The US will impose anti-dumping fees on Mexican tomatoes starting December

29/11/2019 12:00 - 150 total view

The United States International Trade Commission (USITC), which determined that the US fresh tomato industry was threatened with significant damage due to Imports of fresh tomatoes from Mexico, released a statement in which it announced that they had decided to re-impose anti-dumping fees on tomato imports originating in Mexico starting December 22.

This measure suspends the Mexico-United States Tomato Suspension Agreement reached on August 20 between the Department of Commerce and the signatory growers/exporters of fresh tomatoes grown in Mexico, which canceled a US anti-dumping investigation on Mexican tomato via the establishment of reference prices for that product for the next five years.

The new determination made by the USITC means that the US has decided to withdraw from the suspension agreement so Mexican exporters will have to pay the anti-dumping fees that are set based on the margins that the USITC will announce in December.

Tomatoes and trade
Sinaloa producers are the main exporters of fresh tomatoes to the United States during the winter season, which takes place from October to May. Michoacan, Jalisco, and Baja California Sur are other important producing states. Producers in Sinaloa expect to maintain their high yields thanks to the use of improved and extended shelf varieties that are grown using drip irrigation and plastic mulch to maintain high yields.

During the summer season (May to October), producers in Baja California used to be the main producers and exporters of fresh tomatoes. As a result, in the United States, the tomato from California faces the direct competition of tomatoes from Baja California. However, the states of Michoacán, Jalisco, and San Luis Potosí have increased their area and now produce more than Baja California.

Tomato growers in Jalisco complete the summer-winter cycle and generally export their products in October, November, and December, after Baja California.
Source: Opportimes