, 2009 (Dutch version) Mexico Ornamental Sector, 2007 Mexico Animal Production, 2007

-

PMA Fresh Connections Mexico – horticultural exhibition May 16-17, 2013 In Guadalajara, Mexico Web: www.freshconnectionsmexico.com/en/

-

Alimentaria México – food exhibition June 4-6, 2013 In Mexico City For more information: Web: www.alimentaria-mexico.com

-

International Tomato Congress June 19-21 In Mazatlán, Mexico Web: www.thetomatocongress.com/2013/?page=u pdateform

-

Latin American Food Show September 4-6, 2013 Web: www.lafs.com.mx

*/Note: To receive the 2013 list of events and publications please contact: [email protected] 21

These reports are available in website: http://gain.fas.usda.gov or please contact our office.

10

Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -

Agri News Mexico – April 2013

TRADE AND INVESTMENT OPPORTUNITIES This new section is aimed at finding suitable trade or investment partners or opportunities in Mexico. NOTE: The Agricultural Office of the Netherlands Embassy in Mexico is, however, not responsible nor has links to those offering these opportunities.

-

Dutch company seeks Mexican representatives of agricultural machinery.

-

Dutch student looking for a job in Mexico, in the the agriculture or food sector.

-

Dutch company looking for Ford and NewHolland Farm tractors in Mexico For export out of Mexico overseas.

-

Land (80 has.) available in the state of Chiapas located very close to livestock and corn production areas.

For information on these, or if you would like to have your trade or investment opportunities published here, please contact: Embassy of the Kingdom of the Netherlands – Agricultural Office

E-mail: [email protected]

11 Volume 7 | number 14 | April 2013 Ministry of Economic Affairs, Office of the Agricultural Counselor Mexico - Embassy of the Kingdom of the Netherlands -