March 28, 2011
 

US grains have large market in Latin America

According to President Obama, the US exports three times more grains to Latin America than China, and the US exports to the area are developing faster than any other part of the world.

Some of the US grain industry's leading export markets are in Latin Americas, as well as some of the industry's fastest growing markets and several trade allies, whose own policies directly affect the US grain and ethanol industries. The US grain industry is encouraged and excited by extraordinary market share increase in Peru from barely 10% two years ago to more than 35%, a market that could pass US$300 million in sales within the next few years as US market share increases past more than its competitors.

New grain exports to Peru resulted in new opportunities in the US. Agriculture Secretary, Tom Vilsack, noted that farm exports on their own will support more than 1.1 million jobs in 2011. Brazil, now ranked the seventh largest economy in the world, is also an economic powerhouse with agricultural abundance and stands out as one of the few countries with large stores of available land for agricultural output. The US and Brazil's agricultural economies are intrinsically linked and policy decisions by each party will definitely have mutual effect. It is vital that the US grain industry treat this trade relationship as one of a partnership.