2005News

Avocados face tough entry into the US

About two years ago, Esteban Jimenez started to export avocados to the United States from Villa Trina, Moca. In doing so, he not only found the best business of his life but also found that in order to stay in the business he had to fight in a highly protected market, with little understood rules and the mail referee against him. Like so many of his fellow farmers, Jimenez switched from coffee to avocados years ago, but now the problems are not low prices or intermediaries that bought the crop “in the flower.” No, now the problem is dealing with the rules being enforced by the United States to staunch the flow of Dominican avocados into the market dominated by California and Florida growers. Basing itself on the 1937 Protection Law, the US established at the end of last year (2004) that the avocados from the Dominican Republic con only enter the US between 11 November and 15 March. But that is not all. Among the more technical barriers erected by the US is a DNA test requirement that delays shipments for 10 days.

Carlos Castillo, the president of Agroindustrial Ocoeno, the largest producer and exporter of avocados in the Caribbean and Central America, sent a letter to President Leonel Fernandez last 12 November notifying the President of the situation and suggesting a series of possible solutions. So far, there has not been any official answer.

Meanwhile, the producers have decided to join forces and together with the Agro Business Board (JAD) and ask the President to request an explanation from the United States as to why it is violating the rules laid out by the World Trade Organization (WTO) by blocking the export of the second most important foodstuff after bananas.

Of the US$11 million that was produced by avocado exports last year, 48% came from the United States.

There are some recommendations on how local growers can help themselves. One solution is to grow more varieties of avocados, since 80% of the local crop is of the Senil 34 variety. Authorities would like to see more of the Hess and Choquette varieties since the US action is directed precisely at the Senil 34 variety. JAD official Osmar Benitez found a business that buys out-dated avocados for oil extraction to buy the produce meanwhile. Finally, a third measure is to crack down on “outlaw” exporters that do not observe the requirements and ship fruit without fulfilling the controls required by the US.