The U.S. export market was a hot topic this week in the news. For our U.S. Export members, this is good news since a strong harvest and growing export demand is good for the market.
The NYSHEX forward market for U.S. exports has been growing and we’ve seen strong demand and we predict stronger demand for the months leading into 2018 and beyond. With the global economy in an upswing IMF forecasts a 3.6 percent growth in 2017, and 3.7 percent in 2018 (compared to 3.2 in 2016). We’re excited as this means we will see growth in container volume going forward.
As a result, we are seeing our U.S. Export members locking in rates, equipment, and capacity faster and earlier. They are securing forward ocean freight contracts to protect their supply chains. And, we continue to innovate for our members. Next week we will roll out new functionality to enable our shipper members and carrier members to contract in the forward market even easier. If you want to learn more schedule a demo below.
According to The Wall Street Journal, U.S. corn and soybean crops will yield record highs.
The U.S. Department of Agriculture said farmers will reap 14.578 billion bushels of corn in 2017-2018, up from its earlier estimate, thanks in part to a record yield of 175.4 bushels per acre. As a result, the USDA raised their export forecast. However, farmers and traders may be facing some heavy headwinds as the price of corn and soybean futures decline.
Cranberries grow in popularity among Chinese foodies.
The WSJ reports that China is now the second largest export market for cranberries from the U.S. This is a welcome sign for cranberry farmers as 2017 cranberry production is predicted to be the second largest in history. Check out the article to explore how cranberry producers are driving this interest and the impressive 49% growth they are driving as a result.
In a JOC.com article, JD.com (China’s largest retailer) signed agreements to import 1.2B USD of meat to China over the next three years. This is especially big news for the beef market. Read the JOC.com article here to find out how big.
Did you know that China is the No. 3 export market for the US after Canada and Mexico? US exports to China rose 77% from 2007 to 2016, but concerns over the trade deficit between the U.S. and China persist. However, as China’s import market grows U.S. exporters stand to benefit. Click here to watch the Bloomberg.com video.
And finally, have you ever wondered how far your holiday turkey travels from farm to store?
This piece from SupplyChainDive.com on Thanksgiving Turkeys and the use of blockchain technology is so cool we just had to share it. Read the article here.