U.S. Philippines Meat Talks and U.S. Milk Production Down
**Trade Representative Robert Lighthizer has announced the U.S. and Philippines have made progress on several key trade issues of interest to the red meat industry.
These include collaboration on the development of cold chain requirements and best practices in the Philippines and an agreement seeking improved valuation of ag imports for duty collection purposes.
U.S. Meat Export Federation Sr. Vice President Joel Haggard says the Philippines is a rapidly growing destination for U.S. red meat.
**Harsh reactions continue for the milk markets as the latest milk production and cold storage reports come out.
Last week, October lost 3 cents while November and December softened 32 and 30 cents respectfully.
According to milkbusiness.com, January through April ranged from 21-to-27 cents lower, May declined 19 cents and June was off 12 cents.
The spot product market fared no better with butter declined 2 cents while Grade A nonfat dry milk was unchanged.
**More stress for farmers financially, as borrowing needs continue to rise.
According to the Federal Reserve's Ag Finance Databook, operating loans made by large agricultural banks have led to a significant increase in lending.
A quick look at the numbers tells the story. Agweb.com reports, in the third quarter, Non-real estate farm loans were 30% higher than a year ago, and the number of loans larger than $1 million dollars nearly doubled.
Delinquency rates on those loans, while low, are trending higher.