in a more ominous forecast for the overall US trade deficit, the USDA said that imports next year would also tally 56 bln usd
US sees no agriculture trade surplus in fiscal 2005 - report
Tuesday, November 23, 2004 2:18:17 AM
afxpress.com
HONG KONG (AFX) - The US Department of Agriculture predicted that imports of farm products next year would equal exports, marking the first time since the late 1950s that the country failed to run an annual agricultural surplus, the Wall Street Journal said in its online edition
The newspaper said that the USDA in a revised quarterly forecast predicted exports would total 56 bln usd next year, down from the record of 62.3 bln usd set in fiscal year 2004, which ended Sept 30
The department blamed the anticipated drop in export sales on record crop production, which pushed down prices on grains, oilseeds and cotton, as well as increased foreign competition
But in a more ominous forecast for the overall US trade deficit, the USDA said that imports next year would also tally 56 bln usd. That is up from 52.7 bln usd for the 2004 fiscal year, when the US ran a 9.6 bln usd agricultural trade surplus with the rest of the world
The US has long relied on global grain sales to maintain a wide surplus in farm trade, thus helping to reduce the swelling trade deficit in manufactured goods. As recently as 1996, the US sold 27.3 bln usd more in farm products than it imported, the largest annual surplus on record
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