Cottonseed Meal Report
By Ricardo Silva
March 10, 2003 to April 10, 2003
Cotton Council International
National Cottonseed Products Association
The dollar has lowered its value sligthly in the past month having a value around 10.50 pesos to one
dollar. There are two major problems arising in the horizon; the first dealing with NAFTA and the
second with GMO seed labeling, according to Ricardo Selma of US Feed Grains Council and Bill
Bradnt of ATO.
According to Bill Brandt, there is at a ban on US dry beans and apples and anti-dumping cases
dealing with beef, pork and rice. They are dealing directly with SAGARPA (Secretary of
Agriculture) with Mr. Javier Trujillo. Apparently there are considerable differences in quality
perception, according to Bill Brandt. The Mexican goverment has established that there will be no
NAFTA renegotiations, but there is considerable pressure from the campesino group (small
farmers), who are being led in some instances by radical groups that do not want an agreeement
between the campesino group and the goverment for political reasons. There are also major
complaints on Bio-Terrorism laws imposed on imports by the US goverment. According to Mr.
Brandt, the next two weeks will be decisive and also a possibility that a mirror policy (what you do
to me I will do to you) could come into effect between the US and Mexico if a just agreeement does
not come into effect by both parts.
According to Ricardo Selma, the GMO seed labeling of which had been reported that a just
agreement had been reached by the Mexican Goverment and industry users is not looking very good
at the moment. There is a possibility that it might come out more as a trade barrier than a law.
Therefore, there is significant lobbying at the moment in favor of a just law and not a trade barrier.
This will be decided by April 28, according to Mr. Selma. There is also a meeting to be held at the
ATO office in Mexico Ciity where the US Ambassador to Mexico will meet with the US
cooperators. In another note, the new Director of LALA, who replaced Mr. Almaraz (who passed
away last year), is C.P. Genaro Bernal Cruz. He was previously the president of CANACINTRA
feed section of Mexico. Mr Almaraz’s position was partially covered by Mr. Gilberto Saavedra,
who is staying with the company fulfilling his normal functions. Both of these gentlemen will be
attending the NCPA convention to be held in San Antonio, Texas on May 17 of this year.
THE MEXICAN BEEF CATTLE INDUSTRY- Cow-Calf Operations- Coahuila
Promoting cottonseed meal use in Mexico is based focusing in three areas of animal production,
feedlots, and dairy and cow-calf operations. This last area has considerable potential all over
Mexico but its use of cottonseed meal in some areas is nill (Veracruz and Chiapas) and in other
areas (Chihuahua) has considerable use; on average 6,000 metric tons/year but not consistent
through out the year. Its use in cow-calf will depend on knowledge of the product, price,
availability, climate conditions (drought) and users having the technical knowledge that can
improve certain productive parameters, such as fertility, average daily gain and weaning weights
using high quality protein products as cottonseed meal.
In a recent non published study in the state of Coahuila, which borders with Texas, one of the
largest Mexican states and cow calf producers, 23 cow calf ranches were interviewed by Dr.
Heriberto Diaz and Cesar Esparza. They represented 3092 cows mainly in the North of Coahuila
with a precipitation average of 250 mm of rain/year. Eighteen ranches (80%) have used or are using
cottonseed meal. The use of cottonseed meal is mainly used under drought conditions as previously
mentioned but it could use to improve their productive standards. The average ranch interviewed
had 2000 hectares. The fertility rate considering the number of cows with the number of calves born
was at 82%. Weaning weights vary from 300 lbs to 660 lbs. Most of these ranches have
considerable wildlife potential, especially white deer tail which could be supplemented with high
quality protein sources to improve the size of its ornaments the most prized possession of a hunter.
This last potential has considerable economic value as an objective of production in a cow-calf
operation as has been demonstrated in Texas.
GRUPO LALA (NUPLEN S.A. DE C.V.) This major Mexican Dairy Cooperative had
Contact: Ing. Gilberto Saavedra Lira a new director change as previously mentioned.
Compras y Transporte
Parque Industrial Lagunero
Gomez Palacio, Durango, C.P. 35070 Mexico
Tel. (52-01-17) 50-03-21 and 50-03-64 .
Fax: (52-01-17) 50-01-74