TARIFF ON JUICE PROTECTS OUR CITRUS

Publication: Sarasota Herald-Tribune
Printed: Friday, November 21, 2003
Wrtitten by: Fran Becker

The writer is in charge of fruit procurement for
Peace River Citrus Products in Arcadia
.

Florida's citrus industry has had its bumps and bruises. However, reducing or eliminating the tariff on orange juice will decimate the industry. I've been a member of the citrus industry for more than 20 years and know that without the current tariff on imported orange juice, Florida citrus growers will be put out of business and Florida residents will lose an industry that generates $9.1 billion each year, employs nearly 90,000 people and provides more than 800,000 acres of green space throughout the state.

Crucial issues affecting this vital industry are being addressed at the Free Trade Area of the Americas talks in Miami. Given current fruit prices, elimination of the tariff would cost growers an estimated 20 cents per pound of solids, putting us at a competitive disadvantage and devaluing our grove property. This would allow Brazil, Florida's top competitor in orange juice production, to enjoy an oligopoly over world prices for orange juice.

Unlike other commodities, Florida citrus is not subsidized and the current tariff actually enhances free trade, supports competition and prevents a foreign oligopoly. Proponents of free trade seek to increase competition, decrease costs to the consumer and increase trade throughout the world.

However, a reduction in the orange juice tariff would not accomplish any of these goals. In actuality, any reduction in the orange juice tariff will lead to the slow death of Florida's citrus industry.