South Mill Champs challenges US countervailing duties on Canadian mushrooms, warning of higher consumer prices and supply chain disruption.
The US Department of Commerce imposed preliminary countervailing duties on fresh Canadian mushroom imports, effective 18 May. South Mill Champs, a US-based grower, argues the decision relies on a flawed legal theory that could harm agricultural producers in both countries.
The duties stem from a September petition by competitor Giorgio Fresh Co., alleging Canadian mushrooms benefit from subsidies and are sold at unfairly low prices. The US International Trade Commission announced the duties on 15 May, requiring cash deposits on imports.
South Mill Champs claims the duties will raise grocery and restaurant prices, as Canadian production fills gaps in US supply. CEO Lewis Macleod dismissed the trade case as meritless but acknowledged it is causing market disruption.