U.S. Agriculture React to New Trade Deal with Canada and Mexico

Corn Farmers Praise New US-Mexico-Canada Agreement

The National Corn Growers Association President Lynn Chrisp today released the following statement after an announcement that the United States, Canada, and Mexico reached an agreement in principle on the North American Free Trade Agreement (NAFTA), renamed the US-Mexico-Canada Agreement (USMCA).
“Farmers across the country have been closely following NAFTA negotiations and reminding the administration of its promise to ‘do no harm’ to agriculture.”
“NAFTA has been an unequivocal success story for American agriculture, opening markets that since enactment have become vitally important to U.S. corn farmers, and providing certainty to farmers and the rural economy. We applaud USTR for reaching a new agreement and look forward to thoroughly evaluating it to determine if it continues to benefit American agriculture.”
Last year the United States exported $3.2 billion of corn and corn products to Mexico and Canada, supporting 25,000 rural jobs. The U.S. Chamber of Commerce estimates that trade with Canada and Mexico supports 14 million U.S. jobs across many sectors.

Wheat Grower Organizations React to New Trade Deal with Canada and Mexico

The National Association of Wheat Growers (NAWG) and U.S. Wheat Associates (USW) welcome the Administration’s decision to move ahead with an updated trade deal with Canada and Mexico and look forward to learning more about the details.

We are pleased that the Administration recognizes the need for policy certainty with some of our top customers. While NAWG and USW must review the language of the new deal, we hope to see provisions that are positive for wheat farmers.

The current North American Free Trade Agreement (NAFTA) is critically important for wheat farmers who depend on the enormous Mexican market that NAFTA built, but it did have room for improvements, particularly on grain trade with Canada. NAWG and USW called for a fix to the Canadian grain grading system which automatically designates U.S. wheat as the lowest grade simply because it is foreign. This means U.S. farmers producing the highest quality wheat arbitrarily get less value for their crop.

Farmers should understand that nothing has changed yet, but we are pleased to see that USTR has made progress in resolving this issue, with Canada agreeing to grade imported wheat with the same requirements as Canadian wheat. We will follow the implementation of this commitment closely to ensure U.S. farmers can finally have reciprocal access to the Canadian market.

U.S. Grains Council Statement On Trade Agreement With Mexico And Canada

“The U.S. Grains Council (USGC) is very pleased to see the United States, Mexico and Canada have reached a new agreement.

“No trade agreement has had more impact on our sector than NAFTA which prompted explosive growth in our export sales to both countries as well as the development of a fully-integrated grains and livestock supply chain within North America. Over the past two decades, this agreement has proven beneficial for the producers, agricultural sectors and economies of all three countries.

“We appreciate the dedicated, hard work of our negotiating team to achieve this outcome with our neighbors and customers and look forward to fully examining the new text as the process of approving the new agreement begins a new phase.”