News and Issues
Renegotiating NAFTA. Canada and Mexico account for almost one third of U.S. agricultural exports. Both countries have negotiated numerous other trade agreements since NAFTA took effect in 1994, so a fresh look at the agreements is timely. At the same time, how best to protect and expand benefits to agriculture, especially given the new U.S. administration’s focus on manufacturing? Market Solutions has long helped food, agriculture , beverage, fiber and textile clients and others understand opportunities and challenges in all three NAFTA markets, and strategies for success.
Drones and Precision Agriculture Opportunities for the future in the U.S. and Internationally. Commercial use of Drones is generating substantial interest. The technology can help increase agricultural productivity for a wide range of crops and also benefit livestock producers. FAA Part 107 regulations which took effect in late 2016 are already leading to a major increase in commecial UAV use in the United States. With new rules in Turkey, the American Turkish Council and Turkey U.S. Business Council asked Market Solutions LLC to provide a briefing on the issues and opportunities for U.S.- Turkey Cooperation. A copy of the presentation is available in the newroom section of the web site. Market Solutions LLC is also examining opportunities for robotics and artificial intelligence in food and agriculture. ... read more »
What next for Trans Pacific Partnership (TPP) partners now that the U.S. has withdrawn from the agreement? China is close to negotiating its own 16 country Regional Comprehensive Economic Partnership (RCEP) agreement with Asian Pacific partners. TPP promised improved access for U.S. food and agricultural exports to a number of key markets, including Japan and Vietnam. It also introduced potential for new competition. RCEP is expected to improve market access for competitors, while setting lower standards than the TPP did in a number of areas, including labor, environmental, governance, intellectual property protections and internet/press freedoms.
India's Growth Expected to Surpass China's in 2018. Currency Controls slowed growth in late 2016, but together with initiative such as a National Goods & Services Tax (GST) to replace state taxes promise a more modern and transparent economy. Middle class India's growing incomes are rapidly pushing up domestic demand and prices for a variety of premium food products. The IMF cut its projection for 2017 growth to 6.7%, but expects 7.4% growth in 2018 in India and 6.5% growth in China. Indian Prime Minister Modi's growth targets are even more optimistic. India's middle class tripled over the last five years and is expected to double again by the end of the decade. Market Solutions LLC has long experience assisting clients in both India and China, helping to understand market opportunities and challenges, develop strategies, and build business. ... read more »
Consumer demand for Local Foods continues to grow, requiring producers and their customers to look for better ways to connect supply and demand. More farmers and end users are trying other marketing options including Farmers Markets, Food Hubs, Community Supported Agriculture (CSAs) and working with wholesalers, distributors and direct with retailers, restaurants and institutions and processors. Market Solutions LLC has worked with clients to understand marketing options to preserve and strengthen local crop and livestock industries. We have also assisted clients including retailers and major food companies, and producer and government groups assess and develop supply chain options for products with a variety of desired attributes and traits, including local and organic. ... read more »
Turkey, long a candidate for European Union (EU) membership, presents numerous opportunities for trade and investment as well as important challenges. With 76.7 million people, half under age 30, Turkey hosts 32 million tourists annually and is a potential gateway to 1.5 billion consumers in Europe, Eurasia, the Middle East and North Africa. OECD previously forecast that Turkey would become the world’s third fastest growing economy after China and India in 2017. Despite strong inflation, the IMF raised its projection for real growth in 2017 to 5.1 percent in October though it cut prospects for 2018. Market Solutions LLC has long experience working in Turkey, providing research-based support for trade and investment. ... read more »