Corn, Soybean Groups Weigh in on Trump, Trade, Tariffs

President Trump has moved forward with 25% tariffs on Mexico and Canada and an additional 10% tariff on China. We discuss Trump, Trade, and Tariffs on the latest Indiana Ag Policy Podcast with the National Corn Growers Association and American Soybean Association from Commodity Classic below.

Virginia Houston, Director of Government Affairs for ASA, says the tariff issue has several impacts. One significant one for farmers is going to be the price and availability of potash.

“We import 87% of that from Canada. The other major potash suppliers are Russia and Belarus, and due to their actions in the war in Ukraine, those exports have been basically cut off for U.S. farmers. So, we’re increasingly reliant upon those imports from Canada. But also, I think we would see a lot of market volatility. Markets don’t enjoy this uncertainty. They like to know what’s happening.”

We saw that on Tuesday with new crop soybeans moving much closer to that $10 mark.

Nancy Martinez focuses on trade for NCGA. She says while these trade issues can be disruptive to our markets, South American countries are ready to pounce on the opportunity.

“Countries like Brazil and Argentina, who are already coming online to be bigger and better in the agriculture space, they’re ready to take market share if we are limited in our export opportunities.”

Houston echoed that sentiment, saying Brazil has room to grow to help meet global demand.

“They have 200,000 hectares of pastureland they can convert to bean and corn production tomorrow if they so choose. And we just don’t have that much land available to compete. So, we have to look for ways to differentiate ourselves above what they are offering on the global marketplace.”

We discuss China as well on the Indiana Ag Policy Podcast. Listen below or wherever you listen to podcasts.