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October 6, 2000

As Chinese Imports of Fresh Fruit Rise, So Does Competition

The imported fresh fruit market in China has been expanding since the implementation of China’s open door policy. Imported fresh fruits, including those from the United States, are on sale at almost all the hypermarkets and supermarkets in China. Currently, apples, grapes and oranges are the main fresh fruits imported from the United States. U.S. fresh fruit exports are expected to grow even further as a result of the U.S.-China Agricultural Cooperation Agreement, the rising income of Chinese consumers, and the more open policy from Chinese authorities. Despite the positive image of U.S. products, U.S. exporters are facing increasingly fierce competition from other countries, such as Australia and Chile, which supply reasonable quality fruit at competitive prices. Some Chinese importers of U.S. fresh fruits noted the quality and packaging of U.S. products, high import tariffs, and the difficulty for Chinese traders to travel to the U.S. market, have all affected U.S. market share.

U.S. Agricultural Exports to Mexico on Pace to Reach U.S. $7 Billion

If current trends continue through the remainder of 2000, exports of U.S. agricultural, fish, and forestry products to Mexico will reach a record $7 billion by year’s end. As the Mexican economy continues its robust recovery, spurring increased local consumption, immediate prospects for further growth in U.S. agricultural exports are bright. The fastest growing product category is consumer-oriented products–up a whopping 31 percent through June. Big winners thus far this year are: processed fruit and vegetables (up 102 percent), fruit and vegetable juices (up 59 percent), red meat (up 35 percent), wine and beer (up 35 percent), poultry products (up 34 percent) and pet food (up 32 percent). All are on their way to record year-end levels.

Dutch Tree Nut Imports from the U.S. Drop in 2000

Dutch tree nut imports from the United States dropped considerably during the first six months of 2000. From January to June 2000, the value of Dutch imports of U.S. pistachios, pecans, and almonds dropped 34 percent, 12 percent, and 46 percent, respectively, compared to the same period in 1999. The three main reasons behind this decline are the strong U.S. dollar, large worldwide tree nut production, which resulted in very low prices worldwide, and low stocks from last year’s production, which prevented importers from buying large amounts. Because of the high U.S. prices, the bakery industry in the Netherlands has turned to alternative, less expensive products. Hazelnuts are used instead of almonds and walnuts instead of pecans. Imports are expected to pick up at the end of the year however, because of the holiday season

USDA Trade Successes Surpass $2 Billion in Fiscal Year 1999

The U.S. Department of Agriculture released its fourth annual Sanitary and Phytosanitary Accomplishments Report, highlighting more than $2 billion worth of trade successes in fiscal year 1999. A total of 53 SPS-related trade issues involving U.S. agricultural exports were resolved in fiscal year 1999 with the help of APHIS (Animal, Plant Health Inspection Service) and its USDA partners, in particular the Foreign Agricultural Service, as well as the Office of the U.S. Trade Representative, and the Department of State. These trade successes include regaining access to the Brazilian market for U.S. wheat; safeguarding markets for U.S. poultry, petfood, and rendered products in Mexico; and expanding market opportunities for U.S. stone fruit and potatoes in Canada. In Mexico alone, APHIS' efforts were worth more than $1.4 billion. In the Pacific Rim, APHIS was successful in retaining markets for cattle hides and Florida citrus in Korea and expanding markets for cherries, tomatoes, and apples in Japan. The trade successes of fiscal year 1999 build on similar accomplishments in previous years. In fiscal year 1998 and 1997, APHIS helped remove SPS barriers worth more than $375 million, and $2 billion, respectively.

 



Last modified: Wednesday, July 21, 2004