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The future of U.S. ag exports

A USDA official says the current trade deficit is problematic for the U.S. ag economy. 

Acting deputy secretary of trade and foreign affairs Jason Hafemeister says the U.S. continues to import more products than it exports.

“If we don’t export products, it backs up here at home, hangs over the market, lowers the farmers price,” he says. “This makes farmers less profitable. That will reduce their economic activity and that means less economic activity in rural America.”

He says expanding market access will help address the trade imbalance.

“There is a lot of money to be made in these smaller markets,” he says. “These are the growth markets. These are countries that are maybe not as wealthy now but have fast growing economies. They have faster growing populations and many of them have a very different geography than we do.”

Hafemeister says he’s optimistic the administration’s trade negotiations will create more opportunities for ag exports.