“Cultivating Revitalization by Expanding American Agricultural Trade and Exports Act,” or CREAATE is hoping to keep the American producer competitive in the world market if successfully passed. The bill seeks to double the amount of public funds used to promote our products around the globe by the last year of the new farm bill. According to the latest study , the U.S. lags far behind in promoting their story to the world. The latest analysis of export promotion activities by other countries found that several competitors and the European Union spent close to $1 billion in public funds on agricultural export promotion in 2016, a 70 percent increase since 2011 in real dollars. During that time, U.S. public funding to help farmers, ranchers and small food businesses export their products stayed flat at $234.5 million, actually declining by 12 percent adjusted for inflation.Those associated with the study stated that by 2016, private funding from industry members accounted for over 70 percent of the yearly investment in the Market Access Program (MAP) and the Foreign Market Development (FMD) program, which are both administrated by the USDA Foreign Agriculture Service. Looking ahead, the annual public support for farmers from just the EU and four European countries is expected to exceed $550 million in 2019, more than doubling our current budget. Keep in mind, the longer we wait, the farther ahead our competitors get. I suspect in our global economy, these things will matter and add up to create headwinds for producers wanting to see open markets worldwide. I’m told that future export promotion funding scenarios suggest that if federal funding doubled and program participants also hiked their contribution, we would increase exports by $22 billion, farm cash income would grow by $3.6 billion and 84,600 new full and part-time jobs would be created. (Source: US Grains Council)
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