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joe schmoo's avatar

Great article and it explains the sharp rise in food costs us gringos are seeing when we visit Mexico. I have been told that many of the northern Baja factories or maqilidores have shut down and moved to Vietnam and Malaysia, because the extortion costs have made it cheaper to manufacture and ship the goods to the USA from those countries than from right across the border. Mexico's big hype of friendshoring is rapidly fading.

Ioan Grillo's avatar

Thanks Joe. Yeah, the near shoring issue is a big factor here as well. I didn't really have time in the piece to get into how this affects the big businesses like factories and mines - but it is mind boggling how the Mexican government has let this get so out of hand. Best there...

Edgar Gonzalez's avatar

Great article. Some thoughts come to mind. One is that most people will tolerate gang and cartel violence; however, extortion is something that gets the masses angry. Where many will excuse the drug violence because of the perception that only those involved gets hurt (which isn’t true), paying the extra street tax creates anger because so many innocent people get affected economically.

Another thought that comes to mind is what happened in Michoacan. Those that revolted exposed that the drug cartels (LFM) can be defeated if everyone gets involved. If it happens again nationwide the government will have no choice but to assist them. Unlike when Peña Nieto who sent Castillo and tortured Mireles.

Ioan Grillo's avatar

Thanks there Edgar. Extortion is indeed a deep offense to the people and a predatory action that is so gravely wounding. And also well put that "Those that revolted exposed that the drug cartels (LFM) can be defeated if everyone gets involved." I fear a social explosion in response could get out of control although if people just take the shakedowns that is more depressing. Perhaps the best outcome would be some protest and like you say, the government being forced to respond. But let's see - hard but interesting years ahead. Best there friend.

Jonathan Ramos's avatar

What the Mexican government did to Dr. Mireles was horrid. Not to mention mora.

Ioan Grillo's avatar

Yeah, the Doctor Mireles - in some ways he was the hero everyone wanted, the tall doctor with a rifle wanting to fight the evil cartel; but he had some of his baggage as well. Still, a positive figure and let's see if more like him show up...

Jonathan Ramos's avatar

And mireles died of covid which was even more painful because not even the narcos could kill him

Jonathan Ramos's avatar

Yeah I do hope more figures like mireles and mora prop up in the future but they just get killed 😒

Jonathan Ramos's avatar

Yeah he was very much a "revolutionary" type figure among the self defense movement. Like a zapata or even Michael collins type from Ireland lol. It pains me both him and mora are dead. Ironically the way hipolito was killed sort of reminded how Michael collins was ambushed. Collins was also in his car with his bodyguards. Obviously I'm a history nerd

Ioan Grillo's avatar

Yeah, Mora as well was a faulted but heroic figure. Mexico really needs more heroes. Interesting comparisons with Collins and Zapata. Do you like the Michael Collins movie from a few years back?

Jonathan Ramos's avatar

Yeah the one with Liam niesson as Collins right? I actually own it. It came out in 96 I believe. Right when the troubles was winding down. I am intrigued by Irish history. Pretty rich history and of course catholics and drinkers like Mexicans lol

Ioan Grillo's avatar

Ireland is a fine country - I have family there, it's a cliche but a great pub culture...

Robert Burrell, PhD's avatar

Although the essay is a year old, it presents excellent research and analysis by Ioan Grillo regarding the extortion of farmers in Mexico, especially in the agriculturally significant state of Michoacán. This situation is indeed tragic. If the Mexican government is unable to uphold the rule of law and ensure basic human security, it has undoubtedly failed. What actions are the politicians in Mexico City taking to assist the residents of the surrounding states? The recent report concerning the murder of farmer Bernardo Bravo Manríquez suggests that the new Presidency is also failing. Grillo alludes to this, and I concur. Perhaps Michoacán and several other states should seek alternative governance. The ongoing extortion of the local populace, a societal affliction, is likely to worsen as the U.S. war on drugs impacts cartel revenues.

Ioan Grillo's avatar

Well appreciated there Robert. Great to have your voice in the mix here. There is a lot of rumbling out of Apatzingan now in response to the murder. I would be surprised if we don't see wider grass root reactions to the extortion soon, unless the government really starts a stronger anti-extortion campaign...

Robert Burrell, PhD's avatar

Like the student disappearances from Ayotzinapa teacher's college, Mexico City appears incapable or unwilling to doing anything. I think ALMO made finding missing people a national priority....and....where's the results? Keep doing great work. Appreciate you.

