Iran Fund Dispute Raises Questions for Us Agriculture
By Brent Barnett
An ag economist says uncertainty continues to surround a memorandum of understanding between the U.S. and Iran.
Jim McCormick with AgMarket.Net says there’s currently a dispute over some frozen Iranian funds that could impact U.S. agriculture.
“President Trump came out over the weekend and has talked several times saying how as we unfreeze some of these Iranian funds, they were going to essentially say that those funds would have to turn around to buy U.S. agricultural products.”
He tells Brownfield Iran has been pushing back against Trump’s plan.
“The Iranians are essentially saying that the (agreement) said ‘if we open up the Strait (of Hormuz), you unfreeze the funds. The funds are for us to do as we deem.’”
McCormick says the market is monitoring the situation.
“If they would come in and buy, it has the potential to be a little bit of a gamechanger for our balance sheets IF the president could convince the Iranians to purchase our ag goods.”
He says the issue could just be a negotiation tactic from the administration