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Canadian potatoes could soon reach the Mexican market.
In a press release this week, the Canadian Food Inspection Agency (CFIA) announced that it had reached an agreement with its Mexican counterpart to allow fresh Canadian potatoes to be shipped to Mexico for consumption or processing.
The agreement follows trade missions led by Federal Minister for Agriculture and Food Heath MacDonald, including a visit to Mexico last October and another visit in February.
“All we have asked for as Canadians is to have the same access as the U.S., with one caveat – and that is to make sure we have access to the sea route,” said MacDonald, who is also MP for the Malpeque riding of Prince Edward Island.
“We’ve worked very hard to diversify our markets. I think that’s extremely important. And that will really benefit Canadian producers.”
VIEW | Canadian potatoes will soon go to Mexico. What does this mean for PEI farmers?:
Canadian potatoes will soon go to Mexico. What does this mean for PEI farmers?
The Canadian Food Inspection Agency says it has reached an agreement with Mexico that allows potatoes from that country to be shipped south for consumption or processing. In recent years, Mexico has only imported fresh potatoes from the United States. CBC News: Compass host Louise Martin spoke with PEI MP and federal Agriculture Minister Heath MacDonald to find out what this means for the island’s farmers.
The CFIA said it plans to work closely with the potato sector in the coming months to implement the agreement.
MacDonald said he hopes potatoes could reach Mexico as early as the fall.
“We have something to offer”
The market expansion is good news for Canadian producers.
“It’s a project that’s been in the works for about two and a half or three years,” said Ray Keenan, the CEO of Rollo Bay Holdings in eastern PEI, who was part of the team that traveled to Mexico last year to seek support from potential customers.
“We have something to offer, so we need to expand our markets to where these potatoes are needed most.”
While logistics such as shipping still need to be sorted out, Keenan said his company could potentially ship multiple containers to Mexico each month.
PEI already sells potatoes to about 20 different countries. (Tom Steepe/CBC)
PEI already sells its potatoes to about 20 countries, but Mexico’s large population makes it an attractive market, said Krista Shaw, director of stakeholder relations for the PEI Potato Board.
“I think partly because it’s part of CUSMA and anything we can ship to where we have duty-free access is paramount to our exporters here,” Shaw said.
“We are also in a time when the Mexican people are demanding Canadian potatoes.”
The majority of potatoes making their way south will be of the russet variety, she added.
“There might be opportunities for other types of potatoes. But for the most part we’re aiming to bring in something that isn’t grown.” [there]something that will not be competitive for Mexican producers.”
Canada will ship mainly reddish-brown potatoes to Mexico, partly because this variety does not compete with varieties grown in that country, says Shaw. (Brian McInnis/CBC)
Canada hasn’t exported potatoes to Mexico in years, but that country imports potatoes from the United States
Potatoes are currently protected by the Canada-US-Mexico Agreement (CUSMA).
But with that trilateral trade agreement set to be reviewed this year, there is some uncertainty about what the future holds, said Matt Hemphill, executive director of Potatoes New Brunswick.
“When you get someone as inconsistent as the current one.” [Trump] “If the government fails, obviously you start looking for other markets,” Hemphill said, noting that New Brunswick currently exports $2 billion worth of seed and processing potatoes to the U.S. market each year.
“Other countries … are frankly trying to do business with countries other than the U.S. So it was the perfect time for us to take a look at Mexico.”
The next step in the agreement is to agree on a price and complete all logistics, Hemphill said.
“Then you hope it’s sustainable,” he said.
“If we can continue to supply this market with a quality New Brunswick potato, then that will help reduce the stress and strain on some of these U.S. businesses – and I’m sure other commodities could make the same claim.”
Canadian growers interested in shipping potatoes to Mexico and wanting to know next steps can contact their local CFIA office.