Emerging Markets Offer Ag Trade Growth
Report: Food Aid, Trade Policies Need Better Alignment for Growth
WASHINGTON (DTN) -- U.S. agricultural exports remain heavily concentrated among a handful of established trading partners, but future growth in food and feed demand will increasingly come from developing and middle-income economies, according to a new report.
North Dakota State University economist Shawn Arita, author of the report, points to demographic and market trends that could limit future growth in some established markets. Countries such as Mexico, Canada, China, Japan and South Korea account for about two-thirds of U.S. agricultural trade.
By 2034, he projects Africa to account for 38% of the increase in total food availability, followed by India at 30%, South Asia at 10% and China at 2%.
Arita serves as associate director of the Agricultural Risk Policy Center at NDSU. The report, "Building the Next Generation of US Agriculture Export Markets," was published by the Farm Journal Foundation.
Established trading partners have provided stability for farmers and exporters because of their purchasing volume and longstanding commercial relationships. That trade network has "d...