Mexico: Northern potato producers denounce unfair competition from the US

Around 200 potato farmers in northern Mexico State are reporting economic losses due to the influx of subsidized potatoes from the United States. The product, which is sold directly at the Central de Abastos wholesale market in Mexico City, has caused a drop of up to 50% in local activity over the past two years.

Protest actions in response to the lack of support

Recently, farmers occupied the El Dorado tollbooth and warned they might stop supplying their produce to wholesale markets if they don’t receive government support. Some producers have had to pawn their machinery to make ends meet.

“ We run the risk of running out of machinery, and there are even cases where the companies that supply us with inputs haven’t seized it because we have no way to pay them ,” said Antonio Vargas, a producer from the State of Mexico.

Most affected municipalities

The problem affects municipalities such as Atlacomulco, Villa Victoria, Valle de Bravo, and Tenango del Valle. Vargas pointed out that, although imported potatoes are of good quality for frying, they primarily benefit intermediaries and warehouse owners at the Central de Abastos (wholesale market), who reap significant profits at the expense of local producers.

Debt and overproduction

Producers warn that unfair competition is driving them to bankruptcy, as many have machinery under warranty with input suppliers such as fertilizer and agrochemical companies. Furthermore, overproduction is complicating the situation: new producers continue to invest in planting, saturating the market and driving prices down.

The average price producers receive is between 2 and 5 pesos per kilo, while intermediaries sell it for between 8 and 9 pesos. / Photos: Courtesy / Producers

They demand fair prices and import controls

The average price received by producers is between 2 and 5 pesos per kilo, while intermediaries sell it for between 8 and 9 pesos. In large supermarkets, the price can exceed 30 pesos. In response, farmers are demanding a halt to the import of foreign potatoes and the ability to sell directly to buyers at the Central de Abastos (wholesale market) to establish fair prices.