“President Forms Export Promotion Cabinet”
President Obama has signed an Executive Order establishing an Export Promotion Cabinet. The EPC is an Administration initiative designed to improve conditions that directly affect the private sector’s ability to export. The Export Promotion Cabinet is charged with monitoring the National Export Initiative.
EPC members include the Secretaries of State, Treasury, Agriculture, Commerce and Labor. Other members include: the Director of OMB; the USTR; Assistant to the President for Economic Policy; National Security Advisor; chair of the council of economic advisers and the heads of several other agencies.
The Presidents’ Executive Order says the cabinet shall address exports by small and medium-sized enterprises; federal export assistance; trade missions; commercial advocacy; export credit, among other areas critical to trade between countries. The Export Promotion Cabinet reports directly to the President.
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“Grassley Reacts to President’s Trade Movement”
In reaction to the President’s statement, Iowa senator Chuck Grassley, who is Ranking Member of the Senate Committee on Finance, said – I appreciate the President’s recent attention to trade. And he took the opportunity to continue his push to get Free Trade Agreements with Colombia, Panama and South Korean passed into law. The three agreements have been pending for almost three years.
Grassley says, – the White House says it’ll bring those agreements forward at an appropriate time. He says, – it would be hard to think of a more appropriate time than right now. Without exports, which support jobs, the economy would be in even worse shape than it is. The Iowa Senator believes – the President’s new efforts might make some difference in helping U.S. businesses increase their exports, but nothing compares to opening new markets through reciprocal trade agreements.
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“Senators Want Japanese Restriction on Beef Lifted”
19 U.S. Senators, including Ag Committee chairman Blanche Lincoln and Senator Mike Johanns, have introduced a resolution pressing Japan to lift its partial ban on U.S. beef. The resolution states Japan should immediately expand market access for U.S. beef products and urges the Obama Administration to insist on increased market access from Japan.
Senator Lincoln says – these non-tariff trade barriers from Japan must be brought down. Senator Johanns adds – for too long, Japan has been grossly unfair in its treatment of U.S. beef and beef producers for reasons that defy scientific rationalization. Japan must remove its non-scientific barriers to our beef sales.
Japan originally closed its borders to all American beef products in 2003 citing Bovine Spongiform Encephalopathy concerns. Since enactment of the ban, from 2004-2009, U.S. beef exports to Japan averaged approximately 196-million dollars. That’s less than 15 percent of the 2003 level of 1.4 billion. Japan currently limits its imports of U.S. beef to only boneless beef from cattle aged 20 months and younger.
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“FB President Testifies on Cuban Trade Issues”
In testimony before the House Agriculture Committee, the President of the American Farm Bureau Federation called on Congressional members to support the Travel Reform and Export Enhancement Act, or H.R. 4645. Bob Stallman said this act would lift some key U.S.- imposed restrictions on trade with Cuba. The bill would reverse the restrictions on payment of cash in advance, eliminate the third country bank requirement and lift the ban on travel.
Because of the great market potential, Farm Bureau believes passage of the legislation would make agriculture a strong player in the Cuban market and increase U.S. agricultural exports. Stallman said – we have seen the promise the market holds. Unfortunately, because of restrictions on U.S exports to Cuba, U.S. farmers have not been able to benefit from the full potential of the market.
Since being allowed to trade with Cuba in 2000, on average the United States has exported roughly 320-million dollars in agricultural products per year, reaching a high of almost 700-million in 2008. Stallman pointed out – the United States is not viewed by Cuba as a reliable supplier. Our competitors do not have the same obstacles in trading with Cuba we face. Stallman said, – eliminating these restrictions will decrease the advantages the United States has given our competitors and restore the advantage to U.S. farmers.
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“More Testimony on Cuban Trade-Travel”
Also, testifying before the House Committee on Agriculture concerning Cuban trade and travel issues were representatives of the National Farmers Union and American Soybean Association. Leaders from both organizations voiced support for the Travel Restriction Reform and Export Enhancement Act.
NFU President Roger Johnson testified, saying – even though U.S. firms offer reliable trading partners, quality products and competitive prices, current U.S. policy hampers their ability to supply the Cuban market. He said – I can speak from firsthand experience on the importance of ending the Cuban embargo and establishing trade relations with Cuba in an effort to better the U.S. agriculture market.
ASA Board member Scott Fritz, a soybean producer from Winamac, Indiana, said – we can no longer sit on the sidelines and watch our competitors continue to supply a market where we have a natural advantage. Fritz added – if the travel ban is eliminated, the number of U.S. citizens traveling to Cuba annually would increase to between 500-thousand and 1 million. This growth in travel would bring in more hard currency, enabling the Cuban state-trading agency to buy more U.S. agricultural products.
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“Farm Bureau Reports on Views of Young Farmers and Ranchers”
A survey conducted by the American Farm Bureau Federation indicates that profitability, increasing government regulations and the impact of activist groups are the top concerns of America’s leading young farmers and ranchers. Still, despite economic challenges, 80 percent of those responding to AFBF’s 18th annual survey of young farmers and ranchers say they are more optimistic than they were five years ago, while 82 percent say they are better off than they were five years ago.
