India Signs Pact for U.S. Soybean Oil and Who Buys U.S. Farmland
**Traders from India signed contracts to import a record 100,000 tons of soy oil from the U.S.
Reuters says India made the buy because of limited supplies from drought-hit South America during a time when the price of rival palm oil is at record-high levels.
The increased purchases from the U.S. are expected to support U.S. soy oil prices which are 20% higher this year and close to their highest point in ten years.
**If you’ve ever wondered who is buying up US farmland, you’re not alone.
Typically, according to www.agrimarketing.com, farmers buy 70 to 80% of the good farmland that comes up for sale in the grainbelt states.
Local and out of the area investors buy another 20% of the farmland that is sold leaving a small percentage purchased by others including institutional or corporate buyers in states where allowed.
**The American preference for fresh foods year-round will drive a $100 billion increase in food and ag IMPORTS in the years ahead.
USDA economists tell www.agriculture.com, as soon as 2023, the U.S. would begin running ever-larger deficits in agricultural trade, despite exports that are forecast to be the highest ever this year.
They forecast imports to rise by an average 6% a year, far faster than the 0.8% a year increase in exports in the decade ahead.