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India could be the next large market for US ag products

The president of the National Corn Growers Association says India has the potential to become the second largest customer for some U.S. ag products.

Kenneth Hartman Jr. says expanding market access for dried distillers grain and ethanol could increase demand value by nearly $900 million. “They have a growing population of about 1.4 billion people. There’s just a lot of emphasis on that country. They have the probably the largest cattle herd in the world when it comes to raising cattle and dairy.”

Earlier this week, 17 Republicans in the U.S. House sent a letter to U.S. Trade Representative Jamieson Greer urging the Administration to expand market access for ag imports with India. The letter says there is the potential to increase DDGS exports to a value of $500 million and $400 million for ethanol. The letter was signed by Reps. Adrian Smith (R-NE), Randy Feenstra (R-IA), Dusty Johnson (R-SD), Michelle Fischbach (R-MN), Tracey Mann (R-KS), Derek Schmidt (R-KS), Tony Wied (R-WI), Don Bacon (R-NE), Mariannette Miller-Meeks (R-IA), Mike Flood (R-NE), Ron Estes (R-KS), Mike Carey (R-OH), Darin LaHood (R-IL), Max Miller (R-OH), Ashley Hinson (R-IA), Brad Finstad (R-MN), and Mark Messmer (R-IN).

He tells Brownfield India is trying to increase demand for ethanol-blended fuels. “They only buy ethanol for industrial use. It’s unbelievable, but they use the ethanol for their cook stoves in most of their homes. So, because of that, that’s a great market right now, but just think if that can move into their fuel source.”

Hartman says the Trump administration will have to continue to reduce non-trade tariff barriers like biotechnology and GMOs to increase demand.