After extensive negotiations, the U.S. and Mexican tomato sectors are nearing consensus on a suspension agreement. On August 20, Mexican growers agreed to terms supported by their U.S. counterparts. The prior agreement, terminated by the U.S. Commerce Department in May, had been criticized by American producers for insufficiently preventing Mexican tomato dumping.
Commerce Secretary Wilbur Ross stated, "For many years, there have been disputes over the roughly $2 billion worth of tomatoes that are imported from Mexico annually. These disputes led the Department to terminate an earlier suspension agreement and continue an investigation that could have led to duties of 25% for most Mexican tomato producers. After intensive discussions with all parties, we initialed a new draft suspension agreement with the Mexican growers late last night. This draft agreement meets the needs of both sides and avoids the need for anti-dumping duties."
The Florida Tomato Exchange highlighted that the new agreement introduces measures and enforcement provisions aimed at protecting U.S. tomato growers from the adverse effects of dumped Mexican tomatoes. The agreement incorporates key provisions sought by U.S. growers, including mandatory border inspections for Mexican round, Roma, and bulk grape tomatoes, along with enhanced compliance and monitoring mechanisms. The Exchange emphasized that without these additions, the suspension agreement would fail to address the harm caused by unfair trade practices.
Source: Florida Trend
