This article appears in the April 2017 issue of Potato Grower.
There’s a lot of noise coming out of Washington these days. Since Inauguration Day on Jan. 20, the new administration—not to mention Congress and the judiciary—have seemed intent on making changes that leave a dramatic and indelible impression on the American people and the rest of the world. With the help of our friends at the National Potato Council (NPC), we’ve put together a list of things going on in Washington for folks in the potato industry to keep an eye on in the coming months.
- Trade
The potato industry strongly encourages the Trump administration and Congress to consider improvements to NAFTA, TPP and other bilateral or regional agreements through continued direct engagement with U.S. trading partners. President Trump has indicated he will renegotiate NAFTA and pursue bilateral agreements with key trading partners. The NPC stands ready to work with the administration to modernize NAFTA and complete new bilateral agreements that preserve and expand upon the export gains already achieved for the potato industry.
- USDA/EPA Confirmations
The confirmation of Scott Pruitt as administrator of the Environmental Protection Agency (EPA) could occur by mid-February and the approval of former Georgia governor Sonny Purdue to be secretary of agriculture could come by mid-March. (Time of writing was mid-February.) These two picks should be good news for specialty crop producers.
- Immigration Reform
The agriculture industry needs Congress and the administration to approve balanced measures to retain members of the existing improperly documented workforce and to create a workable guest worker program. These enhancements must be signed into law and fully implemented before any mandatory enforcement program is required.
- Supplemental Nutrition Assistance Program (SNAP) Purchases
House Agriculture Committee chairman Mike Conaway of Texas has indicated he will hold a hearing soon on SNAP. The hearing will draw on a report from the committee published last November detailing foods typically purchased by SNAP households. The report indicated that SNAP participants’ purchases are similar to those of individuals ineligible for SNAP benefits. At some point in the future, proposals to ban or limit sugary drinks or other low-nutrition foods from SNAP purchases are likely to come before the committee.
- Tax Reform
The positive news is that there is support—perhaps even bipartisan support—to move a major tax reform package. For agriculture, this presents an opportunity to eliminate the estate tax and make accelerated depreciation permanent. The cautionary news is that there is a wide-ranging discussion about the role of import taxes in such a tax reform bill. Depending on the structure of a border tax, there could be negative repercussions for export-oriented industries like agriculture.