The U.S. Department of Agriculture's stance on Mexican cattle imports has been a topic of much discussion. Last month, due to the discovery of New World screwworm in Mexico, shipments were suspended. However, the agency has now walked back its earlier comments regarding a potential resumption before the year-end holidays.

USDA's Actions and Funding

The USDA has taken significant steps to address the issue. It approved a second round of emergency funding to block the flesh-eating livestock pest from entering the U.S. This amounts to $165 million from the Commodity Credit Corporation, with $109.8 million approved last year. The funds will aid in the production and dispersal of sterile screwworm flies in Central America. A Panama-based facility has increased production from 20 million to about 95 million sterile flies a week over the past year. Sterile male flies are bred to mate with fertile female flies, helping to decrease the screwworm population until it eventually dies out. The USDA eradicated screwworm from the U.S. in 1966 using this technique.

Resumption of Imports

Dr. Rosemary Sifford, the USDA's chief veterinary officer, stated that shipments will likely resume incrementally after the New Year, with a full resumption of live animal movements sometime after that. Jenny Lester Moffitt, the USDA undersecretary for marketing and regulatory programs, previously told Reuters that some imports may resume as soon as this month and more in January. To resume shipments, Mexico must set up USDA-approved holding pens where inspectors will check and treat Mexican cattle for screwworm before they cross the border. The USDA will start inspecting Mexico's pens soon. While the U.S. continues to work closely with Mexico and has agreed to protocols, it will take some time to implement these due to the multiple steps needed to resume trade.

Impact on the Agricultural Sector

Lifting the import suspension would remove a barrier for the U.S. agricultural sector. Farmers and consumers are preparing for rising prices and supply-chain disruptions if President-elect Donald Trump follows through on plans to slap tariffs on goods from Mexico and Canada. U.S. meat companies and cattle feeders are eager for trading to restart after the drought slashed the nation's herd to its smallest size in decades. Ron Gill, a Texas A&M University livestock specialist, said that they are just holding their breath right now.