Trump floats end to US cattle imports as ranchers suffer in Covid-19 disruption

US President Donald Trump has said that the country should consider terminating trade deals under which it imports cattle, according to a report by Reuters.

The President made the comments at a White House event held to discuss $19 billion in agricultural relief approved by Congress.

The US meat industry has been hard hit by the coronavirus pandemic, with many processors, including JBS and Tyson, reducing operations or suspending them altogether, at facilities affected by outbreaks.

The disruption to the food supply chain caused by the shuttering of plants prompted Trump to issue an executive order invoking the Defense Production Act to force plants to stay open. However, some plants have resumed only limited operations, as workers afraid of contracting the virus remain home.

Imports of cattle from Mexico and Canada are permitted under the terms of Trump’s newly renegotiated North American trade pact. 

Speaking at the event, Trump said: “I read yesterday where we take some cattle in from other countries.

“We have trade deals. I think you should look at terminating those deals. We have a lot of cattle in this country.”

Imports of live cattle, which are often then slaughtered in American plants, supplement domestic supplies at lower prices, and bans could reignite trade disputes.

President of the US National Cattlemen’s Beef Association, Marty Smith, cited by Reuters, said that Trump’s suggestion may have resulted from a misunderstanding.

“It was something I wish the president hadn’t said,” said Smith.

In a statement posted on its website, the Canadian Cattlemen’s Association (CCA) said that Canadian beef producers and their American counterparts alike, depend on reliable trade partners to attain the highest value for their products – whether beef or cattle.

“There is no doubt that we have an integral trade relationship with the United States – we are excellent trade partners – in fact, we have the largest two-way beef trade in the world, and it continues to be mutually beneficial,” said CCA president, Bob Lowe.

Oswaldo Chazaro, head of Mexican cattle confederation CNOG, said that while he respected the President’s opinion, many years had been spent developing an integrated beef market which benefits all consumers.

“More thought should be given to keeping this healthy, balanced trade in both directions,” said Chazaro, adding that while US buyers purchased about 1.2 million Mexican cows last year, Mexican firms are buying growing volumes of US beef.