The Bull

Friday 17

August, 2018 5:44 PM



US official says talks with EU will include agriculture

US official says talks with EU will include agriculture

Agriculture will be part of the negotiations between the United States and the European Union, whether Brussels wants to discuss it or not, US Agriculture Secretary Sonny Perdue said Monday.

Share |

31.07.2018 05:18 PM

Agriculture will be part of the negotiations between the United States and the European Union, whether Brussels wants to discuss it or not, US Agriculture Secretary Sonny Perdue said Monday.

He told reporters that "while they may love for agriculture to be outside the scope, it's very much in our interests to address that with the EU, particularly on the non-tariff barriers that they continue to promulgate."

Even though an EU official denied the topic was part of the agreement reached last week between President Donald Trump and EU Commission President Jean-Claude Juncker, Perdue said Monday that, "frankly that is not in keeping with our understanding."

Perdue raised another point of contention over Europe's "increasingly aggressive" moves to "trademark" common food names like feta or mozzarella that have been sold in the US for 100 years.

Brussels wants to prevent other countries from using the geographic names and "we don't plan to comply with that," he said.

Trump and Juncker last week announced a truce in the ongoing trade dispute over US tariffs on steel and aluminum and proposed duties on autos, as well as the EU's retaliation against key US goods.

Buying more US soybeans?

Trump boasted on Thursday before an audience of farmers that "we just opened up Europe for you farmers" but Juncker's spokesperson disputed that interpretation.

Sectors in the EU and US have long resisted addressing the subsidies and trade barriers in their economies.

Made to reporters during a trip to Puerto Rico, Perdue's comments echoed those of Treasury Secretary Steven Mnuchin who insisted Sunday the leaders discussed "the need to break down the barriers on agriculture."

The joint statement said Brussels and Washington would "work to reduce barriers and increase trade" in a range of products including soybeans.

Perdue agreed Europe was likely to import more soybeans from the United States given the price differential with Brazilian grain but the agreement with Juncker went beyond that. 

"But I also believe there was a commitment to try to enhance that even more maybe than normal market transactions would have precipitated," Perdue said.

US farmers have been hard hit by China's retaliatory tariffs on American exports, particularly soybeans, which have driven prices lower, prompting Trump's team to announce $12 billion in aid for farmers.

With demand from China rising, the price for August soybean shipments from Paranagua, Brazil was $402.50 a ton on Monday, compared to $340 from Louisiana, the largest US soybean export port.
Archive
Markets
Index: Points Change Percent

PLEASE SUPPORT OUR SPONSORS, AUSTRALIA'S LEADING BROKERS:



© Copyright TheBull.com.au. All rights reserved.