Trade Toolkit

PrintEmail

Please use these resources in your trade outreach.
Questions, comments or suggestions? Email Melissa at mkessler (at) grains.org.

Table of Contents:

U.S Grains Council Trade Messages and Proof Points

Talking Points - NAFTA for U.S. Grains

  • The U.S. feed grains industry has benefitted substantially from NAFTA.
  • Since 1994, U.S. corn exports to these regional partners have increased more than seven-fold.
  • Prior to the agreement, Mexico maintained strict controls on grains via licensing requirements and provided guaranteed prices to domestic producers of many field crops, including corn. Under NAFTA, Mexico transitioned to a system featuring duty-free trade with the U.S. and Canada and rising demand for feed and food has created new opportunities for intraregional trade in grains.
  • According to the most recent numbers available from USDA, Mexico is the top market for U.S. corn while Canada ranks as the ninth largest customer.
  • Mexico is also the #2 customer for U.S. distiller's dried grains with solubles (DDGS) and a leading buyer of U.S. barley and sorghum.
  • In 2016, more than 17.3 million metric tons of corn and corn co-producers were exported to Mexico and Canada, valued at $3.2 billion. This produced $4.1 billion in economic activity as well as supported 25,000 jobs and 300,000 farms.
  • In 2016, more than 652,000 metric tons of sorghum was exported to Mexico and Canada, valued at $121.2 million. This produced $153.9 million in economic activity as well as supported 970 jobs and 20,037 farms.
  • In 2016, more than 64,000 metric tons of barley was exported to Mexico and Canada, valued at $15.2 million. This produced $19.3 million in economic activity as well as supported 120 jobs and 18,667 farms.

Talking Points - NAFTA - General 

  • Over the past 20 years, U.S. agricultural exports to Canada and Mexico tripled and quintupled, respectively. One in every 10 acres on American farms is planted to feed hungry Canadian and Mexicans.
  • Rising demand for feed and food has created new opportunities for intraregional trade in grains and oilseeds. Poultry and hog producers in Mexico, for instance, rely heavily in imported feedstuffs as they seek to meet their country's growing demand for meat.
  • The market share of U.S. total agricultural exports to the world sent to Mexico and Canada has increased 9 percent, from an average of 19 percent (1990-1993) to 28 percent (2013-2016).
  • Between 1993 and 2013, the total value of trade among the U.S., Canada and Mexico expanded from $16.7 billion to $82.0 billion, an increase of 233 percent when inflation is taken into account, according to USDA's Economic Research Service.
  • Total U.S. agricultural exports to Canada and Mexico have more than quadrupled, growing from $8.9 billion in 1993 to $38.6 billion in 2015.
  • U.S. agricultural exports, which are heavily reliant upon the North American market, also support 1,132,000 full-time civilian jobs, including 808,000 jobs in the non-farm sector.
  • Based on a U.S. Department of Agriculture estimate, for every $1 of agricultural exports, another $1.22 is generated in business activity. That is, in 2015 U.S. agricultural exports to Mexico and Canada supported $47 billion in additional business activity.
  • Foreign direct investment (FDI) in the processed food industry across North America translates into additional sales of U.S. agricultural products, further supporting American jobs. In 2012, majority-owned affiliates of U.S. multinational food companies had sales of $32.4 billion in Canada and $13.8 billion in Mexico, according to data from the U.S. Department of Commerce’s Bureau of Economic Analysis. 
  • Between 1993-2015, trade between the United States, Canada and Mexico quadrupled, from $927 billion to $1.14 trillion.1

1 - Amadeo, K. "Advantages of NAFTA: 6 Benefits of NAFTA You May Not Even Realize." The Balance. Date accessed March 9, 2017.

Talking Points - General 

  • In 2016, U.S. food and agricultural exports reached more than $135 billion, according to the U.S. Department of Agriculture's Foreign Agricultural Service, supporting more than 1 million American jobs and accounting for more than 32 percent of gross farm income.
  • In 2016, U.S. agricultural exports to FTA partner countries accounted for 42 percent of total U.S. agricultural exports, according to USDA data.
  • In 2016, U.S. exports of coarse grains and co-products to current FTA partners accounted for 50 percent of worldwide exports, according to USDA data.
  • From 2004 to 2016, U.S. exports of goods to Chile rose more than three-fold from $3.6 billion to $12.9 billion.
  • From 2001 to 2016, U.S. exports of goods to Jordan rose more than four-fold from $339 million to $1.5 billion.
  • From 1996 to 2016, U.S. exports of goods to Morocco rose nearly four-fold from $476 million to $1.9 billion.
  • From 2009 to 2016, U.S. exports of goods to Oman rose 58 percent from $1.1 billion to $1.8 billion.
  • From 2004 to 2016, U.S. exports of goods to Singapore rose 39 percent from $19.3 billion to $29.6 billion.
  • From 1985 to 2016, U.S. exports of goods to Israel rose more than five-fold from $2.5 billion to $13.2 billion. 

 

U.S. Grains Council Template Letters to the Editor

NAFTA Is A Landmark Economic Success Story

The Trump Administration has been vocal about its aim to renegotiate the North American Free Trade Agreement (NAFTA)—a move that has rightfully caused a ripple of concern among grain farmers and others in agriculture.

The fact is that NAFTA, enacted more than 20 years ago, is a landmark trade success story for U.S. agriculture, particularly grains. One only has to look at the hard numbers for proof.

