Voluntary -

Public

Clearance Office: Office of Global Analysis (OGA) Date: 6/30/2009 GAIN Report Number: MX9321

Mexico
Post: Mexico

ATO

The Mexican Market for Organic Products
Report Categories: Organic Products Approved By: W. Garth Thorburn II Prepared By: Maria de Lourdes Guzmán Contró Report Highlights: Mexico has traditionally been a “competitor” to U.S. organic products. Currently, the Mexican organics sector is comprised of a large number of smaller operations and the land area planted with organics continues to grow. Domestic consumption of organic products has grown rapidly during the past few years and approximately 15 percent of production is consumed locally compared to 2to-3 percent a few years ago. The most demanded organic products are fresh fruits and vegetables, poultry and eggs, meat and dairy products. Imported products currently supply 10-15 percent of the demand and the U.S. accounts for over 80 percent of this market share.

General Information: SECTION I. SUMMARY Over the past 20 years, Mexico has been a producer of organic products with most of its production destined for export. Mexico produces more than 200 different organic products with coffee accounting for over 50 percent of the production. Other crops grown are corn, sesame seeds, cacao, vegetables, herbs, fruits, maguey (a type of agave), pulses, vanilla, and sugar cane. Honey is another product produced in Mexico together with dairy products and most recently some poultry, eggs, and red meats. Mexico is the largest exporter of organic coffee.

The Mexican organics regulatory environment is very new. The Organic Production Law was published in 2006. The regulations been finalized and the industry is waiting for the official publication. In the meantime, the government is focusing on drafting the rules that will enforce the Law and Regulations. Since 2006, the Mexican government has increasingly supported the production of organics, domestic consumption and