Mexico Delays Decision On U.S. Potatoes
On Wednesday, the Mexican Supreme Court decided to delay its long-awaiting ruling on whether it will overturn a ban on fresh potato imports from the U.S. until next week at the earliest. Although processed potato products can still be imported into Mexico, fresh potatoes have been effectively banned from the country for over 20 years.
The Mexican government agreed to open the market seven years ago after stiff pressure from the United States. However, once that decision was made, the powerful Mexican potato industry sued their own government to block it from allowing U.S. potatoes into the country.
National Potato Council CEO Kam Quarles said the Mexican potato industry is arguing that the government does not have the constitutional authority to allow Ag imports to come into the country.
"This unusual set of circumstances is causing a lot of people to have a great deal of concern about how the process is working and the politics surrounding it. The reason that this is one of the longest-running trade disputes is purely because of politics."
According to Quarles, if the Mexican potato industry wins its case, then every Ag product that's going into the country could potentially be challenged. He added the decision by the Mexican Supreme Court carries with it very high stakes.
"The Pacific Northwest is really one of the powerhouses of U.S. potato exports. Assuming that we get full market access to Mexico they would be a prime beneficiary. But if we don't get that access, they are going to suffer disproportionately."
The earliest the Supreme Court will reconvene is March 3rd, but Quarles added there's no way to know how long the wait will truly be.
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