TAIPEI (TVBS News) — Taiwanese agriculture faces significant pressure from U.S. tariff negotiations that could lead to the import of American liquid milk and duty-free rice, sparking competition against local products. Due to the U.S. tariffs in April, the Taiwanese government has sent a delegation to negotiate with the U.S. government. Taiwanese small-scale farmers are challenged to upgrade and transform their operations to maintain competitiveness in the face of these potential changes.
"Fengle Ranch" (豐樂牧場) uses high-tech equipment to enhance cow comfort and milk production. Kung Chien-chia (龔建嘉), founder of Better Milk (鮮乳坊), notes that foreign dairy products have the advantage of lower cost because their farms have lower land expenses and use grazing methods to feed the livestock.
Kung explains that he set up a robotic milking system with an AI application to estimate milk production volumes, and has equipped cows with mobility tracking devices, similar to an Apple Watch, to monitor livestock behavior. The farm also offers specialized facilities, including waterbeds valued at NT$10,000 (US$335) each, cushioned flooring to prevent hoof injuries, and cooling systems in every livestock pen.
In response to the potential threat from overseas products, convenience store chain operator Liu Hung-cheng (劉鴻徵) emphasizes the need for Taiwanese dairy farmers to prioritize quality and develop unique brands like estate-grade fresh milk to highlight their distinctiveness, similar to premium red wine.
Dairy products are not the only industry facing foreign competition; rice production is also vulnerable. MIPU (米舖) founder Chien Sho-hung (簡碩宏) highlights the use of precision farming and technology to improve rice quality. By employing advanced milling machines to remove impurities and monitoring moisture content to maintain 15% levels, rice farmers aim to compete on value rather than price.
Kao Tsung-mao (高宗懋), a young farmer, has utilized AI farming methods to produce premium rice comparable to Japan's Koshihikari variety. He stresses that technological applications have reduced his need to be physically present in the fields while maintaining high-quality production standards.
Chien adds that Californian rice, cultivated through large-area planting, costs significantly less at NT$30 (US$1) per kilogram compared to Taiwanese rice at NT$50 (US$1.67) per kilogram. With duty-free U.S. rice potentially threatening the livelihoods of 300,000 people, transformation in production methods appears to be the key solution for Taiwanese suppliers to survive the post-tariff impact. ◼