Trump trade war delivers farm boom in Brazil, gloom in Iowa

[workinclasszero]

Jake Spring, Tom Polansek BUSINESS NEWS OCTOBER 11, 2018 / 12:12 AM / REUTERS

LUÍS EDUARDO, Brazil/BOONE, Iowa (Reuters) - The Bella Vita luxury condominium tower rises 20 stories over the boomtown of Luís Eduardo Magalhães in northeastern Brazil. Its private movie theater and helipad are symbols of how far this dusty farming community has come since it was founded just 18 years ago.

Local soybean producers shell out upwards of a half-million U.S. dollars to live in the complex. Nearby farm equipment sellers, car dealerships and construction supply stores are bustling too.

Meanwhile, nearly 5,000 miles to the north in Boone, Iowa, farmers are hunkering down. At a recent agriculture trade show here, Iowa corn and soybean grower Steve Sheppard reflected the cautious mood.

“I’m not buying any machinery, I’m not spending any money,” Sheppard said.

Two countries. Same business. Two very different fates. The reason: China.

Many American farmers, overwhelmingly conservative voters who helped propel Donald Trump to the presidency, are standing by their man. They believe he will eventually negotiate a better trade deal with China, whose appetite for soybeans is so vast that it cannot completely wean itself off U.S. grain.

https://www.reuters.com/article/us-usa-trade-china-brazil-insight/trump-trade-war-delivers-farm-boom-in-brazil-gloom-in-iowa-idUSKCN1ML0E7

[nycbos]

1. Whomp Whomp

[muntrv]

2. I wonder if it will still be the same for Brazil if Jair Bolsinaro (Tropical Trump) wins

runoff election.

[Dan]

3. Suspect that this is a market that they won't recover for a long time, and for sure, as long as

Trump is in office. Seriously, what trading partner can trust him? Because as soon as he says "Trust me", you know he is lying.

[Wellstone ruled]

4. Well here something most folks

forgot to research. There are tons of so called American Farmers who operate mega farms in Brazil. Cargill Corporation had special made Barges for moving Grain on the Amazon in order to service their American Gain Growers.

And this has been going on for more than a decade. We have a acquaintance cash crops Wheat in eastern Montana and operates another mega Corn,Bean and wheat ranch in Brazil. Got to be nearly twenty years since his family went dual countries.