Trade
Some nutritionists blame free trade for obesity epidemic in Mexico
As Mexicans consume more calories, there is a debate whether free trade and foreign investment resulted in an epidemic of obesity or whether it reduced malnutrition by lowering food prices, says the New York Times. Fast food restaurants and convenience stores multiplied across Mexico as its economy grew in recent decades.
Oregon frets about NAFTA and Christmas trees
One in six of the Christmas trees harvested in Oregon is sold south of the border in Mexico, so state officials are keenly monitoring negotiations for the new NAFTA. If talks collapse or the United States withdraws from the free trade agreement, "it could result in Mexico imposing a retaliatory tariff on the U.S. and pivoting to Canadian suppliers," says Bloomberg.
Up is down in USDA forecast of 2018 ag exports
U.S. farm exports are headed uphill and downhill at the same time in the USDA’s quarterly forecast of overseas sales, the source of one-fifth of farm income. The agency forecast that exports will reach $140 billion in fiscal 2018.
‘Do no more harm’ to NAFTA, farm leaders say
President Trump's repeated threats to withdraw from NAFTA are scaring away customers for U.S. ag exports, farm leaders said at a U.S. Chamber of Commerce session on "The future of NAFTA." Gordon Stoner of the National Association of Wheat Growers said the informal slogan of farm groups – "do no harm" – when negotiations began for the new NAFTA should be replaced with "do no more harm."
Montana Senator helps Chinese win $200-million sweetheart deal for cattle
During President Donald Trump’s recent trip to China, Montana's Republican Senator Steve Daines negotiated a $300 million beef cattle deal between the Montana Stockgrowers Association and the Chinese e-retailer JD.com. The deal calls for the retailer to buy $200 million of cattle between 2018 and 2020, and invest $100 million in a new feedlot and packing plant in Montana. Some ranchers are concerned that this unusual deal will favor certain ranchers over others, and further concentrate power over the American livestock sector in the hands of Chinese companies.
U.S. farm exports are third-highest ever in FY17
Higher commodity prices and increased demand for U.S.-grown goods fueled an 8 percent rise in farm exports to $140.5 billion in fiscal 2017, said Agriculture Secretary Sonny Perdue, two weeks ahead of the USDA's usual year-end report. As forecast in August, farm exports were the third-highest on record and ended a two-year decline.
With NAFTA talks at crucial point, ag is on the table
The United States will put its agricultural trade proposals on the table with Canada as part of this week's round of negotiations for the new NAFTA, according to Agriculture Secretary Sonny Perdue. It's the fourth of seven scheduled rounds of talks and with limited progress so far, some analysts say the United States is trying to torpedo discussions with unacceptable demands of its North American neighbors.
U.S. complaint about Chinese ag tariffs goes to WTO panel
The United States forced the creation of a WTO dispute panel to hear its complaint that China unfairly blocks imports of U.S. corn, wheat and rice, reported Reuters. When it filed the complaint last Dec. 15, the Obama administration said U.S. farmers lost as much as $3.5 billion in sales because China, the largest customer for U.S. ag exports, used so-called tariff-rate quotas (TRQs) to favor domestic producers.
American farmers react as trade tensions flare
Once again, farmer groups expressed concern over the heated rhetoric coming out of the White House over trade agreements. The American Soybean Association and U.S. wheat groups were especially critical as a result of indications that the White House would withdraw from the free trade agreement between the United States and South Korea as early as Tuesday.
Mexico, home of avocados, may have to import the fruit
With the price of avocados too high for everyday Mexicans, the country’s officals are considering importing the fruit. Avocados are native to Mexico, which supplies roughly half the world’s demand, but a pound of the fruit now sells for 80 pesos — the same as Mexico’s minimum wage.
White House says it will knock down NAFTA barriers
The White House cleared the way to begin renegotiation of NAFTA as early as Aug. 16 by listing its goals for the talks; in short, "The new NAFTA must continue to break down barriers to American exports." The administration scored Canada for blocking access to its dairy, wine and grain markets, "barriers that the current agreement is unequipped to handle."
For second time in a month, China approves U.S. GMO crop for import
China, the top customer for U.S. farm exports, is delivering on a promise to speed up review of import applications, part of the two nations' 100-day timetable for resolving trade issues. Its Agriculture Ministry approved import of an insect-resistant GMO corn strain by Syngenta and a glyphosate-tolerant GMO corn variety by Monsanto, the second time in a month that U.S. biotech strains have been cleared for import, said Reuters.
Wanted for USDA trade chief: A battler
Farm groups persuaded Congress to create a high-level USDA post to promote U.S, agricultural exports. Lawmakers, in putting up money for the office, want a fearless advocate on the job. "Be cognizant and steadfast in raising trade enforcement issues related to the agricultural practices of foreign nations," says the House Appropriations Committee in a report that accompanies the USDA-FDA funding bill for fiscal 2018.
Trump’s grade in agriculture? A ‘C’ overall, says farm policy expert
President Trump's best decision on agriculture was to put Sonny Perdue in charge of USDA, says economist Barry Flinchbaugh, a farm policy expert and Kansas State University professor. Perdue provides sound advice to the president, said Flinchbaugh, who gave Trump a "C" average on the four issues of farm bill, trade, immigration and deregulation, reported Drovers.
Farm groups worry that U.S. trade actions on steel will boomerang
The United States is the world's largest ag exporter, with sales generating 20 cents of each $1 in farm income, so farm groups fear they will be casualties of a trade war if the Trump administration restricts imports of steel and aluminum. In a letter to Commerce Secretary Wilbur Ross, 18 food and agricultural organizations said any nation could claim national security as the reason to keep out U.S. food exports.
Is a slowdown in U.S. soy, corn and poultry sales to Mexico a signal of the future?
"Faltering trust between trading partners on both sides of the border" may be slowing U.S. farm export to Mexico as the nations prepare to renegotiate NAFTA , says Farm Futures. It says that U.S. exports of corn, soybeans and chicken meat to Mexico declined during the first four months of this year, a period when the new Trump administration floated the idea of a border tax and when U.S.-Mexico relations soured.
Lighthizer says there’s no deadline for the new NAFTA
The Trump administration has a target for beginning the renegotiation of NAFTA — mid-August — but there is no deadline for wrapping up discussions, assuming that talks are fruitful, said U.S. Trade Representative Robert Lighthizer. "We're going to get a good agreement, one that is transformative," Lighthizer told the Senate Finance Committee.
Will farmers feel a chill when Trump cools the U.S.-Cuba thaw?
Nearly two decades ago, Congress exempted food and agricultural goods from the U.S. trade embargo on Cuba, opening the way for modest exports to the island. The 2000 law would be somewhat of a shield for those sales when President Trump realigns U.S. policy toward Havana, scheduled in Miami on Friday.