September 27, 2024
Mike Pearson takes a look at why Columbia has imposed new tariffs on powder milk products being imported from the USA.
Last Tuesday, the U.S. Dairy Export Council and the National Milk Products Federation called on lawmakers to take swift action against Columbia's decision to add 5 percent tariff on U.S. milk powder. They argue Columbia's motivation is politics and unjust.
Columbia argues the tariffs are necessary because of the USA's unfair trade practices: Mainly U.S. federal ag subsidies.
In 2012, the free trade agreement was signed and Columbia knew of the ag subsidies then and they were not an issue.
Columbia is posing a 4.86 tariff on the powder milk products from the USA for the next four months. The tariffs were originally supposed to be phased out totally by 2026. There is concern the tariffs will be extended an additional 5 years beyond that.
U.S. dairy farmers are concerned about the long term impact on the industry.
Columbia has also placed restrictions on ethanol, beef and poultry coming into the country which has many agriculture sectors on alert.
Farm Progress America is a daily look at key issues in agriculture. It is produced and presented by Mike Pearson, farm broadcaster and host of This Week in Agribusiness.
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