Tag Archives: USMCA

 How did the corn and soybean markets do for the week?  Does the market care if a Trade deal is done with China?

a.       Yes Initially.

b.       Depends on the deal after the initial move.

Do you think a trade deal with China will get done in the next month?  Did your opinion on the market change after the crop? What will the market be watching going forward?

a.       South American Weather

b.       Demand

c.       Chinese Trade Talks

d.       US Production

8.       How does corn demand look?

a.       Ethanol

b.       Exports

How does soybean Demand look? Where do you think the market goes from here?

Turn Around Tuesday-sort of. Market deals with outside market pressure from lack of talks from China. Pushes coming to D.C. to move forward with USMCA. Harvest delays, planting progress in South America. Cattle market could continue to move higher in the weeks ahead. Worries of heavier cattle coming to market. Hogs have seen some struggles.

 

WASHINGTON, D.C., Nov. 7, 2019 – Today, the National Pork Producers Council (NPPC) launched a dynamic new campaign, “It’s Pork O’ Clock Somewhere,” to highlight the importance and benefits of the U.S.-Mexico-Canada (USMCA) trade agreement. The campaign focuses on pork and the many ways it’s enjoyed across North America.

AUDIO NPPC’s Rachel Gantz

 

“Ratification of USMCA is the top priority for U.S. pork producers and there is no better way to highlight its importance than a campaign that illustrates how pork is enjoyed across United States, Canada and Mexico,” said David Herring, NPPC president and a pork producer in Lillington, N.C. “A USMCA agreement provides much-needed market certainty for U.S. pork producers, ensuring zero-duty market access to two of our largest export markets.”

Last year, more than 40 percent of U.S. pork exported went to Canada and Mexico. The campaign thanks lawmakers for making USMCA ratification this year a priority and highlights the history behind pork-related dishes in the United States, Mexico and Canada.

For example, tacos al pastor from Mexico have origins in the Lebanese method of cooking meat on a spit, referred to as shawarma. The tacos are a staple in Mexico City, where taco shops and stands line the streets. Last year, the United States sent more than 770,000 tons—worth $1.3 billion—of pork to Mexico.

To learn more about NPPC’s campaign, visit www.porkoclock.org.

Vice President Mike Pence again called on the House of Representatives to bring the U.S.-Mexico-Canada Agreement to a vote. Speaking at an event in Virginia over the weekend, Pence says Democrats in the House “are spending all their time on endless investigations and a partisan impeachment.”

Pence told the event, “The time has come for your congressmen and every Democrat from Virginia to put politics aside and pass USMCA.” House Democrats maintain the impeachment process will not impede progress on the trade agreement. House Speaker Nancy Pelosi last week hinted she was optimistic they could reach a deal with the White House.

Few days remain on the legislative calendar to pass the agreement this year, and the House is on recess this week. Pelosi told reporters last week, “hopefully we can do it sooner,” but she wouldn’t rule out the process stretching into next year. The U.S., Canada and Mexico agreed to the accord now more than a year ago, and Mexico ratified the agreement this summer.

America’s farmers and ranchers are in a bind, and House Speaker Nancy Pelosi has lot of nerve asking Nebraskans to write her checks while she’s holding agriculture hostage.

This weekend, Pelosi, the nation’s most powerful Democrat and the only person standing between Nebraskans and the certainty that comes with trade, headlined a political fundraiser in Omaha while stonewalling the United States-Mexico-Canada Agreement in Congress. Nebraska farmers and ranchers are ready to feed the world, but thanks to naked partisanship in Washington, we’re losing trade markets.

The USMCA deal, struck late last year, would help Nebraska agriculture. This is a free-trade win for farmers and ranchers that would provide secure market access, favorable trading terms and long-term stability. It would reinvigorate trade relationships with our friends while protecting against foul play by our adversaries, such as China. The only hang-up is that Pelosi needs to bring the trade deal to the House floor for a vote.

Time is running out. If Pelosi doesn’t cut the politics and schedule a vote before the end of the year, farmers and ranchers will face 2020 with more confusion and uncertainty. This strain is bad news for Nebraska and two of our most important trading partners.

Nebraska wins with trade to Canada and Mexico. The USMCA would help to keep America’s agricultural sector strong by bolstering these partnerships in ways that make sense for an economy that has changed since the early 1990s. Mexico and Canada are the top markets for American agricultural exports — more than $40 billion in 2018, up from $8 billion in 1993, the year before NAFTA went into effect. Nebraska producers benefited enormously from that long-standing agreement. Now, the USMCA is expected to increase total U.S. trade to Mexico and Canada by more than $33 billion, according to the U.S. International Trade Commission. The USMCA also wisely follows NAFTA in making sure that agricultural duties remain low or, in most cases, nonexistent.

Pelosi isn’t doing her job. Congress is supposed to be the place where the American people deliberate about the big, long-term problems facing the country. Sadly, these days, angry partisans rage at the cameras on the empty floors of the House or in hallways crowded with Twitter-obsessed reporters. Pelosi would rather spend her time waging political war than getting this deal passed for farmers and ranchers. The Democrats’ clown show in the House shouldn’t stop us from doing the right thing for agriculture.

The USMCA is a good deal for American agriculture. It’s also a good steppingstone for future trade agreements. This deal shows we can protect our hardworking agricultural sector and will encourage the prosperity of our neighbors. That will bring more partners like Japan, the European Union and others to join us at the negotiating table. More mutually beneficial trading agreements with partners abroad will not only serve our economic interests, but will strengthen our position against countries such as China, whose exploitative trade practices are part of a larger campaign to undermine American influence worldwide.

Pelosi’s delay tactics threaten these gains. Farmers and ranchers need long-term certainty about who they will be able to sell to and under what terms. Right now, they don’t have it. Subsidies and bailouts cannot compensate for uncertain or permanently diminished market access. Likewise, the U.S. is sure to alienate potential trading partners if it looks like any country that involves itself with America is liable to end up hostage to short-term political maneuvering.

This should be above politics. Keeping our agricultural sector strong and secure should be a bipartisan concern. Our farmers and ranchers deserve better than to be pawns in Washington’s political games. Speaker Pelosi, cut the bull, bring USMCA up for a vote and let Nebraska agriculture grow again.

Nebraskans are ready to reap the benefits of the United States – Mexico – Canada – Agreement (USMCA) and Speaker of the House Nancy Pelosi should act immediately to secure Congressional passage of USMCA to help them do so. That’s the message delivered by Nebraska elected officials and agriculture leaders during an Oct. 26 news conference to highlight the importance of USMCA, amidst Speaker Pelosi’s visit to Omaha for a political event.

The USMCA would replace the more than 25-year-old, North American Free Trade Agreement between the countries, modernizing the U.S. trading relationship with two of the U.S. largest trading partners, providing major benefits to U.S. businesses and consumers.

In preparation for the Pelosi visit, nearly 4,000 Nebraskans signed onto a letter to the Speaker encouraging Pelosi to act swiftly to pass USMCA legislation in the House.

While the Trump Administration negotiated and signed the USMCA deal more than a year ago, the agreement can’t be implemented until ratified by Congress. The U.S. Senate is expected to pass the agreement once acted upon in the House. Action in the House is entirely dependent Pelosi scheduling a USMCA vote.

Given that Mexican officials ratified the USMCA in June and Canadian officials are waiting to see if the U.S. will follow suit, it’s critical the House take swift action to advance the USMCA deal.

Quotes:

Steve Nelson, Nebraska Farm Bureau president
“Mexico and Canada are two of Nebraska’s largest and most valuable trading partners. Those two countries collectively purchase more than 21 percent of Nebraska’s total agriculture exports. It’s time for Speaker Pelosi to bring USMCA to floor of the House for a vote so we can continue to move forward in bringing long-term stability to these markets for Nebraska’s farm and ranch families.”

U.S. Senator Ben Sasse
“Talk about shameless: Speaker Pelosi is raising money for socialists while she’s picking our pockets. Nebraska’s farmers and ranchers need trade and Speaker Pelosi, the nation’s most powerful Democrat, is stonewalling the USMCA deal. Knock it off, Nancy — schedule the vote.”

U.S. Senator Deb Fischer
“Mexico and Canada are our two biggest trading partners. USMCA is a good deal for Nebraska agriculture and it’s also important for the manufacturing sector. Speaker Pelosi needs to stop her delay tactics so we can pass this critical agreement.”

