Mexico is putting minimum prices on fresh tomatoes it sells to the United States in response to a tariff that went into effect last month.
Mexico’s economy and agriculture ministries announced the new minimum prices, which they say will protect domestic supply and consumption.
The new minimum price per kilogram of cherry or grape tomatoes is $1.70, equaling about 77 cents per pound. For Roma tomatoes, the minimum price per kilogram is 88 cents, which totals around 40 cents per pound. Mexico says it will regularly review those price minimums.
The new minimum prices for wholesale buyers come after the U.S. pulled out of an agreement with Mexico to keep tomatoes tariff-free and put a 17% import fee on the product.
Mexico exports billions of dollars worth of fresh tomatoes to the U.S. every year, and a tariff is likely to increase prices for consumers.
EDITOR’S NOTE: This story has been updated to correct the per-pound price figures.
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