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USW Shares Trade Opportunities with a Post-Brexit United Kingdom

By Ben Conner, USW Vice President of Policy

Last week, U.S. Wheat Associates (USW) submitted comments to the Office of the U.S. Trade Representative on negotiating objectives for a potential trade agreement between the United States and the United Kingdom (UK). The UK has been part of the European Union (EU) since before the creation of the World Trade Organization (WTO) and until recently has had no independent trade policy.

The 2016 “Brexit” vote to leave the EU changed this, and left the UK scrambling to hire new trade negotiators (even outsourcing leadership of the negotiations with the EU to a former negotiator from New Zealand) to untangle the decades of integration with the EU and figure out what may be put back together. The UK will also be busy negotiating new trade agreements outside the EU to replace the ones it will lose, unless a post-Brexit deal with the EU precludes an independent trade and regulatory policy.

There were pros and cons to Brexit for the British people, and the same is true for its effects on trade relations between the United States and the UK. There is now an opportunity to expand trade between both countries and address some of the tariff and regulatory barriers that have increased the costs of importing certain kinds of U.S. wheat. Unfortunately, one of the risks of Brexit is that our customers may see their markets limited due to the loss of unfettered access to continental markets.

The UK is also free to pursue a regulatory policy that emphasizes science, in contrast to the so much of what we’ve seen out of the EU. The UK has typically been one of the strongest voices for reasonable, science-based regulatory policies within the EU, and USW is but one of many opinions hoping for improved policies in a post-Brexit UK, while also encouraging EU leaders to stand up to activists who are often either dismissive or irresponsible about modern farming practices and technologies.

While there are always challenges, U.S. wheat farmers want to have positive trading relationships with both the EU and the UK. We hope that the Trump Administration can negotiated high-standard, modern free trade agreements with both.

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Meet the USW Technical Experts: Ivan Goh – An Energetic Individual Born to the Food Industry

Name: Kong Song “Ivan” Goh

Title: Biscuit/Bakery and Noodle Technologist

Office: USW South Asia Regional Office, Singapore

Providing Service to: Indonesia, Malaysia, Myanmar, Republic of the Philippines, Singapore, Sri Lanka, Thailand, and Vietnam

Regional Profile: Rapidly rising disposable income and urbanization in South Asia are opening markets for baked goods, biscuits, cakes, and other foods that require more types of higher-quality flour. As the milling and wheat foods industries rush to increase capacity, USW is helping them improve and expand product lines using high-quality soft white (SW) for cake, biscuit, and confectionery flour, and U.S. hard red winter (HRW) and hard red spring (HRS) for bread flour. USW also conducts baking seminars to introduce new products with higher profit margins using flour milled from U.S. wheat.

Common Roots

From far southern Myanmar and southwest Thailand, the Asian continent continues south as the Malay Peninsula to include Western Malaysia and Singapore near its southern tip. Northwest of Kuala Lumpur is the Malaysian state of Malacca. This area has gained a certain notoriety among South Asian wheat food producers as the source of valuable technical support from long-time U.S. Wheat Associates (USW) Baking Consultant Roy Chung and now USW Biscuit/Bakery and Noodle Technologist Ivan Goh.

“Roy and I were born in the same hometown in Malacca,” Goh said. “Roy’s father ran a bakery, and my story starts with my family, too. My mum earned a living by selling bite-size snacks called Kuih-muih and fried spring rolls called Popiah. I was nine years old when I started helping her make and sell her food. My interest in cooking and food preparation grew from there. In fact, most of my family members are in food-related work.”

Goh went on to earn a bachelor’s degree in Food Science and Technology from the University of Putra Malaysia, and his talent landed him two job offers even before he graduated in 2012. He said because he is “not a shy person who can do routine jobs,” he chose a technical service position with FFM Berhad in Port Klang, Malaysia, that would expose him to as many parts of the flour milling and baking industries as possible.

“The knowledge I gained there has been very valuable,” he said. “I especially enjoyed the opportunities in technical troubleshooting and handling customer complaints.”

