USDA Projecting Record-High Commodity Exports in FY21
KANSAS CITY, MO – Though U.S. export commodity sales have been at impressive levels over the past 18 months, the Economic Research Service is predicting an all-time high for this fiscal year (FY2021).
Last year, exports reached a five-year high led by strong shipments of corn and soybeans and will lead the charge again this season along with sales of livestock and dairy products.
U.S. corn exports are projected to exceed $17.2 billion, which would represent an all-time high, and export demand for soybeans will push export sales also to a record-high of just under $29 billion.
USDA explains that the records are expected in part due to Chinese demand, which has exploded since they joined the World Trade Organization (WTO) 20 years ago, and the success of the North American Free Trade Agreement – now known as the U.S. – Mexico – Canada Free Trade Agreement (USMCA).
On the other hand, ERS also projects record-high commodity imports for the United States largely driven by surging demand for fresh and processed fruits and vegetables, and an appetite for foreign alcohol.
(SOURCE: All Ag News)