A resolution to the issue of Mexican tomato issue was reached in October between the U.S and Mexican governments on behalf of U.S agriculture interests and Mexican growers. A private meeting was held in Washington to determine the future of Mexican tomato imports into the United States. The Florida growers who lodged a complaint with the International Trade Commission last April, did not participate in the talks, but expressed their wish to come up with an understanding and eventually a satisfactory solution.The solution both governments arrived at was the "suspension" of the dumping complaint against the Mexican tomato. The Mexican tomato industry was guaranteed access for their products in the US market, but agreed to sell them at a higher price than the lowest market price.
U.S. agriculture interests in Florida brought the complaint against Mexico, alleging the "dumping" of tomatos below cost, which underdcut the Florida winter tomato market. U.S. growers complain that Mexico exports a large quantity of tomatoes during the winter months at lower prices than it takes to produce them. The U.S. Department of Commerce began its investigation into the complaint in March and concluded in February 1996. Ever since U.S. started the investigation into allegations of dumping of the Mexican tomato, the government in Mexico has been opposed to it.
The export of Mexican red tomatos to the U.S. is a strong source of employment and income for the industry, estimated at more than $400 million per year and representing approximately one- third of the tomatoes imported worldwide into the U.S. The industry is responsible for 500,000 jobs in Mexico. The Mexican government believes one of the reasons for this investigation is mainly politics, because this is an election year and Florida represents a key election state in the U.S. Had the decision to stop the import of the Mexican tomato into the U.S. been made, Mexico would have been forced to find an alternative market, such as Canada, to sell their product.
Sources: El Norte, Diario de Juarez