California avocado farmers are calling on the Trump administration to implement a "substantive" seasonal tariff rate on Mexican avocado imports, warning that the industry is struggling to survive. Growers cite a significant drop in prices, driven by a surge of Mexican avocados entering the U.S. market without tariffs under the USMCA agreement.
Andy Sheaffer, owner of Vista Punta Gorda farms in Ventura, California, described the situation as dire. "If the trend continues the way it’s going, I mean, we’ve been having some pretty difficult conversations," Sheaffer told The California Post. "It’s really difficult to operate when you have such volatility and then when the volatility shifts to really a negative return."
Sheaffer, who has been farming for 20 years, noted that prices have plummeted. "We started out [last year May 2025] over $2 per pound, I think it was $2.20 to $2.30 a pound," he said. "It just fell off a cliff in the latter part of the season." He is now selling those same avocados for $0.75 to $1.10 per pound.
Ken Melban, president of the California Avocado Commission, stated that the number of avocado growers in the state has decreased from approximately 6,000 a decade ago to about 3,000. Factors contributing to this decline include high labor costs and stringent water regulations that make it difficult for U.S. growers to compete with Mexico.
"We’ve elected these politicians who have decided to impose these regulations and these labor cost increases on us because they value that as an important component," Sheaffer explained. "But then, on the flip side, we’re allowing these countries who don’t have that same value system basically unfettered access to our market."
Sheaffer highlighted the disparity in labor costs, stating he pays over $20 per hour for permanent farm labor, while workers in Mexico earn around $12 per day. Mexico accounts for approximately 85% of the U.S. avocado market.
In the first quarter of this year, Mexico imported over 300 million pounds of avocados into the U.S., a volume nearly equal to California's entire annual production, according to Melban. The California Avocado Commission is advocating for federal officials to establish a seasonal Tariff Rate Quota on Mexican avocado imports. This proposed policy would apply between March and September, coinciding with California's primary harvest season.
"The details would have to be zero tariff on the first X amount of pounds coming in," Melban said, adding that the tariff on imports exceeding a certain threshold would need to be "substantial." Sheaffer suggested a minimum tariff of 25%, ideally 50%, to create a more level playing field.
Critics argue that tariffs would increase consumer costs. However, both Melban and Sheaffer dispute this, claiming that while farmer prices have dropped significantly, the retail price at grocery stores has remained relatively stable. "The cost to the consumer won’t go up exorbitantly, just the grocer will not have as high a margin on that particular piece of produce," Sheaffer stated.
Ambassador Jamieson Greer, U.S. trade representative, is scheduled to meet with Mexico starting the week of July 20 for the third round of bilateral negotiations related to the USMCA. In the interim, the existing trade agreement remains in effect as discussions continue among the three countries.
Melban expressed optimism that the Trump administration will take action to protect American farmers. "I just had a meeting last Tuesday with senior U.S. officials that are all over this," he said. "I’m hopeful that we’ll be able to figure something out here that works for everybody."