Joint Statement from U.S. Wheat Associates and the National Association of Wheat Growers
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Wheat Grower Organizations Welcome USTR Confirmation

WASHINGTON, D.C. — U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) welcome the U.S. Senate’s confirmation of Robert Lighthizer today as the next U.S. Trade Representative. Fair access to international markets is crucial for America’s productive wheat farmers. Our organizations believe Ambassador Lighthizer fully understands that a strong agricultural economy depends on improving free trade opportunities and rules.

“We look forward to working with Amb. Lighthizer to help build new export opportunities for the farmers we represent,” said David Schemm, NAWG President and a wheat farmer from Sharon Springs, KS. “To that end, we also encourage him to quickly name a new U.S. Agricultural Trade Ambassador to represent agricultural interests in the upcoming re-negotiation of the North American Free Trade Agreement and trade negotiations with Asia-Pacific nations.”

During his confirmation process, Amb. Lighthizer said “ensuring that our trading partners meet international trade obligations, especially those of the World Trade Organization, is a core foundation for fairer and freer trade.”

“We wholeheartedly agree,” said Jason Scott, USW Chairman and a wheat farmer from Easton, MD. “A good example is the U.S. dispute case against China’s excessive domestic wheat subsidies that violate its WTO membership agreement. The case recognizes that China’s policy restrains wheat trade and costs farmers in exporting countries billions of dollars every year. It is the kind of enforcement that we think must and will continue under Amb. Lighthizer.”

With the full support of Amb. Lighthizer, his negotiating team and the new interagency Task Force on Agriculture and Rural Prosperity led by Secretary of Agriculture Sonny Perdue, USW and NAWG believe we can overcome trade distorting policies and other barriers to help American farmers compete fairly for the increasing global demand for high quality wheat and other agricultural products.

USW’s mission is to “develop, maintain, and expand international markets to enhance the profitability of U.S. wheat producers and their customers.” USW activities in more than 100 countries are made possible through producer checkoff dollars managed by 18 state wheat commissions and cost-share funding provided by USDA’s Foreign Agricultural Service. For more information, visit our website at www.uswheat.org.

NAWG is a federation of 22 state wheat grower associations that works to represent the needs and interests of wheat producers before Congress and federal agencies. Based in Washington, DC, NAWG is grower-governed and grower-funded, and works in areas as diverse as federal farm policy, trade, environmental regulation, agricultural research and sustainability. For more information, visit our website at www.wheatworld.org.

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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USW Joins NAWG in Support of USDA Reorganization

ARLINGTON, Virginia — U.S. Wheat Associates (USW) joins the National Association of Wheat Growers (NAWG) in applauding U.S. Secretary of Agriculture Sonny Perdue’s announcement today creating a new undersecretary for trade and foreign agricultural affairs. USW also joins NAWG in commending the Administration for recognizing the value of American agricultural products to international markets.

USW works with farmers and USDA’s Foreign Agricultural Service to fulfill its mission to “develop, maintain and expand international markets to enhance the profitability of U.S. wheat producers and their customers.” The Market Access Program (MAP) and the Foreign Market Development (FMD) program remain a crucial part of that mission, and USW believes this new position has the potential to increase support for the significant return agricultural export market development brings to the entire U.S. economy. More information is available at www.AgExportsCount.org.

USW activities in more than 100 countries are made possible through producer checkoff dollars managed by 18 state wheat commissions and cost-share funding provided by USDA’s Foreign Agricultural Service. For more information, visit our website at www.uswheat.org.

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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NAWG and USW Submit Joint Comments on Omnibus Report on Significant Trade Deficits

Washington, D.C. – The National Association of Wheat Growers (NAWG) and U.S. Wheat Associations (USW) today submitted comments for the public hearing on an Omnibus Report on Significant Trade Deficits, pursuant to a request for comments from the Office of the U.S. Trade Representative and U.S. Department of Commerce.

