The Packer | September 24, 2001 | By Doug Ohlemeier
(Sept. 20) Produce industry leaders are applauding the World Trade Organization's agreement to add China to its membership.
"I see it as increasing trade and increasing competition," said Nancy Tucker, vice president of international affairs for the Produce Marketing Association, Newark, Del.
"As tariffs come down, slowly it will make the price of our products more competitive," Tucker said. "It's a big market we will have."
MORE COMPETITION
However, the news will also make for a more competitive international marketplace.
Tucker said the nearby major producing countries of New Zealand and Australia will also be eyeballing the China market.
Frank Tarrant, director of the USDA's Foreign Agricultural Service horticultural and tropical products division, said the accession will be a boost for many U.S. fruit and vegetables.
MEANINGFUL OPPORTUNITIES
"It's a great development for the U.S.," he said. "Horticultural exports will get additional market access opportunities we have never had before. These reductions are real and meaningful."
Industry representatives say they expect a lot of produce will continue to be shipped through Hong Kong, which has conducted a lot of trans-shipments into mainland China.
U.S. Department of Agriculture Secretary Ann Veneman expressed agreement with the accession talks.
END TO IMPORT BANS
"For American farmers and ranchers, China's entry into the rules-based WTO trading system means significantly increased access to the world's most populous market," she said. "China has committed to specific market-opening measures that will benefit U.S. producers, including reduced tariffs and an end to import bans."
When fully implemented, Veneman said China's commitments could add $2 billion a year to U.S. agricultural exports. China has also agreed to eliminate agricultural export subsidies.
"This paves the way for the text of the agreement to be adopted formally at the WTO Ministerial Conference," Veneman said.
CONFERENCE WORKSHOPS
China's accession into the WTO has been a popular topic at PMA international trade conferences, Tucker said. The organization has held workshops on trade with China for three of the past four years.
A workshop on China in international trade is scheduled for the organization's 2001 international convention and exposition, scheduled for Philadelphia, on Oct. 27.
PMA will conduct a research study next year in China to provide a snapshot of the country's retail business. The study will examine topics such as what produce retailers are selling and how they receive their produce.
The organization said it plans to release the results in time for its 2002 international convention and exposition, which will be held in New Orleans.The Packer:
