Demand already looks good for the 2017 soybean crop. China is the number one purchaser of U.S. soybeans, buying 60 percent of American soy exports every year. The U.S. Soybean Export Council, along with several American and Chinese organizations, will host a Chinese delegation of buyers at a soybean trade contract agreement signing ceremony. The event takes place on July 13th at the Des Moines, Iowa, Embassy Club.
China’s middle class is expanding and the USSEC China Director said its appetite for protein is growing. That means more livestock, which means more opportunity for American soy as a preferred feed ingredient. The exact volume of the purchase won’t be known until July 13th but it should be quite large. At similar events last year, China buyers purchased nine million metric tons of U.S. soybeans worth more than $4 billion. Exports to China in the current marketing year have already been a record 34 million metric tons. Nebraska farmer and USSEC Chair Jim Miller says international customers have a lot of options for soybeans. This decision by Chinese buyers to purchase American soybeans shows how reliable a supplier the U.S. is and the quality and sustainability of the crop.