USDA Announces $12 Billion Trade Assistance Plan

This week U.S. Secretary of Agriculture Sonny Perdue announced a $12 billion plan to support farmers hurt by retaliatory tariffs imposed by U.S. trading partners.  In acknowledgment of the disproportionate effect on U.S. farmers of trade retaliation, President Trump directed Secretary Perdue to implement a plan to protect U.S. farmers and agricultural interests. USDA’s trade assistance package will help offset the roughly $11 billion in negative effects suffered by U.S. agricultural producers.

“This is a short-term solution to allow President Trump time to work on long-term trade deals to benefit agriculture and the entire U.S. economy,” Secretary Perdue said.

In announcing the trade assistance package, USDA Secretary Sonny Perdue stated, “USDA will not stand by while our hard-working agricultural producers bear the brunt of unfriendly tariffs enacted by foreign nations. The programs we are announcing today help ensure our nation’s agriculture continues to feed the world and innovate to meet the demand.”.

Recent U.S. decisions to impose tariffs on steel and aluminum in addition to other imports from China have provoked retaliation in the form of countermeasures by China, the European Union, Mexico, and Canada on thousands of U.S. exports, including corn, rice, soybeans, sorghum, cotton, fruits, nuts, wine, wood, cheese, and pork.

In providing this aid to farmers negatively impacted by tariffs, USDA is exercising its authority under the Commodity Credit Corporation Charter Act. USDA will provide aid via three programs:

  1. Market Facilitation Program: This program will provide payments directly to the farmers who have been the most affected. Producers of soybeans, sorghum, cotton, wheat, corn, dairy, and hogs will receive direct payments associated with the 2018 production year.
  2. Food Purchase and Distribution Program: USDA’s Agriculture Marketing Service will purchase any unexpected surplus of affected commodities such as fruits, nuts, legumes, beef, pork, and milk. The purchasing process is expected to continue over several months.
  3. Trade Promotion Program: USDA plans to implement a new trade promotion program similar to the existing Market Assistance Program and Foreign Market Development Program. The program will work to enhance current export markets and develop new ones through trade shows, promotions, and by alleviating regulations and other barriers. Unlike the other two programs, this program will be open to all agriculture commodities.

While Congressional approval is not required to implement the trade assistance package, specific details will be subject to a formal administrative rulemaking process. There is still a lot that is not known about the plan. USDA has not disclosed the amount of payments, although officials mention payments will be based on production. Other determinants for assistance remain unclear.  USDA officials expect to announce more details around Labor Day.

USDA dismissed concerns that the new trade assistance package violates WTO commitments with regard to trade-distorting subsidies. When the U.S. joined the WTO, negotiators agreed to cap trade-distorting domestic subsidies at $19.1 billion annually. USDA says that even with the new assistance, U.S. subsidies remain well below that cap.

Dwight Roberts, President & CEO of the US Rice Producers Association and in representation of its charter member, the Texas Rice Council, gave testimony earlier this week at a public hearing at the State Capitol on Texas House Concurrent Resolution 33 calling on the U.S. Congress to end the Cuba embargo. The resolution is an initiative of Rep. Rafael Anchia (District 103-Dallas), chair of the Committee on International Trade & Intergovernmental Affairs for the Texas House of Representatives.  Mark Keough (District 15-The Woodlands) serves as vice-chair.  

 

Dwight talked about why normal trade with Cuba is long overdue for agriculture, trade and as good policy with a neighboring country.  Afterwards Dwight made comments on Texas House Resolution 408 that urges the U.S. Congress to preserve the North American Free Trade Agreement that has come under debate in Washington, DC.

[vc_row][vc_column][special_heading title="Western Rice Belt Conference and Texas Rice Council Annual Meeting" subtitle="January 18, 2017 - El Campo Civic Center, El Campo Texas" separator="bottom"][vc_column_text]The annual Western Rice Belt Production Conference will be held on Wednesday, January 18, 2017 at the El Campo Civic Center. Registration for the conference will begin at 8:00 a.m., with the remainder of the program to begin at 8:15 a.m. After a catered lunch, provided by area agribusiness sponsors, the program will conclude at 2:30 p.m.

