Mexico competition on the rise for Georgia growers

Mexico competition on the rise for Georgia growers

Increased competition from foreign growers has prompted producers in Georgia — and other states — to encourage produce buyers to buy U.S.-grown items, especially during the spring and summer season
Increased competition from foreign growers has prompted producers in Georgia — and other states — to encourage produce buyers to buy U.S.-grown items, especially during the spring and summer season
(Photo: tang90246, Adobe Stock)
by Tom Burfield, May 24, 2024

Increased competition from foreign growers has prompted producers in Georgia — and other states — to encourage produce buyers to buy U.S.-grown items, especially during the spring and summer season.

“The biggest concern among our producers continues to be competition from imported product, specifically from Mexico,” said Matthew Kulinski, director of marketing for the Georgia Department of Agriculture. “That’s why we want to encourage producers and retailers to make sure that they’re sourcing American-grown products when they’re in season in spring and summer.”

Pressure caused by imports could be even more significant this year because of the improved blueberry and pecan crops and the added issues of a strong dollar, he said.

The competition is a relatively new occurrence.

Mexico used to export fruits and vegetables to the U.S. out of season, Kulinski said, but now they’re coming into the country during the Southeast growing season.

“It makes it difficult to get the Georgia-grown products on the shelf,” Kulinski said.

Blueberries and squash are the most affected, but some commodities feel little impact.

Baker Farms in Norman Park, Ga., primarily a leafy greens grower, doesn’t face the same competition from Mexico as growers of squash or bell peppers because of the perishable nature of their product, said Heath Wetherington, director of operations.

“A lot of our products are same-day harvest and shipping,” he said. “Greens just don’t hold up that long.”

Fortunately, there’s no competition for Vidalia sweet onions, said Troy Bland, CEO at Bland Farms, Glennville, Ga.

“Vidalia sweet onions can only be labeled as such when they come from the 20 counties in southeast Georgia,” he said. “We have to wait until the official pack date is announced by the Georgia agriculture commissioner and Vidalia Onion Committee, so there is no competition from Mexico for Vidalias.”

Mexico’s government has been subsidizing infrastructure buildouts like greenhouses to allow farmers to grow certain specialty crops year-round, Kulinski said. That creates a supply issue in addition to price competition.

“If they flood the market, there are only so many shelves that these products can go on,” he said. 

Kulinski said consumers often pick U.S.-grown products over imported ones, even if they’re more expensive.

“We want to encourage retailers to make sure that we have an American-grown product on the shelf so consumers have a choice of which product they want to choose,” he said.

It’s also difficult for U.S. growers to compete with Mexican produce prices because of the pressure put on U.S. growers, Wetherington said. There are countless standards, including labor and food safety, he said.

“Having standards is not a bad thing; it creates a more reliable product for the American consumer, but it also drives up costs of these products,” he said.

The U.S. government should limit imports or level the playing field by requiring the same standards from growers in Mexico it does for U.S. growers, Wetherington said.









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