Mexico lifting tariff on Wash. apples
Mexico lifting tariff on Wash. apples
A 46.6 percent tariff imposed by the Mexican government on Red Delicious and Golden Delicious apples from Washington will be lifted in late February, ending nearly 18 months of penalization against Northwest exporters for selling at prices below market.
According to Jim Archer, manager of Northwest Fruit Exporters in Yakima, WA, negotiators made public the announcement on Monday, Jan. 3 that the tariff, imposed in August 2002, was to be lifted.
The Mexican government published the agreement Dec. 29, and Mr. Archer said initially that his group anticipated full duty-free access would be restored to Washington apple growers 10 days after that publication.
However, Mexico delayed implementing the agreement until the last day of February, which Mr. Archer termed a "disappointment." January and February are normally high shipping months, and the Mexican delay was coupled with the recent ban of U.S. apple exports to Taiwan due to coddling moth larvae discovered in shipments from this country.
?It is certainly painful to have two major export countries off the market at the same time, and from that standpoint it is even more important to get Mexico going again," Mr. Archer said.
He added that federal agriculture officials are working to restore the Taiwan market, which ranks third for Washington exporters. He also noted that Taiwan tends to buy more Fujis and Galas, while the Mexican duties were on Red Delicious and Golden Delicious.
?So there?s not a direct offset," Mr. Archer said of the Mexican market reopening during the Taiwan closure. He did note that movement of the Reds and Goldens into Mexico could ramp up rapidly.
?All indications are that there is really strong demand," he said of the two varieties. "The consumers like the apples, and even Mexican importers were frustrated with the tariffs."
Prior to the high tariffs, Mexico imported a combined 11 percent of Washington?s Red and Golden crops, and Mr. Archer said that this year?s crop, at 100 million boxes, could provide that country with good volume. "We can do the volume. The market will handle it, and we think it's a very equitable agreement, very manageable," he said.
The agreement calls for Washington exporters to sell the apples at a set price to help maintain the Mexican domestic apple industry.
Saying that Washington was accustomed to seeing between 6 million and 10 million boxes exported to Mexico, Mr. Archer said, "We might be able to do it yet this season, but we might not."
According to Jim Archer, manager of Northwest Fruit Exporters in Yakima, WA, negotiators made public the announcement on Monday, Jan. 3 that the tariff, imposed in August 2002, was to be lifted.
The Mexican government published the agreement Dec. 29, and Mr. Archer said initially that his group anticipated full duty-free access would be restored to Washington apple growers 10 days after that publication.
However, Mexico delayed implementing the agreement until the last day of February, which Mr. Archer termed a "disappointment." January and February are normally high shipping months, and the Mexican delay was coupled with the recent ban of U.S. apple exports to Taiwan due to coddling moth larvae discovered in shipments from this country.
?It is certainly painful to have two major export countries off the market at the same time, and from that standpoint it is even more important to get Mexico going again," Mr. Archer said.
He added that federal agriculture officials are working to restore the Taiwan market, which ranks third for Washington exporters. He also noted that Taiwan tends to buy more Fujis and Galas, while the Mexican duties were on Red Delicious and Golden Delicious.
?So there?s not a direct offset," Mr. Archer said of the Mexican market reopening during the Taiwan closure. He did note that movement of the Reds and Goldens into Mexico could ramp up rapidly.
?All indications are that there is really strong demand," he said of the two varieties. "The consumers like the apples, and even Mexican importers were frustrated with the tariffs."
Prior to the high tariffs, Mexico imported a combined 11 percent of Washington?s Red and Golden crops, and Mr. Archer said that this year?s crop, at 100 million boxes, could provide that country with good volume. "We can do the volume. The market will handle it, and we think it's a very equitable agreement, very manageable," he said.
The agreement calls for Washington exporters to sell the apples at a set price to help maintain the Mexican domestic apple industry.
Saying that Washington was accustomed to seeing between 6 million and 10 million boxes exported to Mexico, Mr. Archer said, "We might be able to do it yet this season, but we might not."
