U.S. Should Create a Fair Trade Framework That Puts Family Farmers, Ranchers, & Rural Communities First
The National Farmers Union released today public comments it has made to the Trump Administration regarding re-negotiation of the North American Free Trade Agreement.
In public comments submitted today to U.S. Trade Representative Robert Lighthizer, Johnson highlighted the shortcomings of the United States’ current free trade paradigm, citing its contribution to the massive U.S. trade deficit and abandonment of U.S. sovereignty to the detriment of farming and rural communities. He urged Lighthizer to use the NAFTA renegotiation as an opportunity to create a new, fair trade framework for future trade deal negotiations.
“While exports and trade are essential to family farmers and ranchers, free trade agreements too often result in the corporate consolidation of power that ultimately undermines the economic opportunity for farmers,” Johnson wrote. “Renegotiation of NAFTA should prioritize family farmers and ranchers, not agribusiness, and the working people across our country.”
In his comments, Johnson stated that NFU has long been concerned with the nation’s massive and persistent trade deficit that U.S. trade negotiators have failed to address in past negotiations. In 2016, the U.S. accumulated a trade deficit of $502.3 billion, which represented a 3 percent drag on the U.S. gross domestic product (GDP).
“While agriculture typically maintains a trade surplus, which is beneficial, it represents less than 4 percent of the overall trade deficit,” he added. “Unfortunately, in recent years, even the agricultural trade surplus has declined. Free trade agreements have not resulted in a stable positive balance of trade for U.S. agriculture.”
Johnson noted that free trade agreements – which typically operate under the framework that NAFTA initiated – have benefited multinational corporations, often at the expense of farming and rural communities.