The International Fresh Produce Association (IFPA) has released two significant reports highlighting the severe impact of the agricultural labor crisis on the U.S. fresh produce industry and the country’s overall food security.

Conducted by Texas A&M University’s Center for North American Studies and other leading agricultural experts, the studies warn that without swift legislative action, American consumers may increasingly rely on foreign countries to fulfill their food needs, posing a threat to both food security and national security.

IFPA CEO Cathy Burns emphasized the gravity of the situation, stating, “Out-of-control labor costs threaten to upend our food supply chain and push America’s fresh produce industry into crisis.” The reports advocate for urgent congressional intervention to alleviate the financial burden on growers and to reform existing regulations that hold employers liable for issues beyond their control while allowing workers to earn wages for unperformed work.

The domestic agricultural labor pool has been shrinking, and reliance on the H-2A Visa program has surged by 300% since 2012.

However, the program’s flawed wage calculation has significantly increased labor costs, making it difficult for U.S. growers to remain competitive.

According to the information by the reports the average farmer struggles to access 21% of the required workforce, further complicating the situation.

Several key findings from the reports paint a stark picture of the current state of the industry:

• H-2A Visa program jobs now account for 10-15% of all agricultural labor positions.
• Since 2020, more fresh fruit consumed in the U.S. has been imported than domestically grown, with imported fruit rising from 37% in 2000 to 55% in 2022.
• Farm wages have increased by over 20% due to the Adverse Effect Wage Rate (AEWR), a minimum hourly wage set by the Department of Labor for H-2A workers, which often does not reflect local market conditions.

These escalating labor costs are straining growers financially and reducing their international competitiveness, likely resulting in higher prices for domestically grown produce for consumers. The House of Representatives and Senate are currently considering various legislative measures to address issues within the H-2A program.

These include provisions to maintain the current AEWR, prevent the enforcement of recent Department of Labor rules, and reconsider earlier regulations, all of which have garnered bipartisan support within the House Agriculture Committee’s Agricultural Labor Working Group.

The consequences of inaction are extensive, potentially burdening consumers with higher costs and reduced access to nutritious food, while increasing the U.S.’s dependence on foreign nations for food security. Next week, policymakers and industry stakeholders will convene at IFPA’s annual Washington Conference to discuss these pressing issues and other critical public policy matters.

The IFPA is the largest and most diverse international association serving the fresh produce and floral supply chain. It uniquely integrates world-facing advocacy with industry support, aiming to foster a prosperous future for all its members. The organization focuses on advocacy, networking, and providing guidance to enable members to act with purpose and confidence.