A proposed trade agreement could boost agricultural cash receipts by more than $172 million, net exports by more than $172 million and add more than 700 jobs to Wisconsin’s economy.
Those were the findings of the American Farm Bureau Federation’s state-by-state analysis of the Trans-Pacific Partnership (TPP) trade and investment agreement’s economic impact.
Nationally, the American Farm Bureau Federation estimates annual net farm income will increase by $4.4 billion, driven by an increase of direct U.S. agricultural exports of $5.3 billion per year upon full implementation of the TPP agreement.
“This trade agreement is a priority of Farm Bureau because of its potential to open restricted markets for Wisconsin products and businesses around the Pacific Rim,” said Wisconsin Farm Bureau President Jim Holte. “In Wisconsin, one of our greatest priorities for the TPP is significant access to foreign markets for Wisconsin’s agricultural products.”
Eliminating tariffs and other trade barriers on Wisconsin’s agricultural exports to TPP partner countries will increase trade for a range of agricultural products including dairy, corn, beef, soybeans, poultry, vegetables, fruits and nuts. In 2014, export sales had total cash receipts of $12.8 billion.
“Because Wisconsin’s dairy industry leads all other agricultural commodities in the state with more than $6.7 billion in cash receipts paid to dairy farmers in 2014, the dairy component of the TPP was a focus of conversation when Farm Bureau members visited Wisconsin’s Congressional delegation and the U.S. Trade Negotiator in Washington, D.C.,” Holte said. “With passage of TPP, expected dairy cash receipts will increase by $38.4 million per year, which is driven by an $18.3 million per year increase in direct exports to TPP countries. We hope that the Trans-Pacific Partnership agreement will bring a fair and equal opportunity for Wisconsin farmers by reducing tariffs and removing non-science based barriers to trade. Increased access leads to improved international opportunities for Wisconsin livestock and crop farmers.”
The TTP is a platform for engagement and growth in the Asia-Pacific region. It solidifies relationships with our allies and firmly establishes the U.S. as a leader in the Pacific. It levels the playing field for American workers and businesses, leading to more made in America exports and more higher-paying jobs in the U.S. It also advances our values, helping to build a global trading system that will allow workers to effectively compete in the modern economy.