Home Indiana Agriculture News U.S. Pork Can’t Afford Loss of Mexican Market

U.S. Pork Can’t Afford Loss of Mexican Market


The National Pork Producers Council (NPPC) asked the Trump administration to carefully consider the fallout from cutting off trade between the United States and Mexico. U.S. pork producers and other American farmers are already facing mounting financial losses from retaliatory tariffs by Mexico and China. The following statement may be attributed to David Herring, president of the National Pork Producers Council and a pork producer from Lillington, North Carolina.

“A cloud of uncertainty and restricted access to our most important export markets have strained U.S. pork producers and their families for more than a year. The value of our exports to Mexico and China are down 28 percent and 32 percent, respectively, this year. We are at the breaking point and cannot afford a total loss of the Mexican market, one that accounted for more than 20 percent of total U.S. pork exports last year.

“While we recognize the importance of border security, we respectfully ask the Trump administration to proceed cautiously and consider the implications of cutting off trade with a market that is so vital for rural America. We urge the administration to end current trade disputes and to focus its efforts on the upcoming trade negotiation with Japan and the expansion of export markets for U.S. agriculture, an economic sector that reduces the U.S. trade deficit by producing some of America’s most competitive export products.”

The NPPC also urged the administration to “expeditiously complete and deliver” a trade deal with Japan. The announcement follows reports that Japan and the U.S. will begin trade negotiations on April 15, 2019. NPPC President David Herring in a statement says the U.S. needs a level playing field in Japan, adding “U.S. pork producers are losing market share in Japan to international competitors that have recently negotiated more favorable trade terms.”

Six countries, Canada, Australia, Mexico, New Zealand, Singapore and Vietnam, have implemented the Comprehensive and Progressive Agreement of Trans-Pacific Partnership, the TPP replacement, and gained more favorable access to Japan. Dermot Hayes, an economist at Iowa State University, says U.S. pork will see exports to Japan grow from $1.6 billion in 2018 to more than $2.2 billion over the next 15 years if the United States quickly gains access on par with international competitors. Hayes reports that U.S. pork shipments to Japan will drop to $349 million if a trade deal on these terms is not quickly reached with Japan.

Source: NPPC and NAFB News Service

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