In This Issue:
Food Export Association of the Midwest is partnering with the International Marketing Program to host a new virtual event on July 22. The event will focus on market opportunities in Mexico and Canada. Utilizing the expertise of Food Export's in-market representatives we will take a look at USMCA implications, labeling requirements, market opportunities and more!
9:00 am EDT – Welcome and Introductions, Michigan Department of Agriculture and Rural Development, Food Export-Midwest
9:30 am EDT – Canada Market, Food Export In-Market Representative Kathy Boyce
10:30 am EDT – Break
10:45 am EDT – Mexico Market, Food Export In-Market Representative Raul Caballero
11:45 am EDT – Q & A
12:00 pm EDT – Questions, wrap-up and evaluations
Registration Deadline: July 22, 2020 - $25 per person
Click here to register
We would like to congratulate Allie Fox VanDriel on her new position with the U.S. Department of Commerce’s International Trade team in Grand Rapids. Her last day with MDARD is July 15, 2020. We wish her the best of luck in this new role!
In May, Jamie Zmitko-Somers stepped into the role of Acting Deputy Director for MDARD. Donna LaCourt is now the Acting Program Manager for the Food and Agriculture Development Division’s International Marketing Program.
Please continue to reach out to Kathryn and Donna for your export questions—we are here to assist you with your company's goals!
By: Food Export Association of the Midwest
U.S. agriculture depends on international trade. More than 20 percent of U.S. farm and food products are exported. Those exports support more than one million U.S. jobs and generate much-needed economic activity across rural America. Trade agreements with other countries are essential to the growth, development and increase of exports from the U.S. Here's a brief overview of the latest information.
U.S.-Japan Trade Agreement
The Office of the United States Trade Representative shared facts Sept. 25 regarding agriculture-related provisions of the U.S.-Japan Trade Agreement. This agreement will provide U.S. farmers and ranchers enhanced market access in our third largest agricultural export market and will enable U.S. producers to compete more effectively with countries that currently have preferential tariffs in the Japanese market. The deal the President is delivering will provide farmers, ranchers, and agribusinesses with market access for high quality U.S. food and agricultural products to 127 million Japanese consumers.
In the U.S.-Japan Trade Agreement, Japan committed to provide substantial market access to U.S. food and agricultural products by eliminating tariffs, enacting meaningful tariff reductions, or allowing a specific quantity of imports at a low duty (generally zero). Importantly, the tariff treatment for the products covered in this agreement will match the tariffs that Japan provides preferentially to countries in the CP-TPP agreement.
Key Elements: Of the $14.1 billion in U.S. food and agricultural products imported by Japan in 2018, $5.2 billion were already duty free. Under this first-stage initial tariff agreement, Japan will eliminate or reduce tariffs on an additional $7.2 billion of U.S. food and agricultural products. Over 90 percent of U.S. food and agricultural imports into Japan will either be duty free or receive preferential tariff access once the Agreement is implemented.
Tariff Reduction: For products valued at $2.9 billion, Japan will reduce tariffs in stages. Among the products benefiting from this enhanced access will be:
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Frozen beef
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Fresh pork
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Frozen pork
Tariff Elimination: Tariffs will be eliminated immediately on over $1.3 billion of U.S. farm products including, for example:
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Almonds
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Blueberries
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Cranberries
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Walnuts
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Sweet corn
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Grain sorghum
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Food supplements
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Broccoli
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Prunes
Other products valued at $3.0 billion will benefit from staged tariff elimination. This group of products includes, for example:
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Wine
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Cheese and whey
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Ethanol
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Frozen poultry
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Processed pork
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Fresh cherries
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Beef offal
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Frozen potatoes
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Oranges
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Egg products
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Tomato paste
Country Specific Quotas (CSQs): For some products, preferential market access will be provided through the creation of CSQs, which provide access for a specified quantity of imports from the U.S. at a preferential tariff rate, generally zero. CSQ access will cover:
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Wheat
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Wheat products
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Malt
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Glucose
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Fructose
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Corn starch
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Potato starch
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Insulin
With Japan’s $5 trillion economy, this Agreement will expand U.S. food and agricultural exports, increase farm income, generate more rural economic activity, and promote job growth.
U.S.-Mexico-Canada Agreement (USMCA)
Canada and Mexico are the U.S.’s top agricultural export markets, totaling a combined $40 billion in 2018. In fact, 29 percent of all U.S. farm and food exports went to our North American neighbors last year, supporting well over 300,000 American jobs. The U.S.-Mexico-Canada Agreement, or USMCA, will ensure preferential market access for U.S. farm and food products and solidifying commitments to fair and science-based trade rules.
In September 2018, the U.S. reached an agreement with Mexico and Canada in the renegotiation of the North American Free Trade Agreement (NAFTA). When finalized and implemented, the new U.S.-Mexico-Canada Agreement (USMCA) will further strengthen the highly productive and integrated agricultural relationships, ensuring preferential market access for U.S. exporters and solidifying commitments to fair and science-based trade rules.
Trade shows, buyers missions, and trade missions are important elements to securing export success. In the third and final installment of our maximizing meeting success, we’ll share valuable tips and information about the process of engaging with foreign buyers. This edition will provide tips on the third step to success: meeting follow up.
3 Steps to Maximizing Trade Show Success Series: Follow-up
Information: Take the information you recorded from the meeting and do some initial research. Does the company look legitimate? Do they have a website? Taking a few minutes to do a basic search can help eliminate buyers that may not be a good fit for your company.
Timeliness: Reaching out to the foreign buyers in a timely fashion will indicate your interest in working with them. Some business relationships may be slower to develop, so be sure to take time to build relationships with them.
Follow-up: When following up, include any information your records indicated the buyer was seeking. This could be product information, pricing, or product sample information.
Virtual Event: New Trade Deals: 2020 and Beyond in Canada & Mexico
July 22, 2020 | Online
Food Export Virtual Connect
August 12-13, 2020 | Online
Virtual Trade Mission to Canada
August 31-Sept 3, 2020 | Online
Expo ANTAD
October 14-16, 2020 | Guadalajara, Mexico
SIAL Paris
October 18-22, 2020 | Paris, France
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