Wisconsin Ag Connection | 1 November 2016
U.S. & Argentina work to strengthen trade ties
U.S. Secretary of Commerce Penny Pritzker recently met with Argentine Minister of Production Francisco Cabrera for the U.S.-Argentina Commercial Dialogue, in an effort to boost trade and investment between the countries. The U.S. Trade and Development Agency said it would undertake development programs in Argentina that will help support the economic reforms being pushed by Argentinian President Mauricio Macri, who also wants to open the country’s markets and borders.
The pro-trade Macri assumed office last December, vowing to move Argentina away from 12 years of protectionist rule under Nestor Kirchner and Cristina Fernandez de Kirchner. The efforts follow a March meeting between Macri and President Obama, where the discussion centered on trade. Macri indicated his country could eventually sign a free trade agreement with the U.S., and Obama said the two nations could more immediately address trade issues through a Trade and Investment Framework Agreement (TIFA). This type of agreement provides a structure for dialogue on trade and investment issues between the United States and countries with which it does not currently have an FTA.
According to the Capital Report from the National Pork Producers Council, NPPC continues to look for opportunities to expand exports in Latin America, and, among the non-FTA partner nations there, Argentina presents the best opportunity for expanding U.S. pork exports. NPPC already has been working with the U.S. Department of Agriculture in negotiating an export certificate with Argentina that would open that country’s market to more U.S. pork. Compared with other nations in the Southern Hemisphere, Argentina has a high per capita income and a large population, and it has experienced a very significant increase in pork consumption over the past 10 years, with future increases expected.