Saturday, July 28, 2018

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From Field To Shelf  Hold the hysteria on Trump's tariffs

Neither can afford distressed stock markets for long before pressure builds for a negotiated settlement. Beyond that it's the biggest market of them all – the consumer market – that may have the final say. If the tariff fight does go to round three, how will US consumers react to higher prices for their favourite clothes or gadgets?  With the US midterm elections just around the corner in November, I suspect we may have to wait for round three until after the election. But with this administration, who knows? Which brings me to another aspect of higher prices. I recently attended the Better Cotton Initiative (BCI) annual meeting in Brussels. It was a good event. Quite worthwhile. But I don't recall any discussion about prices.  Sustainability is important – a priority for our industry. Yet enacting sustainability programmes comes with real costs to farmers, manufacturers and consumers. What happens to worthwhile initiatives like BCI if higher tariffs are added into the mix?

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