American tomato growers are increasing their efforts to impose duties or tariffs on Mexican-grown tomatoes, about one-third of which are shipped into Arizona through Nogales. They are convinced these taxes are needed to ensure that Mexican imports don’t continue to harm domestic growers and packers. However, opponents warn of crimped supplies and higher prices, especially for vine-ripened tomatoes and other categories.
Some 59 members of Congress wrote to Commerce Secretary Gina Raimondo last month, urging the termination of a 4-year-old agreement that has suspended tariffs. They want the department to impose “antidumping duties on imports of unfairly traded Mexican tomatoes, as required by law.” Mexico’s trade practices are “destroying their domestic tomato industry,” the senators and congressmen complained.
Mexican tomato imports have risen from a 20% share of the US market in 1994, when the trade-liberalizing North American Free Trade Agreement went into effect, to about 70% today. As a result, hundreds of American tomato farmers have been forced out of business, according to the letter from the Congressional delegation.
Source: finance.yahoo.com