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Lauritsen’s 2018 Outlook on Long-Term Agricultural Trade Solutions

In June 2018, Sharon Bomer Lauritsen voiced optimism about long-term agricultural trade solutions while acknowledging uncertainty facing U.S. farmers.
From TheFinanceBase Team2 min to read
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In June 2018, Sharon Bomer Lauritsen expressed optimism that long-term solutions to agricultural trade disputes were possible, even as U.S. farmers faced uncertainty. Her outlook was about negotiations and policy efforts underway at that time—not a report on their eventual results or today’s trade conditions.

Why trade mattered to U.S. agriculture

At the 25th Annual American-AgriWomen Symposium in Washington, D.C., Lauritsen, then assistant U.S. trade representative for agricultural affairs and commodity policy, described trade as important across a broad range of U.S. farm sectors: grains and oilseeds, dairy, meat, produce, sugar, wine and whiskey. As she put it, “As a trade negotiator, you have to be optimistic.”

A June 2018 Agriculture.com account reported Lauritsen’s figures that more than 20% of U.S. farm and livestock product was exported and agricultural exports accounted for over 30% of gross farm income. Those are figures attributed to her in that report, not updated measures. Agriculture.com’s June 7, 2018 report is the source for the remarks and figures below.

China: market access, support programs and retaliation

China was a major focus of the trade discussions Lauritsen described. The report relayed USDA estimates that China held 38% of global corn stocks, 52% of wheat, 67% of rice, 22% of soybeans and 40% of cotton. These are estimates quoted in a 2018 report, not current stock figures.

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Lauritsen also said China had exceeded WTO support limits for rice, wheat and corn by nearly $100 billion, and that proposed Chinese retaliatory tariffs, if imposed, would cover nearly 82% of U.S. agricultural exports to China. Both are claims attributed to her in the 2018 account; the article does not establish their subsequent status or independently verify them.

NAFTA modernization: progress alongside unresolved issues

On the negotiations to modernize NAFTA, Lauritsen described progress in several areas and said a chapter on sanitary and phytosanitary measures (SPS)—rules concerning food safety and animal and plant health—had been completed. She also acknowledged that challenges remained. These comments describe the negotiations as they stood in June 2018 and do not establish what the agreement ultimately contained.

New markets: possibilities, not confirmed plans

Lauritsen’s market-access outlook included Japan and potential opportunities in southeast Asia and Africa. She also discussed possible future UK trade conversations after Brexit. These were prospective remarks in 2018, not evidence that negotiations were then underway or that any opportunity was secured. On opening new markets, she said, “It takes two to tango.”

Negotiation, enforcement and coordination

Lauritsen described trade work as involving foreign counterparts, coordination among U.S. agencies and engagement with stakeholders. The report also discussed enforcement and U.S. leadership in the WTO as parts of the broader policy effort. In her words, moving issues forward was “a very complicated, well-orchestrated dance.” These descriptions explain the approaches she identified; the account does not measure their results.

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What her optimism meant—and did not mean

Lauritsen’s optimism was confidence in the possibility of longer-term solutions through negotiation and policy work, not a prediction that disputes would end quickly. The Agriculture.com account captures a moment in June 2018. By itself, it cannot answer what happened afterward to China-related disputes, NAFTA modernization, enforcement efforts or the market opportunities she mentioned, nor does it provide current trade statistics.

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