The presidents of Abrafrutas and the Union of Rural Producers of Petrolina engaged in dialogue regarding the postponement of import tax for six months and defining export volumes to the United States sans surcharge. The discussions included setting a quota for mangoes and grapes for this year's harvest.
Regional agribusiness leaders are apprehensive about potential production losses, as 36,800 tons of mangoes and 13,300 tons of grapes were traded with the U.S. during the previous harvest, generating revenues of $45.8 million and $41.5 million, respectively.
With the onset of this year's harvest in late July or early August, producers and exporters have already arranged logistics and supply commitments. The leaders stated, "This means that producers and exporters have already organized themselves regarding all the issues of materials, ship space, and commitments with supermarkets abroad." A sanction might render shipping to the U.S. unfeasible, with alternatives potentially causing market imbalances in Europe or domestically.
The Ministry of Agriculture's suggestion to explore Japanese, South Korean, and Chinese markets was met with skepticism. "The South Korean market represents only 1.22% of the size of the American market for us, and China is a market we're just getting to know," they remarked.
The leaders emphasized the need for continued dialogue to address concerns, focusing on the substantial values at stake, investments by producers, and regional employment risks.
Source: Abrafrutas
