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
What better way to celebrate our beef producers than to eat a delicious burger recipe? RFD-TV’s Tammi Arender shows us a new way to dress up our burgers that will impress everyone this grilling season.
Learn more about the history of Arbor Day, what trees are best for your backyard or farm, and how to find free ones that you can plant!

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:

WTO gauges point to agricultural raw materials trade growing more slowly than overall goods, reinforcing the need to manage export risk and monitor policy shifts closely.
Improved export prospects and higher crop prices strengthened future expectations despite continued caution about spending.
China’s renewed purchases signal improving sorghum demand at a time when export markets are otherwise uneven. Meanwhile, agriculture groups across the U.S, Canada, and Mexico want to protect close trade relations.
The Environmental Protection Agency confirms that new single-fluorinated pesticides are not PFAS and remain fully compliant with current safety standards.
Strong demand supports sweet potatoes, but grading challenges and rising costs weigh on returns for Southeastern growers.
Pressure on grain storage capacity and stronger export positioning are pushing more grain onto railroads, highways, and river systems as logistics become a key bottleneck this fall.
Agriculture Shows
Hosted by Scott “The Cow Guy” Shellady and RFD News Markets Specialist Tony St. James, Commodity Talk delivers expert insight into the day’s ag commodity markets just before the CME opens. Only on RFD-TV and Rural Radio SiriusXM Channel 147.
A look at the news, weather and commodities headlines that drove agriculture markets in the past week.
Everything profits from prairie. Soil, air, water — and all kinds of life! Learn how you can improve your land with prairie restoration, cover crops and prairie strips, while growing your bottom line.
Special 3-part series tells the story of the Claas family’s legacy, which changed agriculture forever.