Last week, we reported on the Section 301 hearing addressing Brazil’s unfair trade practices and their impact on U.S. agriculture and trade sectors. To better understand the path forward, we spoke with Kent Bacus, Executive Director of Government Affairs with the National Cattlemen’s Beef Association (NCBA), who provided insight into the process now underway.
“Now that USTR and the government-wide commission has taken on this information, they’re going to develop a list of recommendations for the president to determine what’s the best course of action.”
While much of the public focus has been on the beef industry, the scope of the hearing was much broader. “And keep in mind, this is not limited to just beef. You had several other big agricultural interests that were represented there. Pork producers were involved, several of the different row crops that have issues there.”
The hearing also included testimony from industries beyond agriculture. “The ethanol industry was also present. They’ve had a lot of other issues. And then you had digital trade, a lot of other services that have really felt the squeeze of the Brazilians in that market.”
Bacus emphasized that the outcome won’t be limited to a single remedy. “So I don’t think it’ll be just a one-shot deal. There’ll be multiple tools that our government can use. But ultimately, this is the opportunity to hold the Brazilians accountable and bring them to the table and help them understand that if you’re going to do business in the United States, there are expectations that you have to meet.”
He continued, “There’s no right to do business here as a foreign country. It is a privilege. And in order to do so, you need to be able to meet our standards and you have to earn the trust of US consumers.”
“And for us, that’s exactly what we want. We want a fair and level playing field. We have not had that. And that’s why we are encouraged by the administration taking this approach.”
As the U.S. Trade Representative (USTR) develops its list of recommendations, the agriculture, ethanol, and digital sectors are watching closely for potential action that could rebalance the trade relationship with Brazil.
Audio Reporting by Dale Sandlin for Southeast AgNet. What’s Next After Brazil Section 301 Hearing
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