Garlic Farmers Cheer Trump 👀

Table of Contents

Garlic Farmers Cheer Trump

That’s right, folks. US garlic farmers are applauding the recent trade war escalation after sales of locally-grown garlic went skyrocketing after decades of steady decline. What’s going on here?

For years, cheaper Chinese garlic has slowly been chipping away at the US market, pushing smaller producers out to leave just three commercial farms in operation. The recent increase in tariffs from 10% to 25% on $200bn in Chinese goods has finally given local producers enough room to compete in the market.

Fortuitously, the May 9th tariff increase coincided perfectly with the US garlic harvest and farmers are anticipating a sizable surge in the coming weeks. But not everyone is smiling. Companies with garlic-infused recipes, such as McCormick (#mccorm), say that Californian garlic is not a feasible substitute and alters the taste and appeal of many of its products – similar to the taste differences between regional wines.

But that’s still small fry compared to the effects felt by soybean farmers. Producers have been forced to cut production and stockpile the millions of tons of produce meant for Chinese markets as prices for their hard work fall through the floor. Prices have dropped more than 20% since the start of the trade war and may have plenty more to go with no end to the conflict in sight.

Not only soybeans, but also specialty crop farmers like nut and cherry-growers have been scrambling to find alternative markets to offset the loss of their biggest client. So for now it seems the garlic producers are the only ones smiling while the rest of the agri market braces for more hard times.

Avengers Crushes Box-Office Records

Share:
More Posts
Market Recap – September 28th 💰

After the 10-year Treasury yield bond fell off from its 15-year high, investors added some value back into the market, focusing all short-term attention on Friday’s PCE price index reading.

The Crude Oil Bust 🛢

Surging global crude oil prices, driven by factors like OPEC+ production cuts have pushed U.S. West Texas Intermediate futures to over $95 per barrel.

Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.