system may eventually improve overall productivity, reductions in support programs for inputs

and some crops may discourage production of some crops, particularly grains. Of even greater

import, however, will be pressures created by Mexico's population growth. Between 1995 and

2020, Mexico will add nearly 50 percent to its population, compared to 12 and 11 percent,

respectively, for the U.S. and Canada (World Bank). Even in absolute terms, over this period

Mexico will add more people (47 million) than will the U.S. and Canada combined (34 million).

It seems likely, therefore, that Mexico will become increasingly dependent upon food imports.


Potential Growth Areas for Perishables

 There are at least three important areas of potential growth for U.S. perishables exports

to Mexico: fresh fruits and vegetables, highly processed foods, and meats.

 Mexicans are already beginning to demand a wide selection of produce year around.

U.S. produce is highly regarded for its quality.2 Already it is common to see California

tomatoes in Mexico when Sinaloa is not in production. Moreover, the popularity of deciduous

fruits is growing. For example, exports of apples to Mexico have increased severalfold over the

past few years, making Mexico the largest foreign buyer for Pacific Northwest. Finally, if

Mexicans begin adopting the American habit of eating salads, there should be considerable

potential for exports of lettuce.

 As noted in the preceding subsection, Mexican imports of highly processed foods from

the U.S. have increased dramatically and rapid growth is likely to continued. Fast food

restaurants and warehouse stores, both of which are expanding rapidly, rely heavily on U.S.-

made processed foods. In addition, U.S.-styled convenience stores are beginning to appear,

primarily at service stations and in urban areas. Growing numbers of Mexican consumers are