WASHINGTON, Nov. 1, 2016 - Canada and the European Union
passed a major obstacle Sunday when leaders signed off on the massive Comprehensive
Economic and Trade Agreement (CETA), but both sides still have a long
way to go before the pact is ratified and takes effect. But that still hasn’t
stopped U.S. farm groups from worrying about the impacts that the deal will
have on the U.S.
Canada has always been a tough market for U.S. dairy exporters, but CETA would
allow the EU to more than double shipments of cheese to Canada. That’s a major
concern for U.S. producers and exporters, but the deal isn’t written in stone
yet. Canada, all 28 EU member countries and the European parliament will have
to ratify CETA and that may not be an easy task.
Meanwhile, Canada has also agreed to allow U.S. dairy exporters more access to
its northern markets as part of the 12-nation Trans-Pacific Partnership (TPP).
The Obama Administration still desperately wants Congress to approve TPP this
year, but that seems unlikely while opposition remains strong from both Donald
Trump, Hillary Clinton and both houses on Capitol Hill.
You can read more in depth about the dangers and benefits from CETA for the
U.S. agricultural sector when Agri-Pulse releases its weekly
newsletter Wednesday morning.
Cheap Chinese corn threatens U.S. sorghum exports. U.S. sorghum exports to
China have been growing sharply over recent years – China now consumes more
U.S. sorghum than the U.S. domestic market does – but falling prices for
Chinese corn could cool off some of the trade, according to a newly released report from
the USDA’s Foreign Agricultural Service.
“In recent years, U.S. sorghum has been very attractive to Southern Chinese
feed producers due to its lower price compared to domestic corn, and the
absence of import restrictions,” the report said. “As a result, feed millers
and producers have become very familiar with using U.S. sorghum and
incorporating it into their feed rations. This year, however, robust supplies
of domestic corn and subsequent lower corn prices could impact the volume of
U.S. sorghum sales.”
The U.S. exported a record of about $2.1 billion worth of sorghum to China last
year, but shipments have cooled off this year, according to FAS data. China
imported just $731 million worth of the grain from January through August in
2016. That’s down by half from roughly $1.4 billion in the same time period in
2015.
APHIS to allow port incineration of packaging materials to fight pests.Often
it’s the wooden pallets and other packaging materials – called dunnage – in a
ship that contain dangerous pests like beetles and locusts that can threaten
crops and livestock. There are complicated procedures designed to insure the
dunnage doesn’t contain pests, but sometimes threat of infestation is detected.
Now, USDA’s Animal and Plant Health Inspection Service is offering
transportation companies a new option if the wooden pallets or other packaging
materials is believed to be a threat: they can have the stuff incinerated at
approved facilities near ports.
“This action will allow APHIS and U.S. Customs and Border Protection (CBP) to
more effectively address potential pest risks presented by the dunnage,” APHIS
said in a Monday announcement.
GAO asks Transportation Department to plan for West Coast ports.International
trade is expanding fast with larger ships requiring massive improvements to
infrastructure. The Department of Transportation needs a new plan to help
development at West Coast ports, according to a new study by
the U.S. Government Accountability Office.
“Some infrastructure and operations at major West Coast ports are strained in
the face of recent changes in global shipping, but port stakeholders are
attempting to address these constraints,” the report concluded. “For example,
as the shipping industry deploys larger vessels capable of delivering more
cargo, some port terminals lack big enough cranes, or other infrastructure,
needed to handle these vessels.”
An overall freight strategy is needed to improve the supply chain, the GAO said
and the DOT agreed.
Avoid another port dispute? Three Western lawmakers urged the Pacific
Maritime Association (PMA) and the International Longshore and Warehouse Union
(ILWU) to continue discussing an extension of their contract covering 29 West
Coast ports in a letter
sent Monday. The current contract doesn’t expire until 2019, but the last
prolonged contract dispute lasted a year and cost the U.S. economy about $7
billion.
“During the 2014-2015 disruption at the 29 West Coast ports, our growers were
forced to dump spoiled produce, our manufacturers were delayed waiting for
necessary parts, and our retailers were faced with empty shelves,” the
lawmakers wrote, while urging a resolution “so that we can all avoid this same
outcome and the repeat of these devastating stories.”
EPA is issuing a new general permit under the Clean Water Act allowing for the
discharge of pesticides used in certain situations. The permit covers
biological pesticides and chemical pesticides that leave a residue, and would
apply to control of mosquitos and other flying insects, weed and algae pest
control, animal pest control, and forest canopy pest control, in Idaho,
Massachusetts, New Hampshire, New Mexico, Washington, D.C. and certain other
territories such as Puerto Rico, as well as tribal Indian lands and federal
facilities in many locations.
The permit requires applicators to minimize both the amount of pesticide used
and the frequency of applications in order to reduce the chances that the
receiving waters will become polluted and endangered species will be harmed.
According to the Federal
Register notice to be published today, "All decision-makers are
also required to control discharges as necessary to meet applicable water
quality standards and monitor for and report any adverse incidents."
Steve Davies contributed to this report.
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