He added that the company always taught its colleagues to appreciate the people who helped them in their work, an experience that would prove important to Goh’s next career opportunity.

An Introduction to USW

USW first crossed paths with Ivan Goh when Roy Chung conducted a USW baking workshop at FFM Berhad in 2014. In 2015, the company sent Ivan to one of the popular USW baking courses Chung developed and led with the UFM Baking & Cooking School in Bangkok, Thailand. USW Regional Vice President Matt Weimar was also there to identify potential candidates to fill a vacant technical position in USW’s South Asian Region.

“Ivan Goh was one of the individuals who stood out in terms of their work and leadership,” Weimar said. “He also impressed Roy, so we decided to follow his career path until it was the right time to invite him to work for our organization.”

That opportunity emerged early in 2018, and Goh has been representing U.S. wheat farmers in the South Asian region since last March.

“The wheat foods industry is rapidly expanding in the region, and we knew Ivan’s experience in quality assurance and control was ideal to help flour mills, bakeries, cookie/cracker, and confectionery processors better understand the quality, value, and use of U.S. wheat flour,” said Weimar. “We set up an active development schedule for Ivan. It started with Ivan shadowing Roy at the USW baking classes at UFM, then on an extended technical service visit with Roy to several flour mills and baking customers in Indonesia.”

On the Road

Goh, who is fluent in several languages spoken in the region, participated with millers from the Philippines, Indonesia, and Vietnam in a USW Contracting for Value workshop and joined Weimar as co-host of a regional trade team that visited Washington state, Idaho, and Montana last August. That schedule keeps Goh mostly away from a home office in Kuala Lumpur and the USW South Asia regional office in Singapore. But he is very excited about the opportunity.

“Roy Chung is a legend as a teacher and technical resource in this region,” Goh said. “I never imagined that one day I would be his colleague. Another thing that impressed me is that USW is the only wheat organization that invites overseas millers to evaluate the quality of every U.S. wheat crop and sincerely listens to their feedback. That must be part of the working culture because I am also free to voice my opinions.”

Late in 2018, there was additional, extensive training for Goh as a student in Class 193 of the 16-week Baking Science and Technology Course at the AIB Institute in Manhattan, Kan.

“Our goal is to help customers improve their product lines and manage cost risks, so the course further strengthened my confidence in helping large-scale bakeries,” Ivan said. “In addition, seeing the performance and benefits of using flour from U.S. wheat classes firsthand will help me demonstrate how customers can get the most value possible from those flour products in their own bakeries.”

“Ivan received a medal as the fourth-ranked student in the class and was recognized with one of the Bakery Equipment Manufacturers Association awards recognizing ‘Excellence in Laboratory Leadership Performance,” Weimar said. “The relationships he developed with his fellow students will also be very valuable in the future.”

Weimar noted that Ivan Goh has had a very productive first year with U.S. Wheat Associates, adding “we are proud of Ivan’s progress, and we look forward to many more successful technical support activities to come. That is a commitment to our South Asian customers and the U.S. wheat farmers we are proud to represent.”

By Steve Mercer, USW Vice President of Communications

Editor’s Note: This is the first in a series of posts profiling U.S. Wheat Associates (USW) technical experts in flour milling and wheat foods production. USW Vice President of Global Technical Services Mark Fowler says technical support to overseas customers is an essential part of export market development for U.S. wheat. “Technical support adds differential value to the reliable supply of U.S. wheat,” Fowler says. “Our customers must constantly improve their products in an increasingly competitive environment. We can help them compete by demonstrating the advantages of using the right U.S. wheat class or blend of classes to produce the wide variety of wheat-based foods the world’s consumers demand.”

