Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211

advertisements
   
   
   
   
   
   
   

Agricultural News


Soy Farmers Hopeful President's Short-Term Plan to Help Farmers a Step Toward Long-Term Solution

Tue, 24 Jul 2018 14:50:36 CDT

Soy Farmers Hopeful President's Short-Term Plan to Help Farmers a Step Toward Long-Term Solution President Trump announced on Tuesday that the Department of Agriculture would be rolling out a relief plan this fall for farmers hit hard by trade tariffs imposed in recent months. Since discussion of a tit-for-tat exchange of tariffs between the U.S. and China became serious in late May, U.S. soy prices have dropped more than $2.00 per bushel.


The President has vowed for weeks that he would “take care” of farmers, but the American Soybean Association (ASA) and other agriculture groups did not know until today what that help would look like. The plan outlined by the Administration includes three components: Direct payments to farmers to mitigate lower prices resulting from China’s tariffs, direct commodity purchases by USDA, and funding for a temporary program similar in purpose to the current Market Access Program (MAP) and Foreign Market Development (FMD) programs. The cost of the package is expected to total around $12 billion spread across multiple commodities, including soybeans.


While soybean growers appreciate the Administration’s recognition that tariffs have caused reduced exports and lower prices, the announced plan provides only short-term assistance. ASA continues to call for a longer-term strategy to alleviate mounting soybean surpluses and continued low prices, including a plan to remove the harmful tariffs.


John Heisdorffer, ASA President and soybean grower from Keota, Iowa, stated, “Our best course of action is to expand other markets and develop new ones to buy the soybeans we’re not selling to China. This means finishing the NAFTA negotiations as soon as possible so we can begin talks on new bilateral agreements with other key soybean markets including Japan, Vietnam, Indonesia and the Philippines.”


Soybean farmers are facing an urgent situation this fall, with a near-record harvest expected and exports predicted to be down by 11 percent next year. That situation will worsen without long-term answers to the pinch of tariffs-or seeing the tariffs rescinded.


“The American Soybean Association has consistently advised the Administration that the best way to reduce our Nation’s trade deficit is by increasing exports, including of agricultural products,” Heisdorffer stated. “Since the Administration has decided to use tariffs to address trade concerns with China, and China has retaliated, farmers don’t have time to wait to see how this trade war turns out.”


In 2017, China imported 31% of U.S. production, equal to 60% of total U.S exports and nearly 1 in every 3 rows of harvested beans, making solutions to the tariff war critical for the soybean industry.


Heisdorffer concluded that, “U.S. soybean producers want to see President Trump succeed in meeting his trade campaign goals of achieving better trade deals and greater market access. And, we appreciate that he has recognized our loss in exports and lower prices and provided some immediate relief. However, producers cannot weather sustained trade disruptions.”



Source - American Soybean Association



   

 

WebReadyTM Powered by WireReady® NSI

 


Top Agricultural News

  • Farmers Welcome Extension of Farm Service Agency Re-Opening  Wed, 23 Jan 2019 10:26:37 CST
  • Wednesday Preopening Market Update with Dave Lanning  Wed, 23 Jan 2019 07:09:29 CST
  • US Secretary of Ag Sonny Perdue Discusses the Reopening of FSA County Offices  Wed, 23 Jan 2019 05:41:54 CST
  • National Cotton Council Thanks USDA and Secretary Purdue for Reopening of County FSA Offices to Serve Farmers and Ranchers   Tue, 22 Jan 2019 17:53:10 CST
  • Oklahoma's Angus Genetics Highlighted at 2019 National Western Angus Carload & Pen Show  Tue, 22 Jan 2019 16:12:06 CST
  • Kynlee Dailey of Kingston, OK Claims Res. Grand Champion Female at National Western Junior Show  Tue, 22 Jan 2019 16:01:17 CST
  • Oklahoma Well-Represented at 2019 National Western Stock Show's Super Point ROV Angus Show  Tue, 22 Jan 2019 15:42:16 CST
  • Produce Safety Alliance Grower Training Course to Be Held in Woodward January 29 - Register Now  Tue, 22 Jan 2019 15:00:27 CST

  • More Headlines...

       

    Ron salutes our daily email sponsors!

    Livestock Exchange Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit P&K Equipment Oklahoma City Farm Show Stillwater Milling KIS FUTURES, INC. Oklahoma Cattlemen's Association

    Search OklahomaFarmReport.com


       
       
    © 2008-2019 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.