H-2A Reforms on Hold and Ag Trade Deficit Down
From the Western Ag Network, I’m Bob Larson with your Agribusiness Update.
**A court ruling casts uncertainty over recent reforms to the H-2A ag guestworker program, leaving current wage rates in place for now.
Last week, a federal district court in California ruled key provisions of a 2025 Department of Labor interim final rule revising the Adverse Effect Wage Rate were unlawful.
But the judge declined to vacate the rule, allowing current H-2A wage rates to remain in effect while a new methodology is developed.
**U.S. ag exports are expected to strengthen as USDA raised its trade forecast and projected a smaller ag trade deficit for 2026.
USDA forecasts agricultural EXPORTS at $179.5 billion, up $3 billion from May’s projection.
IMPORTS are forecast at $204.5 billion, down $1 billion.
That would create an ag trade deficit of about $25 billion, compared with the $29 billion projected in May and the record $42.9 billion in 2025.
**President Trump says his administration is preparing legal action aimed at giving farmers and ranchers more freedom to process and sell meat, a move he says would increase competition.
This comes after a presidential proclamation allowing an additional 300,000 metric tons of lean beef into the U.S. at reduced tariff rates.
Ag Secretary Brooke Rollins says additional announcements are expected, including efforts to expand interstate sales and support smaller processors’ safety.
