Because of shifts in consumer tastes and preferences, demographics, technology, government regulation, and the expanding interdependence of world markets, the United States fruit and vegetable processing industries must operate in a constantly changing and uncertain economic environment. U.S. per capita use of processed fruits and vegetables is growing, thanks to improved distribution and availability, introduction of new product forms, better storage facilities, increased advertising and promotion, and increasing health consciousness among Americans. Increases in income will likely lead to increased purchases of fresh vegetables (versus processed) but will likely result in more use of processed fruit products. Changes in production have largely accompanied changes in consumer demand, and the use of forward contracts to guarantee supply has further shifted control from the food production to the food processing subsector. Increasing consumer pressures have led to more strenuous enforcement of such government regulations as labeling laws, pesticide laws, and grading standards. The growing internationalization of the U.S. fruit and vegetable processing industries has increased the importance of uncertain macroeconomic and trade policies for these industries. (More than half of this document consists of statistical tables on U.S. fruit and vegetable production, use, and export.) (MN)