Trump Impact on Ag Pt 1
From the Ag Information Network, this is today’s Fruit Grower Report. A couple of months into President Trump’s second term, the ag economy is still shaky with many wondering how and if new strategies will work.
Stephen Nicholson, Global Strategist at RaboBank, says it’s murky really hard to read …
NICHOLSON … “There is a ton of worries out there and I think a lot of uncertainty, which makes markets nervous and makes, in this case, you know, farmers nervous as well because they don’t what’s coming down the pike at them next.”
Seeing retaliation on our tariffs, Nicholson says was kind of a given …
NICHOLSON … “Do we see a tariff and get, you know, Chinese “retalia,” which they will. The Chinese have told me that point blank! If he sends tariffs our way, we will send them back his way as well, back to the United States. So that will be tough for agriculture.”
Deregulation, Nicholson says can also be a bit of a slippery slope …
NICHOLSON … “And I use the example of, you know, on the day that Jimmy Carter’s, you know he deregulated the airline industry and, you know, more people got to fly and there was cheaper rates. But now, here we are, what, 40 years down the road and we have only four airline companies basically. So, there is unintended consequences that we have to be careful of.”
Nicholson says there’s good and bad so we need to be careful …
NICHOLSON … “I think the best thing they could on the regulation side is maybe don’t eliminate the regulation, you make that process better. You make less red tape.”
Tune in tomorrow for more on our new political climate and what it could mean for the agricultural industry.
