The United States has lifted its ban on cattle imports from Mexico, more than a year after a flesh-eating parasite prompted the shutdown. The reopening, which began at Arizona's Douglas border crossing, is expected to ease a domestic cattle shortage that had driven up costs for meatpackers.
Shares of Tyson Foods Inc. and JBS NV surged on the news, as the move signals relief for the industry. The ban was imposed when screwworm, a parasitic fly that infests livestock, was detected in Mexican cattle. The closure led to tighter supplies and higher prices for U.S. meatpackers, who rely on Mexican imports to meet demand.
The resumption of shipments is a significant step for bilateral agricultural trade. Mexican cattle are a key source for U.S. processors, and the reopening is expected to stabilize supply chains. While the exact date of the ban's implementation was not specified, reports indicate it had been in place for over a year.
The U.S. Department of Agriculture confirmed the decision, noting that enhanced screening measures will be in place to prevent future outbreaks. The move was welcomed by industry groups, who had urged the government to find a solution to the shortage.
Tyson and JBS, two of the largest meatpacking companies, saw their stock prices climb as investors reacted to the improved outlook for cattle availability. The reopening is seen as a positive development for the broader meat industry, which has faced volatility due to supply constraints.