“NAWG and USW strongly support efforts to correct policy barriers that reduce potential wheat exports to foreign markets. Open markets and fair trade are critical to the U.S. wheat industry as roughly half of U.S. wheat production is exported on average,” stated NAWG President and Kansas farmer David Schemm.

In the comments, NAWG and USW identified policy barriers erected by various countries that limit wheat export opportunities from the United States. If these barriers were removed, U.S. wheat exports would likely grow as a result.

“Our strong policy preference has been for trade agreements – whether at the World Trade Organization (WTO), regional, or bilateral – to reduce barriers to trade and let the individual players in those markets drive trade and investment decisions,” stated USW Chairman and Maryland farmer Jason Scott.

U.S. wheat farmers have a competitive advantage in producing wheat and the United States is one of the largest exporters of wheat in the world. Ensuring a fair playing field for U.S. producers facilitates wheat exports, resulting in reduced trade deficits and increased revenue and jobs in rural America.

Comments are available at https://bit.ly/2q3MBvD.

About USW
USW’s mission is to “develop, maintain, and expand international markets to enhance the profitability of U.S. wheat producers and their customers.” USW activities in more than 100 countries are made possible through producer checkoff dollars managed by 18 state wheat commissions and cost-share funding provided by USDA’s Foreign Agricultural Service. For more information, visit our website at www.uswheat.org.

About NAWG
NAWG is the primary policy representative in Washington D.C. for wheat growers, working to ensure a better future for America’s growers, the industry and the general public. NAWG works with a team of 20 state wheat grower organizations to benefit the wheat industry at the national levels. From their offices in the Wheat Growers Building on Capitol Hill, NAWG’s staff members are in constant contact with state association representatives, NAWG grower leaders, Members of Congress, Congressional staff members, Administration officials and the public.

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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Wheat Grower Organizations Alarmed About Possible NAFTA Withdrawal

U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) are alarmed over media reports today that the Trump Administration is considering a withdrawal from the North American Free Trade Agreement (NAFTA). Mexico is our largest U.S. wheat buyer, importing more than 10 percent of all U.S. wheat exports this year. NAFTA truly opened the door to the strong and growing market opportunity in Mexico. Closing that door would be a terrible blow to the U.S. wheat industry and its Mexican customers.

USW and NAWG understand that there are several elements of the trade agreement that could be re-examined and modernized. However, we believe withdrawing from NAFTA would be a serious mistake. It could lead to new tariffs on U.S. wheat and threaten to undermine the long-standing, loyal relationship U.S. wheat farmers have built with Mexico’s wheat buyers and food industry. That would be devastating to U.S. wheat farmers already facing unprofitable prices and increasingly aggressive wheat exporting competitors.

USW’s mission is to “develop, maintain, and expand international markets to enhance the profitability of U.S. wheat producers and their customers.” USW activities in more than 100 countries are made possible through producer checkoff dollars managed by 18 state wheat commissions and cost-share funding provided by USDA’s Foreign Agricultural Service. For more information, visit our website at www.uswheat.org.

NAWG is a federation of 22 state wheat grower associations that works to represent the needs and interests of wheat producers before Congress and federal agencies. Based in Washington, DC, NAWG is grower-governed and grower-funded, and works in areas as diverse as federal farm policy, trade, environmental regulation, agricultural research and sustainability. For more information, visit our website at www.wheatworld.org.

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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U.S. and Canadian Wheat Farmer Leaders Call for Open Wheat Trade in Op-Ed

ARLINGTON, Virginia — In an op-ed published in Canada’s “News Hub Nation” Feb. 8, 2017, U.S. Wheat Associates Chairman and wheat farmer Jason Scott and Western Canadian Wheat Growers Association President and wheat farmer Levi Wood called on the Canadian government to take the steps needed to allow “a free flow of grain in both directions across the border to improve the efficiency of the grain handling systems in both countries and eliminate artificial price distortions that frustrate farmers.”

