President Trump Signs United States-Mexico-Canada Trade Agreement

This has been reprinted from the Feb. 6 USDA Grain Transportation Report.

Signed by President Trump on January 29, the United States-Mexico-Canada Trade Agreement (USMCA) allows preferential market access for U.S. agricultural products, while reducing trade-distorting policies, increasing transparency, and ensuring nondiscriminatory treatment.

Part of the agreement eliminates all tariffs on U.S. wheat exports to Mexico, one of the top U.S. export markets.

The end of these tariffs should provide an opportunity for wheat exports to grow.

In addition, U.S. wheat exports to Canada will receive reciprocal grading treatment and will not require a “country of origin” certificate on their quality grade or inspection certificate.

This change will enhance the competitiveness of U.S. wheat growers along the U.S.-Canada border.

The agreement could boost the demand for U.S. grain in both countries and consequently increase cross-border movements and rail deliveries to ports.