COVID Impact on Grain Markets and UK-Japan Strike Trade Deal
From the Ag Information Network, I’m Bob Larson with your Agribusiness Update.
**As the American economy recovers from a steep Spring contraction, grain markets in 2020 have been shaped by large supplies and low prices.
According to the Farm Credit Administration, poor Midwest weather and stronger than expected export demand have lifted corn and soybean markets recently, but crop returns could fall sharply next year if government assistance is significantly lower.
Earlier supply-chain disruptions in the protein sector have waned, but large inventories and uncertain demand prospects continue to pressure prices.
**On Friday, the UK and Japan announced they’d struck a trade deal, the Comprehensive Economic Partnership Agreement.
This represents the first major trade deal for the UK since leaving the European Union, and will increase trade with Japan by an estimated 15.2 billion pounds.
The UK explains businesses will benefit from tariff-free trade on 99% of exports to Japan.
The U.S. is currently in its fourth round of trade talks with the UK.
**Agricultural and forestry research and teaching projects have suffered damage from California wildfires.
A Cal Poly San Luis Obispo Rep. says it could take months for a full assessment of damage to its Swanton Pacific Ranch in Santa Cruz County, where structures including classrooms burned.
Fires also hit six reserves managed by the University of California, with researchers still working to determine the impact on their projects.
