Exports generate an important part of U.S. farm income, yet they are jeopardized by President Trump’s decision to renegotiate NAFTA and his threats to cancel the U.S.-Korea trade pact, writes former agriculture secretary Dan Glickman in an essay in The Hill newspaper. “These two threats alone have serious potential implications for the health of American agriculture, which is so dependent on agriculture exports.
“These potential policy changes by the Trump administration should also worry folks about the viability of current and future trade agreements all of which impact farm exports and farm income,” said Glickman, who served during the Clinton era. Trump’s decision to withdraw from the 12-nation Trans-Pacific Partnership trade negotiation “negatively impacted our exports,” he wrote. The big prize for U.S. agriculture from TPP was expected to be greater access to Japan’s food and ag market.
Canada and Mexico are the second- and third-largest buyers of U.S. ag exports, and South Korea ranks sixth. The American Soybean Association, the National Association of Wheat Growers and U.S. Wheat Associates have spoken strongly against withdrawal from the South Korea agreement. South Korea was the No. 3 customer for U.S. wheat in the trade year that ended on May 31. U.S. soybeans account for one-half of South Korea’s imports of the oilseed.
“Export policies should be evaluated, and trade restrictions shouldn’t be off the table as a tool of international economics and diplomacy,” wrote Glickman. “To needlessly harm our allies and our farmers in pointless.”