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Agricultural News


Trade Disruptions by Potential NAFTA Renegotiations Could Leave Meat Export Business Vulnerable

Wed, 15 Feb 2017 11:20:37 CST

Trade Disruptions by Potential NAFTA Renegotiations Could Leave Meat Export Business Vulnerable


When it comes to the Mexican cattle market, there is no other person more knowledgeable on the subject this side of the Rio Grande, then Oklahoma State University Extension Livestock Market Economist Dr. Derrell Peel. Radio Oklahoma Ag Network Farm Director Ron Hays reached out to Dr. Peel for his take on the new administration’s insistence to renegotiate the North Atlantic Free Trade Agreement, or NAFTA. Bottom line - there’s not much advantage to changing up the treaty when it comes to the US beef industry, says Peel.


“I think meat industries in general and the beef industry perhaps in particular, is somewhat nervous about the idea of any disruptions or changes in the trade relationship we have right now,” Peel said. “NAFTA has been a pretty good deal for the meat industry, so I think there is relatively little room for improvement.”


According to Peel, Mexico is not only one of the major export destinations for US beef; it is also a key source for our beef imports. Add pork and poultry to that equation and Peel says Mexico accounts for 24 percent of our total meat export business.


“Any sort of disruption in any of those markets would have significant implications back home in the domestic market,” Peel claimed. “(Markets) continue to evolve and anything you change from that is probably going to be a step backwards from that in term of the meat industries.”


Listen to Hays and Dr. Peel discuss the implications of renegotiating NAFTA between both Mexico and Canada for the US beef industry, on today’s Beef Buzz.


The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today's show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.




   





   

Listen to Hays and Dr. Peel discuss the implications of renegotiating NAFTA for the US meat industry
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