FPAA: Florida Tomato Exchange comment overlooks higher prices in winter
Distributors of Mexican tomatoes say the Florida Tomato Exchange’s claim that Mexican tomato imports suppressed U.S. grower prices over the winter is way off base.
In a submission to the Department of Commerce on Feb. 29, the Florida Tomato Exchange reiterated its request to terminate the Tomato Suspension Agreement, which has governed tomato imports from Mexico for over 25 years.
The Florida Tomato Exchange suggested to the Commerce Department that during the recent winter vegetable season “Mexican tomato imports are rising, and U.S. growers’ prices are being suppressed,” according to a news release from the Fresh Produce Association of the Americas.
The Florida Tomato Exchange submission focused on a single pack type for only one (roma) out of several tomato types covered by the Tomato Suspension Agreement, and its analysis failed to acknowledge the market impacts of weather in all major growing areas and the historical context in the roma market specifically, the FPAA said.
“Most glaringly, the stakeholders said, the FTE failed to acknowledge the unprecedented tomato market pricing during the 2023-2024 season, when tomato prices were at times $30-40 a box, well above the minimum price of $8.30 that is required by the Tomato Suspension Agreement,” the FPAA said.
The Fresh Produce Association of the Americas, NatureSweet, Mastronardi, the Texas International Produce Association, and the Mexican Tomato Growers Associations all submitted rebuttal comments to the recent FTE submission, the release said.
The Texas International Produce Association said in its comment that USDA trade data shows growers in Mexico shipped 79.2 million fewer pounds of fresh tomatoes during the period Sept. 1, 2023, to March 1, 2024, compared to the same period the year prior. That translates to nearly 2,000 tractor-trailer loads fewer than the year before, the release said.
The association's comment said trade data contradicts the Florida Tomato Exchange’s statement regarding a flood of imports, and instead shows that Mexican tomato imports were trailing the previous years by a substantial amount.
