Background

Agricultural Trade with China Improving, Report Says

The Department of Agriculture and the Office of the U.S. Trade Representative recently issued an interim report highlighting the progress made to date in implementing the agricultural provisions in the phase one trade agreement with China.

The report asserts that China has implemented at least 50 of its 57 technical commitments in the agreement that have specific deadlines. These include structural changes such as streamlined regulatory processes and new and expanded market access such as lifting bans or restrictions on imports of U.S. poultry meat, beef, pet food, fruits, barley, and seafood. The report notes that the number of U.S. facilities that can export agricultural goods to China has increased from about 1,500 prior to the agreement to more than 4,000 today.

The report also states that China has purchased more than $23 billion in U.S. agricultural products, or about 71 percent of its target under the agreement. This includes all-time high sales of corn and pork and shipments of soybeans, sorghum, and beef that are several times higher than in 2017. Further, USDA expects 2020 sales to China to hit record or near-record levels for other U.S. agricultural products, including pet food, alfalfa hay, pecans, peanuts, and prepared foods.

However, information gathered by the Peterson Institute of International Economics indicates that as of September China had imported just $12.9 billion worth of U.S. agricultural products and the U.S. had exported $12.7 billion worth, both well behind schedule to meet China’s 2020 commitments of $36.6 billion and $33.4 billion, respectively, under the agreement.

Poultry from Switzerland

The USDA’s Animal and Plant Health Inspection Service is accepting comments through Dec. 28 on its intention to reinstate the animal health status of the cantons of Neuchatel and Ticino in Switzerland as free of Newcastle disease. This action would relax restrictions on the importation of carcasses, meat, parts or products of carcasses, and eggs of poultry, game birds, and other birds from these areas.

Imports of Dill and Orchids

APHIS is considering separate requests to authorize the importation of (1) fresh dill for consumption from Kenya and (2) moth orchid (Phalaenopsis spp.) for planting from the Netherlands. APHIS has drafted pest risk assessments that list the potential pests likely to remain on these commodities upon importation if no mitigation is applied. Comments on these assessments, including information that might lead APHIS to revise its assessments before identifying pest mitigations and proceeding with the commodity import approval process, are due by Dec. 3 (orchids) or Dec. 4 (dill).

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