By DOUG La ROCQUE
NYVT Media
EASTON–When it comes to tariffs and New York State agriculture, “the only thing that is certain is the uncertainty.” That’s how Stuart Ziehm of Tiashoke Farms in Easton and Buskirk summed it up when speaking with NYVT Media.
Tiashoke is a dairy farm, milking 1,100 cows daily. Mr. Ziehm says 18% of all the milk production in this country is exported and 50% of that goes to Canada and Mexico. Will there be retaliatory tariffs on milk by these countries? It’s uncertain.
While Tiashoke is primarily self-sufficient producing their own livestock feed, they do rely on an important supplement that is produced in Canada. Is this going to go up 25%? It’s uncertain.
Add to this that milk futures, a predictor of milk prices in the near future, are down, partially because of government control of these prices and because of typical spring production increases, it means some economic challenges for dairy farmers, that is for certain.
“Because our farms do not rival the large agricultural operations in the Midwest, we really do not rely much on international exports of milk or grain so the county’s agribusiness is not highly impacted by tariffs,” said Caroline Myran, Schoharie County’s Agriculture Development Specialist.
Ms. Myran said there is an exception to this. This is the time of the year when their farmers are preparing for spring planting and often need parts and raw materials that are imported from Canada or Mexico. A 25% hike in the price of these supplies can make for a rough go.
NYVT Media reached out to David Fisher, the president of the New York Farm Bureau, for its view on tariffs. He said, “The Farm Bureau stands with our farmers and agricultural partners in opposition to new and/or increased tariffs that negatively impact farmers in New York. These tariffs will not only directly affect the already slim profit margin for many of our members, but they will also affect consumers as prices rise to meet increased production costs.
“The imposition of a 25% tariff on aluminum, together with ending exemptions on steel exported to the United States, has a potentially devastating impact on the farming industry — affecting everything from producers of craft beer to purchasers and manufacturers of farm structures, equipment and vehicles.
“While we remain committed to working with President Trump’s administration to protect our farmers, we respectfully ask for a reconsideration of these tariffs in light of the grave economic impact they will have on agriculture in New York and across the nation.”
As imported goods and commodities increase in price because of tariffs and exports are subject to reduced volumes as the result of retaliatory tariffs by trading partners, what’s a farmer or any agribusiness owner to do? Looking to Uncle Sam for some relief might be part of the answer.
Agriculture Secretary Brooke Rollins says the economic consequences of the trade war remain to be seen but tells Farm Journal’s AgWeb her agency has a plan, such as the Market Facilitation Program ready for farmers if needed.
“Everything is on the table right now. Everything,” said Secretary Rollins. “I know that President Trump, whom I speak with regularly, realizes the state of the farm economy in this country.”
Secretary Rollins said they are preparing a plan to make whole, as best possible, those who might be hurt.
As negotiations continue between government officials and trading partners with the United States, it comes back to the question: What’s a farmer or any agribusiness person to do?
“Control what is in your power to control,” Mr. Ziehm said. What you cannot control will fall where it may.