The Advisory Committee on Private Commercial Dispute Regarding Agricultural Goods is supported by growers and shippers and appears to be a promising venue for dispute resolution. This cooperation decreases the cost of institution-building in Mexico and reduces the likelihood of SPS disputes. Grain food consumption is maturing, while meat consumption is increasing relatively rapidly. Diet diversification is occurring on both sides of the border, although at different income levels. This diversification means limited growth prospects for U.S. food grain exports to Mexico.
Food grain is a maturing food market in the medium run.
Meat consumption in Mexico is increasing rapidly and is projected to continue to do so in the coming decade. Also note that U.S. feed grain demand is embodied in U.S. meat exports to Mexico. The prospects for feed demand are much better than those for food grain demand. With rising income, the demand for food quality increases rapidly. Consumers tend to spend more on higher quality and convenience foods rather than on larger quantities of bulk goods.