The U.S. is no longer the world's largest exporter of corn. In the 2023 harvest year, Brazil will export 32 percent of the global corn supply, while the U.S. will export 23 percent.
It’s not the first time the U.S. has been dethroned; in 2013, Brazil briefly took the top spot after North America was hit with an exceptionally difficult drought.
James Mintert, a professor of Agricultural Economics at Purdue University, said that unlike last time, the U.S. will continue to see more competition in the long term as production shifts globally.
“It just harkens to the idea that at one time, on a worldwide basis, if you wanted to import corn, the U.S. was the supplier,” he said. “And in recent years, that's been changing. Brazil has been a big part of that. And really over the last almost 20 years, the Black Sea region, Ukraine in particular, has become a big part of that.”
U.S. corn producers haven’t been producing less than usual. In fact, yields have hit record numbers in recent years. Mintert said that Brazil has been undergoing agricultural acreage expansion for several decades now and will continue to do so.
“In the 1970s, Brazil was a relatively small player in both corn and soybeans,” he said. “They've been expanding acreage for decades, and they still have acreage that could be brought under cultivation.”
Mintert said there’s no need for farmers to worry, but the global market is something they should remain cognizant of as it effects corn prices.
Source: indianapublicmedia.org
Categories: Indiana, Crops, Corn