Mexico U.S. Are Set to Resume NAFTA Renegotiation Talks Today
The Mexican Economy Minister, Idelfonso Guajardo, will be in Washington D.C. today to meet with US Trade Representative, Robert Lighthizer, to continue discussions about modernizing and renegotiating NAFTA. A major point of contention between Mexico and the U.S. has been U.S. tariffs on cars manufactured in Mexico and President Trump wishes to preserve that ability, even going so far as instructing the Commerce Department to investigate if importing cars constitutes a threat to national security. Mexico placed a 20% tariff on all pork imports from the United States earlier this summer as a response to U.S. tariffs on automobiles. Mexico is America’s second largest market for pork exports, purchasing around $1 billion of pork products in 2017.
Export Sales Announcements
Private exporters reported to the U.S. Department of Agriculture export sales of 114,572 metric tons of corn for delivery to unknown destinations. Of the total 55,000 metric tons is for delivery during the 2017/2018 marketing year and 59,572 metric tons is for delivery during the 2018/2019 marketing year.
Argentina Halts All Exports Of Soy Meal And Oil Following Suspension Of Export Tax Reduction
Earlier this week, the Argentine government announced that it would suspend its program to scale down export taxes on both whole soybeans and soy meal and oil for 6 months. Soybean export taxes will remain frozen at 26% and meal and oil at 23%. The program to reduce the export taxes would have resulted in 23% for raw beans, meal, and oil by February 2019. The move to keep export taxes where they are is seen to bolster the Argentine bean crushing industry and to discourage some exports of raw, unprocessed beans to China. Argentina is the largest exporter of soy meal in the world and has a robust biodiesel industry that relies on soy oil as a feedstock. Following the news of the export taxes, the Ministry of Agriculture has halted all exports of soy meal and oil for 2 days as a way of preventing huge sales before the new tax plan is put in place. Sales will resume August 16.
Flash Flood Warnings Declared in SE Kansas As Storm System Moves through Southern Plains
The National Weather Service has issues flash flood warnings for parts of SE Kansas, in addition to warnings and watches already in place in E Oklahoma and W Arkansas. Thunderstorms have been moving through the area, bringing up to 7 inches of rain in some parts. Several inches of rain are also expected across the southern half of Illinois and into N Kentucky and S Indiana. The border between Kansas and Missouri will see 2-4 inches of rain this week, an area that has seen severe drought stress.
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