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U.S. and Mexican Tomatoes: Perceptions and Implications of the Renegotiated Suspension Agreement

Author

Listed:
  • Asci, Serhat
  • Seale, James L.
  • Onel, Gulcan
  • VanSickle, John J.

Abstract

The 2013 antidumping investigation suspension agreement introduced new categories of tomatoes and raised reference prices of Mexican field-grown and greenhouse tomatoes by 43% and 89%. We analyze the substitution and complementary relationships among different categories of tomatoes grown in the United States, Mexico, and other countries and measure substitution and income effects of reference price increases. Findings indicate that the new agreement may decrease demand for U.S. field-grown tomatoes in favor of Mexican field-grown and Mexican greenhouse tomatoes. Policies to increase overall U.S. tomato expenditures may be more favorable for U.S. tomato producers than the new reference prices.

Suggested Citation

  • Asci, Serhat & Seale, James L. & Onel, Gulcan & VanSickle, John J., 2016. "U.S. and Mexican Tomatoes: Perceptions and Implications of the Renegotiated Suspension Agreement," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 41(1), pages 1-23, January.
    • Handle: RePEc:ags:jlaare:230780
    DOI: 10.22004/ag.econ.230780
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    References listed on IDEAS

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    Cited by:

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    2. Valdez-Lafarga, Octavio & Schmitz, Troy, 2016. "A Country-Differentiated Import Demand Model for Fresh Tomatoes in the United States: an Estimation of Price and Income Elasticities for 1991 through 2014," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235807, Agricultural and Applied Economics Association.
    3. Suh, Dong Hee & Guan, Zhengfei & Khachatryan, Hayk, 2017. "The impact of Mexican competition on the U.S. strawberry industry," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 20(4), April.
    4. Li, Sheng & Wu, Feng & Guan, Zhengfei & Luo, Tianyuan, 2021. "How trade affects the US produce industry: the case of fresh tomatoes," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 25(1), September.

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