Washington Business Winter 2012 | Seite 27

national watch In 2011, Washington was the top domestic sweet cherry producer with 180,000 tons. top competitors, measured by tons produced, were: California 85,000 Oregon 36,000 Michigan 19,000 Idaho 3,800 New York 930 Utah 100 Source: U.S. Dept. of Agriculture the korean connection Under the new agreement, South Korea will drop a 24 percent tariff on Washington cherries. For South Korean consumers, that translates into a savings of anywhere from 75 to 90 cents per pound, which is expected to create a welcome surge in demand. “When you take that tariff away you usually have more volume and better pricing for the consumer,” said Roger Pepperl, marketing director for the Wenatchee-based Stemilt Growers. “It’s a win-win for the grower and the consumer.” The relatively weak American dollar also plays a role in the strength of the export market over the past couple of years, Pepperl said. “Our dollars are export-friendly right now.” Cherry producers contributed a record $367 million to Washington’s economy in 2010, and the new trade deal could grow that number significantly since even with the old tariff, South Korea was already the state’s fifth largest cherry export customer buying about $15 million worth of product in 2011 according to the Yakima-based Northwest Horticultural Council. supply and demand High school football may have put Royal City on the map, but cherries are what continue to drive the local economy. Les Dorsing and his family have spent the past half century growing the tree fruit in the semiarid desert of Grant County. Dorsing only grows about 300 acres, but worries about a region-wide cherry tree planting binge. As the new trees mature over the course of the next two or three years, they will certainly increase supply. “I’ve got some real apprehensions about our abilities to market the new supply under the present conditions,” said Dorsing. Growers have been planting because even without the new trade agreements, demand for cherries has been on the upswing thanks to the rise of the middle-class consumer in developing nations and several new medical studies highlighting the health benefits of cherries. While that sounds good on the surface, the concern comes when considering the federal market order that governs che