The cost of fresh produce in the United States is rising as new tariffs on imported fruits and vegetables begin to affect grocery stores and restaurants. Consumers are facing higher prices, with estimates suggesting increases of 4% to 7%.
President Donald Trump has defended the tariffs, stating that the measures will encourage domestic production and create jobs. However, Alex Durante, an economist with the Tax Foundation, noted that the United States does not have the climate or infrastructure to supply all consumer demand.
"In the U.S., we only grow bananas in Hawaii and Florida, and in a very limited capacity," Durante said. "I mean, more than 90% of all bananas that are consumed in the U.S. are imported from abroad."
Produce imports totaled more than US$33 billion last year. Avocados, bananas, and blueberries represented 27% of that value. While many imports from Mexico and Canada are exempt from tariffs under the U.S.–Mexico–Canada Agreement (USMCA), this covers only about half of all produce imports.
"Even with the USMCA exemptions, there's still a lot of agricultural goods that are coming from Southeast Asia, and Central and Latin America and South America, and they're going to be facing these tariffs," Durante said.
U.S. consumers remain dependent on imported produce, leaving limited options to avoid higher prices. "U.S. consumers really don't have much of a choice other than to pay the higher price for that imported good," Durante added.
For now, the adjustment will be left to shoppers as tariffs continue to shape produce availability and costs in the U.S. market.
Source: FOX17
