NAFTA Talks Continue

January 9, 2018 03:29 PM
Farm Journal Pulse

Since his days on the campaign trail, President Donald Trump has voiced little support for keeping the U.S. involved in the North American Free Trade Agreement (NAFTA). If anything, Trump’s lukewarm support for NAFTA has cooled even more, despite five rounds of negotiations between the U.S., Canada and Mexico.

That’s bad news for U.S. farmers, according to Jackson Takach, a Farmer Mac economist. “Without NAFTA, we’re looking at the 1980s,” Takach says. “NAFTA is a big part of our trade package. NAFTA delivers a lot of ag export markets, and without it, I think we’re going to see a pretty significant decline in sales and revenues for our farmers.”

USDA Secretary Sonny Perdue says he doesn’t believe President Trump will walk away from NAFTA, but notes that just in case the agency is making “contingency plans” if the trade agreement is scrapped.

The sixth round of discussions will take place Jan. 23 to 28 in Montreal. The three countries have agreed to host joint negotiations through March.

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Spell Check

bad axe, MI
1/11/2018 11:47 AM

  NAFTA or no NAFTA you can't put out 40 trillion dollars in the last 17 years in the credit market in the US economy and have any hope of exporting any thing at a profit. It took 200 years to get the credit market in this country to 4.7 trillion in 1980, when Ronnie had to bail out the savings and loans (remember the 18% interest). Now you have 70 trillion out in credit in this country hyper inflating the farmer out of business . You guys aren't listing to Trump when he says were going to be selfsufficient in house. Trump knows that when you have this much debt and the inflation rate in certain sectors caused buy all this printing money the last 40 years your not going to be able to trade at a profit with anyone, (ag products certainly get hurt the worse). Agriculture in the USA will have to be downsized by 30% in order for commodity prices to come back.

Independence, MO
1/11/2018 04:21 PM

  CK is right. If 30% of the farmers go out of business things will be peachy for those left. If we leave NAFTA, Mexico goes to SA for corn, soybeans and to others for rice...along with the new Mexican president coming. Check it out. Ah well, Trump seems to know what he's doing. I wouldn't hire him to count sheep.


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