MEXICO CITY, MEXICO – Yesterday, nearly 50 individuals participated here in an Executive Roundtable on U.S.-Mexico Agricultural Trade and Transportation. The newly arrived U.S. Ambassador to Mexico, Ron Johnson, marked his first public event by opening up the meeting and Mexico’s Secretary of Agriculture and Rural Development, Julio Berdegué Sacristá, highlighted the interdependent nature of both countries noting how they complement, rather than compete with one another.
Following presentations from Rachel Trego, an international economist with the U.S. Department of Agriculture Foreign Agricultural Service (USDA/FAS), on grain exports and the agency’s Transportation Economics Division on ocean versus rail rates and their
AgTransport open data platform, attendees learned about the increasing trade between the U.S. and Mexico and the stresses being placed on transportation options.
Mexico is the United States’ top trading partner with total goods trade reaching $840 billion in 2024 and expected to increase in 2025.
Mexico’s regulatory agencies as well as the rail companies UP, CPKC, BNSF, and Ferromex provided updates on their current initiatives and plans for modernization. Improved railways, cars, and inspection times were among the many topics discussed.
A request was made to Mexico’s National Service for Agrifood Health, Safety and Quality (SENASICA) to have inspection services regularly available on weekends, given the increase in rail demand and the forecast that it will continue to grow. Other efficiencies discussed included origin or destination inspections to alleviate bottlenecks at the border.
“At one point, nearly 100 percent of U.S. rice entering Mexico came via rail but now it’s closer to 35 percent,” said USA Rice COO Sarah Moran, who participated in the event. “For the U.S. rice that does utilize rail, there is the challenge of finding available and usable rail cars. Nearly all the industry representatives here noted the railcar shortage and ranked it as one of the higher priority issues to resolve.”