Meet the other USW Technical Experts in this blog series:

 

Ting Liu – Opening Doors in a Naturally Winning Way
Shin Hak “David” Oh – Expertise Fermented in Korean Food Culture
Tarik Gahi – ‘For a Piece of Bread, Son’
Gerry Mendoza – Born to Teach and Share His Love for Baking
Marcelo Mitre – A Love of Food and Technology that Bakes in Value and Loyalty
Peter Lloyd – International Man of Milling
 Adrian Redondo – Inspired to Help by Hard Work and a Hero
Andrés Saturno – A Family Legacy of Milling Innovation
Wei-lin Chou – Finding Harmony in the Wheat Industry

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“Innovature” Opens Inclusive Discussion About Plant, Animal Breeding Innovation

The American Seed Trade Association (ASTA) and the Biotechnology Innovation Organization (BIO) have jointly developed “Innovature,” a new resource to encourage a thoughtful dialogue around innovation in food and agriculture and the tangible benefits for our planet, our health and our food.

 

Through its Innovature.com website, social media and other activities, “Innovature” aims to foster productive conversations between key thought leaders and the public and cultivate broad partnerships that can help realize the full, positive potential of evolving breeding methods like gene editing.

 

U.S. Wheat Associates (USW) supports finding new ways to improve wheat quality and increase production with less impact on the environment. New research in biotechnology and plant breeding innovations, and a deepening understanding of DNA, will help make this possible. Scientists can now make far more precise genetic changes to plants and animals to help address some of society’s most urgent challenges including climate change, sustainability, hunger and improving health and wellness.

 

USW welcomed the opportunity to have a place where wide-ranging, inclusive viewpoints about such innovations can be shared and discussed and we have collaborated on “Innovature” with the sponsoring organizations. We will continue to offer our support and recommendations moving forward.

 

The Innovature.com website features original content and news about plant and animal breeding methods and their beneficial effects. We encourage our stakeholders at home and around the world to explore and share the site and engage with “Innovature” on these social media platforms:

 

BIO and ASTA welcome story ideas and other submissions at [email protected]. To learn more about the two organizations, their missions and membership please visit bio.org and betterseed.org.

 

 

“Innovature” is a new platform for engaging in discussion about plant and animal breeding methods and their beneficial effects on our plant, food and health. It includes the website above, www.innovature.com, with original information and news, and an active social media agenda.

 

Photo Above: Copyright Oklahoma State University/Todd Johnson

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Rounding Up U.S. Wheat Planted Area Estimates

By Claire Hutchins, USW Market Analyst

 

As the U.S. government shutdown enters its fourth week, U.S. Wheat Associates (USW) leans on its network of media and industry resources to illuminate the information void left by a partially-funded USDA, which cannot publish its critical economic reports until the agency receives full funding again. Fortunately, many other sources have estimated planted area, so USW can approximate the direction of winter wheat and spring wheat planting trends year over year. Winter wheat acres, for 2019 harvest, are expected to fall slightly below planting levels for 2018 harvest, while spring wheat acres, planted in the coming months, are expected to rise above 2018 levels.

 

A Reuters poll of commercial export analysts, published on Jan. 8, 2019, estimated total winter wheat seedings for the 2019 harvest at 32.3 million acres (MA), down nearly 1 percent year over year. This figure falls slightly below USDA ERS data, last updated Dec. 12, 2018, which indicates winter wheat area could total 33.0 MA. The poll’s averaged estimates predict nearly uniform area reductions for all winter wheat classes. Other sources expect a steeper decline in winter wheat acres. Informa Economics forecasts a 1 MA decline year over year at 31.5 MA. However, Justin Gilpin, chief executive officer of Kansas Wheat, believes total U.S. winter wheat acres will remain relatively steady year over year.

 

The Reuters analyst poll estimated 2019 hard red winter (HRW) seeding area at 22.7 MA, down from 22.9 MA planted for 2018 harvest. Gilpin expects a 10 percent decrease in HRW acres in Kansas, Oklahoma and Texas due to extremely wet conditions which delayed the soybean harvest and in turn HRW planting. However, he expects an uptick in HRW planted area in northern states, which would partially offset reduced area in the south. Paul Morano, Syngenta’s Head of Key Accounts for wheat, indicates the company saw increased sales of HRW seed last season, but believes HRW acres will remain relatively steady year over year. This reinforces Gilpin’s point in an interview with The Western Producer on Jan. 10, 2019, that HRW seeded area could be flat despite original grower intentions to plant more.

