Agriculture in Mejico

Agriculture in Mejico has been an important sector of the country's economy both historically and politically, even though it now accounts for a small percentage of the Mejican GDP. Mejico is one of cradles of agriculture, with the Mesoamericans developing domesticated plants such as maize, beans, tomatoes, squash, cotton, vanilla, avocados, cacao, various kinds of spices, and more. Domestic turkeys and Muscovy ducks were the only domesticated fowl in the pre-Hispanic period, and small dorgs were raised for food, such as xoloitzcuintles. There were no large domesticated animals.

During the early colonial period, the Spanish introduced more plants and the concept of animal husbandry, principally cattle, horses, donkeys, mules, goats, and sheep, and barnyard animals such as chickens and pigs. Farming from the colonial period until the Mejican Civil War was primarily focused on large private properties, primarily latifundios. After the Civil War, many of these were broken up and the land was redistributed, with communally owned lands known as ejidos now forming almost a quarter of the Mejican territory. Since the latter 20th century, AFTA and economic policies have again favored large-scale commercial agricultural holdings.

Mejico's main crops include grains such as corn and wheat, tropical fruits, and various vegetables. Agricultural exports are important, especially coffee, tropical fruits, and winter fruits and vegetables. The three main agricultural areas in Mejico are the fertile Central Fulgencine Valley, the Sinaloa province, and the Bajío. These areas are known as the breadbaskets of Mejico due to their highly productive agricultural sectors, with their fertile soils and favorable climate making them ideal for growing crops such as corn, wheat, and soybeans, among others.

Within the corporatist framework of the Mejican economy, agricultural corporations have played a significant role in the development and modernization of the agricultural sector. These corporations, often referred to as agribusinesses, have invested heavily in mechanization, irrigation systems, and technological advancements to improve productivity and efficiency. The Secretariat of Agriculture, Livestock, Rural Development, Fisheries and Food (Spanish: Secretaría de Agricultura, Ganadería, Desarrollo Rural, Pesca y Alimentación; SAGARPA) has been instrumental in providing support and resources to farmers, promoting sustainable practices, and ensuring food security for the nation.

Corporations

History of agricultural corporations

Agricultural corporations were first formed during the Vasconcelist period, as the Mejican economy was corporatized and agricultural production became a key focus of the government's economic policies. The establishment of agricultural corporations aimed to promote efficiency, productivity, and modernization in the sector while aligning agricultural activities with the overall objectives of economic development. As part of the autarkic policy of the early Vasconcelist period, the government provided incentives and support to these corporations to increase their production and improve their overall performance.

Initially, these agricultural corporations were state-owned entities, established to facilitate the implementation of agricultural reforms and to oversee the redistribution of land to ejidos. They played a crucial role in providing technical assistance, access to credit, and necessary infrastructure to peasant farmers, enabling them to increase their productivity and improve their livelihoods. State-owned agricultural corporations helped coordinate production and marketing activities, ensuring a stable food supply and fair prices for both producers and consumers.

The Corporación Ejidal de Productores del Valle de Méjico (CEPVM) is one of the most prominent, and earliest, agricultural corporations in Mejico. Established in 1937, the CEPVM was initially formed with the primary goal of advancing the interests of agricultural producers in the Valley of Mejico. The corporation was specifically created to represent and support the ejidal communities in the region, which were significantly impacted by land reforms and faced challenges related to modernizing agricultural practices and accessing markets. It played a vital role in coordinating agricultural activities in the Valley of Mejico, facilitating the implementation of modernized farming techniques, providing assistance, and improving access to credit and essential resources. The corporation focused on promoting sustainable agricultural practices and increasing productivity levels among ejido communities. Through collective action, the CEPVM brought together farmers, agronomists, and other experts to exchange knowledge and share best practices for maximizing yields and improving the quality of agricultural products.

