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Updates with additional information from statement, context
MEXICO CITY, Feb 27 (Reuters) – The United States’ disagreement with Mexico over its plan to limit imports of genetically modified corn is “politically motivated,” Mexico’s economy ministry said on Monday.
The United States has threatened a trade dispute panel under a trilateral agreement with Mexico and Canada over the plan, which would ban genetically modified corn for human consumption.
U.S. Agriculture Secretary Tom Vilsack said last week Mexico’s decision was “not a situation that lends itself to a compromise.”
Mexico’s economy ministry seemed to criticize the comment from Vilsack, saying that “as the (secretary) himself would recognize, (the disagreement) is an issue of principles.”
The comments follow Mexico’s walking back of a previous deadline to ban GM corn for animal feed and industrial use in the country.
About 20% of Mexican corn imports from the U.S. is white corn for food products.
Vilsack had also said that if talks between the countries through the U.S. Trade Representative (USTR) were not successful, a trade dispute panel under the United States-Mexico-Canada (USMCA) agreement would be the next step.
Trade Representative Katherine Tai spoke to Mexican Economy Minister Raquel Buenrostro on Friday, the ministry said Monday. The two agreed to “transparent and frank dialogue” to strengthen USMCA accords, the ministry added.
The ministry also said that if the U.S. were to want to open a dispute panel, “it would have to quantitatively show something that has not happened: that the corn decree affects its trade imports.”
The USTR office has said the deal threatens billions of dollars of corn trade.
(Reporting by Kylie Madry; Editing by Brendan O’Boyle)
((Kylie.Madry@thomsonreuters.com;))
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