Tennessee beef producers are "frustrated" after President Donald Trump eased tariffs on up to 300,000 metric tons of ground beef imported into the United States in an attempt to reduce beef prices for Americans.
Trump took to Truth Social on Aug. 21, saying he reached a deal with foreign ground beef exporters to sell their product at a 25% discount in exchange for not paying U.S. out-of-quota tariffs on foreign beef.
Domestic beef producers and organizations criticized the move, saying it will impact beef producers and hinder the growth of America's herd. The Tennessee Farm Bureau (TFB), the state's largest farm advocacy organization, agrees.
A day after the announcement, the TFB issued a statement calling Trump's action a "short-term" response
to a "long-term" challenge.
What did the Tennessee Farm Bureau say about Trump's move?
“Tennessee beef producers are frustrated by President Trump’s announcement yesterday regarding beef imports,” said TFB president Eric Mayberry in an official statement released on Aug. 22.
"Tennessee cattle producers understand the importance of affordable prices, but rebuilding the US cattle herd takes time. Making short-term, quick responses to long-term challenges will hurt Tennessee cattle producers, especially during a time when strong prices for beef are the sole bright spot of the US agricultural economy."
"This decision will only inhibit efforts to expand the US cattle herd, not improve them," the statement concluded.
Beef cattle are one of Tennessee's largest agricultural commodities, and according to the TFB, increased imports could undermine efforts to rebuild the state's cattle herd.
The organization argues that a large influx of foreign beef would increase competition and lower beef prices, making farmers less likely to invest the time and money needed to grow their herds.
Tennessee Cattlemen's Association weighs in on Trump's decision
The Tennessee Cattlemen's Association (TCA) also released a statement, mirroring the TFB's disappointment and concern.
"Increasing imports of government-subsidized below-market beef risks weakening producer confidence at the very time we need cattlemen investing in herd expansion," said TCA's Executive Vice President Dale Parker in a statement posted on Facebook.
"We support keeping beef affordable for consumers, but short-term solutions should not come at the expense of the producers needed to maintain a strong domestic beef supply."
Parker also mentioned that "any action that artificially pressures cattle prices could have a significant impact on farm profitability."
What are other beef organizations saying?
The TFB and the TCA are far from the only cattle organizations criticizing the move, as many of the U.S.'s biggest beef entities have released statements highlighting the potential impacts of Trump's decision on the American beef industry.
"Farmers and ranchers are extremely disappointed to learn that President Trump plans to flood the American market with hundreds of millions of pounds of foreign-raised beef," saidAmerican Farm BureauFederation President Zippy Duvall.
"We appreciate the president’s goal of reducing grocery costs, but short-term measures could have long-term negative effects for consumers and for ranchers who are making decisions on whether to retain or expand their herd," he added.
"NCBA is disappointed by the President’s statement. While America’s cattle producers share the goal of keeping groceries affordable for consumers, flooding the market with government-subsidized, below-market beef is not the way to rebuild the American cattle herd," National Cattlemen’s Beef Association (NCBA) Chief Executive Officer Colin Woodall said.
Beyond these three organizations, other advocacy groups that have issued statements include the United States Cattlemen's Association, National Farmers Union and R-CALF USA.
What did Trump say?
"Today, I concluded a deal to substantially lower the price of ground beef for working American families," wrote Trump on his Aug. 21 Truth Social post.
"As everyone knows, under President Biden, beef prices soared at their fastest rate and the American beef herd fell to its smallest size in modern history. As we work to rebuild this herd and help our ranchers, for the next 90 days, the United States will allow up to 300,000 metric tons of product for ground beef to be imported with no out of quota tariff."
"We have a commitment that this beef will be sold at 25 percent below current market prices. This deal will reduce prices for Americans while giving space for our Great American Beef Herd to grow again. Thank you for your attention to this matter! President DONALD J. TRUMP," he concluded.
Why is the price of beef high?
The price of beef has increased by over 122% in the last five years, according to the American Farm Bureau Federation, as the U.S. cattle herd sits at its lowest level in decades.
According to the U.S. Bureau of Labor Statistics, beef and veal prices were 9.4% higher in July than a year earlier.
The U.S. cattle herd has experienced downsizing following years of drought that burned up grazing lands and increased the cost of feed, reported USA TODAY.
USA TODAY contributed to this report.
Peter Burditt covers trending news and service journalism for The Tennessean. Contact him at PBurditt@nashvill.gannett.com.
This article originally appeared on Nashville Tennessean: Tennessee cattle producers frustrated by Trump's beef import deal
