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Some Sections of NAFTA Negotiations Closer to Completion

While the U.S. is still unhappy with the slow pace in the North American Free Trade Agreement negotiations, there are some sections that are close to completed. Canada’s chief NAFTA negotiator says that the sixth round of talks could lead to a revamped sanitary and phytosanitary chapter of the pact. Politico says that chapter covers rules on food safety and animal and plant health. While Canadian officials said there were discussions on that chapter Thursday, even though it’s not finished, they’re more hopeful that it’s close to being wrapped up. Talks on Canada’s dairy supply management system are stalled, which may mean it takes a backseat on things like automobiles, government procurement, and dispute settlement. Jaime Castaneda, senior vice president for trade policy with the National Milk Producers Federation, says he believes there is still a way forward on dairy negotiations, and he feels that the Canadian government believes that too.

Friday’s closing grain bids

January 26th, 2017

 

St Joseph

 

Yellow Corn

3.30 – 3.36

White Corn

no bid

Soybeans

9.33 – 9.39

LifeLine Foods

 3.43

 

 

Atchison

Yellow Corn

 3.44 – 3.47

Soybeans

 9.35

Hard Wheat

 3.88

Soft Wheat

 3.51

 

 

Kansas City Truck Bids

 

Yellow Corn

3.42

White Corn

for Feb. delivery
no bid

Soybeans

9.51 – 9.56

Hard Wheat

4.33

Soft Wheat

 3.96

Sorghum

6.19


USDA Cash Grain Prices

For more information, contact the 680 KFEQ Farm Department.
816-233-8881.

Not All Canada Ag Happy with TPP 11

Not all ag sectors in Canada are thrilled with the Trans-Pacific Partnership Agreement, known as the Comprehensive and Progressive Trans-Pacific Partnership, or TPP 11. Canada’s dairy and chicken producer groups claim the deal will “chip away” at their markets. Chicken Farmers of Canada says the agreement still includes concessions on market access for chicken products in response to U.S. demands. AgCanada reports Canada granted those concessions in 2016 coming out of negotiations for the original TPP trade deal, before the U.S. withdrew from the 12-country agreement early last year. With the U.S. out of the partnership, the group said, “those concessions should have been taken off the table.” A spokesperson for Chicken Farmers of Canada says the nation has “reached the limit” of concessions for any future negotiations, referring to the North American Free Trade Agreement, adding that if the U.S. wants market access to Canada “they are welcome to rejoin” the TPP 11 agreement. Dairy Farmers of Canada agreed, calling NAFTA “another vehicle that threatens to weaken the Canadian dairy industry.”

2018 Drought Concerns Shifting South

Last year, drought worries centered around the northern Plains and grazing conditions in the Dakotas and across Montana. Those areas remain dry, but the intensity has weakened, according to the latest U.S. Drought Monitor. Moving into 2018, drought intensity and area is spreading, extending over the Southwest, southern Plains and Great Plains, according to the American Farm Bureau Market Intel service. Parts of Texas have not seen any measurable precipitation for more than 100 days. A swath from northern Texas, extending into parts of the Oklahoma panhandle region, and further into southern Kansas, is rated in extreme drought, according to the monitor. All of Oklahoma falls under a drought classification, with much of the state rated in moderate drought. The Monitor reports that agricultural impacts from the drought are being felt in Utah, Kansas and Oklahoma, and include decreasing hay and soybean yields, deteriorating wheat and grazing conditions, and decreasing water supplies as ponds and wells are going dry. Some of these effects started from moisture deficits dating back to the summer of 2017. Meanwhile, much of the Western Corn Belt is under some form of classified drought.

NAFTA Wheat Groups Call for Successful Agreement

Wheat organizations from The U.S., Canada and Mexico are urging negotiators to reach a successful North American Free Trade Agreement. In a letter addressed to negotiators and President Donald Trump, several wheat-based groups from the three nations detailed the importance of the trade agreement to wheat growers and their associated industries. National Association of Wheat Growers President Gordon Stoner says: “The fact that wheat producers and end users from all three countries would speak with one voice about the importance of NAFTA should speak volumes to our leaders.” In the letter, the groups emphasized that an updated trade deal is critical to ensure that all stakeholders can work together to provide the highest quality products at the greatest value for both the supply chain and consumers. Further, the letter states that an integrated supply chain between the three countries is only effective with NAFTA in place.

