There has been a big development in President Trump’s deportation plan, and it could sent ripples through the corn markets today.
Over the weekend, Colombia’s president released several flights with illegal migrants on board out of the United States. They argued migrants were not criminals, and the U.S. violated their rights.
President Trump responded with plans for 25 percent tariffs on the country, a major receiver of U.S. ag supplies, and those tariffs would increase to 50 percent after a week. However, Colombia’s president said he would accept the flights, so the tariffs have been called off.
Colombia is a major trade partner with the U.S. as they import more than a billion dollars of U.S. corn each year, making them the fourth largest export market. They are also a big provider of coffee and fresh cut flowers to the U.S.
A free trade agreement has been in place between the U.S. and Colombia since 2012, but the U.S. has the right to take action if there is a national security threat.
Traders say that shift could eventually prompt the USDA to scale back soybean export projections, noting the outlook differs greatly for other grain commodities.
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Mike Steenhoek of the Soy Transportation Coalition shares how extreme winter weather is affecting the ag transportation network and what producers should keep in mind as conditions slowly improve.
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