Mendoza garlic market at risk if anti-dumping tax not renewed
Argentina
Wednesday 24 April 2024
VU
Possible trade agreements between Brazil and China directly threaten Mendoza's garlic sector (Photo: naturalsantarita.com)
The garlic industry in Mendoza, Argentina, is at a crossroads. The possibility of trade agreements between Brazil and China directly threatens Mendoza's garlic sector.
This scenario could be devastating, especially if the anti-dumping agreement, which protects local producers from unfair competition from low-priced Chinese garlic, is not renewed.
Although in 2023 the area cultivated with garlic in Mendoza recorded a slight increase, and expectations of increased exports are high, until the economic situation stabilizes, concerns persist about future risks if the anti-dumping measure disappears. The entry of competitively priced Chinese garlic into the Brazilian market, Mendoza's main export destination, would be a major blow to the local industry.
Despite a good harvest and the current favorable exchange rate, Mendoza's garlic producers are facing uncertainty about the near future, which is generating anxiety in the sector.
Garlic is not only the region's leading crop in terms of horticultural area, but also stands out for its importance on export markets and its long marketing campaign, thanks to the product's post-harvest durability, according to the latest report from the Rural Development Institute (IDR).
This panorama highlights the urgent need to implement trade protection measures that guarantee the competitiveness of Mendoza garlic on international markets. Facing up to powers like China, with its enormous production capacity and low prices, represents a constant challenge that requires solid strategies and firm decisions on the part of local producers.
source : indec.gob.ar, diadelsur.com