“Within the livestock markets, we have some issues with dealer
payment defaults,” Good said. “We want to see better protection for
producers so they can get paid.”
The USDA has worked closely with many entities within the livestock
industry. And in doing so, they’ve cultivated a positive, open network
that wasn’t necessarily there previously.
“They the USDA has been great to work with. They got the study
done on time and it was very positive,” Good added. “They found that
the trust would be a big help to the industry and now we are working
with Congress to see that put in place. The Trump administration
has done a great job of tackling that.”
Legalizing hemp production was one of the other major changes
producers saw in the 2018 farm bill. Dispensaries are quickly popping
up in towns across the nation as a direct result of this change in 2018.
“Anytime we introduce another crop to grow other than corn,
soybeans, and wheat, and if they can find a market for that, it helps
producers’ livelihood and fill that fiber gap,” Sampson said of the
novel crop. “It’s also giving chemical and seed companies something
new to work with because the introduction of industrial hemp
requires new herbicides and possibly new seed treatments. It’s just
another thing that helps give us farmers a competitive advantage.”
Some agricultural insurance and protection programs were also
changed in the farm bill to help mitigate risk.
TRADE TWEETS
Possibly the hottest topic when it comes to President Trump relates
to his twitter account. He’s more than outspoken on a social media
platform that limits authors to only 280 characters and doesn’t allow
tweets to be edited. Producers might not agree with Trump’s main
form of communication, but most stand behind his ideals and the
direction he’s attempting to take the country.
One of those directions is negotiating new trade deals with major
export destinations. The United States-Mexico-Canada Agreement
(USMCA) went into effect on July 1 and replaced the North American
Free Trade Agreement (NAFTA).
“The USMCA has given us some predictability for U.S. beef across
the North American market,” Good said. “Some of the big steps
forward from the Trump administration concerning trade includes
leveling the playing field and getting us beef access to Japan as well
as some access to China where a fifth of the world population lives.”
Phase 1 of trade negotiations with China were signed in late
January with intentions of moving forward with more discussions
for improved agreements. Unfortunately, COVID-19 disrupted those
conversations and has also dumped relations between the U.S. and
China in murky water.
“Something needed to be done with China, the trade policy wasn’t fair
for us or them,” Sampson said. “I don’t think Trump has attacked full
force yet, but he has caused a lot of shakiness in the market.”
The trade agreement with China was intended to greatly bolster
the agricultural markets. Historically, China’s highest U.S. import
of agricultural goods reached $26 billion in 2012. The agreement
increased that number to $40 billion.
Experts are skeptical that China will be able to deliver on this promise,
but it’s certainly one of the stronger trade deals agriculture has seen
in recent years.
“From the livestock perspective, we’ve seen increased access to
trade rather than the other way around,” Good said.
THE BEEF
“Trump has been a huge champion for rural America and the cattle
industry in particular,” Good said. “We work with the USDA every day,
and one thing we’ve seen improvement in is the culture of regulation.
With Purdue at the helm, the USDA has a mindset that our goal,
together, is to do right and feed everyone.”
Past presidential administrations used their agencies to play big
brother, but Trump and U.S. Secretary of Agriculture Sonny Purdue
have played the game a bit differently.
“The USDA is focused on how we work together and giving us the
tools we need to do everything the right way,” Good said. “The culture
is focused on being helpful. Some of the regulation roll backs have
also been helpful. An example would be the U.S. Waters of the World
(WOTUS) rule.”
Introduced in 2015 under the Clean Water Rule, WOTUS was viewed
as a gross overreach of power from President Barack Obama and
his administration. Although the intent was to clearly define federal
jurisdiction over waterways, producers saw it as a way to get in
trouble for their animals walking through ditch water. As far-fetched
as the Obama administration said that claim was, Trump knew
WOTUS wasn’t a fair way to accomplish the original goal.
“From a livestock producer standpoint, the repeal allows us the
peace of mind that if you have a question or concern you can talk to
the USDA,” Good said. “The USDA are your partners and aren’t out
to get you. It helps us be more productive in our day-to-day work.”
Part of that day-to-day work involves protecting workers at packing
plants during a global pandemic. When COVID-19 began showing up
in packing plants, the government was on hand to help.
Businesses worked with the government to spread people out and
provide personal protective equipment (PPE) while continuing to
operate. Packing plants are built with efficiency and safety in mind, which
made spreading people out a difficult and somewhat costly process.
Another concern from the livestock industry through the pandemic
was the supply and demand spread for beef prices. Food flew off the
shelves when the quarantine began; ground beef in particular was in
high demand and packing plants took advantage of this spike in sales.
“We saw lower prices for cattle and higher prices for beef when the
pandemic started,” Good explained. “The Department of Justice
is investigating packing plants and trying to see if they are too
consolidated and if there is any illegal activity going on.”
Trump has made public comments about his support for the
investigation. The huge profit margins for the packers while
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