 

Planted area for soft red winter (SRW) could land in the neighborhood of 6.02 MA according to the Reuters poll, down year over year from 6.08 MA. The Reuters poll delivered a degree of optimism for SRW seeded acres compared to other industry expectations. Morano believes that a reduction of 600,000 to 1 million acres (around 10 percent below 2018 levels) for SRW is likely due to the same wet conditions that impeded HRW planting for 2019.

 

USW’s informal survey indicates that hard red spring (HRS) planted area is likely to increase over 2018 levels of 10.5 MA. These estimates fall in line with the latest USDA ERS prediction of 12.7 MA as of Dec. 12. A 17 percent increase in HRS planted area year over year is certainly possible given current market conditions and other industry indicators. HRS in the Northern Plains competes for acreage with other lucrative commodities like corn and soybeans. However, HRS becomes a more alluring alternative up north as low corn prices and volatile trade conditions for soybeans persist into 2019, while average farm gate prices for HRS hold at or above the 5-year average for the first five months of MY 2018/19.

 

Syngenta’s Morano cites “extremely strong demand for HRS seed this early in the year” as a good indication that growers anticipate expanding their HRS acres, barring an unforeseen weather or market event. Red River Farm Network, covering the Dakotas and northwestern Minnesota, also reported that WestBred, a division of Bayer Crop Science, has already sold out of seed for several key varieties of spring wheat earlier than anticipated.

 

Price uncertainty for corn and soybeans continues while HRS farm gate prices trend higher, leading most industry sources to expect 2019 HRS seeded area will increase year over year.  

 

USW will compare the industry estimates covered here to the official USDA Winter Wheat Seedings report when, and if, it becomes available.

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Wheat Industry News

Recent news and highlights from around the wheat industry.

Quote of the Week: “It’s been gratifying to witness the world’s receptiveness to U.S. farm and food products. Consumers worldwide have a true affinity for the American brand and immediately recognize the safety and quality of our products.”

— The Honorable Ted McKinney, USDA Under Secretary for Trade and Foreign Agricultural Affairs. Read more here.

Congratulations. We are fortunate to have devoted, loyal colleagues at USW. This month Financial Accountant Cathy Marais from the USW Cape Town Office, is celebrating 25 years. Thank you, Cathy, for your service to our organization, to U.S. wheat farmers and to our customers around the world.

USDA Reports Delayed. Due to a lapse in federal funding, several USDA reports have been suspended since Dec. 22, 2018, and remain suspended. Given the lead time required for analysis and compilation Crop Production, Crop Production-Annual, World Agricultural Supply and Demand Estimates (WASDE), Grain Stocks, Winter Wheat Seedings and other reports will not be released on time. USDA will announce new release dates after funding is restored.

Promoting Wheat … Not Gluten-Free. The Michigan Wheat Program recently shared this: U.S. consumers are hearing less about gluten and staying away from wheat products. This fall, the top-rated Jimmy John’s® sub [sandwich] shops made U.S.-grown wheat used in sandwich rolls the focal point of its marketing campaign. Jimmy John’s didn’t just mention whole grain buns but focused an entire advertising campaign on U.S.-grown wheat being used in its bread products. Click here to see the ad, which was filmed in a North Dakota wheat field.

Climate Change Effect on Wheat Quality Modeled. A group of European scientists recently published results of a study that simulated “the combined effects of CO2, water, nitrogen and temperature on wheat grain protein concentration in a changing climate for the world’s main wheat producing regions.” The authors noted that based on their model, “climate change adaptations that benefit grain yield are not always positive for grain quality, putting additional pressure on global wheat production.” Full results of this single study are posted here: https://onlinelibrary.wiley.com/doi/full/10.1111/gcb.14481.

