Cattlemen plead case for Asia-Pacific pact

Beef producers are calling on Congress to quickly pass a massive Pacific Rim trade deal they say is critical to the future of their export business.

The National Cattlemen’s Beef Association sent a letter to Capitol Hill arguing that cattle producers face a loss of market share around the globe if lawmakers don’t swiftly ratify the controversial 12-nation Trans-Pacific Partnership (TPP). 

{mosads}”U.S. cattle producers will continue to suffer from the missed economic opportunity until TPP is implemented, and while we wait, other countries are moving forward with bilateral agreements that continue to put us at a competitive disadvantage,” wrote NCBA President Tracy Brunner.

The Pacific Rim region is one of the biggest markets for U.S. beef, with Japan topping the list.

Japan was the largest export market for U.S. beef in 2015, amounting to $1.3 billion of the $6.3 billion in total beef exports sold overseas.

U.S. beef faces a 38.5 percent tariff in Japan that would be lowered to 9 percent over the next 16 years if the TPP is implemented.

“The TPP removes massive tariff barriers on U.S. beef exports to the Pacific Rim countries and establishes science-based and market-driven terms of trade that will benefit our industry for many years,” Brunner wrote.

“This is the greatest market access ever negotiated into the Japanese market,” he said.

The United States is currently facing a 10 percent tariff rate disadvantage with major beef competitor Australia because of that nation’s bilateral agreement with Tokyo.

“In 2015, we experienced a 19 percent decline in sales in Japan at a cost of $298 million,” Brunner wrote.

Brunner said that the lost market share in Japan is a daily reminder of what the future will be like without the TPP.

“Our future success rests on our ability to compete on a level playing field in the Pacific Rim and TPP presents us with that golden opportunity,” he said.

“Now is the time to lead.”

U.S. agriculture groups are ramping up their lobbying efforts to convince lawmakers to back the TPP.

The American Farm Bureau Federation released a new economic report on Tuesday that concludes that congressional passage of the trade agreement would boost the bottom line for the nation’s farmers by $4.4 billion over the levels expected if Congress fails to ratify the deal.

Agriculture Secretary Tom Vilsack said that using the Farm Bureau’s estimates, the TPP would add 30,000 jobs. He expressed confidence that Congress will eventually rally behind the agreement.

“There will be continued requests and messaging to Congress about the need to get this done and get this done quickly,” Vilsack said. 

He said he hopes that Speaker Paul Ryan (R-Wis.) and Senate Majority Leader Mitch McConnell (R-Ky.) understand that any delay in acting on the agreement will be costly.

Congressional leaders have said that the deal is most likely to get a vote in the lame-duck session after the November elections. 

This story was updated at 3:49 p.m.