Dedline's avatar

Could you elaborate a tad on extortion in Sonora? I also found the reader comment about maquiladoras getting shaken down interesting but I’m unsure how prevalent…thank you!

Ioan Grillo's avatar

Thanks there Dedline and sure thing. There is extortion in Sonora but not as badly as in some states. Two of the areas that it has appeared in are mining (especially gold mining) and fishing. It varies in level from town to town. It's no way as bad as in Michoacan, Morelos, Guanajuato, Guerrero or Chiapas, and the gangsters in Sonora still have drugs as their main business along with some human smuggling but extortion is a concern. Best there and great to have your voice here.

Chris Adams's avatar

Your pieces are always 'mucho' enlightening. A great read!

Ioan Grillo's avatar

Muchas thanks Chris! All best friend.

Quirky Guide to Musical Bliss's avatar

It was police corruption and extortion that created a whole industry of vertical integration extortion. The product delivery, buyer, street dealers all subjected to police extortion and then you still have attorney and in some cases judicial extortion. The cartels learned from the experts.

You cannot avoid the extortion if you leave Mexico. Huge payment to the cartel bringing you into the United States, employers charging you an tax to keep the employer from reporting you as an illegal, outrageous charges by the employer to facilitate payments to the cartel you owe money to, charges for using a bathroom and drinking water while working and a protection tax from "criminals". There are shakedowns by Border Patrol, local police and the worst is NGO's now charging a fee to facilitate your status in the U.S and to obtain extra supplies. Mind you, these are the same NGO's who are receiving millions of dollars from the government of the United States and other international donors. I am sure you cannot even piss and shit without someone trying to extort you for toilet paper. With new immigrants receiving $15,000 dollars in food stamps and a $5,000 dollar debit card, the level of extortion has dramatically increased by individuals and companies no one would expect. It is an economic rape of every illegal alien entering the United States. Now you know why there is absolutely no political initiative to rapidly process the claims of asylum. To many people would suffer a huge loss in revenue.

If you are a law enforcement official you cannot fight this corruption without putting your life and family in real danger. Political action against this corruption and extortion is not even possible when everyone avoids just discussing the issue and has too much to gain from changing the corrupt circumstances. Sweeping attacks against corruption in China has always come from the local level and even directed through the local level by a few Chinese leaders. These have been the most successful attacks against corruption and this maybe the only path forward for Mexico and the United States. The attacks cannot be organized as a federal campaign. Too much extortion in those ranks.

Ioan Grillo's avatar

That is very interesting about China's approach to fighting corruption. One factor they have there is the threat of executing corrupt officials - in Mexico, there is just so little come back even for really corrupt actors. The ones who go to jail just come out after a couple of years. Still, I am not sure I would just this same corrupt state in administering the death penalty...

Quirky Guide to Musical Bliss's avatar

You are right about China using the death penalty. During the years of bad publicity about lead in toys made in China, China appointed an official who would be the middleman between China and the US toy companies. Few months later lead was found again in the toys and a couple weeks later the middleman was executed. That is swift justice.

Daniel Helkenn's avatar

Another great informative post. I keep thinking that the cartels are shaking down the people in Mexico while here in the U.S. the corporations do the shaking down.

Ioan Grillo's avatar

Thanks Daniel. Yes, that is an interesting point. Regular capitalism has also got more corrupt and "gangster" in recent years. We all got ripped off all time (and actually in Mexico, people get shaken down by cartels and ripped off by regular companies like banks...)

Jonathan Ramos's avatar

Also ioan I'm actually planning on heading to ensenada baja in September for 3 days wish me luck!

Ioan Grillo's avatar

Good luck there Jonathan - stay well, enjoy the great food, and make it back safely.

Jonathan Ramos's avatar

That's why I just call them the "Mexican cartels" now. Drugs is just one of the many things they do. This will cause a number of things. Either more self defense uprisings, more exodus of Mexicans fleeing to the United States for a better life or even Mexicans fleeing to Guatemala like how chiapas residents have been doing lately

Ioan Grillo's avatar

Yeah, "Mexican cartels" is a description people will understand and doesn't imply just drugs. I got into the definition debate in an earlier piece and might get back into it. And yeah, extortion is definitely a factor that drives people to flee to the U.S.

Jonathan Ramos's avatar

And now they are being considered for the FTO designation which confuses people even more. They are very much narco terrorists to me though

Ioan Grillo's avatar

I think a specific robust cartel law would be more effective than designating them terrorists...