MEXICO CITY, June 3 (Reuters): Mexico said on Friday it would counter US arguments over agriculture biotech measures, including plans to limit its use of genetically modified (GM) corn, in trade dispute settlement consultations requested by Washington earlier in the day.
The consultation request comes as the North American neighbours inch toward a full-blown trade dispute under the US-Mexico-Canada Agreement (USMCA) over Mexico's policies to limit the use of GM corn, which it imports from the US.
If the consultations fail to resolve disagreements within 75 days, Washington can request a dispute settlement panel to decide the case.
Mexico said it was committed to "constructive dialogue" regarding US concerns and to "reach a mutually satisfactory agreement."
Asked if Canada would take similar action to the U.S., a spokesperson for the Trade Ministry said Canada is "considering its next steps" and would be "guided by what is in the best interest of our farmers and the Canadian agriculture sector."
The United States requested formal trade consultations in March over objections to Mexico's plans to limit imports of GM corn and other agricultural biotechnology products. Those consultations took place, but failed to resolve the matter, senior officials of the U.S. Trade Representative's office said.
Mexico's agriculture ministry declined to comment, but the minister this week expressed confidence that the dispute with the US would not escalate to a dispute settlement panel.
The conflict comes amid other disagreements between the U.S. and Mexico, most notably over energy in which the US has argued that Mexico's nationalist policy prejudices foreign companies.
Despite February changes to Mexico's decree on GM corn, the US said the Latin American country's policies are not based on science and appear inconsistent with its commitment under the USMCA.
The new decree eliminated a deadline to ban GM corn for animal feed and industrial use, by far the bulk of its $5 billion worth of US corn imports, but maintained a ban on GM corn used in dough or tortillas.