In the op-ed, Scott and Wood said: “Since the end of the Canadian Wheat Board’s government monopoly control over the marketing of western Canadian wheat … one of the most significant changes to come from marketing freedom for wheat farmers has been the growth in sales of Canadian wheat into the U.S. market.”

“Currently, Canadian farmers delivering wheat into the U.S. receive equitable treatment with grain grown south of the border; however, because of legislation and regulation that existed for years before the marketing freedom changes came to western Canada, U.S. producers who currently deliver wheat into Canada automatically receive the lowest grade, regardless of the quality or variety of grain, even if the variety is registered in Canada … This inequity has created significant concerns in the Canadian and U.S. wheat industries, especially given the potential of re-opening the North American Free Trade Agreement (NAFTA).”

To read the complete op-ed, please click here.

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U.S. Wheat Associates Directors Elect 2017/18 Officers

WASHINGTON, DC — The U.S. Wheat Associates (USW) Board of Directors elected new officers for the 2017/18 (July to June) fiscal year at their meeting Feb. 2, 2017, in Washington, DC. The board elected Doug Goyings of Paulding, OH, as Secretary-Treasurer, current Secretary-Treasurer Chris Kolstad of Ledger, MT, as Vice Chairman and current Vice Chairman Mike Miller of Ritzville, WA, as Chairman. These farmers will take their new leadership roles at the USW Board meeting in July 2017 in Annapolis, MD, when current Chairman Jason Scott of Easton, MD, will become Past Chairman. USW is the export market development organization for the U.S. wheat production industry.

“I think it’s important for growers to give back and U.S. Wheat Associates has had such a strong and positive influence on my family’s farming operation as well as many other farms across the nation,” said Goyings. “With many pressing issues for wheat, we need a strong, united industry guiding us forward and I am honored to be a part of the leadership team working to continue to positively affect U.S. wheat farmers.”

“I’m happy to congratulate Doug Goyings for winning the election, I think he’ll make an excellent Secretary-Treasurer,” said Scott. “U.S. Wheat Associates has a strong board, filled with dedicated farmers that are willingly take time out from their own operations to represent wheat farmers. Without this type of leadership our wheat industry would not have the strong foundation and market share it does today. I look forward to working with the team to continue to promote the U.S. wheat grower’s competitive advantage, which is the quality and reliability of supply.”

Doug Goyings’ family has been farming in northwestern Ohio since 1884. Together with his wife Diane, son Jeremy, daughter-in-law Jessica and his twin grandsons, Goyings grows soft red winter (SRW) and has hosted numerous trade teams on their farm. With more than 35 years of experience representing wheat and Ohio agriculture, Goyings has been a member of the USW board while serving as a director for the Ohio Small Grains Checkoff Board since 2009 and is a past chairman of the USW Long-Range Planning Committee. He is also a past-president of his local Farm Bureau and has previously sat on the board of directors for the Ohio Veal Growers Inc., Creston Veal, Inc. and Paulding Landmark, Inc.

Chris Kolstad’s family farm is located in Montana’s “Golden Triangle” region. He and his wife Vicki have four children, including their son Cary who is a partner in their operation and the fifth generation of their family to farm. Kolstad grows hard red winter (HRW) wheat, dark northern spring wheat and durum, barley and dry peas. As a commissioner of the Montana Wheat and Barley Committee, Kolstad has represented his state on the USW board since 2012. He is also an active member of the Montana Grain Growers Association and Montana Farm Bureau. His community leadership includes serving on his local school board, as treasurer for his family’s church and has been a regular blood donor since 1972.

Mike Miller is a fourth generation farmer who operates a dryland wheat farm and grows multiple crops on a separate, irrigated farm in east central Washington. He has served on many local, state and national boards, and is in his third term on the Washington Grain Commission and his fifth year as a USW director representing Washington. Miller is also very active in supporting wheat research and development. He and his wife, Marci, have three children.

A sixth generation farmer from Maryland’s Eastern Shore, Jason Scott is the farm manager of Walnut Hill Farms where he produces soft red winter (SRW) wheat, row crops and vegetables. Scott is also an Independent Sales Representative for Pioneer Hi-Bred Int’l, under the title Scott’s Seed, L.L.C. A founding member of the Dorchester County Young Farmers, past president of the Maryland Grain Producers Utilization Board and the Maryland Grain Producers Association, Scott is no stranger to industry leadership. In 2011, he was presented the Maryland Young Farmers Achievement Award. In his eight years on the USW Board, Scott has represented his state and USW on two board team delegations to Africa and Europe and served as Secretary-Treasurer, Vice Chairman and Chairman as well as on several USW committees. He and his wife Dr. Casey Scott have a young daughter and son.

USW’s mission is to “develop, maintain, and expand international markets to enhance the profitability of U.S. wheat producers and their customers.” USW activities in more than 100 countries are made possible through producer checkoff dollars managed by 19 state wheat commissions and cost-share funding provided by USDA/Foreign Agricultural Service. USW maintains 17 offices strategically located around the world to help wheat buyers, millers, bakers, wheat food processors and government officials understand the quality, value and reliability of all six classes of U.S. wheat. For more information, visit our website at www.uswheat.org.

Header Photo Caption: 2017/18 U.S. Wheat Associates Officers (L to R): Chris Kolstad, Secretary-Treasurer; Mike Miller, Vice Chairman; Jason Scott, Chairman; Doug Goyings, Secretary-Treasurer Elect; Alan Tracy, President.

Doug Goyings (above), Paulding, OH, was elected Secretary-Treasurer of U.S. Wheat Associates (USW) for fiscal year 2017/18. He will take office in July 2016 at the USW Board of Directors annual meeting in Annapolis, MD.

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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Wheat Grower Organizations Disappointed in TPP Withdrawal; Call for New Agreements in Crucial Asian, Latin American Markets

WASHINGTON, DC — U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) recognize that President Trump’s executive order to withdraw the United States from the Trans-Pacific Partnership (TPP) was inevitable. It is disappointing, however, that until an alternative trade policy is established, export opportunities in the promising Pacific Rim markets that could help U.S. wheat farmers at a time when they need it most are very much at risk.

“U.S. wheat farmers depend heavily on export demand to determine their per-bushel income,” said Jason Scott, USW Chairman and a wheat farmer from Easton, Md. “We can compete very effectively in Asian and Latin American markets where the demand for high quality wheat is rapidly increasing and our organizations took a long-view of the benefits TPP held out — a trade agreement that promoted economic growth abroad as a way to grow export sales and prosperity for farmers at home.”

Without TPP or alternative agreements, U.S. farmers will be forced to the sidelines of trade while losing market share in the region to our competitors including Australia, Canada, Russia and the European Union, which have current agreements or are negotiating new ones with countries outside the network of existing U.S. trade agreements,” said Gordon Stoner, NAWG President and a wheat farmer from Outlook, Mont.

USW and NAWG agree that trade agreements must provide the most benefit possible to our own farmers and industries. We continue to support new agreements that expand free, rules-based trade, as TPP would have done, and encourage that agricultural interests be able to continue to provide input into those negotiations.

USW’s mission is to “develop, maintain, and expand international markets to enhance the profitability of U.S. wheat producers and their customers.” USW activities in more than 100 countries are made possible through producer checkoff dollars managed by 19 state wheat commissions and cost-share funding provided by USDA/Foreign Agricultural Service. For more information, visit our website at www.uswheat.org.

NAWG is a federation of 22 state wheat grower associations that works to represent the needs and interests of wheat producers before Congress and federal agencies. Based in Washington, DC, NAWG is grower-governed and grower-funded, and works in areas as diverse as federal farm policy, trade, environmental regulation, agricultural research and sustainability.

