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NCBA President Bill Donald on passage of trade agreement

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Faster horses

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--Drovers

WASHINGTON – National Cattlemen’s Beef Association President Bill Donald released the following statement after the U.S. House of Representatives and U.S. Senate yesterday, Oct. 12, 2011, passed the free trade agreements with Colombia, Panama and South Korea. The statement is available via video here. The following is the statement.

“Well, today I’m in the nation’s Capitol and it is a great day for cattlemen all across the country. Why, you might ask? Because yesterday Congress ratified three important free trade agreements: Panama, Colombia and South Korea.

“We’ve been working on these for over five years, and the reason we’ve been so passionate and working so hard on them is because they will increase demand for our product. It’s like putting your product on sale for 40 percent off and you get to keep the same amount of money.

“You know, the president has been sitting on these waiting for the right time, and he finally passed them on to Congress. Congress acted very quickly and got them ratified. Now it’s off to the president’s desk to be signed into law. And then, we will begin to reduce those tariffs from 40 percent in Korea, down to zero. That’s a big number for America’s ranchers.”

see the video at:

http://www.cattlenetwork.com/cattle-news/latest/NCBA-President-Bill-Donald-statement-on-passage-of-trade-agreements-131781908.html
 

mrj

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Thanks for posting this good news, FH. We support the FTA's and certainly hope Obama signs it into law NOW! He dithered way too long in sending it to Congress, and cost us too much essential income for US cattle producers.

Some fearmongers won't see it my way, but if we export for top dollar, some of our top quality beef which is more difficult to sell here, given todays' financial woes, and import a little low cost, low fat trim for hamburger, which is in short supply here, isn't that a win, win situation for US producers and consumers alike???
 

Sandhusker

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With every free trade agreement comes a trade deficit.

Isn't having your product in short supply a desirable condition via the laws of supply/demand?
 

mrj

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Isn't having a mutually beneficial trade in beef between the USA and other nations a good thing?

Please explain "with every trade agreement comes a trade deficit".

Which products of countries involved in these trade agreements do any of you expect will be coming to the USA?

We export high dollar cuts which aren't selling so well here, and import low cost, low fat beef which is in shortest supply here and mix with our high priced, too fat trim to make hamburger which is a little more affordable because of that imported beef.

Imported beef has to be inspected just the same as US produced beef and the same checkoff rate is paid as on beef we raise.

Both exporting and importing creates more jobs.

Imports of beef are very low right now.

Re. imports we get from some of these nations, while it may be nice, even more tasty, to eat 'local' foods, there won't be any fruits and veggies produced within a LOT of miles from me, so I rather enjoy those sent from more favorable climates.

I further believe it will be great to get OUR products into those countries at much less import tax than currently is possible.

mrj
 

Sandhusker

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We have a trade deficit with every nation that we have a free trade agreement with.

You say trim is high priced, SH says that it is "worthless". What is it?

Imported product only has to be inspected as an equivalent, and I don't trust countries like Mexico's "equivalent".

If trim is high priced, and you're the supplier of said trim, wouldn't you expect a higher dollar for that trim and a higher dollar for those animals that supply that trim? Isn't that what you're in the business for - to make money?
 

Mike

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Ross Perot's vision of that "Big Sucking Sound" created by NAFTA has come full circle. Since Jan 2001 alone, there have been 2.7 million manufacturing jobs that have left the USA. The jury is out on actually how many have been lost since NAFTA was enacted, but it is estimated in the teens of millions.

The "bargain shopper" model of economics has brought the U.S. to it's knees in the form of Trade Deficits with cheap goods flooding in from countries with lower labor costs, less regulations (which we should take a hard look at), lower production standards, etc. See Wal-Mart for a prime example.

Currently, beef imports are low only because of the de-valuation of the dollar, which is consequently caused inadvertedly by those Trade Deficits.

In the overall scheme of things, we might sell a little more beef to some countries with an agreed FTA, but they will buy it with money accumulated from the takeover of manufacturing losses here in the U.S. In other words, they'll be buying it with money that should be in our pockets to start with.


Beef prices are plenty high right now. It's the associated COSTS that are keeping profits low.

Look past your nose.............................................
 

Denny

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Mike said:
Ross Perot's vision of that "Big Sucking Sound" created by NAFTA has come full circle. Since Jan 2001 alone, there have been 2.7 million manufacturing jobs that have left the USA. The jury is out on actually how many have been lost since NAFTA was enacted, but it is estimated in the teens of millions.

The "bargain shopper" model of economics has brought the U.S. to it's knees in the form of Trade Deficits with cheap goods flooding in from countries with lower labor costs, less regulations (which we should take a hard look at), lower production standards, etc. See Wal-Mart for a prime example.

Currently, beef imports are low only because of the de-valuation of the dollar, which is consequently caused inadvertedly by those Trade Deficits.

In the overall scheme of things, we might sell a little more beef to some countries with an agreed FTA, but they will buy it with money accumulated from the takeover of manufacturing losses here in the U.S. In other words, they'll be buying it with money that should be in our pockets to start with.


Beef prices are plenty high right now. It's the associated COSTS that are keeping profits low.

Look past your nose.............................................

All while our people are un or underemployed living on cheap hotdogs an Ramen noodles.Where's the beef? Korea :wink:
 

VB RANCH

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north american free trade agreement, just that FREE trade not FARE trade. When and IF the American dollar is worth a dollar you will see all sorts of imports again. Who can buy a 10 dollar steak, who can raise a steak for any thing less, really sucks, but i guess thats life as we inherated it
 

mrj

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Well, boys, I guess we are of different minds on this issue. It will take some time to sort who is on the wrong track.

