April 8, 2022
In This Issue:
  • Agreement Reached to Open Mexican Market to U.S. Potatoes by May 15
  • NPC Urges “Trust but Verify” Stance with Apparent Mexico Trade Deal
  • Senate Ag Leaders Call on President Biden to Fill Ag Trade Vacancies
  • House Members Call on Presidential Action to Address Rising Farm Inputs
  • Last Call! Renew Your Grower Supporter Contribution by April 9
Agreement Reached to Open Mexican Market to U.S. Potatoes by May 15

This week in Mexico, U.S. Secretary of Agriculture Tom Vilsack met with Mexico Secretary of Agriculture and Rural Development Victor Villalobos to discuss their shared priorities on agriculture trade, science-based policy making, and sustainable and climate-smart agricultural production. At the conclusion of their meetings on Tuesday, Secretaries Vilsack and Villalobos announced the two countries “have concluded all necessary plant health protocols and agreed to a final visit by Mexican officials in April that finalizes expanded access to the entire Mexican market no later than May 15 for all U.S. table stock and chipping potatoes according to the agreed workplan.”

During a press availability after the meeting, Politico (subscription required) reported that Secretary Vilsack called Mexico's agreement to live up to its trade obligations to allow U.S. potatoes full access by May 15 the "most significant" announcement from his visit with this Mexican counterpart. 
NPC Urges “Trust but Verify” Stance with Apparent Mexico Trade Deal

In response to the news out of Mexico, the National Potato Council issued this statement:

“The National Potato Council appreciates today’s positive announcement and thanks Secretary Vilsack and the teams at USDA and USTR for their efforts to ensure that Mexico lives up to its bilateral trade obligations. Given the history of this 25-year trade dispute, we are waiting to declare victory until we see durable exports of both fresh processing and table stock potatoes throughout all of Mexico as required by the November 2021 signed agreement. We hope the April site visit by Mexican officials will be the last hurdle we need to clear and that no last-minute roadblocks will be erected prior to Mexico finally – and permanently – reopening its border to U.S.-grown potatoes.”

Mexico is the largest export market for U.S. potatoes and products valued at $394 million in 2021. Despite the restriction to the 26-kilometer border region Mexico is the second-largest market for fresh potato exports accounting for 124,449 metric tons valued at $60 million in 2021. The U.S. potato industry estimates that access to the entire country for fresh U.S. potatoes will provide a market potential of $250 million per year, in five years.
Senate Ag Leaders Call on President Biden to Fill Ag Trade Vacancies

Senate Agriculture Committee Chair Debbie Stabenow (D-Mich.) and Ranking Member John Boozman (R-Ark.) sent a letter to President Biden this week encouraging him to quickly nominate candidates to fill the open positions of USTR’s Chief Agricultural Negotiator and USDA’s Undersecretary for Trade and Foreign Agricultural Affairs. The letter notes the increasing competition in global agricultural markets and the importance of the U.S. agricultural trade agenda in the midst of high input costs, supply chain challenges, and the effects of world economic events.
 
“Global agricultural markets are highly competitive. Every day, new trade barriers against American agricultural products are being devised to limit our access. We need strong advocates who understand the needs of American farmers, ranchers, and foresters, and will represent their best interests on the world stage,” the Senators wrote.
 
The letter, which can be found here, was also signed by Senator Mike Crapo (R-Idaho).
House Members Call on Presidential Action to Address Rising Farm Inputs

USDA’s Foreign Agricultural Service (FAS) published a report on Wednesday that analyzed the war in Ukraine and other factors that have contributed to high commodity prices and food insecurity. The study found that a number of factors have converged over the last 18 months to send global agricultural commodity prices to near-record levels, including increased global demand, led by China; drought-reduced supplies; tightening wheat, corn, and soybean stocks in major exporting countries; high energy prices pushing up the costs of fertilizer, transportation, and agricultural production; and countries imposing export bans and restrictions, further tightening supplies.

In response to the increased price of inputs, Rep. Tom Emmer (R-Minn.) and 96 of his colleagues sent a letter to President Biden urging action on rising fertilizer prices. In the letter they note that, since January 2021, the prices of key fertilizer sources have substantially increased: anhydrous ammonia by 203%, urea by 141%, liquid nitrogen by 162%, monoammonium phosphate by 74%, potash by 125%, and farm diesel by 95%.

The members urge President Biden to review all available options to lower the cost of fertilizer, including, but not limited to:
  • Eliminating the cross-border vaccine mandate for transporters of essential commerce.
  • Using existing USDA authorities under the food supply chain and pandemic response resources to provide support for farmers facing financial difficulties.
  • Listing agricultural minerals like phosphate and potash as part of the Department of the Interior’s crucial mission.
  • Increasing U.S. gas production.
  • Approving pending export permits at the Department of Energy for liquified natural gas. 
Last Call! Renew Your Grower Supporter Contribution by April 9

The contributions of last year’s Grower Supporters were critical in supporting NPC’s successful efforts to deliver the largest federal disaster response ever provided to the U.S. potato industry. But our work in Washington, D.C. is not done. With a Congress and Administration focused on issues that could impact the ability of our growers to farm, NPC’s advocacy efforts are more important than ever.

In order to be successful in 2022 and beyond, we need your help. Renew your support for NPC by April 9 to join the 2022 Grower Supporter campaign, and help amplify the potato industry’s voice in our nation’s capital. 

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National Potato Council
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