Rising Imports and Input Costs Pressure U.S. Produce Growers

U.S. produce growers face a structural disadvantage—cheaper imports driving down prices while rising labor costs squeeze margins. Without new policies or technology, profitability remains uncertain.

fruit it baskets at the farmer's market

Assorted fruits at a farm stand. (Adobe Stock)

Adobe Stock

ATHENS, Ga. (RFD-TV)— U.S. fruit and vegetable growers are facing intensifying pressure from both imports and rising costs, according to University of Georgia economists.

The U.S. Department of Agriculture (USDA) projects 2025 cash receipts for all crops at $236.6 billion, down 2.5 percent from last year, with vegetable revenues expected to decline even as consumer demand remains strong. Imports continue to surge, reaching $49.8 billion in 2024—about one-quarter of all agricultural imports—compared to just $15.9 billion in exports.

Mexico dominates U.S. vegetable imports, while Canada, Peru, and Chile are key fruit suppliers, often shipping into U.S. harvest windows and depressing domestic prices.

At the same time, growers face soaring costs. The USDA estimates that farm production expenses will reach $467 billion in 2025, up 2.6 percent from the previous year and more than 36 percent higher than in 2018.

Fruits and vegetables are labor-intensive, and reliance on the H-2A guest worker program means higher wages, fees, and compliance burdens. In 2024, 44% of growers cited H-2A costs as their top concern, while 54 percent reported labor shortages.

Tony’s Farm-Level Takeaway: U.S. produce growers face a structural disadvantage—cheaper imports driving down prices while rising labor costs squeeze margins. Without new policies or technology, profitability remains uncertain.

Related Stories
Justin Wilson’s Apple Cobbler is pure Southern comfort—sweet, spiced, pecan-crusted, and baked until bubbly and golden. It’ll knock your socks off, I garontee!
This quirky twist on Southern potato salad (without potatoes) skips the spuds but keeps all the flavor! You’ll love this classic Justin Wilson recipe.
Cooked low and slow with wine, garlic, and just enough cayenne to make ya sweat a little—I gar-on-tee Justin Wilson’s Crawfish Maque Choux recipe will have you comin’ back for seconds (and thirds)!
Stuffed with garlic, peppers, and good ol’ Cajun flavor, this pork roast is so tender it’ll fall off the bone before you can say, “I gar-on-tee!”
Cheesy, shrimp-stuffed, and full o’ Cajun flavor— Justin Wilson’s Asparagus and Shrimp Casserole recipe will have you sayin’ “I’m glad to eat you, I garontee!” with every bite.
I gar-on-tee this berry cobbler’s so good, it’ll have ya grinnin’ like a possum eatin’ a sweet tater!

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Fair market value shapes taxes, transitions, lending, and sales, making accurate valuation essential for long-term planning.
SDRP Stage 2 now helps producers recover shallow, uninsured losses from major 2023–2024 disasters, with streamlined sign-ups open through April 30.
Tyson’s capacity cuts weaken local basis, tighten kill space, and heighten dependence on imports, signaling more volatility for producers.
Low farmer shares reflect deep consolidation across the food chain, keeping producer returns thin even as retail food prices remain high.
Strong yields and higher cattle prices helped stabilize conditions, but weak crop prices and rising carryover debt remain major challenges for Eleventh District farmers.
Corn exports remain strong, while soybeans and wheat shift week to week on river conditions and global demand.
Agriculture Shows
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.
Champions of Rural America is a half-hour dive into the legislative priorities for Rural America. Join us as we interview members of the Congressional Western Caucus to learn about efforts in Washington to preserve agriculture and tackles the most important topics in the ag industry on Champions of Rural America!
Featuring members of Congress, federal and state officials, ag and food leaders, farmers, and roundtable panelists for debates and discussions.