Trade News From The American Peanut Council

The Codex Committee on Contaminants in Foods will again be taking up a discussion on a proposed standard for aflatoxin maximum levels in ready-to-eat peanuts. The meeting is scheduled for April 18-21, 2023, in Utrecht, The Netherlands. APC is actively engaged in working with the U.S. delegation and other stakeholders, citing the lack of scientific evidence to support such a standard and questioning the need for such a standard. Codex already has a voluntary standard for peanuts for further processing at 15 parts per billion. CCCF started work in 2014 to develop a voluntary standard for an aflatoxin maximum level in ready-to-eat peanuts and has had little consensus. Codex standards are used by some countries, primarily developing countries, as a default for their import requirements.

McKalip Discusses Trade Agenda

The Biden Administration’s new Chief Agricultural Negotiator, Ambassador Doug McKalip, is already out and about talking about his goals for expanding U.S. agricultural exports.

At USDA’s 2023 Outlook Conference, he highlighted four areas for success: 1) keeping the markets we have open; 2) expanding exports by fixing regulatory barriers; 3) opening new markets and exporting new products; and 4) making sure trading partners “play fair.” He highlighted negotiations in the IndoPacific Economic Framework to make sure countries do not create non-tariff barriers in the name of “sustainability,” with recognition of the stewardship that American farmers already undertake. He noted that the U.S. negotiating approach is to provide flexibility for farmers’ practices, which need to be decisions at the farm level.

McKalip also encouraged the audience to not “shy away” from China because of possible unknowns in foreign policy. China is and is likely to remain a top-tier market for U.S. agricultural exports, and he is prepared to invest in that relationship to improve predictability and fairness.

Congressional Agenda On Trade

Despite a divided Congress, one refrain heard from both congressional Republicans and Democrats is the priority for Congress to protect its consti- tutional role on trade. Some in Congress view actions by the Trump and Biden Administrations to be undermining congressional authorities by imposing retaliatory tariffs on imports and negotiating trade agreements without sufficient congressional input.

However, some optimism exists for progress on trade legislation over the next two years. While optimism is scarce for Congress and the White House to move on Trade Promotion Authority, which defines negotiating objectives, roles and responsibilities, Congress could act on other priorities. Top of mind would be renewal of the Generalized System of Preferences program, which provides reduced tariffs on imports from certain developing countries.

Congress could also act on the Miscellaneous Tariff Bill, which lowers U.S. tariffs on imports of certain goods. Congress may begin reviewing the African Growth and Opportunities Act renewal, which provides trade preferences to many sub-Saharan African countries.