Taiwan says US tangerine imports pose limited threat to domestic supply

As Taiwan weighs lower tariffs on United States tangerine imports, seasonal timing, prices, and strong consumer preference are expected to protect Taiwanese producers from overly sour competition.

The country’s Ministry of Agriculture told local media outlet Taipei Times that local citrus still holds the upper hand, despite concerns from growers.

The Taiwan-US Agreement on Reciprocal Trade, presented earlier this year, could reduce the Asian country’s import duty on US tangerines from 35 percent to 10 percent. 

Taiwan imported an average of 6,705 short tons of tangerines annually over the past five years, according to the country’s Agriculture and Food Agency data. Imports from the US totaled about 1,229 short tons, accounting for roughly one percent of domestic consumption.

“Tangerines mainly include ponkan or sugar tangerine, and are different from citrus hybrids such as murcott orange,” Minister Chen Junne-jih said.

The ministry stressed that US supplies enter the Taiwan market from March through May, outside the peak domestic harvest season.

“That shows that US tangerines are imported to fill the gap in the market and would not directly compete with domestically grown fruit,” he noted.

Domestic tangerine prices limit competition

The ministry also pointed to a substantial price gap between imported and locally grown fruit.

Imported US tangerines currently sell for about NT$94 per kilogram, or roughly $1.29 per pound, including tariffs. Even if levies fall to ten percent, prices would remain about NT$77 per kilogram, or about $1.06 per pound.

That compares with Taiwan’s domestic farm-gate price of about NT$45 per kilogram, or approximately $0.62 per pound.

US shipments also face competition from imported citrus supplied by countries including South Africa and Australia, the ministry said.

Taiwan has not yet implemented the tariff reduction, and the current 35 percent duty remains in place pending legislative approval of the trade agreement.

The ministry said it would continue to promote traceability certification, expand domestic marketing, and develop high-quality production areas to strengthen the competitiveness of Taiwan-grown citrus and protect growers' income.

*All images are referential. 

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