Donald Trump’s plan to buy US$15 billion of crops for humanitarian aid does not thrill farmers
- Such programmes wind up hurting both farmers and developing countries, economists say
- ‘Here’s a handout to make you happy? That doesn’t make us happy,’ a farmer in Minnesota says
The unresolved trade dispute between the United States and China roils global financial markets episodically, but over the past year its escalation has sharply curtailed US farmers’ access to one of their biggest markets, exacerbating the pain they are feeling from already low commodity prices.
Adding insult to injury, they say, is being offered a handout by US President Donald Trump, who tweeted on Friday that he would use the money raised via tariffs on China to purchase US$15 billion worth of agricultural products to help the farm sector. The purchased food would go towards humanitarian aid, Trump said.
Agricultural economists and farmers note that such plans have been tried before with less than desirable results for both farmers and the nations receiving the food aid.
“Here’s a handout to make you happy? That doesn’t make us happy. We want our markets back,” Bill Gordon, a fourth-generation farmer in Worthington, Minnesota, who is also vice-president of the American Soybean Association, said in a telephone interview.
The markets are so low, we cannot even break even to pay our bills. Farmers are losing their farms every day. The suicide rate among farmers is at an all-time high.
“It is not up to us to tell the president how to negotiate, but a handout from the government is not how I want to run my business,” Gordon said.
