Mendoza's garlic industry, one of the region's most important agricultural activities because of its production volume and the number of jobs it creates, faces an uncertain future. The possibility of a trade deal between China and Brazil poses a direct threat to Mendoza's garlic market, especially if the anti-dumping agreement, which protects local producers from the lower prices of the Chinese product, is not renewed.
In 2023, the garlic area in Mendoza increased slightly and the sector is optimistic about an increase in exports, as long as the macroeconomic situation is stable. However, concern is focused on the high risks the local industry would face if the anti-dumping measure expires allowing the Chinese garlic to enter the Brazilian market at competitive prices, as this is the main destination of Mendoza's exports.
Mendoza's producers had a good harvest because the exchange rate is currently favorable, but uncertainty about the near future is causing fear in the sector. According to the Institute for Rural Development's latest report, garlic not only dominates the region's horticultural area but is also prominent in export markets and has a long sales period, thanks to the product's long shelf life.
This highlights the importance of trade protection measures that ensure the competitiveness of Mendoza's garlic in international markets, especially against giants such as China, whose production capacity and low prices constantly challenge local producers.
Source: diadelsur.com