China has signed new purchase agreements with the United States, a move that’s expected to boost U.S. soybean sales.
Mac Marshall, vice president of market intelligence for the United Soybean Board, says Chinese ambassadors have stated the deal is worth billions of dollars in value.
“That’s of course very exciting,” he said. “I think anytime you have China come back into the market in a major way, particularly towards the beginning of the marketing year, that always sets up well for the demand picture for the coming year.”
He tells Brownfield it’s unknown when corresponding sales will come online. “It wasn’t specified the crops within it or the agricultural products, but certainly soybeans are going to be a large portion of that,” Marshall said. “China is our largest soy destination. They’re the top export that we have to China in terms of agricultural commodities.”
The agreements were signed during a ceremony in Iowa on Monday.