An ag economist says increasing export competition from Brazil is not good news for American producers.
Jim McCormick with AgMarket.Net says competition has ramped up since the early 2000’s. “They’re spending a lot of investments to expand their capacity in their ports and export facilities. China is investing in them. The other thing is the currency situation. The US dollar is higher than the Brazilian Real, so it makes them price competitive and really, really cheap.”
He says Brazil’s could maintain their price advantage through the fall.
Economist says Brazil could be biggest US competitor for exports for several years
