Mexico has seen a significant decrease in cotton production, with a 33% drop from 2018-2019, totaling 1.2 million bales (261,000 tons) in the 2020-2021 marketing season. This decline is primarily due to a seed shortage, exacerbated by the Mexican government's delay or rejection of new permits for genetically modified (GMO) cotton seeds since 2019. The US Department of Agriculture (USDA) highlights that Mexico's lack of approval for biotech food or feed products since May 2018 and concerns about GMO cotton interbreeding with wild varieties in the south have contributed to the problem. As a result, Mexican farmers are planting outdated and incompatible cottonseed varieties, leading to lower quality and increased production costs. Additionally, the seed trade has seen a dramatic decrease of 86% from the previous year, with only 40% of the seeds used being imported from the United States.