On 1 June, a bipartisan group of 21 members of the House of Representatives asked USTR to address Brazil’s treatment of U.S. ethanol, specifically a reinstatement of tariffs and access to Brazil’s carbon credit program for ethanol. Between the tariff and lack of access to the credit program, U.S. exports to Brazil have effectively been cut off.
First, the tariffs. From 2012 to 2017, U.S. ethanol entered Brazil tariff-free. In 2017, Brazil imposed an annual TRQ of 600 million liters (158 million gallons) on ethanol imports from 1 September 2017 through 31 August 2019. Any volume above the quota was subject to the 20 percent Common External Tariff (CET) under the Mercosur agreement. That tariff was reassessed 24 months after im...
What You Need to Know Today: U.S. weather is getting more attention this week as conditions vary greatly across the western, central, and eastern corn belts, with the different regions battling dryness and too much rain simultaneously. The ProFarmer Crop Tour began today in Indiana and Nebrask...
Key Takeaways: Argentina is on pace for a record corn crop and record exports in the current marketing year, with abundant supplies likely to keep the country highly competitive in global export markets. Argentina’s record exportable surplus is allowing it to offer highly competitive pri...