Washington Grain Commission (WGC) and USW. USW is getting lots of coverage by WGC this month. USW Vice President of Overseas Operations is featured in the “Q&A” section of its website and Vice President of Communications Steve Mercer is interviewed for the “Wheat All About It!” podcast. WGC is one of 17 state wheat commission members of USW and we thank them for the recognition.

Subscribe to USW Reports. USW publishes a variety of reports and content that are available to subscribe to, including a bi-weekly newsletter highlighting recent Wheat Letter blog posts, the weekly Price Report and the weekly Harvest Report (available May to October). Subscribe here.

Follow USW Online. Visit our page at https://www.facebook.com/uswheat for the latest updates, photos and discussions of what is going on in the world of wheat. Also, find breaking news on Twitter at www.twitter.com/uswheatassoc and video stories at https://www.youtube.com/uswheatassociates.

 

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Mid-Year Report: U.S. Wheat Export Pace Likely to Pick Up

By Claire Hutchins, USW Market Analyst

Due to the U.S. government shutdown, the U.S. Wheat Associates (USW) mid-year report on 2018/19 export sales reflects USDA export sales data through Dec. 13, 2018. Year over year comparisons are drawn from USDA data on Dec. 14, 2017. Though not current, the data still provides valuable insight into U.S. wheat export conditions as of late last year.

USDA continues to predict 2018/19 exports will reach 27.2 million metric tons (MMT), which, if realized, would be 11 percent higher than 2017/18 and 9 percent above the 5-year average. Total U.S. sales through the second half of the marketing year would have to reach 10.5 MMT to meet that estimate. USW expects the high quality and competitive pricing for select U.S. wheat classes will help push up the sales pace in the second half of the marketing year. Sales of soft red winter (SRW), hard red spring (HRS), and durum are all up year over year, while hard red winter (HRW) and soft white (SW) are behind last year’s pace.

 

Hard Red Winter (HRW)

USDA reports HRW year-to-date exports at 5 MMT, down 33 percent from Dec. 14, 2017. Export sales to Mexico dropped 14 percent year over year to 1.27 MMT, which USW believes can be attributed to a rocky trade relationship. In 2018, Russia produced its third largest crop of wheat. The significant volume of Russian Third Class held a firm FOB price advantage over U.S. HRW in the first half of the marketing year. Competition for HRW remains stiff in the price-conscious markets where Russia has a freight advantage, but the spread between Russian Third Class and U.S. HRW FOB prices has narrowed significantly since June 2018, a price convergence that could boost HRW demand. The 2018 HRW crop quality attributes significantly exceed the last two years and many of the 5-year averages, indicating that this is one of the highest quality HRW harvests in several years.

Hard Red Spring (HRS)

Total HRS sales of 5.2 MMT are up 4 percent from this time last year and fall right in line with the 5-year average. The HRS harvest was the largest in 22 years and boasts above average protein levels and excellent dough and bake qualities. That quality and competitive pricing* drive export demand as FOB prices out of the Pacific Northwest remain near a constant $255 per MT. The Philippines continues to import the largest volume of HRS at 1.4 MMT, which marks a 24 percent increase over last year’s pace. Sales to Vietnam are up significantly year over year to 132,000 MT, and sales to Thailand are up 50 percent at 338,000 MT. Only the tariff conflict with China, which has imported no U.S. wheat since March 2018, holds back current HRW sales.

*From November 17, 2017, to Nov. 18, 2018, U.S. HRS FOB prices declined nearly 20 cents per MT while competitor prices over the same period trended slightly higher.

Soft Red Winter (SRW)

Export sales of SRW through Dec. 13, 2018, are up 15 percent over 2017/18 at 2.15 MMT, driven by competitive SRW FOB prices. Sales to nine of the top 20 U.S. SRW export markets, including Brazil, Costa Rica and South Africa, are ahead of last year’s pace. Sales to Mexico are 10 percent ahead of 2017/18 at 605,000 metric tons (MT). Ecuador’s SRW imports stand at 147,000 MT, up substantially from last year.

