The shrimp industry in Guatemala is set to rebound following a favorable ruling from the District Court of Sinaloa, Mexico, allowing the resumption of shrimp exports from Central American countries under the current Free Trade Agreement (FTA) with Mexico.

Efforts Pay Off with Court Order

Efforts led by various government ministries, including Economy, Foreign Affairs, and Agriculture, alongside producers and exporters, have resulted in the reopening of borders for shrimp imports into Mexico. This collaborative effort has culminated in a positive outcome for the industry.

The Ministry of Economy (Mineco) and Gabriel Biguria, president of the Guatemalan Association of Exporters (Agexport), have welcomed the court’s decision as a significant step towards revitalizing trade with Mexico. Despite this positive development, there are administrative measures yet to be implemented by Mexican authorities to fully integrate this decision into customs systems.

Conditions for Entry

The reopening comes with certain conditions. Exporting companies from Guatemala and other Central American nations must ensure traceability of their shrimp products’ origins. Fortunately, Guatemalan companies have already met these requirements through certification processes completed as recently as October 2023.

The halt in exports to Mexico last year had severe repercussions, endangering thousands of jobs and directly impacting the economy of numerous coastal communities in Guatemala. Nearly 3 million kilograms of shrimp were exported to Mexico through Ciudad Hidalgo, Chiapas.

Recovery and Rebuilding

Despite the setback caused by the unilateral Mexican measure earlier this year, there is optimism among exporters about recovering lost ground. The ban caused a four-month export hiatus for Guatemalan shrimp producers, disrupting a long-standing trade relationship.

Guatemala’s shrimp industry has been a key player in the country’s exports to Mexico for over 16 years, positioning Mexico as the third-largest commercial partner for this sector. This industry plays a vital role in providing employment and income to several communities, highlighting its economic significance.