Climate Smart Agriculture
A 90 day report on climate smart agriculture is out. Secretary of Agriculture Tom Vilsack announced a strategy requested by President Biden’s ‘Executive Order on Tackling the Climate Crisis at Home and Abroad’. The order was signed a week after inauguration.
Secretary Vilsack says that with the right tools and partnerships American agriculture can lead the world in solutions that will increase climate resilience, sequester carbon and enhance productivity while keeping environmental benefits. The report shows a strategy of preparing the USDA to quantify and report on climate activities, use existing programs, strengthen education and training and add research.
Trade Legislation Expiration
With no new trade deals in sight, major trade legislation could expire. Trade Promotion Authority allows the President to speed trade deals through Congress, making it so no deal breaking amendments are added. It’s considered an important piece of getting major trade deals like USMCA passed.
However, there is a 90 day notification requirement ahead of a July 1st expiration – making it likely that TPA will likely expire. American Farm Bureau trade adviser Dave Salmonsen says Congress could extend the formal deadline – especially since farm groups want more movement on trade with China, Japan, the United Kingdom and Kenya.
“At a certain point, though, and it doesn’t seem like there’s any trade agreements right now ready to be submitted, I think the administration and Congress at some point will have to get together and work on a new Trade Promotion Authority. But, as we heard last week with Ambassador Tai spoke to both Senate Finance and House Ways and Means Committee hearings, it doesn’t sound like they’re quite ready yet to engage with that issue,” Salmonsen says.
According to Trade Representative Kathrine Tai, the Biden Administration wants to get past the pandemic and have bipartisan support before moving to trade.
A Look at the Markets
Over in the markets, a little recovery from Wednesday. Analyst Dan Hueber has more:
“Corn was under pretty good pressure, but snapped back nicely and a lot of that was helped by a real strong ethanol number for last week and that helped boost things up nicely. Beans taking just a little harder this week, now granted, the bean business has shifted to South America, export sales were like corn, which is continuing to see China buy more corn but markets know about that commercials know this is what pricing functions. But regardless, beans there’s just not a whole lot of demand other than the crushers domestically at this point in time, and the crushers were a little bit disappointing. The cattle market been on a nice recovery coming off of some retracement levels here, a couple weeks ago. Now I’m surprised we didn’t get a little reaction from the news on Monday Argentina announced they are suspending for 30 days all exports of beef. As for hogs, hogs are bouncing back a little today, we’ve posted a nice rally thus far, after Monday is still under pressure, but been stronger each day since.”