Growing Exports a Priority
While ag exports are projected to grow, the U.S. Grains Council is working on ways to make sure U.S. farmers get their market share.
Compiled by staff
Published: May 21, 2010
USDA's latest World Agriculture Supply and Demand Estimates report from May 11 shows U.S. ag exports are projected to grow 3% for the 2010/2011 marketing year. But increasing overseas feed grain supplies, mostly corn, could limit that export growth as global coarse grain production reaches record levels.
The U.S. Grains Council is overseeing several programs to further U.S. export markets.
In Colombia, for example, plans focus on the urgency to ratify the pending free trade agreement with the United States. “The Council is educating government officials here in Washington, D.C., on the tremendous loss of U.S. feed grain sales due to the absence of an FTA with Colombia,” said Chris Corry, USGC senior director of international operations. “Because no FTA between the United States and Colombia exists, U.S. farmers lost $3.14 million in corn sales last year."
Another market of concentration is Morocco where Tommy Young of the Arkansas Corn and Grain Sorghum Board and USGC advisory team leader said the Council is working to educate buyers on alternative methods of buying corn and sorghum. This includes using the free on board (FOB) purchasing system rather than the currently implemented cash and freight (C&F) method. “Moving from a C&F structure to an FOB scheme will enhance the U.S. market in Morocco,” Young says.
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Tagged: sorghum, fta, usda, free trade agreement
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