U.S. farmers say Trump’s $12-billion China-tariff bailout not enough

[FriendlyFire]

Dont worry US farmers are use to taking it good and hard, I suspect for the first year of the trade war items like soy will be sent to Brazil to be crushed and resold to China. But next harvest China will be heavily investing agriculture in South America, Russia and alternatives such as palm oil. US farmers expect around a 15% foreclosure rate and next year foreclosure rates expect to increase to around 20%. If it reaches this point US farmers can kiss Chinese Agricultural markets goodbye

If were lucky Trump will also escalate the trade war with Mexico, Canada and the EU
And all the retaliatory tariffs will fall on Republican states

U.S. farmers say Trump’s $12-billion China-tariff bailout not enough

“It’s pretty obvious that the rural agriculture communities helped elect this administration, but the way things are going I believe farmers are going to have to vote with their checkbook when it comes time,” said Kevin Skunes, a corn and soybean grower from Arthur, North Dakota and president of the National Corn Growers Association.

Corn farmers get the smallest slice of the aid pie. Corn groups estimate a loss of 44 cents per bushel, but they’re poised to receive just a single penny per bushel.

“If these issues haven’t been resolved, there could be a change in the way farmers vote,” Skunes said. “A person has to consider all things.”

The Trump administration is providing up to US$12-billion in emergency relief funds for American farmers, with roughly US$6-billion in an initial round. The three-pronged plan includes US$4.7-billion in payments to corn, cotton, soybean, dairy, pork and sorghum farmers. The rest is for developing new foreign markets for American-grown commodities and purchasing more than two dozen select products, including certain fresh fruits and vegetables, nuts, meat and dairy.

“The level of damage is not the same for each commodity,” he said in a written response to questions submitted by The Associated Press.

He estimated that there would be more than 784,000 applications for relief.

“I am very certain that we will not sell any wheat to China this year,” Goule said. “The window we sell in has come and gone.”

The response among farmers has been mixed. While some are grateful for the help, most are eager for the trade disputes to be quickly resolved.

Jack Maloney says corn farmers will be getting so little in bailout aid that for roughly 200,000 bushels of corn a farmer would get only about US$2,000 for their losses.

“That’s not even beer money,” said the Brownsburg, Indiana, corn and soybean grower.

https://www.theglobeandmail.com/wor...us12-billion-china-tariff-bailout-not-enough/

 

[Timsup2nothin]

"The response among farmers has been mixed. While some are grateful for the help, most are eager for the trade disputes to be quickly resolved."

The fantasies of Republicans are remarkable in the distance from reality they drift.

 

[FriendlyFire]

Most of them are still hoping that Trumps Trade wars are good and easy to win is going to pan out for them
Plus the stock market is at an all time high and that is very important for US farmers

 

[Timsup2nothin]

That "quickly resolved" is pure fantasy. China has already started shifting into long term behavior designed to get them the best results from a trade war environment; as you noted, using the power of their giant market to establish cozy relationships with countries around the world that will be overjoyed to be invested in. They are also no doubt going to use the WTO to make sure that any ending of the trade wars Trump has started involves heavily painful reparations levied on the US. With the US a demonstrably unreliable partner the few things that the US is really competitive in on the world market will be poised for competition as they have never seen it before, and that competition will mostly come from China.

Trade wars are easy to win...when your domestic market is five times the size of the other side's. Trade wars are easy to win...when you have partners and the other side has alienated all of theirs. Trade wars are easy to win...when you are operating on long term planning and the other side is flying blindly. Trade wars are easy to win...when it doesn't even require subtlety to blame them on the other side because the other side is so stupid that they are openly claiming responsibility for starting them.

 

[El_Machinae]

It was well-played by Trump. He gave millionaires and billionaires massive tax-cuts and then used the farmers as his disposable pawns in his gambit. They're worried about foreclosures and Kushner is trying to figure out which asset will best protect his money.

I absolutely love being given money just before a series of foreclosures are due to happen. Pennies-on-the-dollar sales.

Democrats will have no choice but to continue deficit-spending to fund the bailouts. And they get to be 'in charge' as the bailouts are (inevitably) bungled.