Brazilian firm draws scrutiny on Trump farm aid

Source: The Hill | May 27, 2019 | Sylvan Lane

The Trump administration is under fire for granting millions in trade-related farm aid to a company owned by two Brazilian brothers under investigation for violating U.S. anti-corruption laws.

JBS USA, an American subsidiary of an international meatpacking corporation, has reportedly received millions from the U.S. Department of Agriculture (USDA) aid program for farmers and ranchers caught up in President Trump’s trade war.

Trump has sought to protect the ailing U.S. farm sector from tariffs on the country’s agricultural exports through direct payments and crop purchases from the USDA.

He announced Thursday that the USDA would offer $16 billion more in aid to U.S. farmers and ranchers, following $12 billion in assistance unveiled in July.

“The $16 billion in funds will help keep our cherished farms thriving and make clear that no country has a veto on America’s economic and national security,” Trump said Thursday. “We will ensure that our farmers get the relief they need and very, very quickly.”

U.S. farmers and ranchers are among the hardest hit by the trade-war blowback from China and the European Union. Trump’s tariffs on steel, aluminum and Chinese goods prompted retaliatory levies on U.S. crops and livestock, hurting producers already reeling from low commodity prices and severe weather.

But Democratic lawmakers are pressuring the Trump administration to retract its payouts to JBS USA, citing its link to a foreign corporation run by brothers at the center of corruption and bribery probes in both the U.S. and Brazil.

“Allowing taxpayer funds to support foreign agricultural companies, particularly corrupt foreign companies, at a time when farmers in Wisconsin and across the country are suffering from pain caused by your trade wars is outrageous,” wrote Sen. Tammy Baldwin (D-Wis.) in a Thursday letter to Trump.

“I’m calling on you to explain how you allowed this to happen.”

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