New Delhi: After Washington imposed steep tariffs on trade partners, American farmers are facing several constraints, including increased costs, shifting markets, and mixed impacts on different agricultural sectors.
“The long-term consequences of trade wars on US agriculture remain concerning, as shown by how China permanently shifted soybean imports from the US to Brazil following the previous trade war, despite temporary government assistance to affected farmers,” predicted a report published in April this year by the public policy think tank American Enterprise Institute. In his first term as the United States President, Donald Trump had initiated almost similar protectionist trade measures, which led to trading partners slapping retaliatory tariffs. Once again, China has decided not to buy US produce like soybean, American corn, etc.
In 2024, Beijing purchased almost half of America’s soybean exports. Now, it is sourcing its requirements from other nations like Brazil and India.
For American corn, while China bought products worth $5.2 billion in 2022, the value fell to about $331 million in 2024.
Overall, US corn exports fell from $18.57 billion to $13.7 billion in this period, said trade reports.
The situation remains almost similar for other crops as well.
While demands in key markets are shrinking, production costs are rising. Though the United States Department of Agriculture (USDA) has allocated $10 billion under the Emergency Commodity Assistance Program, farmers continue to face uncertainty. (IANS)
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