This joint effort of our Western Rice Belt planning committee, The Texas A&M AgriLife Extension Service, U.S. Rice Producers Association, and Texas A&M AgriLife Research will offer growers and others the opportunity to hear presentations from the top Extension and Research scientists from Texas as well as respected individuals from the rice industry. Topics and speakers will include: Association updates from U.S. Rice Producers and USA Rice; Price Risk Management Tools, Dennis Delaughter; Rice Market Inventory and Outlook, Thomas Wynn; Rice Disease Management Update, Dr. Shane Zhou; Weed Management Update, Dr. Muthu Bagavathiannan; Insect Management in Rice, Dr. Mo Way; Pesticide Laws and Regs Update, Greg Baker; Financial Risk Management, Silveus Financial; and a Rice Policy Update from Dr. Joe Outlaw. The Texas Rice Council will also conduct their Annual Meeting in conjunction with the 2017 Western Rice Belt Conference. The Texas Rice Council will conduct their producer elections during the lunch hour, following the announcement of the Rice Poster Contest.

For more information, contact the Texas AgriLife Extension office in Matagorda County at 979-245-4100; or Colorado County at 979-732-2082; or Wharton County at 979-532-3310; or go to http://wharton.agrilife.org and click on Events to view a flyer for the Rice Conference. 2 1Ž2 CEU’s (1 L&R and 1 1Ž2 IPM) for TDA Pesticide Applicators will be awarded at this event. CCA hours have been applied for and will be offered pending approval. Pesticide Applicators are reminded to provide their Pesticide Applicator License number at registration.[/vc_column_text][vc_single_image image="1482" alignment="center" onclick="img_link_large"][/vc_column][/vc_row]

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IN THIS ISSUE:

  • Market Update: Rice Farmers Looking for a Brighter Year In 2017
  • United States & Cuba: Life After Fidel Castro
  • Congress Mulls Appropriations Continuing Resolution
  • Trump’s Transition Moving Forward

(more…)

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IN THIS ISSUE:

  • Market Outlook: Producers Look to the Next Crop Year with Mixed Emotions
  • Texas Rice Update
  • Congress to Pass Short-Term CR – Push Appropriations Decisions to 2017
  • House to Passes Legislation to Block Midnight Regulations
  • House and Senate Re-elect New Leaders
  • USRPA Travels to Morocco to Expand U.S. Rice Market

(more…)

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IN THIS ISSUE:

  • DONALD TRUMP, HOUSE AND SENATE REPUBLICANS, PREVAIL
  • WELCOME TREY BARKER TO THE USRPA!
  • MARKET UPDATE: USDA’S SUPPLY / DEMAND REPORT MARGINALLY BULLISH FOR RICE MARKET

(more…)

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IN THIS ISSUE

  • IFG GRAIN TERMINAL AT PORT OF LAKE CHARLES IS INTEGRAL PART OF REGION’S RICE MARKET
  • FORECAST OF CONGRESSIONAL AGRICULTURE COMMITTEE LEADERSHIP
  • CONGRATULATIONS MARCELA GARCIA!
  • MISSOURI RICE FARMERS VISIT SOUTHERN BOONE PRIMARY SCHOOL IN ASHLAND, MISSOURI

(more…)

  • 4 cups cooked, white long grain rice
  • 1/4 cup cotton seed oil
  • 1 tsp salt
  •  1/4 cup Black olive slices
  • 1/2 cup green onion
  • 1 cup toasted pecans
  • 3/4 cup rice wine vinegar
  • 3 Tbs sugar
  • 1 tsp pepper
  • 1/4 cup pimento
  • 1 cup whole kernel corn

Mix rice wine vinegar with sugar and oil. Pour over rice and other ingredients. Toss well. Adjust seasonings to taste.

  • 3 cups of rice
  • 1 1/2 Tbs powder cinnamon
  • 1 1/2 cups of evaporated milk (carnation)
  • 12 cups of water
  • Sugar

Wash and soak the rice in the water. Blend the rice in the same soaking water, keep blending and add sugar and milk. Strain and serve with crushed ice and cinnamon powder. (Serves 12)

  • 2 Tablespoons olive oil
  • 1 Cup uncooked brown rice
  • 2-1/4 Cups boiling beef broth
  • 1/2 Teaspoon ground black pepper
  • 1 Large onion, chopped
  • 2 Cloves garlic, minced
  • 1/2 Cup chopped fresh parsley
  • 1/4 Cup shredded Parmesan

Preheat oven to 350F. Heat oil in medium skillet over medium heat; stir in onion, rice and garlic. Cook, stirring occasionally, until onion is tender, about 7 minutes. Spoon into 2-1/2 quart casserole. Stir in broth, parsley and pepper. Cover and bake until liquid is absorbed, 50-55 minutes. Fluff with fork. Sprinkle with cheese. Makes 6 servings.

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