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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U.S. Wheat Associates Hires Technical Specialist in Beijing

USW hired Dr. Ting Liu, Sep. 1, 2016, as Technical Specialist to provide technical support and training to demonstrate the performance qualities of U.S. wheat in production of baked goods and traditional Chinese wheat based products. Liu works from USW’s Beijing office and will regularly travel across China and the region to visit customers and provide baking assistance and technical service.

“Ting provides additional depth to the Beijing office and has the technical expertise that this position requires,” said Jeff Coey, Assistant Regional Vice President for China and Taiwan. “She is a great communicator and has already become a valued asset, translating technical documents and accompanying a recent trade team mission from the United States.

A native of Zhejiang province in east China, Liu received a doctoral degree in food science from the University of Minnesota (UMN) Twin Cities. She was advised by Dr. Gary Hou, Wheat Marketing Center technical director and wheat foods specialist, and UMN Professor Dr. Len Marquart, on developing whole wheat flour tortillas by using U.S. HRW, HRS and hard white (HW) wheat. Liu published four peer-reviewed technical papers and has presented research results at the annual meetings of both the AACC International and the Institute of Food Technologists. She remains actively involved in the AACC International Milling & Baking Division.

Liu is interested in both the scientific and culinary sides of baking, and in her brief time at USW has already attended baking training courses held by Hou and fellow USW colleagues Roy Chung and Shu-ying Yang. Her responsibilities include baking demonstrations, technical seminars and popularizing research results.

“We are very pleased to have Liu with us to represent USW at Chinese and regional conferences, and provide the technical support our customers need,” said Coey.

Dr. Ting Liu

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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U.S. Wheat Associates Promotes Ben Conner to Director of Policy, Henry Moving to Capitol Hill

USW is pleased to announce that Ben Conner has been promoted to Director of Policy to lead the USW policy team’s efforts and manage relations with wheat value chain organizations.

Current USW Vice President of Policy Dalton Henry will depart USW on Dec. 30, 2016, to take a position as Legislative Director for U.S. Congressman-Elect Roger Marshall. Henry will have the opportunity to work on policy affecting his home district in Kansas.

“We recognize that this is an opportunity Dalton should not pass up and, while we will miss him at USW, we congratulate him and thank him for his service to wheat farmers in Kansas and across the United States,” said USW President Alan Tracy. “Trade policy is a critical part of our mission to open new overseas markets and Ben is well prepared to take up to the challenge. With Policy Specialist Elizabeth Westendorf focusing on food aid, innovative breeding and production policies and other areas, our policy team will keep advancing our aggressive USW trade policy agenda.”

Conner joined USW in 2014 as Assistant Director of Policy at the organization’s Headquarters Office in Arlington, VA, after spending five years working in agriculture and trade policy in the office of U.S. Sen. Mike Johanns. He also has extensive academic experience in international affairs and agricultural economics. For more information, visit https://bit.ly/1mW1Hgq.

Ben Conner

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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Wheat Grower Organizations Welcome New Trade Enforcement Actions Challenging China Policies

WASHINGTON, DC — U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) welcome two trade dispute actions by the U.S. Trade Representative (USTR) challenging Chinese government policies that distort the wheat market and harm wheat growers throughout the rest of the world. USW and NAWG are encouraged to see the U.S. government take such a strong position on trade enforcement, which is crucial for building confidence in existing and new trade agreements.

The USTR filed a request on Dec. 15, 2016, for consultations with the World Trade Organization (WTO), alleging that China is not fairly administering its annual tariff rate quotas (TRQ) for corn, rice and 9.64 million metric tons (MMT) of imported wheat. This request states that China’s TRQ administration unfairly impedes wheat export opportunities. The USTR announced the TRQ action simultaneously with a request that the WTO form a dispute panel in the case it filed in September against China’s excessive market price support for domestic wheat, corn and rice production.

