The fresh produce industry anxiously awaits tariff details.
As of this morning, 25 percent tariffs remain in place for fresh produce coming from Canada and Mexico, the United States’ largest trading partners for our products.
In a March 5 interview with Blue Book, Rebeckah Adcock, International Fresh Produce Association (IFPA) BB #:378962 vice president of U.S. government relations, said she still doesn’t know exactly how the tariffs will be applied to fruits and vegetables coming into and leaving the United States.
“So far, from a U.S. perspective, it looks like [the Trump administration] will keep fruits and vegetables together as a package deal, as it doesn’t look like dividing them helps with our leverage,” she said.
Adcock said the industry has had productive talks with USDA and the new agriculture secretary Brooke Rollins, who has cited IFPA and its messaging and data.
“There are so many unique markets in produce that are different from one another,” Adcock said. “Consequences and impacts will be different among products. It’s very complicated for U.S. produce, with not all pros and cons.”
One anticipated result of the tariffs will be rising prices on imported fruits and vegetables at retail.
“The consumer story will be a big piece of influence. Consumers will see higher prices, and if will affect U.S. producers with exports,” Adcock said.
President Trump has said there may be short-term pain for long-term positive results.
“The president’s message hasn’t been always nuanced,” Adcock said. “But Rollins has been sympathetic to us and is asking for space. She’s basically said, ‘trust us, it will be good’.”
In the meantime, IFPA is continually updating its tariff resource page for members, including guidance documents and the latest updates, and it has a scheduled webinar today for members.
This morning, U.S. Commerce Secretary Howard Lutnick said that Canadian and Mexican imports compliant with USMCA, the free-trade agreement President Trump signed with the two nations in 2020, may not have a tariff until April, as negotiations with the two countries continue.
“My expectation is the president will come to the agreement today, and hopefully we will announce this today that USMCA-compliant goods will not have a tariff for the next month until April 2nd,” Lutnick said on CNBC this morning.
