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Agricultural News

Retaliatory Tariffs From Prominent Trading Partners Causing Challenges For US Pork Industry

Fri, 22 Feb 2019 19:58:44 CST

Retaliatory Tariffs From Prominent Trading Partners Causing Challenges For US Pork Industry

In the midst of the legislative session, Radio Oklahoma Ag Network Associate Farm Director Carson Horn goes in depth on pressing issues like trade tariffs and African Swine Fever with Oklahoma Pork Council Executive Director Roy Lee Lindsey.

The Oklahoma Pork Industry is built on trade, and highly reliant on the ability to move product; more than 25% of which goes overseas. Recent steel and aluminum product tariffs put in place by the current administration have put stress on trading partners. We are still shipping out a lot; however, in Mexico for example, where we were shipping in essentially duty free there’s now retaliation tariffs causing a loss of about $12 per pig.

“Everybody is increasing production with the idea that we’re going to sell this around the world,” says Roy Lee. “We know the world wants US pork. Nobody does it better than we do. Safe, high quality, consistent product - Exactly what a consumer is looking for when buying. But we need to be able to compete.”

Lindsey suggests getting started on bilateral trade agreements with Japan, Vietnam to keep the industry from falling behind as other players work together. If market share is lost, it presents quite a challenge to earn it back.

“The administration is also doing some good things for the industry. The changes to the tax code were very positive for pork producers. The change to the WOTUS rule, pulling back the 2015 rule and issuing new, just came out last week. All that is very positive going forward,” he remarked.

It is important for the US to address different policy to continue to be the best. Especially with looming threats of African Swine Fever found in animals from China and Vietnam. Pork is still safe to eat, but mortality rates skyrocket if the virus is contracted within a heard.

“Should we get African Swine Fever here then our ability to export pork is going to stop almost immediately,” warns Roy Lee. “What are we going to do with that 26-27% of product that we are now selling around the world…? And what would that impact be on our industry here.”

More aspects of managing the infected swine, as well as the impact of African Swine Fever spreading any farther are discussed in Carson and Roy Lee’s full conversation. For their whole interview click or tap the LISTEN bar below.



Listen to Carson Horn and Roy Lee Lindsey Dscuss Trade Tariffs, and African Swine Fever Concerns
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