Officially, today is the day new tariffs on Canadian and Mexican imports go into effect. So, what does this mean, and how will it impact the Co-op?
First, let's talk about what a tariff is. Generally, it's a tax on goods imported to the US and is typically paid by the importer. The importer then passes along the cost to the distributor, who will then pass the cost onto the consumer. That's us. For a quick overview, see this piece from US News and World Report.
This is the time of year when the Co-op brings in the most produce from far away places--the time of year when local production is at its lowest. In a quick survey of our winter organic produce offerings, out of 27 offerings on the shelf at the Co-op today, 11 are imported from Mexico and 1 from Canada. (Of the remainder, 2 come from South America, 3 from Washington State, 7 from the western states, 1 Western Mass., and 4 are local.)
That's not too bad, is it? Actually, it IS bad. At this moment in time, the Co-op is in no position to absorb the inevitable price hikes on our imported produce, and so will be forced to raise prices, or drop a product from our lineup--and either option will result in lost sales at a time when we need sales more than ever.
Fortunately, the tariffs won't impact other product prices, will they? Actually, they very much will. Any producer of "value added" products (that is, anything requiring the assembling of ingredients, cooking/baking or additional processing) that call for grains or other staple crops will likely pay more for the ingredients they need. Farmers feeding livestock to produce our meat, milk and related value-added products (yogurt, cheese, etc) may see feed prices increase, and will likely pass those costs onto us. It may take a little longer for us to see those increases, but eventually, we will. For a quick overview of what comes from where and who will pay for what, check out this explainer from CNN.
OK then, what should we do? Frankly, it's hard to know how to answer this question--it's been a long time since we faced tariffs on what we would call essential products. Here at the Co-op, we're making room to carry as much local produce as we can possibly squeeze in the store, once our season starts. We'd also recommend
Shopping locally here at the Co-op, at the Farmers Market, Bernard Farm and Happenchance Farm Stands once they open, anywhere you can get locally produced fruits and veggies--this ensures that our farmers can keep going, and possibly even expand operations to meet the moment. It also ensures that cash stays circulating in the local economy.
Putting in a garden, and making a plan to can, freeze, dry, or otherwise use what you produce--this can take some of the sting out of food prices and help you fill your pantry for winter.
Redoubling your efforts to cook with whole ingredients--this is a great way to save money as prices rise, and the items you can find on our bulk department will almost always be cheaper and better quality than the small packages of the same products you can get elsewhere.
Being patient with grocery workers, restaurant servers, farmers market vendors--everyone working in this space--it's going to be the Wild West out there, and it's not the fault of the person behind the counter that we can't get exactly what we want, exactly when we want it, for just the right price. We'll all need to manage our expectations, and sometimes do a little "making do."
No matter what comes down the pike in the next weeks and months, we here at the Co-op take comfort knowing that our amazing community can meet this moment. We'll continue to do our best for you, and we ask that you continue to shop the Co-op.
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