Congressman Don Bacon (NE-02)
“USMCA is critical to our agricultural industry, expanded trade, and every community across Nebraska’s 93 counties. The trade agreement was signed in November of 2018 and has been awaiting Nancy Pelosi’s action for months. All former Secretaries of Agriculture since President Reagan have urged its ratification and 250 bi-partisan members of the House have indicated their support for it. Pelosi’s hate for President Trump and her unwillingness to do anything that could look favorable for him is hurting our trade, agriculture and economic growth.”

Congressman Jeff Fortenberry (NE-01)
“Get er done.”

Congressman Adrian Smith (NE-03)
“The cost of delay is too great. It’s time to pass USMCA and begin unlocking the benefits of a modernized agreement. USMCA is a win for U.S. farmers, producers, and consumers. Speaker Pelosi should schedule a vote without any further delay or political games.”

Gov. Pete Ricketts
“President Donald Trump’s new U.S.-Mexico-Canada Agreement is critical for Nebraska as we work to grow opportunities for farm and ranch families in a time of low commodity prices. Sadly, Nancy Pelosi and Washington Democrats in Congress have dragged their feet on approving the trade deal. The longer they delay, the more Nebraska’s ag producers are going to miss out on opportunities. It’s time to put politics aside and to seal the deal!”

The USDA recently reported hard red winter wheat could have difficulties with establishment in areas of Colorado, Kansas and the Panhandle of Oklahoma with dry conditions.

In Nebraska where most of the winter wheat has been planted, fall rains and snow have helped with the establishment.

“In western Nebraska, most of the wheat is planted, has come up and is off to a pretty good start,” said Royce Schaneman executive director of the Nebraska Wheat Board. “In the east, we’re still waiting for the fall harvest crops to get out of the fields before we are done planting wheat.” 

It is still too early to have any numbers on wheat acres planted but in southwest Nebraska, there is rumor more acres have been planted.

“From reports we’ve gotten from around the state it looks like we’re going to be steady, which would be right around a million acres,” he said. “We’d be happy to maintain acres if there’s a slight uptick in acres we’d love it.”

The wheat market has seen a little bit of a surge this week, which probably has to do with several factors. Schaneman said there are global factors, including the buying power of other countries and exports of available wheat from competitors. 

The Nebraska Wheat Board is also keeping an eye on trade issues, especially the U.S.-Mexico-Canada-Agreement.

“We’re talking about an agreement with our two best-trading partners and our closest trading partners,” Schaneman said. “It’s got to get done.”

Talks on USMCA are ongoing and stretching into month number four, with only 21 legislative days left in 2019.

 

Senate Finance Committee Chair Chuck Grassley of Iowa says he’s “very worried about the U.S.-Mexico-Canada Agreement for the first time.” He tells Politico that he’s pessimistic that Congress will sign off on the deal before the end of this year.

Grassley has maintained an optimistic outlook for some time as the Trump administration negotiated with House Democrats on potential changes to the deal. However, Politico says talks are stretching into month number four, and with only 22 legislative days left in 2019, Grassley is losing faith. He’s also asking U.S. Trade Representative Robert Lighthizer to not cave into Democrat demands.

He says changing the trade deal’s labor, environmental, enforcement, and prescription drug provisions too much could put Republican support for the pact in jeopardy. As recently as July, Grassley had said he was “optimistic” after a 30-minute meeting with House Speaker Nancy Pelosi. The Trump Administration’s trade boss is scheduled to meet again with House Democrats this week in continuing efforts to push the legislation through Congress and get it to the president’s desk for his signature.

A government official from Mexico says global trade uncertainty is another reason the U.S. and Canada should ratify the U.S.-Mexico-Canada Agreement. Mexico’s Finance Minister last week noted global trade was a common topic during the fall meetings of the International Monetary Fund and World Bank in Washington.

Arturo Herrera says that in a world that is “probably facing some uncertainties for a while,” USMCA is “going to help attract investments to the region,” according to Reuters. Herrera says the ongoing trade war between the U.S. and China, now 15 months long, is partly to blame for a sharp slowdown in global growth.

USCMA replaces the North American Free Trade Agreement and was ratified by Mexico this summer. The U.S. and Canada have yet to ratify the agreement, and some fear if Congress doesn’t act soon, the deal will be stalled by the 2020 elections.

Democrats in the House of Representatives are set to continue negotiations with the White House this week. However, Congress is running out of working days to pass the agreement this year.