LISTEN: World of Agriculture 3-27-17
Commodity prices are low and that?s squeezing bottom lines across American agriculture. However, that doesn?t mean there aren?t any marketing opportunities at all. Dr. Lowell Catlett, a Past Professor at New Mexico State University, said overseas opportunities for agriculture are on the rise because of an expanding world economy.
?It has dramatically. We have never been in a period of history to rise out of abject poverty in the middle class. Those in the dairy industry know all too well that we really had an export market for any dairy products in the United States until about the last 15 years. Now it?s about 15 percent and it rises and falls with certain things. But we now have the ability to export and the reason we have that ability, is because the world has some money.
As purchasing power increases throughout the world, one of the first things that changes for many people is better diets.
?They do and one of the things they do, is demand more meat protein of all kinds. In the U.S., the dairy industry alone provides one fifth of the beef we consume. In addition to being dairy people, for dairy products, they are also major products of beef products as well,? Catlett says.
There?s still a lot of uncertainty in agriculture about American trade policies going forward with the new Trump Administration in the White House. Catlett says it?s hard to know what?s ahead. He?s hopeful that ?cooler heads will prevail? when it comes to upcoming trade policy discussions. Catlett said there are ways to take advantage of opportunities right now.
