China signs for 460 million bushels of soybeans
A Chinese delegation signed a trade agreement contract for 12.5 million metric tons of soybeans Thursday in Des Moines. U.S. Soybean export Council CEO Jim Sutter tells Brownfield the agreement – for $5 billion – is positive news in the face of frequent stories about bad trade relations with China.
“This signifies, I think, that there is not tension in the soybean industry, and that we should feel very good about the relationship we have with these key companies and with China as a whole and the relationship we have as a supplier of soybeans to them,” Sutter told Brownfield Ag News following the signing ceremony.
Sutter says he expects soybean deliveries from the agreement to be mostly new crop beans later this year.
Iowa farmer April Hemmes tells Brownfield the sale reinforces the fact that her soybeans are in high demand in China.
“The more capital they have to spend, the more protein they want, and that means them buying our soybeans either to feed to their livestock or make soybean oil for their cooking,” Hemmes tells Brownfield. “What this means for me on my farm is continued demand for our soybeans across the seas.”
In addition to soybeans, the Chinese delegation also signed contracts Thursday for U.S. sorghum, pork and beef.
AUDIO: April Hemmes (7 min. MP3)
AUDIO: Jim Sutter (11 min. MP3)
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