“As with its price support case, the USTR is shining a light on other policies that pre-empt market driven wheat trade, stifle our export opportunities and force private sector buyers and Chinese consumers to pay far more for milling wheat and wheat-based foods,” said USW President Alan Tracy.

“The facts in these two cases go hand-in-hand, demonstrating how Chinese government policies create an unfair advantage for domestic wheat production,” said Gordon Stoner, president of NAWG and a wheat farmer from Outlook, Montana. “Both actions call attention to the fact that when all countries follow the rules, a pro-trade agenda and trade agreements work for U.S. wheat farmers and their customers.”

China’s wheat TRQ was established in its WTO membership agreement in 2001. Under that agreement, China is allowed to initially allocate 90 percent of the TRQ to be imported through government buyers, or state trading enterprises (STEs), with only 10 percent reserved for private sector importers. The private sector portion of the TRQ is functioning well enough to be filled in recent years, in part because Chinese millers are trying to meet growing demand for products that require flour from different wheat classes with better milling and baking characteristics than domestically produced wheat provides. However, China’s notifications to the WTO on TRQ usage show an average fill rate of only 23 percent.

The WTO does not require that TRQs fill every year, but it has established rules regarding transparency and administration that are intended to facilitate the use of TRQs.

“When you consider that China’s domestic wheat prices are more than 40 percent higher than the landed cost of U.S. wheat imported from the Pacific Northwest, it would be logical to assume the TRQ would be fully used if the system were operating fairly, transparently and predictably as the rules intend. It is clearly not operating that way,” said Tracy. “This troublesome administration of China’s wheat TRQ is restraining export opportunities for U.S. wheat farmers and farmers from Canada, Australia and other wheat exporting countries to the detriment of Chinese consumers.”

The facts also argue against potential claims that enforcing the TRQ agreement would threaten China’s food security. China produces more wheat each year than any other single country and currently holds an estimated 45 percent of the world’s abundant wheat supplies. If China met its 9.64 MMT wheat TRQ, it would move up from number 14 to number 2 on the list of the world’s largest wheat importers, and its farmers would still produce 90 percent of domestically consumed wheat. Opening the wheat TRQ would also allow private sector millers and food producers to import the types of wheat they say they need, but cannot now obtain, and the benefits would be passed on to China’s consumers.

USW and NAWG also applaud the USTR’s request for a dispute panel in its WTO challenge to China’s trade-distorting market price support programs for wheat, corn and rice. It is a crucial step toward reining in a policy that costs U.S. wheat farmers between $650 and $700 million annually in lost income by pre-empting export opportunities and suppressing global prices, according to a 2016 Iowa State University study sponsored by USW.

USW’s mission is to “develop, maintain, and expand international markets to enhance the profitability of U.S. wheat producers and their customers.” USW activities in more than 100 countries are made possible through producer checkoff dollars managed by 19 state wheat commissions and cost-share funding provided by USDA/Foreign Agricultural Service. For more information, visit our website at www.uswheat.org.

NAWG is a federation of 22 state wheat grower associations that works to represent the needs and interests of wheat producers before Congress and federal agencies. Based in Washington, DC, NAWG is grower-governed and grower-funded, and works in areas as diverse as federal farm policy, trade, environmental regulation, agricultural research and sustainability.

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Nondiscrimination and Alternate Means of Communications
U.S. Wheat Associates prohibits discrimination in all its programs and activities on the basis of race, color, religion, national origin, gender, marital or family status, age, disability, political beliefs or sexual orientation. Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact U.S. Wheat Associates at 202-463-0999 (TDD/TTY – 800-877-8339, or from outside the U.S.- 605-331-4923). To file a complaint of discrimination, write to Vice President of Finance, U.S. Wheat Associates, 3103 10th Street, North, Arlington, VA 22201, or call 202-463-0999. U.S. Wheat Associates is an equal opportunity provider and employer.

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