Australian producers on edge after US President Donald Trump's tariff announcement

Farmers and producers across Australia are on edge after Donald Trump said he would hike the global tariff rate on all imports to the United States.

The US President said on Sunday morning (AEDT) he wants a global tariff of 15 per cent, up from 10 per cent he had announced a day earlier after the US Supreme Court struck down many of the far-reaching taxes on imports that he had imposed over the last year.

NSW farmer and butcher Bianca Tarrant told Today these tariffs had a flow-on effect for Australian producers. 

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"We are a domestic business, so when we started our business we wanted to keep good quality Aussie produce in Australia, so we haven't been impacted too much by the Trump tariffs," the business owner said.

"Although it does have a very big flow-on effect when it comes to buying and selling livestock in Australia.

"As a farmer, you're in it for the long game, it's not a five minute job to produce food, whether you're producing beef, pork, lamb or growing vegetables.

"It takes a long time - months and months, sometimes years in planning."

Tarrant said "knee-jerk reactions" in overseas markets made it difficult for farmers to plan ahead.

"It brings a lot of uncertainty to what we do every day,' she said.

"Although you wouldn't think that buying your meat from the supermarket is impacted by what's going on overseas, it really does impact us and has a long flow-on effect of the decisions that we're able to make as farmers.

"I think we've seen a lot of pressure come through almost two years when we had the supermarket price gouging situation going on.

"Farmers started to feel a lot of pressure since then, the farm gate pricing is already quite tight.

"As a farmer, you are really dictated by other markets, you don't get to set your price or know what you're going to be paid for your produce.

"The long-term impacts of this, it does squeeze farm gate pricing even further. 

"Farmers are some of the very few business people that are on such thin margins."

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