There is a clearer, more functional and successful separation of church and state in Mexico than there is in the United States. At Mex Files, R. Grabman has some background on this as well as some Mexican clerical reaction in addition to what I post below.
Via La Republica de Peru online, the following report from Alberto Nájar, BBC Mexico.
"Felipe Arimendi, Bishop of San Cristóbal de las Casas, Chiapas, in the southern Mexico, said that liberal sexuality made the formation of priests difficult, expecially in their relations with minors.
"'Sexual liberality* in the world in general has diminished the moral forces with which we try to educate young men in seminaries. In the face of so much eroticism, it is not eaxy to remain faithful both in respect to celibacy and in respect to children," said Arizmendi.
"The bisops's commentary unleashed angry reactions, especially in some media. Also, it provoked an answer from the Ministry of Education.
"The journalist Carlos Puig, host of the first edition of the news broadcast Hoy por Hoy, asked on the air 'What could a child of eight have to do with eroticism, Sr. Obispo?'
"The polemic did not end in a religious environment, because Bishop Arimendi also said that textbooks distributed by the Ministry of Eucation in primary schools also promoted sexual liberality.
"The minister [of education] responded: 'Our books try to teach boys and girls to be responsible for the consequences of their actions, and for this, they require information.'"
"Sexual abuse of minors are a part of a sensitive issue in Mexico, especially because of the case of the founder of the order Legionnaires of Christ, Marcial Maciel."
Maciel provides a particularly sleazy link back to the Pope and his response to sexual abuse.
According to Wikipedia, Maciel was accused with reason of sexually assaulting various young seminarians starting in the 1950s, of drug abuse, and of plagiarism. He also had at least two children, housing the mother of one of them in luxury in Madrid. While it seems likely Pope Benedict disapproved of him, he halted proceedings against him (supposedly because of his age), and only invited him to step down from his offices so he could lead a "reserved life of prayer and penitence". The pope gave no further explanation.
Finally, as I've noted before, without much fanfare or conflict, Mexican public schools offer modern sex education, including the use of condoms, etc.
*Arimendi used the word liberalidad I have translated as liberality in the sense of favoring personal freedom, but in fact it normally means, according to translations I've found, something like a gratuity, a gift in the sense of something that doesn't have to be repaid, or an unjustified expense. I'm not really sure how el obispo intended it.