By Clint Thompson
Tuesday’s tariffs implemented by the Trump Administration is helping level the playing field for Georgia’s fruit and vegetable industries.
Chris Butts, executive vice president of the Georgia Fruit and Vegetable Growers Association (GFVGA), discussed the trade war which resulted in tariffs levied on China, Mexico and Canada.
“We have tried everything we know to level the playing field for our guys. We’ve tried Congress, and we’ve had bills introduced by both democrats and republicans to try to level the playing field. We’ve tried USTR, and we’ve tried ITC,” Butts said. “We’ve gotten nowhere, so in terms of leveling the playing field for our producers in Georgia, we don’t see these as a bad thing.”
Tariff Amounts
The Trump Administration imposed 25% tariffs, or taxes, on Mexican and Canadian imports, and doubled the tariff on Chinese products to 20%. Tariffs were implemented as a way to protect U.S. businesses and correct trade imbalances, especially like what is impacting Southeast agriculture.
Seasonal imports have long been a problem impacting fruit and vegetable farmers in Florida and Georgia. Companies from Mexico, Canada and China that choose to continue exporting their fruits and vegetables to the U.S. will now have to pay an extra tax. Imposing a 25% tariff on Mexican goods means a product normally worth $5 would have an additional $1.25 charge.
“The level of imports keeps increasing. We have a rising trade deficit, and our policies are set in a way that it leaves our guys at a disadvantage to our foreign competitors. If these tariffs can level the playing field to a degree, then that’s a good thing for Georgia growers,” Butts said.
China has retaliated with 15% tariffs on various farm exports from the U.S., though it should have minimal impact on fruits and vegetables.
“For our most perishable products, we don’t have much of an export market. Retaliatory tariffs are not a concern in terms of those super perishable fruits and vegetables,” Butts said.