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Mexico sets minimum tomato export prices after U.S. deal ends

Mexico has introduced minimum export prices for fresh tomatoes to protect domestic production and ensure internal supply, following the expiry of a bilateral agreement with the United States. The announcement was made in a joint statement by the economy and agriculture ministries.

The measure comes after Washington withdrew in July from a 2019 deal regulating Mexican tomato exports to the U.S. On July 14, the U.S. administration announced a duty of about 17% on imports of fresh tomatoes from Mexico.

The new pricing rules apply exclusively to definitive exports and do not impose restrictions on export volumes or set maximum prices. Prices will be reviewed annually or earlier if market conditions require, the ministries said.

Minimum export prices have been set at US$1.70 per kilogram for cherry and grape tomatoes, US$0.88 for Roma tomatoes, US$0.95 for round tomatoes, and US$1.65 for round tomatoes with stems. Other varieties, such as cocktail and heirloom tomatoes, will also have a minimum price of US$1.70 per kilogram. According to official figures, Mexico exported US$3.3 billion worth of tomatoes in the previous year.

"This action reinforces the government's commitment to agricultural competitiveness, dignified rural employment, and food sovereignty," the ministries stated. Mexican tomato producer associations have expressed support for the agreement, which took effect immediately after its publication on August 8 in the government's official gazette.

Source: Reuters