Thursday’s closing grain bids

January 25th, 2017

 

St Joseph

 

Yellow Corn

3.30 – 3.35

White Corn

no bid

Soybeans

9.40 – 9.46

LifeLine Foods

 3.41

 

 

Atchison

Yellow Corn

 3.43 – 3.45

Soybeans

 9.42

Hard Wheat

 3.80

Soft Wheat

 3.44

 

 

Kansas City Truck Bids

 

Yellow Corn

3.42

White Corn

for Feb. delivery
no bid

Soybeans

9.57 – 9.60

Hard Wheat

4.25

Soft Wheat

 3.90

Sorghum

6.17


USDA Cash Grain Prices

For more information, contact the 680 KFEQ Farm Department.
816-233-8881.

Canada says no NAFTA dairy negotiating room with TPP 11 agreement

(NAFB) With an agreement on the Trans-Pacific Partnership in place, Canada says there is now no room to negotiate it’s dairy pricing scheme through the North American Free Trade Agreement. TPP-11, as it’s called, will be signed in March by the 11 remaining member countries. The agreement was reached a day shy of a year after President Trump removed the United States from the original trade pact. Canada agreed to make some changes in TPP to its dairy market, benefiting dairy-exporting countries, such as New Zealand. That means, according to Politico, Canada’s dairy industry has zero concessions left to make in NAFTA. The United States dairy industry wants Canada to change its pricing program, which the U.S. says is leading to an excess of milk protein concentrates on the market. Some say, however, that the TPP agreement should give the U.S. negotiating leverage against Canada, along the lines of: “You just signed away access for dairy market in the TPP; why is that not good enough for NAFTA?” The latest round of NAFTA Negotiations is underway in Montreal, Canada.

USDA released farm bill principles

During a Wednesday event, Agriculture Secretary Sonny Perdue released the Department of Agriculture Farm Bill Principles. Perdue announced the principles as part a trip to Pennsylvania, while holding a town hall meeting. Through interacting with producers, USDA says the agency developed the principles to share with Congress as lawmakers craft the next farm bill. A document released by USDA says the agency supports a farm bill that provides a farm safety net to help farmers during down economic times, promotes crop insurance as a risk management tool, increases access to farmland for new and beginning farmers, and supports conservation programs. USDA also says the next farm bill should seek to improve U.S. market competitiveness and help open international trade markets. As for nutrition programs, USDA says the next farm bill should support work as the pathway to self-sufficiency, well-being, and economic mobility for individuals and families receiving supplemental nutrition assistance.

Wednesday’s closing grain bids

January 24th, 2017

 

St Joseph

 

Yellow Corn

3.31 – 3.36

White Corn

no bid

Soybeans

9.40 – 9.45

LifeLine Foods

 3.43

 

 

Atchison

Yellow Corn

 3.44 – 3.47

Soybeans

 9.37

Hard Wheat

 3.78

Soft Wheat

 3.43

 

 

Kansas City Truck Bids

 

Yellow Corn

3.43

White Corn

for Feb. delivery
no bid

Soybeans

9.57 – 9.61

Hard Wheat

4.23

Soft Wheat

 3.88

Sorghum

6.19


USDA Cash Grain Prices

For more information, contact the 680 KFEQ Farm Department.
816-233-8881.

TPP-11 Puts U.S. Wheat Exports at Risk

U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) are expressing concern that a revised Trans-Pacific Partnership that excludes the United States puts overseas demand for U.S. wheat at serious risk. “On January 23, 2017, exactly one year ago, President Trump announced the United States would pull out of the TPP. The announcement today that the eleven remaining TPP members have concluded talks on a revised deal without us sends another discouraging signal to our long-time wheat importing customers in Japan,” said Ben Conner, USW Director of Policy. Japan imports an average of 3.1 million metric tons of U.S. wheat every year. After full implementation of the new TPP, Japan’s import tariffs on Canadian and Australian wheat would drop by about $65 per ton. “That would put U.S. wheat producers at a total price disadvantage of more than $200 million per year from TPP alone,” Conner said. “As the agricultural community warned when the President made the announcement, withdrawing from TPP was shortsighted and unnecessary, and now U.S. wheat farmers could take the hit.” “As expected, the remaining members of TPP are moving forward without the United States,” said Gordon Stoner, NAWG President and a wheat grower from Outlook, Mont. “If nothing else, this announcement should serve as a rallying cry for farmers, ranchers and dairy producers calling for the new trade deals we were promised when the President walked away from TPP. The heat needs to be turned up on the administration and on trade negotiations with Japan. An already stressed agriculture sector needs the benefit of free and fair trade now.” The so-called TPP-11 countries include Canada and Australia, which are major competitors to the United States in the Japanese wheat market. Other TPP countries with rapidly growing demand for imported wheat include Mexico, Vietnam, Malaysia, Chile and Peru. Singapore, Brunei and New Zealand round out the remaining TPP partner countries.

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