Soft White (SW)

As of Dec. 13, 2018, export sales of SW are down 8 percent year over year at 3.9 MMT. However, total sales rise above the 5-year average by 20 percent. The loss of Chinese SW imports points to the drop in export sales year over year. The Philippines and Indonesia, two of our SW top markets, hold steady at 911,000 MT and 507,000 MT, respectively, compared to the 2017/18 pace. Sales to Yemen are 18 percent ahead of last year’s pace at 181,000 MT and sales to Thailand are 46 percent ahead of last year’s pace at 283,000 MT. SW customers are taking advantage of this year’s good test weight, lower moisture and lower protein content.

Durum

Year to date durum exports total 406, 000 MT, up 50 percent from Dec. 14 last year with increased import paces in all U.S. durum markets. Most notably, export sales to the European Union, already the largest buyer of U.S. durum, increased by 101 percent to 232,000 MT, supported by the crop’s excellent quality and competitive price. The 2018 harvest boasts high protein and excellent kernel characteristics, ideal for premium pasta products.

Hard White (HW)

USDA reports notable HW sales of 135,000 MT to Nigeria. This is the first significant export sales of HW in many years, as HW production is up slightly from the year prior and boasts high protein levels and good bread baking potential.

Looking Ahead

USDA projects a 4 percent increase in global wheat consumption over the 5-year average at 744 MMT. As exportable supplies from Russia, the EU and Australia begin to wane as we move into the second half of the marketing year, U.S. FOB prices for HRW, SRW, and HRS are more competitive now than they were in June 2018. This represents an advantageous opportunity for customers to extract even more value from the 2018/19 U.S. wheat supply.

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2019 Trade Policy Outlook

By Ben Conner, USW Vice President of Policy

If there is anything we learned from 2018, it is that the trade policy landscape is unpredictable. While many upcoming or ongoing issues are known, there are a range of possible outcomes within each, some of which could drastically alter the trade landscape in the future.

Let us start with China. This week, U.S. and Chinese negotiators met in Beijing to work toward resolving the current trade dispute, which has seen tariffs slapped on over $300 billion in trade. According to the U.S. Trade Representative, there is a hard deadline of Mar. 1 to reach a deal that will at least prevent further imposition of tariffs. U.S. wheat farmers have been shut out of China since March 2018, leaving their Chinese customers scrambling for other sources. The next couple months could reveal if trade will resume this year, or if the conflict will continue.

The United States has also initiated formal processes for trade negotiations with Japan, the European Union, and the United Kingdom (U.S. Wheat Associates will submit comments on the UK negotiations next week). However, there are still a number of unknowns, such as the scope and length of negotiations with Japan, the inclusion of agriculture in negotiations with the EU and the nature of the UK’s post-Brexit relationship with the EU.

The new U.S.-Mexico-Canada Agreement (USMCA) will likely be submitted to Congress this year to replace the North American Free Trade Agreement (NAFTA), but shifting political dynamics in the United States complicate Congressional approval and implementation of the agreement.

There is the threat of new tariffs on automobiles under Section 232 authority, potentially covering hundreds of billions in trade. While this is mitigated somewhat due to side letters negotiated alongside USMCA and the promise to avoid imposing tariffs on Japan and the EU while negotiations are ongoing, declaring automobile imports to be a national security threat has the potential to enrage U.S. trading partners and lead to new retaliatory measures.

Finally, there is the possibility that the World Trade Organization (WTO) Appellate Body will cease to function by December 2019. This is the culmination of over a decade of complaints by the United States about the way the Appellate Body functions. It is important for other countries to engage the United States to find a solution, because if a solution is not reached, it will mean the effective end of the WTO’s dispute settlement function and the ability of countries to enforce trade commitments.

In other words, based on the uncertainty these trade issues represent, we cannot expect 2019 to be less exciting than 2018.

