By Justin Walker
Communications Specialist
The farm economy has been tough for many across the state and nation, but ratifying the U.S.-Mexico-Canada Agreement (USMCA) could deliver much-needed certainty on the trade front for agriculture.
Several agricultural leaders and lawmakers have spoken in support of USMCA, including Texas Farm Bureau (TFB) President Russell Boening and U.S. Rep. Henry Cuellar (D-Laredo).
At a Farmers for Free Trade round table in Laredo on Friday, June 7, Boening and Cuellar both called for Congress to pass the trade deal set to replace the North American Free Trade Agreement.
“The main focus of the round table was USMCA,” Boening said. “We had some very good discussion between business leaders, industry leaders and Congressman Cuellar.”
International trade is an important topic in Laredo, he said. The Port of Laredo recently passed the Port of Los Angeles as the leading hub for international trade, especially for agricultural goods leaving the U.S.
“The economy of Laredo is dependent on trade,” Boening said. “We are exporting natural gas, crude oil and our agricultural products, so the economy of Texas is very dependent on trade.”
Cuellar has been a champion for the agreement, Boening said, as the representative’s home district borders Mexico, the largest agricultural trading partner for the U.S.
More than $1.7 billion of trade between the two countries occurs every day, Cuellar said. That results in jobs on both sides, and agriculture is a massive part of the equation.
“Agriculture is a very important component in our trade, especially our trade with Mexico,” he said. “We send billions of dollars of agricultural goods to Mexico. There are a whole bunch of jobs that are created by our ag industry.”
Now that President Donald Trump has delivered the administrative statement on USMCA, Cuellar believes Congress will bring the agreement to vote by no later than this fall.
“I feel very confident that we will get this passed in a bipartisan way,” he said.
The round table discussion is just one of many Farmers for Free Trade events occurring across the nation. Last month, the group brought the Motorcade for Trade Whistle Stop Tour to Texas.
TFB, American Farm Bureau Federation and Farmers for Free Trade also joined more than 900 other food and agricultural companies and associations on Tuesday, June 11, in a letter to Congress requesting USMCA be ratified.
“Over the last 25 years, U.S. food and agricultural exports to Canada and Mexico have more than quadrupled under NAFTA—growing from $9 billion in 1993 to nearly $40 billion in 2018. NAFTA has significantly helped create a reliable, high-quality supply of food products for U.S. consumers, while supporting more than 900,000 American jobs in food and agriculture and related sectors of the economy,” the groups wrote. “USMCA builds on the success of the NAFTA agreement and will ultimately lead to freer markets and fairer trade.”