New World Screwworm Fallout Could Boost Mexico’s Beef Market Position

Peel says Mexico has a much greater capability to expand its beef industry than it did 20 or 30 years ago in terms of its feeding and packing infrastructure.

NASHVILLE, Tenn. (RFD-TV) — With concerns growing over the spread of New World Screwworm, Mexico’s cattle industry could be positioned as a stronger global beef competitor.

Livestock market economist Dr. Darrell Peel says that with U.S. borders still closed to imports, Mexico may look to expand its own processing and export operations.

“We’ve imported cattle from Mexico for many, many years, and then over the years, we’ve developed a very strong bilateral trade with Mexico in beef, both exports and imports,” Dr. Peel explained. “You know, this could have implications for all of those things. If Mexico keeps all these cattle in the country, they do have more infrastructure now to feed cattle and process cattle in Mexico. They are a significant beef-exporting country now.”

Peel says Mexico has a much greater capability to expand its beef industry than it did 20 or 30 years ago in terms of its feeding and packing infrastructure.

“If this goes long enough and they figure out how to deal with these cattle that don’t have the opportunity to be exported to the U.S., it may have very long-lasting, if not permanent, implications for the way that two industries work together going forward on a more or less permanent basis.”

Related Stories
High prices alone may not drive herd expansion.
From barns to show rings, producers and students say that livestock events offer economic opportunity and life lessons. Let’s take a look at some shows across the southeast in Georgia, Virginia and Louisiana.
Strong exports and prices are helping offset rising milk supplies.

LATEST STORIES BY THIS AUTHOR:

Britt Hilton with the Oklahoma Farm Bureau joined us to discuss current conditions, producer impacts, and the road to recovery following the Ranger Road Fire.
National FFA Southern Region Vice President T. Wayne William talks about Wear Blue Day, the history of the blue jacket, and why the tradition continues to inspire pride and connection among FFA members nationwide.
NCBA Chief Counsel Mary-Thomas Hart discussed the legal process behind delisting the prairie chicken, the challenges ranchers faced under the bird’s previous protections, and the benefits of cooperative habitat management for both livestock and wildlife.
Farm CPA Paul Neiffer provided insight on updated PLC rate estimates, the role of base acres, and the upcoming enrollment window for ARC and PLC programs.
Farm Bureau economist Danny Munch explains the importance of timely enrollment, and how the program helps dairy producers safeguard their operations against volatile milk markets.
National FFA Organization CEO Scott Stump shares the importance of Give FFA Day, how contributions support students, and why today is an opportunity for everyone to help invest in the future of agriculture.