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Latin American Holiday Traditions Help Inform Wheat Breeders

By Steve Wirsching, USW Vice President and Director, West Coast Office

In Latin America, the holidays are filled with special wheat food traditions. Mexicans celebrate the visit of the Three Kings to the Christ child with Rosca de Reyes (Kings Cake Wreath), a ring-shaped sweet bread. In Peru, wheat consumption increases with Panettone bread sales. This holiday sweet bread can be traced back to the Italian bakers that made Peru their home many generations ago.

Special holiday breads are thriving despite a baking industry transitioning from artisan bakery shops to highly automated commercial operations. Such modern bakeries employ equipment that drives a need for ever more consistent, high-quality flour.

It was in this context that U.S. Wheat Associates (USW), with funding from member state wheat commissions and USDA’s Foreign Agricultural Service, assembled a team of leading wheat breeders to visit the top markets in Latin America. This Wheat Quality Improvement Team (WQIT) traveled to Mexico City, Mexico, Guatemala City, Guatemala, San Jose, Costa Rica and Lima, Peru, Dec. 8 to 18, 2018. Meetings with several food processing and flour milling industry representatives focused on U.S. wheat quality relative to the unique production challenges these customers face.

Wheat farmers, state wheat commissions, and public and private breeders understand that the end-use quality of U.S. wheat, as measured by end-use functionality, is more important than ever before in today’s increasingly competitive marketplace Such direct input from Latin American food processing companies to breeders is one of the ways USW is helping determine breeding targets, as well as helping develop selection criteria for new variety releases. The face-to-face interaction with breeders in this activity helps overseas buyers understand that U.S. wheat quality is no accident but is, rather, the product of investment from farmers and years of scientific work.

Customers shared several preferred characteristics from U.S. wheat including consistent quality from shipment to shipment, increased dough strength and water absorption, and lower polyphenol oxidase (PPO) to prevent color change. These messages and more will be relayed to state wheat commissions at upcoming Wheat Quality Council meetings in Portland, Ore., and Kansas City, Mo.

Market development programs like this Wheat Quality Improvement Team help ensure that Latin American sweet breeds like the Rosca de Reyes and Panettone continue to be a holiday tradition — made with high-quality wheat from the United States.

Participating Wheat Breeders 

The WQIT to Latin America in December included:

  • Guorong Zhang, Leader, Kansas State wheat breeding program and Associate Professor at Kansas State University;
  • Brett Carver, Wheat Genetics Chair in Agriculture, Oklahoma State University;
  • Mike Giroux, Co-director of the Montana State Wheat Quality Laboratory and leader of the Montana State durum breeding program;
  • Jackie Rudd, Leader of the hard winter wheat breeding program for the High Plains and Rolling Plains of Texas;
  • Arron Carter, Director of the winter wheat breeding and genetics program at Washington State University;
  • Mr. Steve Wirsching, USW Vice President and Director, West Coast Office.

The team and USW Staff in front of the Presedente Hotel in Mexico City.

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Farm Bill Renews Export Market Development Partnership with the Federal Government

U.S. farmers consistently produce enough wheat to meet domestic demand and still have about half of their crop available to overseas customers year. They support U.S. Wheat Associates (USW) with a portion of 17 state checkoff programs to build and maintain overseas demand. In turn that support qualifies USW to apply for program funding appropriated by the U.S. Congress and administered by USDA’s Foreign Agricultural Service.

 

This public-private partnership started in the 1950s and has earned a legacy of success giving wheat farmers the ability to maintain bases of operation and local USW representatives to conduct trade service and technical support activities with buyers, flour millers and wheat food processors.

 

The partnership was renewed in the Agricultural Improvement Act of 2018, which established the Agricultural Trade and Facilitation Program and provides funding for the Market Access Program (MAP), the Foreign Market Development (FMD) program and other programs available to USW and many other organizations representing U.S. farmers, ranchers and dairy producers. President Trump signed the Farm Bill into law on Dec. 21, 2018.

