Brazil’s government officials have announced they’re proceeding with implementing a tariff rate quota allowing up to 750,000 metric tons of U.S. wheat to be imported duty free. U.S. Wheat Associates Vice President of Policy Dalton Henry says they’re starting to live up to their WTO commitment they agreed to 25 years ago on the TRQ.
He says while it’s difficult to predict how soon that implementation will take place, the thought is it will likely occur in early 2020.
Henry says by exempting that 10 percent duty on 750,000 metric tons, Brazil will be allowing potential increased sales from the U.S. He adds that even with the duty in place, U.S. wheat exports to Brazil have been strong.
Henry says the prime wheat supplier to Brazil is Argentina and Uruguay which sells 5 million tons a year to them.
