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The Perishable Agricultural Commodities Act (PACA) promotes and enforces fair trading practices in the fresh and frozen fruit and vegetable industry. PACA is important to producers because it allows them to sell produce across the nation with confidence that the terms of their contracts will be met and that they will be promptly paid. Prompt payment is extremely important to producers of perishable fruits and vegetables, and without PACA, producers would have little bargaining power.
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NASDA believes that PACA provides an important mechanism for resolving disputes. In dealing with perishable products such as fruits and vegetables, an arbitration system, rather than resorting to the courts, is a beneficial and reliable mechanism for producers.
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