 

Pres. Trump signs the new U.S. Farm Bill into law on Dec. 21, 2018. National Association of Wheat Growers President and wheat farmer Jimmie Musick, (sixth from left) witnessed the signing.

 

 

Without the federal programs renewed in the current Farm Bill, USW would not be able to fulfill its mission to mission to develop, maintain, and expand international markets to enhance wheat’s profitability for U.S. wheat producers and its value for their customers.

 

USW thanked Congress for renewing the long-term investment in export market development programs.

 

“We also thanked the National Association of Wheat Growers for working to present our positions on export development funding and we are very pleased that members of Congress and their staff addressed those concerns effectively in this Farm Bill,” said USW Chairman Chris Kolstad, a wheat farmer from Ledger, Mont.

 

An additional change in the legislation now allows Congress to appropriate discretionary funds to cover the cost of administering the export market development programs, rather than covering costs from the appropriated program budgets. The law also establishes a Priority Trust Fund to be used at USDA’s discretion to help meet requests that exceed the appropriated program funds. Another important change now allows qualified organizations like USW to use program funds to conduct market development activities in Cuba.

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USW Colleagues Start Their Next Chapters as U.S. Citizens

“Immigrants: we get the job done.” – Lin-Manuel Miranda, from the hit Broadway musical “Hamilton!”

 

Two U.S. Wheat Associates (USW) colleagues recently celebrated very special milestones: in December, Fiscal Officer Kurt Coppens and Administrative Assistant Nada Obaid became naturalized citizens of the United States.

 

“Wheat Letter” asked Kurt, who was a Belgian citizen, and Nada, who was an Iraqi citizen, to share their unique paths to this life changing event.

 

USW Fiscal Officer Kurt Coppens and Administrative Assistant Nada Obaid hold their certificates proclaiming them citizens of the United States of America, December 2018.

 

“My emigration to the United States started when I was a teenager when I moved with my family to New York for my father’s profession,” said Kurt Coppens. “After having lived in West Africa and a relatively small city in France near Geneva, Switzerland, and never having lived in the country of my birth and nationality, I was in awe of New York. It was easy for a city of that size and with that much energy to make an impact on anyone, let alone a teenager. After having spent five years in New York and moving back to that same small city in France, I decided I wanted to move back to the United States after college in France. But I transferred to a university in Washington, D.C. after my second year. Since then I have only been away from Washington, in Paris, for two years.

 

“Having lived and worked in Washington for 19 years, it made sense and seemed like a natural progression to move from being a ‘green card’ holder to becoming a citizen. I have always admired the generosity, enthusiasm and positivity of the American people, and I prefer working in that kind of environment. This also gives me an opportunity to vote and have a say in the city where I have been living for quite some time.”

 

“I was working with the Iraqi Grain Board, the government buying agency, before the conflict there began in 2003,” said Nada Obaid. “I then went to work for the Coalition Provisional Authority (CPA) through 2004 and for the USDA Foreign Agricultural Service from 2005 to 2006. At that time, especially in 2005, many Iraqis lost their lives for working there. When the U.S. government granted a special immigrant visa program for Iraqis, I applied and thank God I did. Living in peace is a great thing that I thank God for every day.

 

“The United States is a great country; lots of opportunities are there! I had never thought in my whole life that I would come one day to this great place. It was a great opportunity that I would never have missed.  Before coming, I admit I was kind of worried of the new life waiting for me here, knowing that I would be by myself. But my trust in God, the support I got from friends I knew before coming here and ending up in such great work place like USW helped me a lot to have a comfortable life here. Truly, [USW colleagues] are my family here!

 

“I trust that U.S. citizenship will open new doors for me in all aspects of my life. I immediately applied for a U.S. passport after the naturalization ceremony. It is a great honor for me to carry U.S. citizenship!”

 

The international diversity among our colleagues is one of the factors that make working at USW such a rewarding experience. We are all happy these hard-working, cheerful people share our dedication to the farmers we represent and their overseas customers, and we offer them warm congratulations on becoming U.S. citizens!

 

/by

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