The Unity Summit of Latin America and the Caribbean in late February served as a platform for Mexico and Brazil to move discussions forward on a possible bilateral free-trade agreement, according to SourceMex.


However, members of Mexico’s agricultural industry are worried about the affect an agreement would have on their businesses. Mexico is already importing more food from Brazil than it is exporting to the country, thanks in part to Brazil’s more generous agricultural subsidies, which allow Brazilian producers to price their products competitively. Between 2004 and 2008, Mexico’s agricultural trade deficit with Brazil was US$141M.