The German fruit, vegetable and potato processing industry exports goods worth approximately 26 million Euro to the United States. In roughly equal proportions of jams, frozen potato products and pickled vegetables (cucumbers, gherkins and sauerkraut).
The import duties applied on these products in the United States vary from 1.3 to 14.9 percent, and increase with the volume of trade. The EU's import duties can be as high as 25.6%. On both sides there are variations with regard to the varieties. Zero percent customs for export and import would be a considerable economic advantage for the sector.
A major barrier to trade is the inconsistent rules concerning the marketability of food, particularly for small and medium-sized enterprises. The German Association of the Fruit, Vegetable and Potato processing Industry (BOGK) calls for mutual recognition of listing requirements of the FDA and the EU, especially for pickled vegetables. For in the US extremely - and in the eyes of German industry unnecessarily complex - specific regulations exists (FDA Guidance on Acidified Foods).
Furthermore, varying limits on maximum residue levels of certain pesticides act in this area as a non-tariff trade barrier in the export of goods for some products like purées and lenses. Therefore the aim of the negotiations should be harmonization of the legislation, without sacrificing the high standards of the EU.
It is essential for the industry to maintain the protected geographical indications for regional specialties. Fruit and vegetable products with a protected geographical indication (PGI) have large export opportunities due to their high differentiation power. In order to ensure a comprehensive and equal protection of regional products in the US and in the EU, the transatlantic free trade agreement must respect the EU protected designations of origin.
