The U.S. Department of Commerce is considering terminating a tomato trade agreement with Mexico after a monthlong comment review period. The debate centers around allegations that Mexico-based growers are selling tomatoes at lower prices, undercutting the U.S. market. Florida growers have been pushing for stricter restrictions on Mexican-grown tomatoes, while Arizona lawmakers and trade groups want the agreement upheld. A recent study warns that terminating the agreement could impact the economies of Arizona and Texas, and raise prices for consumers. NatureSweet, a produce company, also supports preserving the Tomato Suspension Agreement.
Frequently Asked Questions
Q: What is the current status of the tomato trade agreement between the US and Mexico?
A: The US is considering terminating the tomato trade agreement with Mexico. Florida tomato growers are pushing for the termination of the agreement due to accusations of unfair trade practices by Mexican tomato producers. Several suspension agreements have been attempted in the past to address these practices, but they have not been successful. It is important to note that the final decision on terminating the agreement has not been made yet. (Source: 1, 3, 4)
Q: Why are Florida tomato growers urging the US to terminate the trade agreement with Mexico?
A: Florida tomato growers are urging the US to terminate the trade agreement with Mexico because they accuse Mexican tomato producers of unfair trade practices, specifically dumping their product in the US market. They argue that this practice harms their business and is detrimental to the US tomato industry. (Source: 3, 6)
Q: How long has the tomato trade dispute between the US and Mexico been going on?
A: The tomato trade dispute between the US and Mexico has been ongoing for several years. Accusations of unfair trade practices by Mexican tomato producers have been made for at least 29 years, and various suspension agreements have been attempted since 1996 to address these concerns. However, the issue remains unresolved. (Source: 2, 4)
Q: What is the Tomato Suspension Agreement?
A: The Tomato Suspension Agreement is an agreement that governs the trade of fresh tomatoes between the US and Mexico. It has been in place since 1996 and has tried to address unfair trade practices by Mexican tomato exporters. However, there have been ongoing disputes and calls for termination of the agreement due to accusations of dumping by Mexican tomato producers. (Source: 4, 5)
Q: How will terminating the tomato trade agreement with Mexico affect consumers?
A: Terminating the tomato trade agreement with Mexico could potentially impact consumers. Without the trade agreement, there may be changes in the availability and pricing of tomatoes in the US market. The termination could lead to higher prices or reduced supply, which could affect consumers' options and costs when purchasing tomatoes. (Source: 5)
Q: What actions are being taken to address the tomato trade dispute?
A: There are ongoing discussions and efforts to address the tomato trade dispute between the US and Mexico. Florida tomato growers are urging the US government to terminate the trade agreement with Mexico, while Mexican tomato producers and exporters are likely to defend their practices. Various trade policies and agreements have been attempted in the past, but a satisfactory resolution has not been reached so far. (Source: 3, 6, 8)