American wheat and fresh Brazilian beef are on the agenda of the US-Brazilian negotiations on agriculture
Brazil is considering the possibility of providing an import quota of 750,000 metric tons of US wheat per year without customs tariffs in exchange for trade concessions from the United States.
This amount is approximately equivalent to 10% of annual wheat imports to Brazil and is part of a two-year commitment to import 750,000 metric tons of wheat per year, without customs tariffs that Brazil assumed - but never complied with. Inclusion of wheat on the negotiation agenda Trump was asked by senators from the farm states of the United States. According to senators, such a quota will increase US wheat sales by $ 75-120 million per year.Now Brazil purchases most of its imported wheat from Argentina, in smaller volumes from Uruguay and Paraguay, without paying tariffs, since these countries are members of Mercosur - the common market of Argentina, Brazil, Uruguay, Venezuela and Paraguay. Imports from other countries are subject to a 10% customs duty. Brazilian Agriculture Minister Teresa Cristina Diaz and US Secretary of Agriculture Sonny Perdue plan to meet on Tuesday. In return, the Brazilian government hopes to gain access to US markets to import its fresh beef, which was closed after a scandal in the meat processing industry with the participation of bribed inspectors.