For the record, I believe the very fat US trim, WITHOUT additional lean trim available at a manageable cost IS "worthless", and I'm betting SH does as well!

Sometimes it does help to look at the big picture......outside our own little world. After all, over 94% of the world population lives OUTSIDE the USA! And many of them are increasing their incomes and lifestyles. Those folks can be our customers, or not, but it seems the world could be a better place if we trade with them, instead of just give them money.

So far as manufacturing jobs leaving the country, that has more to do with our nearly highest in the world tax rate on companies, and the unions' demands than any other reason. The people who have been displaced need to train for new jobs. There ARE jobs available, but some would rather remain jobless than move to new locations for work, or to train for new jobs, in too many cases.

The low imports just might have been a result of a very large and serious drought in Australia, as well as our dismal dollar value.

I'm not so sure beef prices are excessively high, and people still are buying it, even eating out at pretty high end restaurants, according to even the growth of new ones in Rapid City, SD. They are not, with one exception, true 'high end' places, but there has been a new Texas Road House, a Longhorn Steakhouse, and many others, some specializing in steaks, that have opened in RC in the past year. The upscale one, Dakota, features both beef and buffalo, from what I've read. Driving by all appear quite busy, tho we haven't had time to stop yet.

Yes, cattle prices are higher than we have had, but prices of what we HAVE to buy to produce it seem likely to be out pacing those increases.
Taxes definitely are! Our government is causing so much of our financial problems, and still people demand more services from it, more 'whats' in it for me' attitudes. I doubt any "costs" associated with processing our beef are going to drop much, with people demanding ever more pay.

I like the idea of making trade pacts that are more fair to the USA and dropping the ridiculous tariffs we have had to pay to get our goods into some nations, a welcome change from some past negotiations!

I don't belive for a minute those improvements are as a favor to us, but that they are demanded by the citizens of other countries wanting products they don't have. Doubtless, improvements could be made in our favor, but we have to start someplace, and these are vastly better than in past agreements.

mrj
 

Mike

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MRJ wrote: It will take some time to sort who is on the wrong track.

Just two questions, actually three.

How long has NAFTA been in effect?

Which way has our trade deficit gone since it came into effect? Up or down?

Are you on the gin again?
 

mrj

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Sorry to disappoint you, but I don't know what gin tastes like, since it isn't my 'drink' of choice. However, I may find out as I'm getting desperate for safer help for arthritis pain and just might give the raisins steeped in gin a try.

Is NAFTA the ONLY basis for your belief that trade agreements only benefit the 'other' nation(s)?

mrj
 
A

Anonymous

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burnt said:
You guys all sound like bona fide OWS types . . .

Well- I am highly skeptical about any so called "free trade" agreement- because I've watched them for 30 years-- and all we seem to do is lose more sovereignty on what we can do- get more restrictions put on by GATT and the WTO- the AFTA's, GAFTA's and the NAFTA's and the dozen other agreements lose manufacturing and production incomes-- and until the last couple years when we lowered our dollar down (our national individuals income) to better match the third world countries/companies is the first time we've seen our ranch production (our cattle) to even come close to what they should have been priced for years...

Meanwhile they keep shipping us subpar products that aren't caught until they find mule meat in one of the zillions of shipments of beef they actually check---or dogs and kids start dying with melamine adulterated food products... :roll: :( :mad:

But at the same time a major part of our nations population will be priced out of being able to afford the product- and more are unemployed and struggling to survive... :(

Is that really gaining when former third world countries eat steak- and the biggest share of the US population have to live on hamburger- if they can afford that... :???:
 

mrj

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OT, how many people in this country do you think are on some sort of assistance? Especially for food. Remember, the poorest in this country are considered wealthy by even the middle classes in many nation, and truly are, judging by what even the poorest families have here, compared with many other countries.

When I eat out, I see an awful lot of people also eating out, and they ARE eating steaks. The Texas Roadhouse and Out Back and other decent steak houses were so full, we gave up and went to a burger place a couple of times during the Cheyenne Frontier Days rodeo last summer. Granted, we don't eat out much excepting when we travel, and these mid-western states are not suffering as much (yet!) as in more heavily populated places. But, that is largely because people out here don't live as 'large' any time as many do in more populous places.

If any of you who believe we should not export, and that we should make sure everyone in this country can "afford to eat steak", how little are you going to be able to get for cattle you sell and still make a living raising cattle???

BTW, no small amount of what we export is parts of the animal people in the USA do not eat!!! Are you all going to find a market for all that stuff???

Something the Beef Checkoff has been doing is to work with many grocery stores and consumers, getting the stores to show consumers how to cut up larger cuts of beef into steaks and small roasts to put into their freezers at lower cost than buying a meals' worth at a time. Some stores even do the cutting themselves at no or very low cost, ending up with consumer paying considerably less than in buying a piece at a time. The consumer groups they have worked with appreciate the effort, as well as the lower priced, quality beef, they say.

Since schools no longer teach much in the way of home economics, some supermarkets are stepping up and showing consumers how to make better choices, and the Beef Checkoff benefits us by partnering in the effort to show how to make better beef choices for the consumer families. And some supermarkets in larger places have been doing this for a very long time, even assisting the Beef Checkoff in getting involved, especially with the recipes and beef information we did the research to assure accuracy of the information.

Re. export trade, it is a fact of life, and it is about time the US ag folks get a fair shake in the tariffs. Those three bills have been ready for a very long time, waiting on politicians to get desperate enough to finally act on them.

We have pushed for a long time to get some people involved in negotiations who had a prior experience as GOOD horse traders, tho. Ours in the past have been way too generous wih ou good products, and too willing to let others' keep their tariffs way too high.

mrj
 

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