Imports and Exports
From the election to world trade, as well as geopolitical factors that have the potential to shape agriculture in 2024, the December Ag Economists’ Monthly Monitor shows the possibility of several economic surprises.
The agency says exports picked up steam this year in countries such as Canada, India and Japan and that the new Regional Agricultural Promotion Program will keep the wheels of progress turning in 2024.
Chinese importers bought around 10 cargoes of soybeans, or about 600,000 metric tons, for shipment from Gulf Coast and Pacific Northwest export terminals between December and March.
While ag economists continue to be at odds when it comes to the likelihood of a recession in the U.S., some doubt the country’s biggest importers will be able to avoid a recession over the next 18 months.
Mizzou’s Ben Brown says the 81.2 million bushels new crop export sale marks the largest week of sales for the 2023/24 marketing year to date and double the previous record weekly volume for the year set last week.
USDA on Thursday lowered expectations for both ag exports and imports in FY 2023. The export decline is linked to corn and wheat, while the import decline is correlated with easing prices.
The ag port addition is expected to increase exports of DDGS, corn and soybeans by 400,000 metric tons each year.
According to a new report by USDA, ag imports from Latin America and the Caribbean have increased over the past 12 years, with a compound annual growth rate of 6.9%.
This slump, deeper than May’s 7.5% drop, represents the largest decline since February 2020.
EPA released biofuel blending obligations under the Renewable Fuel Standard on Tuesday. While EPA says the decision will reduce reliance on oil imports, some biofuel industry leaders do not approve.
According to researchers at Ohio State University, most U.S. states will experience a “limited effect” of the dispute in the short term. But the long-term could significantly impact states such as Illinois.
Non-tariff barriers “are real and can be more significant hurdles than tariffs,” U.S. Trade Representative Katherine Tai says.
“In this current situation, the traditional approach to free trade agreements — which isn’t just tariff cuts, but that they do tariff cuts on a fully comprehensive basis — isn’t what we need right now,” Tai says.
With the expansion of the U.S. soybean processing industry due to the push for green fuels farmers are looking for a new home for the extra meal...and they’re finding it in Morocco.
The price surge comes as Europe announced a ban on Russian diesel fuel and G7 countries vowed to price-cap Russian oil products.
China, the top food importer on the planet and biggest buyer in history, is entangled in a potentially devastating population crash and the effect could be massive for U.S. agriculture.
China’s state-owned grains trader COFCO said a new joint venture it has set up with state stockpiler Sinograin to manage the country’s grain reserves will officially begin operations next month.
Members of the bloc agreed on how to create a tool that will force foreign companies to pay for the cost of their carbon emissions.
Congressmen who penned the Ocean Shipping Reform Act of 2022 are calling on the Federal Maritime Commission to mend the gap and provide “reasonable opportunities” for U.S. exporters to get their goods to foreign markets.
Chinese leaders are considering steps toward reopening after nearly three years of tough pandemic restrictions. The news comes as China’s imports and exports slow on rising risks of a global recession.
“In the last 2,500 years, every Chinese government that has fallen, has fallen over food,” says Kuehl, Armada chief economist. “They need those import markets—be it from the U.S, Canada, Brazil or Australia.”
Global diesel and distillate fuel stocks have fallen to dangerous levels and the U.S. has been exporting a lot of diesel to Europe and Latin America, but now things are changing.
Data from Ukraine’s Ministry of Agrarian Policy and Food shows the country shipped 6.9 million metric tons of grain, vegetables and edible oils last month, nearly matching the 7.1 million tons exported in Sept. 2021.
President Trump said Monday that a trade “understanding” has been reached with Mexico.
While China grapples with choosing which production lines to reopen, the food shortage conversation looks to ramp up.
This spring about 100 growers in New York started shipping corn and soybeans to Europe and Africa, via the Great Lakes Seaway system.
Biden says Ukraine has 20 million tons of stored grain awaiting export to various countries. He says lack of port movement coupled with halted planting in Ukraine will ignite a global food crisis unless action is taken.
The top 10 export markets all saw gains in 2021, with six of the 10 (China, Mexico, Canada, South Korea, the Philippines and Colombia) setting new records.
Secretary of Agriculture Sonny Perdue today announced the third and final tranche of 2019 Market Facilitation Program (MFP) payments.
And other reasons you should care about infrastructure.