News trade war

Tönnies sends first containers to Mexico

June 7, 2018 - Wouter Baan - 1 reaction

With the fact that Mexico has introduced an import duty on pork from the United States (US), the German meat concern Tönnies has sent the first deliveries to the country this week.

Although it concerns a relatively small volume (27 tons), it can be seen as a prelude to more. This is also what Jaqueline Nowack, export manager at Tönnies, says. She sees Mexico as a promising sales market† This is because of the growing population in Mexico. The country has about 127 million inhabitants and this number is still increasing. Prosperity is also improving, which usually entails extra meat consumption.

ISN: somewhat late
The German ISN (the representative for pig farmers) is pleased with the step that Tönnies is taking. However, the ISN thinks it is very late, given that competitor Spain has been able to deliver to Mexico since 2016. Although the Mexican market was already released to European exporters in 2016, German exporters were not yet able to deliver.

The ISN thinks that the Mexican levy of 20% on American pork (shoulders and pork legs) will accelerate Tönnies' ambitions. According to the German newspaper Agrarzeitung, about 90% of US pig exports to Mexico are likely to be affected.

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Wouter Job

Wouter Baan is editor-in-chief of Boerenbusiness. He also focuses on dairy, pig and meat markets. He also follows (business) developments within agribusiness and interviews CEOs and policymakers.
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dekil June 9, 2018
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[url=http://www.boerenbusiness.nl/varkens-feed/ artikel/10878819/tonnies- Stuurt-eerste-containers-naar-mexico][/url]
I thought Mexico belonged to Central America!
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