The National Peasant Farmers Confederation said Mexico is reeling under worst drought since past 70 years. The lack of rainfall could result in the loss of seven million hectares of crops, including corn and beans.
Agriculture secretary Alberto Cardenas said the government will earmark some 900 million pesos ($69 million) to cover insurance payouts for 6.6 million hectares of cultivated land and 4.1 million animals.
The government plans to combat the drought with different measures, including shifting production to less-water-intensive crops, practices to conserve humidity, among others, he said.
The worst affected drought hit regions include the central and central-eastern states of Aguascalientes, San Luis Potosi, Veracruz, Tamaulipas and Hidalgo, Cardenas said.