Canada’s U.S. Dairy Dependency; Wheat Acreage Down
**As the fifth round of talks to renegotiate NAFTA wrap up in Mexico City, Canada appears less dependent on U.S. imports of certain dairy products, particularly butter.
Ag economist Sarina Sharp of the Daily Dairy Report tells Agweb.com that Canada's efforts to lessen butterfat imports appears to be going as planned after the Canadian Dairy Commission increased the national milk production quota in January.
It’s widely believed Canada will reject a U.S. proposal that would dismantle Canada’s quota system over 10 years.
**Wheat acres this year in the U.S. were at lows not seen for a century. Going into 2018, it looks like that could be the case again with farmers planting less wheat.
Standard Grain president Joe Vaclavik tells AgDay this signal, as well as demand for higher protein wheat are signals the wheat market could see some slight improvement.
While he doesn’t expect an immediate bull market, he says the situation is less bearish.
**The Environmental Protection Agency has formally decided against a technical change to how the Renewable Fuel Standard is run, following through on a pledge made to lawmakers in October by EPA administrator Scott Pruitt.
As reported in Agri-Pulse, the move makes official EPA’s decision to reject a petition that would have changed the point of obligation under the RFS.
The EPA argued changing the point of obligation would not have improved the effectiveness of the RFS.