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Secretary's Column: Strengthening the Rural Economy

This has been an important week for the White House Rural Council – a partnership between multiple Federal agencies, created by President Obama last year to focus and coordinate our efforts to create jobs in rural America and support American agriculture.

We marked the one-year anniversary of the Council on June 11; and on the same day, the Rural Council released a report alongside the White House Council of Economic Advisors and USDA that notes significant progress in our efforts to grow the rural economy.  But President Obama and I also know that there’s more to be done.

Vermont Small Businesses Make Inroads in Canadian Market

Helping small- and medium-sized businesses export their products is a cornerstone of the President’s National Export Initiative (NEI), which aims to double U.S. exports by the end of 2014. The partnership between the Foreign Agricultural Service (FAS), non-profit U.S. agricultural trade organizations (called cooperators) and state regional trade groups (SRTGs) is essential to achieving that goal. The power of this partnership was clearly highlighted at the SIAL Canada trade show in Montreal, May 9-11, where the majority of the exhibitors at the USA Pavilion were small U.S. companies.

Among the SIAL Canada participants were the Vermont Agency of Agriculture, Food and Markets (VAAFM), and six Vermont food companies that produce products including artisan cheeses, croutons, jams, jellies, dips, sauces, specialty packaged maple syrups and premium spaghetti sauces. Although many of the companies are located less than an hour away from the Canadian border, few had previously considered exporting their products to Canada.

Removing Barriers to Trade Benefits Our Farmers, Businesses

Today, the Office of the U.S. Trade Representative (USTR) released three reports to Congress detailing the Obama Administration’s work to reduce or remove key foreign government barriers to American exports. The reports describe how the Administration has fought for American jobs over the last year by working to reduce or eliminate unwarranted sanitary and phytosanitary (SPS) and technical barriers to trade (TBT) as well as other significant barriers to American exports.

Just a few weeks removed from the historic implementation of the U.S.-Korea trade agreement, and as our officials wrap up USDA’s largest-ever agricultural trade mission to China today, we are reminded that the strength of the U.S. agricultural economy is directly connected to an open system of international trade, free from unwarranted and unjustified barriers.

U.S. Agribusinesses Build Trade Relationships, Seek Export Success in China

It is my pleasure to be in China, leading USDA’s largest-ever agricultural trade mission in the cities of Chengdu and Shanghai from March 23-28.

I am joined by 39 U.S. businesses representing a wide variety of products, including fresh and frozen produce, dairy, wine, consumer-oriented products, forestry products, and more. Representatives from six state departments of agriculture are also participating, including Iowa Agriculture Secretary Bill Northey, Oklahoma Agriculture Secretary Jim Reese, and representatives from North Carolina, Illinois, Kansas, and South Dakota.

USDA Provides One-Stop Information Shop for Ag Exporters

USDA’s Foreign Agricultural Service (FAS) is helping U.S. agricultural exporters navigate the complexities of the global trading system with its new trade facilitation desk. The FAS trade facilitation desk is just one example of how FAS is streamlining and improving its services to exporters as part of the USDA-wide Blueprint for Stronger Service initiative. The Blueprint is helping USDA modernize and accelerate service delivery while improving the customer experience through use of innovative technologies and business solutions, like the trade facilitation desk.

With a single phone call or e-mail, exporters can now reach FAS personnel who can provide information on export certification, registration, and documentation requirements. The trade facilitation desk also provides troubleshooting support if an exporter runs into issues with a shipment being detained or refused at its destination.

The United States is China’s Soybean Supplier of Choice

Last week was a momentous one for U.S.-China agricultural relations. In addition to the productive meetings that took place in Washington and Des Moines, I was honored to witness the signing of an agreement between the U.S. soybean industry and Chinese buyers who agreed to purchase more than 8.6 million metric tons of U.S. soybeans in the coming year. That’s about $4.3 billion worth of soybeans, or 317 million bushels.

The signing of that purchase agreement represents another very important milestone in the U.S.-China trade relationship, a relationship that continues to grow and flourish – in large part thanks to agricultural trade.  Last fiscal year, for the first time ever, China was the number one market for U.S. food and agricultural exports. And it was also the top market, by far, for U.S. soybeans. In fact, China purchased nearly 60 percent of the U.S. soybeans sold internationally last year.

Organics Take A Major Step Forward with U.S.-EU Partnership

Travis Forgues is an organic dairy farmer in the town of Alburgh in northwest Vermont, almost at the Canadian border and surrounded on three sides by Lake Champlain. Like many of the other dairy farmers in northern Vermont, Travis is a realist. He went to college. He tried city life. But he was born into farming, and that’s how he wanted to raise his own family. So Travis went to his dad and had a talk about organic farming, and he convinced his father, and then many others, to convert their land from conventional agricultural practices to organic. As Travis saw it, organics was a growing niche within American agriculture, and consumer demand for organically produced dairy was taking off. Better still, consumers were willing to pay more for organic products. Today, as a result of Travis’ work, nearly 130 dairy farmers across New England have signed on to the “New England Pastures” organic dairy cooperative for Organic Valley.