China’s demand for U.S. corn is surging, and Iowa State University’s Center for Agriculture and Rural Development says the U.S. is ready for that demand. “The recent derecho storm caused a great deal of damage to Iowa’s corn and soybeans, but total predicted national corn production for the 2020-2021 marketing year is still the largest ever,” says Dermot Hayes, Professor of Economics at Iowa State University. China’s surging corn demand isn’t the only good news for U.S. farmers.
This story also covered by
The Gazette, Sept. 9
Hayes was interviewed in a Sept. 17 Pork Business article, "The Link Between Exports and Hog Prices."
“Under normal circumstances, an increase in exports would cause packers to go on and try and source more hogs. They would then bid up the price of hogs to the benefit of producers. That did not happen during COVID,” says Dermot Hayes, an Iowa State University economist. “The link between an increase in exports and what producers received for their pigs was broken.”
Sept. 17 National Hog Farmer story, "U.S. Pork Exports Look to the East."
Pork exports last fall were "pretty large," and Dermot Hayes, Iowa State University economics professor, says it would be great if we could see an encore performance this fall, "but we're also heading into a world economy that's going to go into recession because of the austerity created by COVID and the borrowing that's happening right now. My hope would be we can match the export numbers. … it's amazing that we managed to pull off the 20% to 22% increase up to July given what's going on in the U.S. infrastructure and world markets. The export outlook is very, very positive, in part because China is vacuuming in pork from everywhere."