Japan Agreement Creates Opportunity for U.S. Sorghum Farmers

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Read the original article in News Dakota by Todd Ingstad

U.S. President Donald Trump and Japanese Prime Minister Shinzo Abe signed an agreement Wednesday that eliminate tariffs or reduces tariffs on $7.2 billion worth of U.S. food and agricultural products, including the tariff on grain sorghum, increasing market access for U.S. agricultural producers in Japan. In return, the U.S. will reduce and eliminate tariffs on $40 million worth of agricultural imports from Japan. National Sorghum Producers Chairman Dan Atkisson released a statement thanking both negotiators for their hard work and foresight to build more opportunities for U.S. agriculture producers and for paving the way for increased market access for sorghum producers through duty free exports of U.S. grain sorghum.

Grain sorghum into Japan previously incurred a 3 percent tariff rate, but that will be eliminated entirely on the date of entry into force of the agreement, which is projected to be January 2020. Japan imported close to 237,000 metric tons of U.S. sorghum this marketing year. The majority of grain is utilized as animal feed, primarily for poultry. The U.S. is also the dominant supplier of sorghum seed to Japan, exporting 81 metric tons of treated seed in 2017. Seed sorghum into Japan is already duty free.


Posted on

October 1, 2019

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