It is possible that in 2023 the United States will buy more agricultural products than it exports.
As a rule, the United States receives more from the sale of agricultural products than it spends on its purchases abroad.
But next year it may be different: the USDA predicts that by the end of 2023, exports will be at the level of $190 billion, while imports will be about $199 billion.
And this means that the trade balance will be skewed, and the US will turn into a net food importer.
However, this has happened before: in 1959 and in 2020.
However, if 2023 is also included in this list, then twice in four years — this will already be quite often.
But this is not a cause for concern, said Seth Meyer, USDA chief economist. In his opinion, everything is in order: after all, not only imports are growing, but also exports.
So farmers who want to sell their products abroad can do it without any problems. And if American consumers want to have imported products on the table, that option is also open to them.
2022 is a year of good performance
As for this year, it promises to be good.
Most likely, American exports will rise to around $196 billion. In this case, the 2021 record of 177 billion rubles will be broken.
China may abandon American products
Currently, it is China that buys the most products from the United States, it is the undisputed leader in imports with $36 billion.
Next come Canada and Mexico (28 billion each), Japan (15 billion), the EU (about 13 billion).
At the same time, there is a risk that China will reduce imports of agricultural products from America by about $2 billion next year.
This can be done as part of the diversification of agricultural imports, so as not to be too dependent on any one country, especially on the United States, with which China has far from the best relations.
In addition, the supply of products to the Chinese market is a very competitive area.
This year, the States had a big problem: the main river of the Mississippi country dried up, in connection with this, navigation was very difficult, so that the cargo arrived with great delay.
However, every effort has been made to ensure that goods destined for China are delivered with as little delay as possible.
“We developed a just-in-time delivery system to China because if we delay in delivering the goods, we will face a lot of competition,” Meyer said.
Another concern could be Mexico’s potential ban on US GMO corn.
The President of Mexico has signed a decree that bans the import of GMO products from 2024 — and it is not certain that this decree will be cancelled.
