Foreign Trade

Mexican agricultural income has become polarized and on the one hand there have been large commercial farms that dominate the sector and on the other, small agriculture continues to be the main source of income for many, especially for small farmers in the south of the country. . Commercial farms are able to take advantage of the fact that trade barriers have been reduced and that exports, especially to the United States, have increased.

The subsidies provided in the past by the government were replaced by a program called Procampo that gave direct cash payments to farmers to grow corn, beans, wheat and other grains. This allowed the farmers to personally decide what to grow.

Despite higher production, agriculture has decreased in the percentage of Mexico's GDP since 1990. The proportion of GDP that corresponds to agriculture, forestry and fishing was reduced from 8% of the nation's GDP in 1990 to 5.4 % of Mexico's GDP in 2006, with a growth rate of only 1.6%, well behind other sectors of the economy.

In 2010, the structure of GDP and labor force showed that combined agriculture, forestry and fisheries were valued at 3.8% of the total value of GDP, employing 5,903,300 or 12.5% of the labor force .

error: Content is protected !!