The informal survey shows that 79 percent of young farmers and ranchers have a high or very high level of apprehension about government climate change regulations. 85 percent were concerned or very concerned about activist groups. Only 7 percent expressed little or no concern. 83 percent said they believe farm income should come totally from the marketplace, while only 17 percent said farm income should be supplemented by government farm program payments.
The Farm Bureau survey of young farmers and ranchers also shows that nearly 99 percent said they have access to and use the Internet, with 72 percent saying they have access to a high-speed Internet connection. Only 20 percent rely on dial-up connections. Nearly three-quarters of those surveyed have a Facebook page.
In addition, the Internet is an important tool for the group to access both general and farm news, with 84 percent saying they use the Web for that function. Seventy-two percent said they turn to the Internet to collect buying information for their operations. 96 percent say they consider themselves life-long farmers or ranchers.
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“USDA Tightening Guidance on Pork Contracts”
Guidance currently in place for loans to contract poultry operations meant to protect them from questionable business practices will now be expanded to include contract pork operations. In making the announcement, Ag Secretary Tom Vilsack explained – USDA currently provides guidance to county offices on the analysis and evaluation of applications for direct and guaranteed loans for contract poultry operations, and how those loans are serviced. The purpose is to avoid making loans that may exacerbate integrator business practices that have left some producers suddenly without contracts and unable to pay back their FSA loans.
Recent increases in energy and feed costs coupled with reductions in demand have affected profit margins and returns in the industry. In response to these conditions, some companies who contract with producers to supply poultry and pork have closed processing plants, reduced placements, and declined renew contracts. This has left some producers holding sizeable loans on their facilities.
In addition to the contracting guidance expansion to pork production, USDA’s Farm Service Agency will issue an Advanced Notice of Proposed Rulemaking to solicit input from the pork and poultry community regarding the prevalence of type of contracting situation. FSA will be soliciting proposals for the best way for USDA to address these contract situations in the long term.
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“U.N. Climate Report To Be Reviewed”
The controversial report issued by the United Nations’ Intergovernmental Panel on Climate Change, will be reviewed by one of the world’s most credible scientific groups, the InterAcademy Council, made up of 15 nations’ national academies of science. Robert Kijkgraff, a Dutch mathematical physicist co-chairs the group. He says – we enter this process with no preconceived conclusions.
U.N. Secretary-General Ban Ki-moon asserted – there were a very small number of errors – in the 3-thousand pages of the beleaguered report. But those errors, which include projections of retreats in Himalayan glaciers, have put public confidence in the panel’s work at risk, and have been seized on by climate skeptics opposed to the U.N.-led efforts to conclude a legal international agreement on global warming this year.
Among the questions being asked are whether the climate panel should use non-peer reviewed literature, how governments review IPCC material, and even how the IPCC communicates with the public. Dijkgraaf says his Netherlands-based group – will definitely not go over all the data, – but will instead focus on how the panel does its job. The group will pick a panel of experts and wrap up its independent review by the end of August.
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“POET Tightens Water Use”
POET plans to decrease water use in the production of ethanol by 22 percent over the next five years in the first goal of its sustainability imitative, ingreenuity. It intends to cut the company’s water used per gallon of ethanol from an average of 3 gallons to 2.33, an annual water savings of one billion gallons. In a presentation to employees, POET CEO Jeff Broin said the company is committed to producing ethanol as sustainably as possible and minimizing its impact on natural resources.
The reductions will come primarily through installing a proprietary process developed by POET engineers that recycles cooling water rather than discharging it. The Total Water Recovery process has recently been installed in three POET Biorefining locations – in Bingham Lake, Minnesota, Caro, Michigan and Hudson South Dakota. According to Broin, – those facilities now average 2 to 2.5 gallons of water per gallon of ethanol.
To kick off the initiative, Broin announced the POET Foundation has committed more than 420-thousand dollars to the non-profit Global Health Ministries over the same five-year period as POET’s water reduction goal. A portion of the funds will help repair, construct and maintain 90 wells in Nigeria that that will give more than 300-thousand people access to pure water.
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“Idaho Considering Livestock Care Standards Board”
The Idaho Senate has approved a bill that would set up a Livestock Care Standards Board. The board would be similar to the one voted in last November in Ohio. Like Ohio, Idaho hopes to get ahead of any efforts by the Humane Society of the United States to influence animal welfare laws in the state.
The legislation has yet to pass the Idaho House. If it goes into law it would create a 13-member committee that would include representatives from the Idaho State Department of Agriculture, statewide organizations for dairy, livestock and cattle professionals and legislators and would make recommendations on animal care.
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“Animal Care Legislation Moving in Missouri”
In Missouri, a bill is moving through the Missouri General Assembly that would protect livestock care practices in that state. The Missourians for Animal Care Coalition supports the bill, because, as they say, it would – protect the right to raise animals in Missouri. The Coalition says there are animal rights extremist groups like the Humane Society of the United States trying to get a ballot initiative that would put severe limitations on the ability of anyone to own and raise animals.
The intent of the bill, according to Missouri Farm Bureau’s legislative director Leslie Holloway, is – to try to ensure that additional restrictions on raising animals, whether it be livestock or dogs or whatever the case may be, are under the jurisdiction of the General Assembly rather than interests that might come in from out of state such as the Humane Society of the United States.
If passed, the animal care constitutional amendment would join a HSUS-backed bill on this fall’s state-wide ballot that would crack down on dog breeders in the state.
