November 23, 2024

Protecting domestic agriculture through trade policy

Focus on Agriculture

After decades of substantial surpluses, staggering agricultural trade deficits over the past two years have caught Farm Bureau’s attention. Policy changes to increase exports by negotiating lower tariffs and securing better market access could help return the United States to agricultural trade surpluses.

Farm Bureau supports a positive and proactive U.S. trade policy that benefits our agricultural producers. But rising trade challenges and a $30 billion agricultural trade deficit threaten the livelihoods of American farmers and ranchers who depend on growing trade flows and rules-based trade actions.

Now is the time for the administration and Congress to act on a U.S. trade policy that includes commercially meaningful negotiations on two-way trade with U.S. allies and partners. These negotiations should address shared interests in the cross-border exchange of food and agricultural products.

It’s also important that the administration and Congress recognize that the negotiation of preferential trade agreements with U.S. allies and partners will help create economic opportunity for farmers and ranchers by improving access to trade and open markets. Agreements will also facilitate rules-based trade and focus enforcement against riskier trade.

Despite the clear benefits of past trade agreements, negotiations have stalled in recent years while other countries continue to establish the global “rules of the road” without U.S. participation.

Notably, China is stepping up efforts to negotiate new and update existing free trade agreements, including with some of America’s closest allies and partners. It is critical for the United States to get back to the work of strengthening trade with our allies and partners.

U.S. trade policy must ensure that U.S. farmers can compete on an even playing field in export and import markets. This will require negotiating new agreements that open foreign markets to U.S. exports, promote international standards and support trade compliance by trading partners. Existing trade rules must also be enforced.

With U.S. farmers and ranchers challenged by continuing low prices, we believe it is urgent to leverage U.S. strengths in foreign markets to pursue new rules-based trade agreements.

Continual engagement with trade policymakers and trade partners helps maintain beneficial relationships and provides for new opportunities.

That is why Farm Bureau meets with the trade-oriented committees and members in Congress and with the U.S. Department of Agriculture and the Office of the U.S. Trade Representative to inform them of priorities in adopting trade policies and actions that benefit farmers and ranchers.

Explaining the importance of trade with China has been a constant this year in order to maintain our export markets and forestall new trade barriers.

We have also been discussing the opportunities for agriculture in the 2026 review of the United States-Mexico-Canada Agreement. Through these engagements with the Canadian and Mexican embassies and with U.S. officials, we share our concerns.

Mexico’s restrictions on biotech corn and, more broadly, the state of agricultural exports and imports in the North American marketplace are top of mind.

AFBF President Duvall will travel to Mexico to speak at a Global Agri-Food Forum this fall, hosted by the National Agricultural Council of Mexico.

He will discuss a range of issues with our counterparts in Mexico and other countries, including market opportunities, food security, productivity, competitiveness and the United States’ approach to agriculture sustainability.

AFBF has also engaged in many discussions with European officials and farm groups, including the Danish Agricultural Council, the National Farmers Union of England and the association of European Union agricultural groups, Copa-Cogeca, about how we are addressing the issues and methods of sustainable production.

Another way we engage is by sharing with the joint “USDA-EU Collaboration on Sustainable Agriculture,” the importance of voluntary, incentive-based sustainability programs that can benefit farmers and maintain productivity without distorting trade.

In the near term, President Duvall is meeting with a delegation of European Union officials in Washington, D.C., to discuss approaches to agricultural production, sustainability and trade.

These continuing efforts to improve market opportunities and protect our domestic agriculture industry are necessary to benefit farmers and ranchers.

David Salmonsen

David Salmonsen is a senior director of government affairs at the American Farm Bureau Federation.