USDA Amber Waves
Relaxing Fruit and Vegetable Planting Restrictions
by Edwin Young, Demcey Johnson, Barry Krissoff, and Gary Lucier

A recent WTO ruling may result in the elimination of planting restrictions on certain crops, a long-time feature of U.S. commodity programs.

• A recent WTO challenge to U.S. commodity programs has created pressure to eliminate fruit and vegetable planting restrictions on farms that operate on base acres.

• If planting restrictions were relaxed, overall market effects would likely be limited, with the greatest effects in California, the Southeast, and the Upper Midwest.

• Some producers with base acreage could benefit while others without base acres may find that production of fruit and vegetables becomes less profitable.

Full article: http://www.ers.usda.gov/AmberWaves/February07/Features/RelaxingFruit.htm