Over the past two decades, U.S. agricultural exports to Canada and Mexico tripled and quintupled, respectively, according to the U.S. Chamber of Commerce.

This is particularly significant, given that every $1 in exports of grains and grain products generates an additional $3.23 in business sales across the U.S. The positive economic effects of corn exports benefit not only agriculture, but also wholesale trade, real estate, oil and natural gas production, and the banking and financial industries. 

While every agreement can be improved, the market ccess and tariff benefits U.S. grain farmers have under NAFTA are critical and must be preserved. 

 

Elevator Speech on Ag Trade

  • The flow of goods, ideas, capital and people is essential for prosperity.

  • 95.7% of the world’s population lives outside the U.S.

  • More than 97% of the anticipated population growth over the next 35 years will take place outside of U.S. borders.
  • Agriculture is the U.S. foreign trade champion.

  • The United States has negotiated trade agreements with 20 countries since the end of World War II, including that which established the World Trade Organization. In calendar year 2015, U.S. agricultural exports to these countries account for 43 percent of total U.S. agricultural exports, according to USDA data.
  • Failing to move forward on trade means falling behind.

  • When trade works, the world wins!

 

Sharegraphics:

Download full-sized versions of these sharegraphics and more here

 2016-2017 Sharegraphic - U.S. Barley Exports Total - MAIN STORY.jpg 2016-2017 Sharegraphic - U.S. Corn Exports To Mexico Since NAFTA - MAIN STORY.jpg
 2016-2017 Sharegraphic - U.S. Barley Exports Total H - LOW RES.jpg 2016-2017 Sharegraphic - U.S. Corn Exports to Mexico and Canada Since NAFTA - LOW RES.jpg
 2016-2017 Sharegraphic - U.S. Corn Exports To Mexico_MAIN STORY.jpg 2016-2017 Sharegraphic - U.S. Corn Exports Total  - LOW RES.jpg
2016-2017 Sharegraphic - U.S. DDGS Exports to Canada - MAIN STORY.jpg 2016-2017 Sharegraphic - U.S. Ethanol Exports Break Record - MAIN STORY.jpg
2016-2017 Sharegraphic - Value of U.S. DDGS Exports to Canada - LOW RES.jpg2016-2017 Sharegraphic - U.S. Sorghum Exports Total - MAIN STORY.jpg
2016-2017 Sharegraphic - U.S. DDGS Exports to Mexico and Canada Since NAFTA - MAIN STORY.jpg 
 

 

Videos and Audio:

Audio report on NAFTA:

http://grains.org/news/20170119/audio-usgc-mexico-director-offers-positive-market-outlook-due-nafta

Video reports on NAFTA:

https://www.youtube.com/watch?v=-0NuJbayJAE

https://www.youtube.com/watch?v=KruuAx94X6s&feature=youtu.be

Additional Videos on the U.S. Grains Council YouTube Page:

https://www.youtube.com/usgrainscouncil


Sample Tweets:

USGC Fact: Our programs operate in more than 50 countries, plus the EU! Learn more about how the USGC helps farmers http://bit.ly/2alNbi3

@WSJ and @NBCNews report that a majority of Americans support free trade! #tradematters #TPP #ag

DYK 95 percent of the world's population lives outside of the US? #tradematters

Since 1994, U.S. corn exports have increased more than seven-fold to #NAFTA partners. #exportsmatter

One in every 10 acres on American farms feeds Canadians and Mexico. #NAFTA #tradematters

U.S. market share for ag exports has increased from an average of 19 to 28 percent to #NAFTA partners.

Mexico is the second largest customer for U.S. DDGS. #NAFTA

Canada is the ninth largest customer of U.S. corn. #NAFTA

Mexico is the largest customers of U.S. corn. #NAFTA

From 2004 to 2016, US exports of goods to Chile have increased three-fold to $12.9B. #freetrade #tradematters

US food and ag exports reached more than $134 billion in 2016. #exportsmatter

US exports of goods to Singapore rose 39 percent to $29.6B from 2004 to 2016. #freetrade #tradematters

In 2016, US food and ag exports supported more than 1 million American jobs. #tradematters

From 2001 to 2016, US exports of goods to Jordan rose four-fold to $1.5B. #freetrade #tradematters

US exports of goods to Israel rose more than five-fold to $13.2B from 1985 to 2016. #freetrade #tradematters

From 1996 to 2016, US exports of goods to Morocco increased nearly four-fold to $.19B. #freetrade #trade matters

US exports of goods to Oman rose 58 percent to $1.8B from 2009 to 2016. #freetrade #trade matters

Based on @USDA estimates that for every $1 on ag exports, another $1.22 is generated in business activity.

In 2015, US ag exports to Mexico and Canada supported $47B in additional business activity. #exportsmatter #NAFTA

US food and ag exports accounted for more than 33 percent of gross farm income in 2016. #exportsmatter

97 percent of the anticipated 2050 population growth will occur outside of the US. #tradematters

 

Useful Links:

An in-depth report from the U.S. Chamber of Commerce on NAFTA:

https://www.uschamber.com/sites/default/files/legacy/reports/1112_INTL_NAFTA_20Years.pdf

U.S. Grains Council "Grains in All Forms" Portal:
http://grains.org/market-data/feed-grain-exports-in-all-forms

U.S. Grains Council Flickr Page:
https://www.flickr.com/USGC