Key Priority Trade Policy Issues
Transportation Infrastructure
- Details
- Category: Key Priorities
- Published on Friday, 03 February 2012 15:28
Transportation modes serving agriculture have experienced strains over the last five years. US agricultural exports are projected to increase with global population growth and expansion of the consumer class, leading to a demand for more and better quality food. The current capacity for storage, trains, loading, inspection, ships, port capacity, etc. will be inadequate to meet projected demand for US feed and food products from China, India, and South East Asia.
Colombia, Panama and South Korea Free Trade Agreements
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- Category: Key Priorities
- Published on Friday, 03 February 2012 15:28
All three FTAs will provide $2.5 billion annually in additional US agricultural exports when the FTAs are in full effect. The U.S. has relatively open markets for corn in South Korea and Panama but the FTAs will lock in zero tariffs and negate their ability to reinstate tariffs at higher levels. The FTAs provide marketing opportunities for co-products, along with sorghum and barley. Colombia is critical as it is a strong growth market for coarse grains and value-added products given it projected growth in GDP and middle class. However, U.S. share of coarse grain exports have plummeted from a high of $633 million in 2008 to $118 million in 2010. Argentina and Brazil have displaced U.S. market share because of their favorable tariff treatment with Colombia under the Mercosur Agreement.
FMD and MAP Funding
- Details
- Category: Key Priorities
- Published on Friday, 03 February 2012 15:28
FMD and MAP Funding
Market Development Programs have historically received political support from the Administration and Congress. The Market Access Program is authorized at $200 million while the Foreign Market Development program is funded at $34.5 million.
Trans-Pacific Partnership Agreement
- Details
- Category: Key Priorities
- Published on Friday, 03 February 2012 15:28
The objective of the TPP is to create a regional FTA on both sides of the Pacific. TPP build off of the existing TPP in 2006 that included Brunei, Chile, New Zealand and Singapore (P-4). The U.S. joined the negotiations in 2008, along with Australia, Peru, Australia, and Vietnam. Malaysia joined in late 2010. The U.S has existing FTAs with Singapore, Chile, Australia and Peru. Other countries, including Mexico, Canada, and Japan have expressed interest in joining the talks.
China Trade Policy Issues
- Details
- Category: Key Priorities
- Published on Friday, 03 February 2012 15:28
China’s economic growth continues to drive increased levels of middle class with projections of over 325 million by 2020. While China is a major agricultural producer and has great underlying potential for modernization/productivity increases it is constrained by intensive use of land, reliance on human labor, small farm size, lack of private ownership and access to capital.
