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February 7, 2003
One of Florida’s Top Citrus Growers Joins Lawsuit
The Barron Collier Company of Naples, one of Florida’s top citrus growers has joined the lawsuit at the 10th Judicial Circuit Court in Bartow, Florida seeking to eliminate the equalization (box) tax on citrus. According to sources, this tax, which is levied annually on every box of citrus harvested in Florida, provides most of the revenue for the Florida Department of Citrus (FDOC). FDOC estimates that the tax will raise more than $47 million during 2002/03. The suit will be joined with two other legal challenges to the tax. The growers’ lawsuit claims the box tax violates the First Amendment by forcing growers to support the FDOC’s generic advertising program, which they claim is ineffective. The plaintiffs in this case have been closely following the California lawsuit in which, last week, a federal appellate court ruled that a similar tax on table grapes is unconstitutional. The trial in Florida is scheduled to begin on June 2 before Judge Dennis Maloney. Judge Maloney ruled in March that an exemption to the equalization tax on juice imports from California and other states was unconstitutional, not the tax itself. The exemption was removed by the Florida legislature last year
Disbursement of Market Loss Assistance Payments For U.S. Apple Industry Began
On Monday, February 3, the USDA began releasing $94 million in market loss assistance payments to apple growers for losses sustained during the 2000 apple crop. The funds are specifically designed to offset a portion of the devastating losses suffered during the 2000 apple crop. The payments, combined with better domestic prices this season, are expected to help improve the economic situation of the apple industry. U.S. apple growers have lost an estimated $1.7 billion since 1996. In recent years, overproduction in the United States and in major producing countries, stagnant fresh domestic demand, and increased imports of lower-priced Chinese apple juice have hurt U.S. apple prices and the economic situation of apple growers. Moreover, a strong U.S. dollar and reduced fresh supplies narrowed U.S. apples exports in marketing year 2001/02 (July-June) to $368 million, 12 percent below sales the previous season
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