Reports: Trade aid payments may hit WTO limits, prices may go low, Iowa GOP likes tariffs
The Trump administration’s trade aid payments in 2019 may cause the United States to exceed its World Trade Organization limits on domestic support levels, Joseph Glauber, the former Agriculture Department chief economist, wrote in a paper published by the American Enterprise Institute.
Glauber said the size of those payments could encourage WTO members to challenge U.S. agricultural spending before the WTO Dispute Settlement Body and may make it difficult for the United States to seek further reforms in the WTO.
At the same time, the Food and Agricultural Policy Research Institute (FAPRI) at the University of Missouri said that prices could fall again in 2020-21 if more typical planting conditions next spring contribute to a larger harvest next fall.
And a Des Moines Register/CNN/Mediacom Iowa Poll showed that three-fourths of Iowa’s registered Republicans back President Donald Trump’s approach to trade with China, and half say his tariffs have done more to help than harm Iowa agribusiness.
–The Hagstrom Report