Duxton’s Agri Bits and Pieces – Vol. 354

QUOTE OF THE WEEK

This week’s quote of the week comes from Rural Bank’s trade report, Australian Agriculture Trade Performance, in relation to cropping, which is now Australia’s most valuable agricultural export sector.

“The report found the value of Australian agricultural exports increased for the seventh consecutive year to $49.9 billion, the surge in cropping value was driven by a significant 49% increase in total grains production, which pushed the value of grain and fibre exports up by $3.7 billion. There was a 2.4 million tonne increase in Australian wheat exports to India, thanks to a decision by the Indian government to reduce a 25% tariff to 10% in September 2016, before completely eliminating it in December.”

MEXICO’S BERRY BOUNTY FUELS TRADE DISPUTE – U.S. CONSUMERS DISMISS U.S. BERRY FARMER’S COMPLAINTS AS ‘SOUR BERRIES’

An explosion in berry farming here (Sayula, Mexico), fed by a growing American obsession is fueling one of the thorniest disagreements in the talks to redo the North American Free Trade…

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Duxton’s Agri Bits and Pieces – Vol. 353

QUOTE OF THE WEEK

This week’s quote of the week comes from the Economist’s Intelligence Unit’s annual Global Food Security Index.

The Global Food Security Index has recorded a slippage in global food security over the past year, after four years of consecutive food security gain. Migration is occurring at a rate that many countries’ economies and infrastructure, already burdened with large and growing urban populations, are unable to sustainably accommodate; people are spending more of their household incomes on food and demand grows at a rate production cannot accommodate. The Top 5 ranking nations in ranked order are; Ireland, United States, United Kingdom, Singapore and Australia.”

FARMERS PUT MODI’S POLITICAL FUTURE AT RISK

Anger over falling farm incomes has spilled onto streets across a swathe of India’s largest states as farmers struggle with food price deflation and a breakdown of the information agriculture economy. The protest involving hundreds of thousands of farmers highlight Prime Minister Modi’s struggle to deliver on the promises that swept…

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Duxton’s Agri Bits and Pieces – Vol. 352

QUOTE OF THE WEEK

This week’s quote of the week comes from the USDA’s Foreign Agricultural Service report on the global raisin production which is forecast to ease 2% to 1.2 million tons.

Modest gains in China are more than offset by lower output in Turkey, United States and Iran. As a result of reduced available supplies, total ending stocks are expected to plunge 22% to 84,000 tons, an 8-year low. Global exports are forecast unchanged at 779,000 tons, as lower shipments from Turkey and the United States are offset by Argentina, Iran and Afghanistan.”

EUROPEAN COURT BACKS ITALIAN FARMER WHO PLANTED GM CROPS AGAINST NATIONAL LAWS

The European court has said member states do not have the right to ban genetically modified crops without substantial evidence. Italy had prosecuted the farmer for cultivating GM corn, citing human health hazards.

Italy prohibited the cultivation of genetically modified corn through a ministerial decree in 2013 and prosecuted several farmers. The Italian government issued…

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Duxton’s Agri Bits and Pieces – Vol. 351

QUOTE OF THE WEEK

This week’s quote of the week comes from Bloomberg’s Max Baucus, on the U.S. losing ground to global rivals in the Asian agricultural trade

“In what remains the “breadbasket of the world,” U.S. farmers export half of all major commodities they grow contributing to a projected trade surplus of $20 billion this year alone…

However, American agricultural trade is facing risks not seen in a generation. Public attitudes toward trade agreements have shifted as protectionist sentiment has grown. Threats of tariffs on U.S. trading patterns invite the spectre of retaliation. Meanwhile, our competitors plot to assume the mantle of global supplier the U.S. has long occupied….

The U.S. currently does not have a single ongoing trade negotiation that gives our farmers access to the rapidly growing Asian market. Our absence in Asia means that China is quickly moving into the void with its own trade deals that outflank U.S. agricultural producers… According to the National Cattlemen’s Beef Association, as of this week, the U.S. has now lost out…

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Duxton’s Agri Bits and Pieces – Vol. 350

QUOTE OF THE WEEK

This week’s quote of the week comes from Bloomberg’s Alan Bjerga, on Hurricane Irma’s impact upon Florida’s the agricultural community.

“Hurricane Irma is threatening to wreak havoc on Florida farmlands, menacing $1.2 billion worth of production in the top U.S. grower of fresh tomatoes, oranges, green beans, cucumbers, squash and sugarcane…Though it’s economy long ago diversified from its rural roots, Florida still has a huge influence on American grocery stores as the second producer grower. The state accounts for almost 10 percent of the nation’s land dedicated to fresh fruits and vegetables. The storm threat has pushed orange-juice futures and domestic-sugar prices higher this week.”

