R 042336Z MAR 09
FM AMCONSUL GUADALAJARA
TO SECSTATE WASHDC 1275
INFO AMEMBASSY MEXICO 
ALL US CONSULATES IN MEXICO COLLECTIVE
AMCONSUL GUADALAJARA

UNCLAS GUADALAJARA 000077 
 
 
E.O. 12958: N/A 
TAGS: EAGR ETRD ECON MX
SUBJECT: GREEN GOLD" AND MORE:  AN AGRICULTURE SUCCESS STORY 
 
¶1.  Summary: The Animal and Plant Health Inspection Service 
(APHIS) oversees an inspection and preclearance program that has 
spurred impressive growth in the export of avocados, mangoes, 
and citrus fruit to the United States.  The value of these 
exports in 2008 surpassed US$850 million and continues to grow, 
supporting thousands of people in rural areas of many central 
and southern states that offer few other legal economic 
opportunities.  The industry's success rests entirely on the 
integrity and professionalism of the inspection and pest 
treatment process, however, and a rise in the number of 
agricultural pests detected at US ports of entry is cause for 
concern.  Nevertheless, in a period when a majority of economic 
news has been negative, the export of APHIS-inspected and 
treated fruit products is a resounding success story.  End 
Summary. 
 
-------------------------------------- 
Avocados:  From Contraband~. 
--------------------------------------- 
 
¶2.  In 1914 the US placed an import ban on most Mexican avocados 
citing concerns about the pests that would accompany the 
shipments and possibly affect US agriculture. That ban has been 
slowly lifted since 1997 when Mexican avocados were finally 
allowed to be imported to certain northern and central states 
during the winter months. During the next 10 years more states 
were allowed to import Mexican avocados and the import season 
was gradually expanded until February 1, 2007 when all 50 states 
could import year-round, provided the fruit was properly 
inspected prior to shipment. 
 
--------------------- 
To "Green Gold" 
---------------------- 
 
¶3.  The lifting of import restrictions on avocados has led to 
tremendous growth for producers in Mexico. In the 2008 export 
season the number of producers participating in the APHIS 
pre-clearance program increased 40% to 4,400 and total avocado 
exports were up by 73%. The value of avocados shipped during the 
2008 export season amounted to over US$652 million. The vast 
majority of this production is in the state of Michoacan in 
southwest Mexico. Initial data for the 2009 season indicates 
that export growth will continue at record pace. 
 
--------------------- 
Mango Millions: 
--------------------- 
 
¶4.  Mangoes represent another APHIS export success story, and 
cover a much broader geographic area.  In 2008 APHIS certified 
two additional hot water immersion facilities for the treatment 
and packing of mangoes prior to export, for a total of 48 
installations throughout the country.  In addition, for the 
first time fresh cut mango was exported to the US from a 
facility in the state of Baja California. Mangoes are brought 
from Mexico, Brazil, and Ecuador  for treatment, cutting, and 
packaging, and producers are excited by the potential growth of 
this new product in the US market. The total value of mangoes 
exported to the US from Mexico in 2008 was over US$215 million. 
 
-------------- 
Citrus Too: 
-------------- 
 
¶5.  In 2008, APHIS certified two new forced hot air chambers 
(FHA) in Mexico (bringing the total to four) for the inspection 
and treatment of citrus fruit prior to shipment to the US. More 
FHA chambers are planned and there is hope that this system will 
eventually replace the use of methyl bromide for fruit 
treatment. The pesticide methyl bromide is on the list of 
ozone-depleting substances in the Montreal Protocol but it is 
used under the Quarantine and Preshipment (QPS) exemption in the 
same act. During the 2008 export season more than 630,000 boxes 
of fruit were shipped from APHIS-supervised treatment facilities 
in Mexico with a value of over US$9.4 million. 
 
------------------------------------ 
Profound and Positive Effects: 
------------------------------------- 
 
¶6.  The recent lifting of trade restrictions on Mexican produce 
and increased importations by the US has had a large economic 
impact on rural Mexico. When the remaining barriers to avocado 
export were lifted in February 2007, Mexican president Felipe 
Calderon led a celebration in his home state of Michoacan.  This 
state produces around 80% of Mexico's avocados and is also a 
leading source of documented and undocumented migrant laborers 
in the US.  Calderon noted in the celebration that a strong 
avocado industry would undoubtedly contribute to slowing the 
migration of Mexican men and women to the US. In 2006 the US 
accounted for 26% of world avocado imports and Mexico 
represented over one-third of global production. In a state like 
Michoacan, increased demand from the US means increased economic 
opportunity for the rural population, and lessens the incentive 
to engage in illicit activities such as narcotrafficking.  Tens 
of thousands of people, many in remote rural areas with no other 
legal means of support, now owe their livelihoods to 
agricultural exports enabled by APHIS inspections. 
 
 
--------------------------------------------- -------- 
Pride and Pestilence:  The Twin Challenges 
--------------------------------------------- -------- 
 
¶7.  The historic ban on Mexican produce was based on the need to 
keep out potential biological threats to US agriculture. The 
lifting of trade restrictions was possible only with strong 
scientific evidence that the imports posed little realistic 
threat, and that reliable inspections and treatments under the 
auspices of APHIS would ensure that exports met phytosanitary 
requirements. Thus, when APHIS found a notable increase in larva 
(both dead and live) found at treatment plants and ports of 
entry during the 2008 export season, it was cause for concern. 
Pest control measures in the field are managed by Mexico's USDA 
equivalent SAGARPA and this increase could indicate that these 
measures have not been completely effective. In addition, 
SAGARPA has indicated on a number of occasions that it would 
like to take over the entire inspection process, claiming that 
it is capable of overseeing the work.  While technically true, 
SAGARPA is vulnerable to corruption and pressure from 
unscrupulous growers that could endanger the export trade. 
Given political pressures in the US, a significant pest outbreak 
could prompt an outright export ban and devastate the entire 
industry, and the jobs that depend on it. 
 
------------------------------------------ 
Comment:  A True Success Story: 
------------------------------------------ 
 
¶8.  The impressive growth of avocado, mango, and citrus exports 
from Mexico depends entirely on the integrity and efficiency of 
the APHIS preclearance program, without which these products 
would not be admitted into the US.  At minimal cost (most APHIS 
expenses are paid by the Mexican producers' associations) these 
exports amounted to over US$900 million in 2008 and supported 
thousands of licit rural jobs.  The Michoacan avocado 
association is now looking at land in neighboring states such as 
Jalisco to expand production.  APHIS too, is exploring new 
opportunities, such as the inauguration of Mexico's first 
irradiation plant in Hidalgo state to treat guava fruit for 
export to the US.  If profitable and sustainable, this will 
become yet another chapter in the agricultural success story 
built on the foundation of APHIS inspections. A successful 
agriculture industry exporting legal goods increases security 
and stability in Mexico and works to stem the flow of 
undocumented migrants across US borders. 
 
 
RAMOTOWSKI