Wal Mart direct sourcing in Mexico

Grower groups claim that Wal-Mart's direct sourcing campaign in Mexico hasn't met their expectations in this press summary from a USDA FAS report. From the summary/translation:

Selling directly to Wal-Mart was a project that agricultural workers affiliated to the National Agricultural Workers’ Confederation (CNC) began two years ago, but according to them, the program has failed and they are forced to sell once more to the intermediaries, widening the price gap between producers and consumers. According to CNC, producers cannot meet the volume requirements and Wal-Mart delays payments up to eight months, something the average producer cannot handle. Meanwhile, Wal-Mart only commented that they keep a strong strategic relationship with CNC, and confirmed that 96% of its fresh produce supply comes from Mexican growers. (REFORMA, JAN. 29)

Also in the report, continuing accounts of Mexican grower unhappiness with NAFTA.

Rural and worker organizations deemed ‘successful’ the day of mobilizations around the country that culminated with a meeting in the main square of Mexico City (the “Zocalo”). They wrapped up with a pact to press the GOM for an immediate renegotiation of the agricultural chapter of the North America Free Trade Agreement (NAFTA) in defense of food sovereignty and against energy reform. Before thousands of people that arrived at the “Zocalo”, leaders such as Cruz Lopez, of the National Farmers Confederation (CNC); Max Correa, of the Cardenista Rural Union (CCC); Artemio Ortiz, of the National Coordinator of Education Workers (CNTE), and Martin Ortiz, of the Mexican Union of Electricians (SME), pointed out that they will strengthen unity to promote a change in the economic and social policies of the country. According to organizers there were more than 200 thousand demonstrators that arrived to the Zocalo, where they insisted upon the Secretary of Agriculture’s resignation.

TK: Can you imagine 200,000 farmers in Washington, D.C. demanding the resignation of the Agriculture Secretary? Grower unrest in Mexico far transcends the level of farmer discontent in the U.S. at this moment in time. While the U.S. and Mexican sugar industries have proposed an agreement to "manage" the sugar and sweetner markets, some observers worry that could open the door to more tinkering with other aspects of commodity trade with Mexico.