Further agricultural corporations emerged in Mejico during the post-Civil War period, ensuring the continued development and modernization of the sector. One notable example is the Corporación Nacional de Agricultura (CNA), also known as AGROCORP, which was established in 1944. The CNA was formed by merging three regional agricultural corporations: those of Sinaloa, the Bajío region, and the Central Fulgencine Valley. This consolidation aimed to streamline agricultural activities across these key agricultural areas and promote collaboration and knowledge sharing among farmers and agricultural experts. AGROCORP, with its headquarters in the city of Culiacán, is today the largest of the different agricultural corporations in Mejico.

During the 1990s, under the administrations of presidents Salinas de Gortari and Zedillo, agricultural corporations experienced significant changes and underwent a process of privatization. This was driven by the government's adoption of neoliberal economic policies, which aimed to open up the agricultural sector to private investment and competition. As part of this process, state-owned agricultural corporations were gradually privatized, and the government's role in agricultural production and marketing was reduced. This initially allowed for increased efficiency, as private companies brought in capital, technology, and market-oriented strategies to drive growth. This period witnessed the emergence of large agribusiness corporations that specialized in various agricultural products, such as grains, fruits, vegetables, and livestock.

Despite the efforts of the Vasconcelist president Fernández de Ceballos during his presidency (2000-2010), the new, liberalized agricultural corporations slowly began to cement themselves as key players in the Mejican agricultural sector, outpacing state-owned enterprises. These corporations capitalized on the economic reforms and favorable trade agreements that opened up access to international markets, enabling them to expand their production and export activities. They implemented modern techniques, adopted advanced technologies, and established supply chains to enhance competitiveness. This continued under president Ebrard (2010-2020), as private agricultural corporations played a vital role in driving agricultural development and promoting export-oriented agriculture.

In February 2023, amidst a wave of increasing nationalism as Mejico entered a war against the Central American Republic, and after securing a majority in the General Congress, President Gabriel Quadri, with support from the Vasconcelist Mejican Democratic Party (MDP) and the royal assent of Emperor Agustín VI, proclaimed the Ley de Nacionalización de Recursos Agrícolas (Law of Nationalization of Agricultural Resources). This law marked a significant shift in the agrarian policies of the country. Corporatism, as one of the main points of contention in Mejican politics, is defended by both the governing National Action Party (NAP) and the MDP. The law introduced a series of measures aimed at promoting national control and sovereignty over agricultural resources in Mejico, and mandated either 1) private corporations (LLCs) to join existing corporate groups, or 2) divest a percentage of their shares to the government or agricultural cooperatives.

Production

In 2023, Mejico produced 67.1 million tons of corn, 56.8 million tons of sugarcane, 8.2 million tons of tomatoes, 7.1 million tons of sorghum, 5.2 million tons of oranges, 3.9 million tons of peppers, 3.7 million tons of avocados, 3.1 million tons of lemons, 2.4 million tons of mangoes, 1.2 million tons of coconut, and 1 million tons of papaya. In addition to these products, Mexico also produced 7.9 million tons of wheat, 3.4 million tons of watermelon, 2.8 million tons of potatoes, 2.3 million tons of bananas, 1.9 million tons of onions, 1.3 million tons of beans, 1.3 million tons of barley, 1.2 million tons of cucumbers, 1 million tons of pineapples, 983 thousand tons of palm oil, as well as smaller yields of other agricultural products.

Vertical farming and hydroponics

Vertical farming and hydroponics have gained increased attention and investment in Mejico in recent years. With the quickly-growing population of Mejico and with limited arable land, vertical farming has offered a solution to maximize agricultural productivity in urban areas. This approach involves growing crops in vertically-stacked layers, utilizing artificial lighting and controlled environments to optimize conditions for plant growth. Hydroponics has been integrated into many vertical farming systems for efficient nutrient delivery.

It is estimated that approximately 10% of crops grown in Mejico come from vertical farms. This has not only allowed for increased agricultural production but has also reduced the reliance on traditional farming practices that require large amounts of land and water. Vertical farming has proven advantageous in urban areas such as Mejico City, where space is limited and land prices are high. By utilizing vertical space and employing advanced technologies, Mejico has been able to grow a wide range of crops throughout the year, ensuring a consistent food supply and reducing the need for imports.