U.S. fruit and vegetable trade has grown during NAFTA

U.S. fruit and vegetable trade with Canada and Mexico has increased more than 380 percent since the implementation of the North American Free Trade Agreement (NAFTA). Canada and Mexico now account for over half of all U.S. trade in fruits and vegetables, up from 37 percent in 1994. Over the same period, the share of U.S. fruit and vegetable trade with South America and Central America has remained relatively steady, while the share accounted for by Asia and the EU declined considerably. Mexico’s annual exports of fruit and vegetables to the United States (including juice) have more than tripled during the NAFTA period, approaching $9.4 billion in 2013. These exports have their roots in the development and growth over the past half century of a Mexican fruit and vegetable sector that is oriented toward the U.S. market. Annual U.S. fruit and vegetable exports to Mexico have more than tripled under NAFTA, reaching about $1.4 billion in 2013 and benefitting from the rapid expansion of Mexico’s supermarket sector, including several U.S. supermarket chains that operate there. At the same time, trade liberalization and broader use of greenhouse technology in Canada has allowed U.S. imports of fruit and vegetables from Canada to grow from $213 million in 1988 to $3.1 billion in 2013. Canada has long been a large market for the U.S. fruit and vegetable industry. During the NAFTA period, U.S. fruit and vegetable exports to Canada have grown from less than $2 billion in 1993 to $5.8 billion in 2013. The chart is from the report, NAFTA at 20: North America’s Free Trade Area and its Impact on Agriculture.

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