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Mexico announces food, agri plan that could take country back to 1980s

President Claudia Sheinbaum pledged Tuesday to revive those often shabby, limited government stores and continue efforts to achieve food sovereignty

Claudia Sheinbaum
The policies appear to run counter to market trends and what Mexican food sales look like today, when consumption of most of the old basics has fallen | Image: Reuters
AP Mexico City
4 min read Last Updated : Oct 23 2024 | 7:44 AM IST

Mexico's new president announced a new agriculture plan Tuesday that could make the country's food production and distribution look a lot more like it did in the 1980s, when meals in Mexico were dominated by tortillas, beans, instant coffee and cheap hot chocolate.

Four decades ago, the ingredients for those meals were often bought at government stores that stocked a few basic goods.

President Claudia Sheinbaum pledged Tuesday to revive those often shabby, limited government stores and continue efforts to achieve food sovereignty.

It is about producing what we eat, Sheinbaum said of her policy, whose main focus will be on increasing bean and corn production.

Sheinbaum appears to have a deep interest in boosting beans. On Monday, she said, It is much better to eat a bean taco than a bag of potato chips."

Agriculture Secretary Julio Berdegu said the focus would be on guaranteeing prices for farmers who grow corn used for tortillas and lowering tortilla prices by 10 per cent, after prices jumped a couple of years ago.

The government aims to boost bean production by about 30 per cent in six years to replace imports of beans, and will set up research centres to supply higher-yielding bean seeds.

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Self-sufficiency in beans is a goal the president has set for us, Berdegu said.

The government will also focus on supporting coffee production, but mainly for instant coffee, which it claims is used by 84 per cent of Mexican households. The plan will also seek to support cocoa production, but mainly for powdered baking and hot chocolate, not fine chocolate bars.

The policies appear to run counter to market trends and what Mexican food sales look like today, when consumption of most of the old basics has fallen.

Most Mexicans today shop at modern grocery stores, and consumption of fresh ground coffee, not instant, has increased enormously, accompanied by a boom in specialised coffee chains and shops.

Meanwhile, bean consumption has been dropping precipitously for decades in Mexico. According to the government's 2024 Agricultural Panorama report, Mexicans consume only about 7.7 kilograms of beans annually. That's less than half of the 35.2 pounds 16 kilograms consumed per year in 1980.

A combination of factors, including the time it takes to cook dried beans, may be behind this. Amanda Glvez, a researcher at Mexico's National Autonomous University, wrote that we look down at beans because it is considered the food of the poor,' and we are making a serious mistake, because beans are a good source of protein.

However, the health benefits aren't clear: The most common bean recipe in Mexico refried beans often contains a considerable dose of lard.

Tortilla consumption has also fallen from nearly 220 pounds (100 kilograms) per capita annually in 2000 to about 165 pounds (75 kilograms) in 2024. Consumers have increasingly taken to buying bread and other bakery products instead of tortillas.

Apart from the challenge of trying to change consumer habits, the policy also runs counter to market trends. While some countries are trying to encourage high-value varietal and specialized chocolate strains, Mexico is focusing on the cheapest products.

While chocolate was first exported to the rest of the world from Mexico, Mexico's own production has fallen dramatically because of plant diseases and a lack of investment. It dropped from almost 50,000 tonnes in 2003 to about 28,000 tonnes in 2022.

And while most Mexican homes may have a jar of instant coffee in their cupboards, that's not where the tendency or consumer spending is headed. According to a Technavio industry report, instant products accounted for only about 37 per cent of the sales value of coffee in Mexico.

Sheinbaum's focus on self-sufficiency in oil, energy and foodstuffs is a holdover from her predecessor and political mentor, former President Andrs Manuel Lpez Obrador, who left office on Sept. 30.

Lpez Obrador also appears to have passed on his nostalgia for a 1970s-style Mexico including passenger rail service, state-owned industries, tight-knit families and small corner stores to Sheinbaum.


(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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Topics :MexicoAgricultureFood production

First Published: Oct 23 2024 | 7:44 AM IST

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