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| Horticultural & Tropical Products Division | Return to the H&TP Home Page |
December 29, 2000
Vegetable Prices in Canada Soar due to California Cold Snap
Due to a short growing season, Canadians rely heavily on
imported U.S. produce during the winter, but a recent cold snap
in California has resulted in sharp wholesale and retail price
increases for lettuce, cauliflower and broccoli across Canada.
Newspapers in Ottawa and Toronto are reporting prices for these
products are more than double their average for this time of
year. These high prices may affect U.S. vegetable exports to
Canada. Typically, Canadian retail grocery customers reduce their
purchases of temporarily high-priced produce, but begin to buy
again when supplies increase and prices ease. California normally
accounts for more than 80 percent of total U.S. lettuce exports
to Canada and 87 percent of U.S. cauliflower and broccoli
shipments to Canada.
U.S. Horticultural Exports Projected at $10.9 Billion for FY 2001
U.S. Horticultural Exports for FY 2001 have been revised from the initial forecast of $10.7 billion to $10.9 billion. This represents a 3.4-percent increase over FY 2000, as well as a second year of solid sales growth since the 1998-99 slump. This outlook is based primarily on continued strong sales to Canada and Mexico. Exports to China and some other Asian countries are also expected to achieve solid gains. Fresh and processed fruits should drive most of the gain in FY 2001, with exports forecast to rise $200 million to $3.6 billion. A more normal citrus crop and stable prices are expected with the opening of China’s market, resulting in new citrus sales. Apple exports should also rise, supported by greater exportable supplies. Vegetable sales should remain strong but no increase is expected. Tree nut exports are expected to remain at the $1 billion level. The value of horticultural imports is projected up $200 million from August and $600 million from FY 2000. The 3.6-percent rise in horticultural imports will be driven by continued healthy growth in U.S. consumer spending. High-value imports, such as wine and malt beverages, vegetables, nuts, and fruits, will continue to increase with the help of a strong dollar.
ITC to Investigate the Impact of European Union Policies on the Global Competitiveness of U.S. Horticultural Products
In a December 13 press release, the U.S. International Trade
Commission (ITC) announced that it had launched a general
fact-finding investigation on the effects of European Union (EU)
policies on the competitive position of the U.S. and the EU
horticultural products sectors.The investigation, The Effects of
EU Policies on the Competitive Position of the U.S. and
EUHorticultural Products Sectors (Inv. No. 332-423), was
requested by the U.S. TradeRepresentative in a letter received
November 16, 2000. As requested, the ITC's report willprovide
information on EU policies and programs that may enhance the
competitiveness of EUproducers and exporters, including domestic
support commitments and export subsidies theEU reports to the
WTO, the EU entry price system, the producer organization system,
and EUtariffs. The investigation will describe policies and
programs and will analyze the extent towhich such programs affect
the competitive conditions between EU producers and exportersand
U.S. producers. As requested, the ITC's investigation will focus
on the following specifichorticultural products: citrus
(including fresh oranges, fresh clementines, fresh lemons,
andorange juice), deciduous fruit (including fresh apples, fresh
pears, fresh peaches, andprocessed peaches), dried prunes, tree
nuts (including almonds, walnuts, and hazelnuts),tomatoes
(including fresh tomatoes and processed tomatoes), and wine. The
ITC will submit itsreport to the USTR by December 1, 2001. A
portion of the report will be confidential. To assist in
identifying issues affecting the sectors under investigation, the
Commissionrequested that interested parties provide preliminary
written comments by 5 p.m. on March 1,2001. Preliminary written
comments should be addressed to the Secretary, U.S. International
Trade Commission, 500 E Street SW, Washington, DC 20436. The ITC
will hold a public hearing in connection with this investigation
on April 26, 2001, at 9:30 a.m. at the ITC Building, 500 E Street
SW, Washington, DC. Requests to appear at the public hearing
should be filed no later than 5:15 p.m. on April 12, 2001, with
the Secretary, U.S. International Trade Commission, 500 E Street
SW, Washington, DC 20436. The ITC also welcomes written
submissions for the record in this investigation. Written
statements (one original and 14 copies)should be submitted at the
earliest practical date but no later than 5:15 p.m. on June 11,
2001.All written submissions, except for confidential business
information, will be available for public inspection. Written
submissions should be addressed to the Secretary, United States
International Trade Commission, 500 E Street SW, Washington, DC
20436. Further information on the scope of this investigation and
appropriate submissions is available in the ITC's notice of
investigation, dated December 12, 2000, which may be obtained
from the ITCInternet site (www.usitc.gov) or by contacting the
Office of the Secretary at the above address or at 202-205-1806.
Pecan Promotion in Japan a Success
Market Access Program (MAP) generic funding through the Southern U.S. Trade Association(SUSTA) has helped U.S. pecan producers to increase their share of the Japanese market. Since 1998, the U.S. export market share of pecans to Japan has increased from 53 to 83percent. SUSTA, in association with the Japan School of Baking, targeted the Japanese baking and confectionery industry by developing pecan recipes appealing to local consumers. Promotional efforts also included translating U.S. Pecan Sheller’s Association marketing materials into Japanese. The Georgia Department of Agriculture, with SUSTA funding, participated in the 1999 International Food Ingredients and Additives Show in Tokyo. In September, representatives from Japan’s two largest food industry publications toured pecan and related operations in Georgia and Texas, the leading U.S. pecan producers. Key food service chains (e.g., Starbucks, Cinnabon) have recently placed pecan products on Japanese menus.
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