New Trade Deal Moves a Step Closer to Fruition for Growers
December 23, 2019 Last week, the U.S. House of Representatives voted 385-41 to pass the United States-Mexico-Canada Agreement (USMCA). The proposed trade deal now moves to the Senate for a vote. Once Congress acts, the President is expected to sign the agreement.
Several ag industry associations are speaking out and released statements in the latest progress regarding USMCA.
“We encourage the Senate to move forward with consideration of USMCA,” said Tom Stenzel, United Fresh President and CEO. “For the fresh produce industry, this is a welcomed achievement as we continue to meet the demands from consumers for increased availability of healthy fresh fruits and vegetables. Finally, we believe this new trade agreement will strengthen our partnership between the three countries and provide essential cooperation in the fresh fruit and vegetable industry.”
Jim Bair, U.S. Apple Association President: “Mexico and Canada represent our top two export markets, totaling nearly a half-billion dollars in annual sales. Growing apples is a risky business and locking in our largest markets adds certainty for the long haul. It lets U.S. growers get back to doing what they do best – producing superior quality apples in a volume and range of varieties not available anywhere else.
“Canada, Mexico and the U.S. combine to make up the most competitive and successful regional economic platform in the world. Under the North American Free Trade Agreement, the predecessor to USMCA, apple exports to Mexico quadrupled and those to Canada doubled.”
Kam Quarles, National Potato Council CEO: “The ratification of the USMCA will build on the success of NAFTA, leading to freer markets, fairer trade, and a stronger U.S. potato industry. We urge our partners in Mexico and Canada to ratify the pact so we can quickly implement this mutually beneficial win for all of our citizens.”
Not all ag industry interests are in favor of the trade deal. Florida Commissioner of Agriculture Nikki Fried expressed concern after the House passage was announced. “It is deeply disappointing that seasonal protections were not included in this USMCA implementing legislation,” she stated. “For nearly a year, I have called repeatedly for effective, timely relief from unfair trade practices for America’s seasonal produce growers in the USMCA. Florida remains committed to continuing our fight through all available channels to protect our vital seasonal produce industry, and to put Florida’s and America’s farmers first.”
If enacted, the USMCA has been estimated to cost Florida farmers up to 8,000 jobs and $400 million in lost revenue, according to the Florida Department of Agriculture. Florida is one of the top two U.S. states for production of seasonal produce.
The Senate is expected to take up the vote on USMCA in early 2020.
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