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Taiwan trade deal to eliminate tariffs on U.S. wheat, expand market access

A trade policy expert says the recently announced reciprocal trade agreement could help expand market access for U.S. wheat in Taiwan.

Ryan Olson with  U.S. Wheat Associates says the deal would permanently lower tariffs to zero.

“Taiwan has committed to purchasing over 130 million bushels of U.S. wheat almost through the end of this decade,” he says. “We’ve been working on the commercial side to get the millers in the room to really explain how great our wheat is in the quality, the value, and the reliability.”

But, he tells Brownfield there are still non-tariff trade barriers in Taiwan.

“Things like agricultural biotechnology and crop residues,” he says. “It really is going to make Taiwan take commitments to address those. In the event that there is a trade disruption, it lays out the rules of the road for how the U.S. and Taiwan could deal with those disruptions.”

Taiwan is currently the 7th largest U.S. trading partner. The country is expected to purchase more than $10 billion in U.S. ag products over the next four years.

AUDIO: Ryan Olson, U.S. Wheat Associates