U.S. and India agricultural trade

Farm and Ranch November 8, 2010 Trade has been one of the top items on President Obama’s agenda on his current visit to India. Growing trade with India is seen as crucial for the President’s goal of doubling U.S. exports in five years.

Well, what is the current status of agricultural trade between India and the U.S.? According to the USDA India sells ag products to the United States worth roughly twice what we sell to them. U.S. farmers and exporters find the door shut to many of their products in India.

Higgins: “We are not yet able to sell dairy products and major grains into India.”

That’s the U.S. ag trade minister in New Delhi Holly Higgins. She explains the major hurdles for U.S ag products.

Higgins: “A lot of it is based on plant and animal health restrictions and then India does have a declared goal of protecting their 100-million small farmers.”

But some U.S. exporters and trade officials say many of the animal and plant health restrictions are not science based and after years of trying to get more entrance into the Indian market;

Kirk: “We are exceptionally frustrated.”

That’s U.S. Trade Representative Ron Kirk.

India was last a major wheat importer in 2005-2006 and again in 2007-2008. U.S Wheat Associates says that because of the barriers India has against U.S. wheat, the nation’s wheat industry lost out on at least 100 million dollars. U.S. Wheat Associates says U.S. wheat remains excluded from the Indian market because of unreasonable and unevenly enforced quarantined weed seed requirements.

I’m Bob Hoff and that’s the Northwest Farm and Ranch Report on Northwest Aginfo Net.