AGRICULTURE NOW LARGEST CONTRIBUTOR TO NATIONAL (AUSTRALIAN) GDP GROWTH

Australian agriculture has emerged as the fastest growing sector and the largest contributor to national GDP growth in 2016-17, cementing its position as one of the economic powerhouses driving the nation.

Deputy Prime Minister and Minister for Agriculture and Water Resources, Barnaby Joyce, said…

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Duxton’s Agri Bits and Pieces – Vol. 349

QUOTE OF THE WEEK

This week’s quote of the week comes from David Anderson, a livestock economist with Texas A&M, in regards to Hurricane Harvey’s impact on Texas’s agriculture industry.

“the total hay loss is going to be a big number and a hardship that’s going to hit ranchers long after the storm is gone…they’re estimating the damage by Harvey is going to be 400,000 bales…that’s a significant hit”

It’s unclear how much of the damages will come from the country’s third largest agricultural state, took in about $25 billion in 2016 and has an economic impact of $100 billion. Agricultural economists, government experts and farmers themselves say it’s much too early to tally the damage from Harvey, but it’s obvious the numbers will be big.

FRANCE STANDS OUT AS GERMANS LAG AT END OF EUROPE WHEAT HARVEST

The French are on top and the Germans lagging behind as the European Union’s wheat crop draws to a close in a season of contrasts for…

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Duxton’s Agri Bits and Pieces – Vol. 348

QUOTE OF THE WEEK

This week’s quote of the week comes from Dr Theo de Jager, newly elected president of the World Farmers’ Organisation, on the challenges that farmers face in Africa and how he plans to address these.

‘the rest of the world sees Africa’s agriculture in a much more positive light than we do ourselves. Farmers in mainly west and central Africa often have a ‘poor peasant’ mentality. They see themselves as dependent on development aid and are some of the poorest and most food-insecure people in the world. Their concern during discussions is often about obtaining financial support from rich countries, and not necessarily the optimisation of their farms as businesses…But I’m encouraged by the new generation of young farmers in Africa. They want to commercialise, modernise and mechanise, and they are dreaming big.”

IRISH MILK SUPPLIES CONTINUE TO SURGE AHEAD

Irish milk production is surging ahead of the first six months of last year and is up more than any…

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Duxton’s Agri Bits and Pieces – Vol. 347

QUOTE OF THE WEEK

This week’s quote of the week comes from Ngaire Woods, dean of the Blavatnik School of Government and founder of the Global Economic Governance Programme at the University of Oxford, in regards to reforming British agriculture after Brexit.

The United Kingdom’s withdrawal from the European Union no doubt carries many risks. But, if British politicians and business leaders are right, it also creates an important opportunity: the possibility of building a safer, greener, more efficient, and more innovative farming sector. If the UK manages to seize this opportunity, the EU, the United States and other economies with highly protected agricultural sectors might follow suit”

AUSTRALIAN WHEAT TO DEFY GLOBAL PRICES, ACCORDING TO RABOBANK

In its August Agribusiness Monthly report, Rabobank said Australian wheat prices had hit $317 a tonne in mid-July but had followed a decline in Chicago Board of Trade prices since then.

CBOT prices fell further last week…

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Duxton’s Agri Bits and Pieces – Vol. 346

QUOTE OF THE WEEK

This week’s quote of the week comes from Beijing – based Chinese policy specialist Erlend Ek, in relation to new import standards in China as its government aims to implement food safety and agriculture policy reforms.

“They are heading toward quality; they want to be seen as a quality producer…they have just revised 6000 national standards for food, China is at a critical stage of a transition from planned economy toward a modern agriculture industry’

AUSTRALIAN CONSUMER RETAIL PRICE INFLATION

From 1970 to 2011 Australia’s Bureau of Statistics (ABS) tracked the average retail prices of selected items. The manner in which the ABS calculated changed over the years as the standardised measurements for these common grocery items changes, for the purposes of this analysis the units have been standardised and converted. This results of which conclude that the average annual rate of price increase from 1970 to 2011 is…

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Duxton’s Agri Bits and Pieces – Vol. 345

QUOTE OF THE WEEK

This week’s quote of the week comes from the USDA in its first forecast of food-price inflation for 2018, which expects inflation to quicken for wheat, beef and fresh fruit next year after some declines in 2017.

“It looks like next year might be a good time to cut the carbohydrates as a drought-fuelled jump in wheat costs will make bakery goods the food items with the biggest price gains for U.S. consumers. Higher prices paid to farmers, combined with lower imports, may increase grocery and restaurant costs for baked goods and cereals as much as 4 percent next year”

 

JAPAN UPS TARIFFS ON US BEEF, GIVING AUSSIE MEAT THE EDGE

Japan’s Ministry of Agriculture, Forestry and Fisheries is set to invoke ‘a snapback’ on imports, to protect Japan’s domestic cattle producers from rapid rises in imports.

Beef market analyst Angus Brown said the snapback mechanism only applied to countries that did not have trade…

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