An Italian tomato sauce tycoon has called on Brussels to protect farmers from “unfair” competition from cheap paste made in China’s Xinjiang region and restore the “dignity” of Italy’s staple red fruit.
Unfair competition
Francesco Mutti, CEO of the namesake manufacturer of ingredients such as passata, pulp and canned tomatoes, says a ban or high import tariffs on Chinese products is urgently needed to safeguard Italian farmers.
• Cases affected by the decree
• Delays at the town hall and consulate
• Customized legal strategy
He notes that while the United States banned imports of tomato paste from Xinjiang in 2021 over concerns about forced labor, the European Union has yet to follow suit.
Increase in Chinese production
China is estimated to account for nearly 23% of global tomato production this year, rising to about 18% in 2023, according to the World Processed Tomato Council.
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With the price of Chinese tomato paste being about half that of Italian products, the situation becomes even more worrying for local producers.
Request for protection
“We must stop the import of tomato paste from China or add a 60% tax on it so that its cost is not so different from Italian products,” Mutti told Financial Times.
He highlights the need to teach farmers to farm better, but emphasizes that it is also essential to protect them from unfair competition.
Italian industry at risk
Mutti, who is the fourth generation to run the company based near Parma, criticizes Brussels for imposing strict sustainability rules on farmers without protecting them from what he calls “environmental dumping” by China.
“Otherwise, the end result will not be to improve the environment, but to move our production overseas, where the environment is not protected,” he says.
Human rights abuses
The tycoon also highlights human rights abuses documented by the UN in the Xinjiang region, where Chinese state-owned companies produce tomato paste. While Beijing denies the allegations, the situation raises additional ethical concerns about importing products from the region.
Pressure on Brussels mounts as the Coldiretti, an influential Italian farmers’ association, is stepping up its actions. The association recently sent boats to protest against the import of Chinese tomato concentrate, arguing that competition is unfair due to China’s low labor costs.
Francesco Mutti concludes that “the aim is to give dignity to tomatoes”, highlighting that it is crucial for the future of the Italian industry that the origin of the products is properly identified.
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