Mexico launches forward trading system to stabilize white corn prices

On May 20, 2026, Mexican authorities officially launched the Fair Price System to organize the production and marketing of white corn. This new contract farming mechanism aims to stabilize grain prices, ensure food self-sufficiency, and support small and medium-sized agricultural producers.

The signing ceremony was presided over by Mexican President Claudia Sheinbaum Pardo, with representatives from the Ministry of Agriculture and Rural Development (SADER) and the Ministry of Finance.

The system includes three key areas. The first is the organization of forward sales based on contracts between producers and buyers, with agreed-upon price benchmarks. The second is the direct supply of inputs, including seeds, agrochemicals, and fertilizers, at fair prices through agricultural suppliers. The third area provides a mechanism to protect farmers from climate, phytosanitary, and market risks to ensure the financial stability of their farms.

The program will involve 61,000 agricultural producers from the states of Campeche, Guanajuato, Jalisco, Michoacán, Querétaro, Sinaloa, and Tlaxcala. They are expected to produce approximately 7 million tons of white corn on 705,000 hectares of land.

More than 80 companies from the industry associations AMSAC, PROCCYT, SEMUAC, and UMFFAAC, representing approximately 80% of input suppliers to Mexico’s agricultural sector, have also joined the initiative.

Registration for the program begins on May 25, 2026, for the spring-summer 2026 and fall-winter 2026/27 agricultural seasons.

Tags: corn, Mexico