Trade in heavy weather

Dairy US fights to maintain relationship with Mexico

3 February 2017 - Redactie Boerenbusiness - 1 reaction

Under the rule of Donald Trump, a new wind is blowing in the United States (US). He leaves his mark on the exchange rate of the dollar, but also has an opinion about the relationship with various countries, including Mexico. It is precisely this country that is vital to American dairy exports. 

A challenge for Vilsack

Due to its location in relation to Mexico, it is the US that manages to maintain a thriving export of dairy products to this region. Although the European Union (EU) has also increasingly entered this market since Russia's border closure for dairy. It can be safely said that there are privateers on the coast and then there is Donald Trump who wants to build a wall to separate the regions.

A challenge for Tom Vilsack, the former US Secretary of Agriculture but current CEO of the US Board of Dairy Exports (USDEC). He wanted to promote export, secure new markets for dairy and further facilitate the sale of dairy products. 'I also want to strengthen our ties with the dairy sector and with our customers worldwide.'  

The latter may well prove to be a major challenge as the Trump administration continues to make headlines with new developments surrounding its relationship with Mexico. Instead of moving forward, he must now switch to crisis management. Therefore, Vilsack urges exporting companies to reassure and reach out to customers in Mexico. 

Switch to crisis management

“We all have a responsibility and an opportunity to maintain and strengthen our relationship with Mexico. We need to reassure them that we are still open to doing business and that we will continue to look for ways to do business with them.”

He hopes the deep-rooted relationship is strong enough to weather the storm. A storm fueled by the sounds coming from Washington. In 2016, Mexico represented $1,2 billion in US dairy exports. USDEC and 130 more organizations are fighting to preserve the Mexican market.  

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1 reaction
geert 3 February 2017
This is a response to this article:
[url=http://www.boerenbusiness.nl/melk-voer/ artikel/10873274/Zuivel-VS-knokt-voor-behoud-van- Relatie-met-Mexico]US dairy fights to maintain relationship with Mexico[/url]
That Trump is quite wild, many Mexicans milk on American dairy farms, what are the consequences of this?
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