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Weakening US dollar keeps US goods competitive

An ag economist says the recent weakness in the US dollar is keeping red meat exports more competitive on the global market. 

David Widmar, co-founder of Ag Economics Insights says there were concerns exports would suffer from the global economic situation resulting from the coronavirus pandemic. 

But, he says, “the dollar has been doing some crazy movements.”  Widmar says that’s important to exchange rates because international buyers have to buy dollars first and then the product.  “So when the dollar strengthens or gets more expensive, which we saw in April and May, that creates some uncertainty for those buyers.”

He tells Brownfield the US livestock industry has become more reliant export markets than ever. 

AUDIO: David Widmar, Ag Economic Insights