Farm Bureau economist Veronica Nigh says once ratified, TPP will increase farm income by billions of dollars.
“Our analysis indicates that congressional passage of the agreement would boost net farm income by $4.4 billion per year led by increased exports of $5.3 billion per year. It’s a significant deal for U.S. agriculture.”
She says the livestock industry largely leads the expected increase in cash receipts.
“With implementation, we expect livestock receipts, those from beef, pork and poultry, to be $5.8 billion higher than a situation without approval, and the crop sector, including fruits and vegetables, is expected to be up $2.7 billion dollars in receipts.”
Nigh explains the analysis shows the need for Congress to ratify the 12-member nation trade agreement as the other countries are negotiating bilateral trade agreements.
“For example, Japan and Australia have a free trade agreement. That’s important because, especially on products like beef, the United Stated competes directly with Australia for market share in the Japanese market, and today Australian beef exporters face lower tariffs than U.S. beef exporters.”
So Nigh says the deal needs to be implemented as soon as it’s practical so that the U.S. no longer faces a disadvantage.