FACT SHEET

Reshoring Production: A Look at Cucumbers

The vast majority of cucumbers sold in the United States are grown overseas and imported into the country, primarily from Mexico. Reshoring domestic production would take considerable resources and would likely have an upward impact on retail cucumber prices.

Economic Backdrop

Most agricultural products sold in the United States are produced domestically. U.S. imports accounted for less than 20% of U.S. food and beverage spending in 2023, according to U.S. Department of Agriculture Economic Research Services (ERS).

However, trade plays an important role in supplementing the U.S. food supply. Our food system is intricately linked with global markets, which helps keep prices down while providing American shoppers year-round access to safe, nutritious food.

Despite making up less than a fifth of the food consumed in the U.S. today, agricultural imports have grown consistently over the past 25 years, primarily due to rising domestic demand for a wide range of consumer-oriented products. From 1998 to 2023, the total value of agricultural imports increased more than fivefold, reaching $195 billion in 2023.  

What’s Driving This Trend?

According to government data, consumer-oriented goods have led the growth in U.S. agricultural imports, outpacing overall agricultural import growth with an average annual increase of nearly 7% since 1998. Much of this growth is fueled by rising consumer demand for a year-round variety of foods, prompting increased imports of agricultural products - either because the U.S. has limited or no domestic production, or during the off-season when they’re unable to be grown domestically. 

Let’s Take a Look at an Example

Cucumbers are the 7th most popular vegetable in the U.S. and are regularly purchased by 64% of U.S. households. To meet this growing demand, the import share has increased from about 35% in 1990 to nearly 90% in 2020.

Scenario: In response to import tariffs, what if U.S. cucumber production increases such that 90% of consumption is domestically grown?

Considerations:

Growing Conditions: Cucumbers require specific growing conditions to achieve consistent yields and market-ready output.

  • Specific soil pH requirements
  • Substantial amounts of direct sunlight daily
  • Easily damaged by frost

Only certain parts of the country are able to produce cucumbers, and only during certain times of the year. This limits the ability of traditional domestic growers to produce enough to meet the strong consumer demand for cucumbers year-round.

Production Shifts: Given these limitations, nearly all of the increase in production required to meet the 90% domestically-grown threshold would have to take place in greenhouses or comparable controlled indoor environments, which has an impact on prices.

Setting aside the costs of establishing greater greenhouse capacity (such as land purchases, permitting and construction) – which would have added impacts on retail prices − simply comparing current prices for traditionally grown versus greenhouse-house grown cucumbers shows that American shoppers would need to pay significantly more for cucumbers.

Retail Prices:

  • Traditionally grown fresh cucumbers (2022): $1.25 per pound
  • Greenhouse-grown cucumbers (2019): $2.74 per pound
  • Adjusted for inflation (2025): $1.41 and $3.43 per pound, respectively

Consumption and Cost:

  • Current U.S. Consumption: Estimated at around 2.8 billion pounds and $3.6 billion annually
  • Domestic Indoor Production: About 2.2 billion pounds (78% of total) would need to convert to domestic, indoor production.
  • Additional Household Spending: This shift would represent an additional $4.48 billion in U.S. household spending on cucumbers, ignoring the fixed costs of establishing the requisite greenhouse space.
These price increases would likely decrease consumer demand, as shoppers switch to other more affordable produce, like tomatoes, green peppers, and carrots. In fact, we calculate that demand for cucumbers would drop by as much as 58%, or roughly 1.3 billion pounds annually.

Conclusion

Given the significant input costs associated with shifting to greater domestic production with indoor agriculture, consumers would likely be negatively impacted by higher retail cucumber prices. While reshoring production would spur growth for greenhouse farmers in the short term, cucumber producers could also be potentially harmed in the long term, as consumers shift away from cucumber purchases and substitute with other items. 

Ramping Up Domestic Production: A Case Study on Cucumbers 

To learn more about this and other agriculture issues and their impact on consumer prices, reach out to Dr. Ricky Volpe, professor of agribusiness at Cal Poly or FMI Vice President of Tax, Trade, Sustainability and Policy Development Andy Harig.