USDA Again Ups FY 2017 US Agricultural Export Forecast

The value of U.S. agricultural exports in Fiscal 2017 is now seen at $136 billion, up from a prior outlook of $134 billion, according to USDA Chief Economist Robert Johansson at USDA's annual Outlook Forum near Washington, D.C., and USDA's Outlook for U.S. Agricultural Exports report."Overall, U.S. agricultural exports are forecast at $136 billion for FY 2017, with a rebound in Chinese demand and strong export sales in the beginning of this year," Johansson said. "In FY 2017, U.S. exports to China are projected at $22.3 billion, up more than $3 billion from 2016 and making it the top export market for U.S. agriculture. Exports to Canada and Mexico are also projected to increase. Together those three countries purchase 45 percent of total U.S. agricultural exports."Factors in the increase: Strong foreign demand and higher prices help boost livestock, poultry, and dairy exports by $1.6 billion, with beef, pork, and dairy leading the increase from the last report. Grain and feed exports are forecast down $1 billion to $28.6 billion, as declines in feeds and fodders and coarse grains more than offset higher wheat exports. Cotton exports are forecast at $5 billion, a $600 million increase, due to strong demand from most major markets and a larger, higher quality U.S. crop. Oilseed and product exports are forecast at $31.6 billion, up $600 million as strong soybean prices more than offset reductions in soybean meal exports. Horticultural product exports are unchanged at $34 billionU.S. agricultural imports in Fiscal 2017 are forecast at $114.5 billion, up $2 billion from the November forecast, and would be a new record. Horticultural product imports lead the increase and are expected to reach a new record of $54.4 billion.The U.S. agricultural trade surplus is forecast at $21.5 billion, unchanged from the level USDA forecast in November.