translated from Spanish: EU imposes payment to Mexican tomato producers

The U.S. government will charge Mexican tomato producers a countervailing duty payment to export their product to that country.
The Secretariat of Economy (SE) reported on Tuesday that the U.S. Department of Commerce (DoC) eliminated the application of the suspension agreement to the anti-dumping investigation to Mexican exports of tomato.
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This means that as of May 7, 2019 exporters of Mexican tomatoes must make a provisional compensatory duty of 17.5% as collateral to be able to export their product.
“This will mean an annual cost of more than 350 million dollars for the Mexican tomato exporter and many small and medium-sized exporters are expected to be unable to cope with this heavy financial burden,” says Economía in a statement.
The tomato is the third agricultural product of export of Mexico after the beer and the avocado, and 1 of every 2 tomatoes that are consumed in the United States are of Mexican origin.
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The unit explained that the abolition of the agreement will reactivate the suspended anti-dumping investigation since 1996. The US Department of Commerce shall issue a final determination no later than 19 September 2019.
From that date, the United States International Trade Commission will have 45 days to issue its final determination of damage to the industry, expected to occur around November 1, 2019.
“This will define either the definitive application of anti-dumping taxes to the export of tomatoes to the United States or or it will return to free trade in the U.S.-Mexico trade in this product,” said the Ministry of Economy.
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The suspension agreement worked from 1996 and regulated for 23 years the Mexican exports of tomato to the US, also allowed Mexican producers to take advantage of Mexico’s advantages for tomato production.
Economy noted that it will seek to continue negotiating with the United States Government to achieve better conditions for Mexican producers, which they also continue to support during this process.
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Original source in Spanish