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Farm Bill - Increasing Access to New Markets

Agricultural exports are significant to farmers and the U.S. economy. With the productivity of American agriculture growing rapidly, so is demand. Farmers are accessing new markets around the globe like India to sell American products many of which are grown in the San Joaquin Valley. 

The Trade title (Title III) of the Farm Bill authorizes programs to expand foreign markets for U.S. farmers and food manufacturers through export market development programs and export credit guarantee programs.

 

Access to New Global Markets

The Market Access Program (MAP) was established in 1985 and allows agricultural trade associations, farmer cooperatives, non-profit trade groups, and small businesses to apply for either generic or brand-specific promotion funds to support exporting efforts. 

The Foreign Market Development Program (FMD) was first developed in 1955 and is largely used for the promotion of bulk commodities, helping agricultural trade associations establish a permanent presence in important markets.

USDA export programs like MAP and FDMP have added an annual average of $8.15 billion to the value of American agricultural exports and added up to 239,800 full and part-time jobs, including 90,000 farm sector jobs. We must build on these efforts in the upcoming Farm Bill, that is why I introduced the Agriculture Export Promotion Actwould increase funding for these programs, and help American farmers maintain an edge in the global marketplace.

Some additional trade programs reauthorized in the Farm Bill include:

 

Developing Export Infrastructure 

In 2021, the top three markets for our pork: China, Japan, and Mexico, accounted for 63% of U.S. exports. In that same year, the top three markets for beef: Japan, South Korea, and China accounted for 60% of U.S. exports.

These facts underscore the need to maintain these trading partners and establish new markets to build a resilient supply chain for California producers. That is why, I introduced the Fortifying Refrigeration Infrastructure and Developing Global Exports (FRIDGE) Act, which would add a section in the Foreign Market Development (FMD) program to enhance infrastructure construction – including cold chain storage – in new and developing foreign markets.

 

Protecting U.S. Ag Exports

Common food and drink names such as parmesan, chateau, and bologna are used around the world to describe products to consumers. However, due to geographic indication of European locations, the European Union has begun using economic and political influence to implement unfair trade practices under the guise of protecting geographic indicators.

These unfair trade practices have the potential to block United States’ agriculture products from being sold in international markets. That is why, I am co-leading the bipartisan, bicameral  Safeguarding American Value-Added Exports (SAVE) Act, which would amend the Agriculture Trade Act of 1978 to include and define a list of common names for ag commodities, food products, and terms used in marketing and packaging of products. 

 

International Food Assistance Programs

The United States is the largest international food assistance donor in the world. Our country provides hunger relief and food assistance, which stimulates growth and increases stability in the poorest regions across the globe.

Food is not only a national, but global security issue. Throughout my time in Congress, I've been a staunch advocate for international food assistance programs like Food for Peace and McGovern-Dole Food for Education, because I see the positive results that these programs create around the developing world. 

Today, Putin's brutal invasion of Ukraine has fueled the global hunger crisis and disrupted food supply chains. This is being felt across the globe and Congress must continue to take immediate action to address rapidly growing food insecurity by strengthening the following programs: