With the U.S. Department of Commerce announcement that it intends to withdraw from a tomato trade agreement between the U.S. and Mexico, potentially placing a penalty of more than 17% on all Mexican tomato imports, consumers are likely confused about what to expect in the marketplace.
CEA Alliance members include high-tech greenhouse growers and vertical farms, with increasing investment across the United States. Greenhouse tomatoes are grown throughout the country, with major operations in Ohio, Kentucky, New York, Texas, Michigan, Pennsylvania, Georgia, California, Minnesota, and more. USDA reports that production of U.S. greenhouse-grown tomatoes has increased by almost 70% from 2010 to 2023, while field-grown tomatoes have decreased by 49%. U.S. greenhouse tomato growers now grow more than one-third of all U.S. fresh tomatoes, although their voice as U.S. growers has not been heard in Commerce Department deliberations.
Many of these U.S. growers also grow in Canada and Mexico in order to provide year-round fresh produce for consumers. "U.S. greenhouse tomato growers believe the Commerce Department should renegotiate the suspension agreement to ensure market stability for both U.S. consumers and U.S. greenhouse tomato growers," said Tom Stenzel, Executive Director of the CEA Alliance. "Without an agreement, consumers are likely to see significant price increases and potential shortages in greenhouse-grown, vine-ripe, and specialty tomatoes that they choose for taste and flavor."
Penalizing these U.S. growers who also grow in Canada and Mexico is also likely to slow what has been a fast-growing investment in U.S. greenhouses. These companies want to invest more in the U.S. to be closer to consumers, but will have limited opportunity if a suspension agreement is not renegotiated with the Department of Commerce.
"When determining the best course of action for American farmers and consumers, the CEA Alliance believes the Department of Commerce must take into account the views of one-third of America's tomato farmers – U.S. greenhouse tomato growers – not just field growers," Stenzel said.
Source: Urban Ag News