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Farmers watching Panama Canal issues

U.S. farmers and agricultural groups are closely watching developments around the Panama Canal.

Mike Steenhoek is with the Soy Transportation Coalition. He says, “Soybeans are the number one agricultural customer of the Panama Canal. We typically ship at least 600 million bushels of soybeans through the Panama Canal every year en route to our customers in Asia, so it’s a critical link in our supply chain.”

Steenhoek tells Brownfield U.S. leaders are concerned about Hong Kong-based Hutchison Port Holdings, which operates 53 ports in 24 countries including ports at both ends of the Panama Canal and Panama’s other development agreements with the Chinese government. “Chinese investment is going to build another bridge that goes across the Panama Canal. They currently have three bridges that cross the Panama Canal. They’re now going to build a fourth bridge, so that’s another question is, to what extent could that in the future impede the neutrality of the Panama Canal?”

Steenhoek says maintaining neutrality and equal access was a condition when the U.S. signed over control of the Panama Canal to the Panamanian government.  He says over 70% of the freight through the Panama Canal is coming from or going to the United States.

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