Original Article written By Curt Prendergast at the Arizona Daily Star May 28, 2019
So while Americans may say tomato, Nogales Say No Tomato! Due to a drawn out and heated political battle involving tariffs and taxation, both Nogales and Rio Rico have pulled out.
So does this mean curtains for the Tomato Industry? The U.S. Department of Commerce certainly thinks so! The 17.56% import duty came as a result of accusations of dumping Tomatoes on May 7th of this year.
Many distribution companies, especially the smaller sized ones have since pulled out of the business.
President Jaime Chamberlain said,
“In 48 years, this is the first time Chamberlain Distributing will not import Mexico-grown tomatoes.”
Rio Rico-based Curial Brothers stopped importing tomatoes in mid-April in anticipation of the new duties and deposit requirements.
It has no plans to restart when the tomato season picks back up in the fall, said COO Chris Ciruli.
The deposit requirements are particularly difficult for smaller distributors, said Lance Jungmeyer, president of the Nogales-based Fresh Produce Association of the Americas. They now have two choices: give up importing tomatoes or join with
Only “somebody who has deep pockets.” unlike Nogales Say No Tomato!
While many would argue against the problems caused by President Trump’s termination of the North American Free Trade Agreement, many have different views. While the cost of Tomatoes is on the rise due to NAFTA’s termination, the intention is to bring back the farming jobs.
The issue is by no means anything but complex!
Anyone within the farming industry such as my family sympathizes for Americans within the industry, but it gets worse!
Big corporations amongst agriculture and other industry seem to be the bigger obstacle amongst many other problems. For one thing they quickly jump ship in order to save a buck outsourcing to foreign nations.
This not only negatively impacts American Citizens, but in addition it allows paying slave wages to Mexican Immigrant workers. Furthermore, this encourages child labor bringing the whole dynamic of the industry into atrocity!!
What has the policies termination done in terms of the market so far? Well, about $1.9 billion dollars not being purchased by American companies. Because these companies greedily sold out their own people, retail prices on tomatoes have gone up about 30% since May 7.
Percent of Tomatoes Nogales Produces for U.S. Consumers
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