Wednesday, February 06, 2013

U.S., Mexico reach tomato deal to avert trade war

The U.S. government and Mexican tomato growers reached a tentative agreement on Saturday that reduces the threat of a costly trade war stemming from a U.S. decision last year to pull out of a 1996 bilateral tomato trade pact. "I am pleased that we were able to come to an agreement on fresh tomato imports from Mexico that restores stability and confidence to the U.S. tomato market and meets the requirements of U.S. law,"€ U.S. Commerce Under Secretary for International Trade Francisco Sanchez said in a statement. The draft agreement substantially raises the minimum "reference" price at which Mexican plum, cherry and other tomatoes can be sold in the United States and accounts for changes that have occurred in the tomato market since the original agreement, Sanchez said. For some Mexican tomatoes, the new reference price is more than double the current such price, Sanchez said. The deal is expected to take effect on March 4, after a public comment period, he said...more

Great, now we'll pay twice as much for tomatoes. Who knew Obama was anti-Salsa?

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