At a large blueberry operation in the U.S., extensive rows of bushes stretch across Franklin County, Washington. Ray Biln, whose family owns the 1,500-acre farm, oversees the production of multiple blueberry varieties, contributing to Washington's leading position in U.S. blueberry production. A portion of this produce undergoes packing, processing, and cold storage in Canada before returning to the U.S. market.
Current U.S. tariffs, though not affecting U.S. and Canadian blueberries, raise concerns among growers about potential future impacts on cross-border trade. Biln employs approximately 800 workers for harvest and is contemplating investments in wind machines and modular cooling systems. However, tariff-related uncertainties make financial commitments challenging.
Biln acknowledges that tariffs could elevate costs related to growing, harvesting, processing, and shipping blueberries, complicating decisions on export destinations amidst potential retaliatory tariffs. "That's why it's important to stay even-keeled and try to make the best decisions in the landscape we're given," Biln remarked.
The blueberry industry maintains an interdependent relationship across the U.S.-Canada border. Much of Biln's Washington produce is processed in British Columbia and re-enters the U.S. as labeled American fruit. Recent tariff announcements included a 25% rate on Canadian and Mexican imports, excluding oil and energy, which were set at 10%. Canada responded with similar tariffs on U.S. goods, though a temporary pause was enacted before implementation.
Currently, blueberries remain tariff-exempt under the United States-Mexico-Canada Trade Agreement (USMCA). Nevertheless, Biln's expansion plans are hindered by the possibility of dual tariffs affecting shipments to and from Canada. "You know we have projects on pause now on both sides of the border," Biln noted, including a large cooler installation on his farm.
Annually, about 40 million pounds of Washington blueberries are processed in Canada. Potential tariffs could disrupt this flow, leading to oversupply and quality concerns. Paul Sangha, another Washington grower, anticipates logistical challenges in managing surplus berries during peak season.
Alyssa Houtby from the North American Blueberry Council advocates for addressing tariffs in key markets like Vietnam, Japan, Malaysia, and Taiwan. Recent negotiations and a 90-day tariff pause offer some optimism for the industry. "We hope that any agreement forthcoming addresses the tariff and non-tariff barriers that impede blueberry exports," Houtby stated.
Source: OPB