Home / News / Crops news / USDAag exports will break records in 2006, 2007

USDAag exports will break records in 2006, 2007

Agriculture.com Staff 08/24/2006 @ 7:53am

Secretary of Agriculture Mike Johanns on Wednesday announced record U.S. agricultural export forecasts for fiscal years 2006 and 2007, with horticulture products, corn and soybeans accounting for most of the expansion.

Exports are expected to reach a record $68 billion in fiscal 2006, eclipsing the old record of $62.5 billion set in fiscal year 2005. For fiscal year 2007, the U.S. Department of Agriculture forecasts U.S. agricultural exports will reach a record of $72 billion, $4 billion above this year.

"These export numbers clearly illustrate the importance of opening and maintaining export markets for U.S. agricultural products," Johanns said. "Growing sales boost farm income and create close to a million jobs, benefiting the entire American economy."

Building on momentum from 2006, export gains in 2007 are expected to be broad based. Fresh and processed fruit, vegetables and tree nuts account for about 40% of the horticultural export growth in 2007, with gains spread across many products.

Foreign demand for corn remains strong with the amount used for ethanol production continuing to grow. Reduced South American shipments and rising foreign demand led by China should increase U.S. soybean shipments. Beef exports are forecast to rise largely due to the resumption of sales to Japan.

Trade agreements like the North American Free Trade Agreement (NAFTA) have had a huge impact on U.S. agricultural exports. In 2005, U.S. agricultural exports to both Canada and Mexico totaled $19.6 billion. They are forecast to reach $23.7 billion by 2007, accounting for one-third of all U.S. agricultural exports.

Imports for fiscal year 2007 are forecast at $68.5 billion, up $4 billion from the 2006 estimate of $64.5 billion. This makes for a $3.5 billion trade surplus for both 2006 and 2007. The largest import gains are forecast for fresh fruits, vegetables and wines.

Secretary of Agriculture Mike Johanns on Wednesday announced record U.S. agricultural export forecasts for fiscal years 2006 and 2007, with horticulture products, corn and soybeans accounting for most of the expansion.

CancelPost Comment
MORE FROM AGRICULTURE.COM STAFF more +

Farm and ranch risk management resources By: 07/07/2010 @ 9:10am Government resources USDA Risk Management Agency Download free insurance program and…

Major types of crop insurance policies By: 07/07/2010 @ 9:10am Crop insurance for major field crops comes in two types: yield-based coverage that pays an…

Marketing 101 - Are options the right tool… By: 07/07/2010 @ 9:10am "If you are looking for a low risk way to protect yourself against prices moving either higher or…

MEDIA CENTERmore +
This container should display a .swf file. If not, you may need to upgrade your Flash player.
Looking Out for Soybean Cyst Nematodes