USMCA, China, Japan remain ag trade focus for Trump administration
Story Date: 6/12/2019

 

Source: Chris Scott, MEATINGPLACE, 6/11/19


Resolution of a myriad of trade issues that have negatively impacted U.S. agriculture are high on the list of the Trump administration, according to two officials who testified before a congressional subcommittee this morning.

Ted McKinney, USDA undersecretary for trade and foreign agriculture, and U.S. Trade Representative (USTR) Chief Agricultural Negotiator Gregg Doud both urged that passage of the U.S.-Mexico-Canada (USMCA) trade agreement is a vital component for helping U.S. growers, ranchers and dairy producers recover from steep declines in prices and profits in recent years.

McKinney told members of the House Subcommittee on Livestock and Foreign Agriculture that USMCA is “the top legislative action for the Trump administration,” especially as it affects poultry, meat, dairy and other specialty U.S.-generated products that are suffering, like almonds and pistachios.

More than 950 organizations representing U.S. food and agricultural entities – including the North American Meat Institute – sent a letter to Congress this week urging swift ratification of USMCF.

Subcommittee Chairman Jim Costa (D-Calif.) – who recognized the letter in his opening remarks – noted that total annual farm income is expected to fall below $70 billion for the third straight year with crop prices cratering from record highs in the last decade to “generational lows.” He also noted that between 2017 and 2018 the annual trade surplus – which compares imports of agricultural goods to export growth – is the smallest recorded over the last 10 years.

McKinney also noted that China continues to allow access to its markets in recent years while closing those markets to U.S. goods, prompting what he calls “tough, but necessary” tariffs imposed by the Trump administration. He also disclosed that stiffer biosecurity measures are in place to prevent African Swine Fever (ASF) from entering the U.S. through overseas pork sources.

McKinney noted that China so far has lost about one-third of its hogs from ASF, equivalent to the entire U.S. hog supply, he added.

In terms of Japan, USTR’s Doud noted that conversations on potentially expanding U.S. pork exports to Japan “are ongoing as we speak,” adding that it’s “always better when we’re talking” when asked how the negotiations are progressing.

The two-hour session was broadcast live on YouTube.com.

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