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Why Iowa farmers need export markets

Learn why Iowa farmers need export markets for economic growth and income. Discover the top export markets and the impact on agriculture in Iowa.

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Why Iowa farmers need export markets

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  1. Why Iowa farmers need export markets Microsoft photo Original 9/12/08 Joel Severinghaus Modified 12/19/11 Chad Hart

  2. Why do Iowa farmers need export markets? • That’s where the customers are • That’s where the economic growth is • That’s where the consumption growth is • We produce surpluses • We only eat high on the hog • Exports are crucial to Iowa farm income

  3. That’s where the customers are Wal-Mart photo In China since 1996, over 190 stores

  4. True or false? 1. Two-thirds of the people on this planet are Asian. True.

  5. 95% of the world’s population lives outside the US Source: CIA World Factbook

  6. True or false? 2. China, India, and Indonesia have the three largest populations. False. The US is # 3.

  7. Top 10 populations Source: CIA World Factbook

  8. True or false? 3. Over the next 40 years, the highest population growth rate will be in India. False. In Africa.

  9. Population growth 2010 to 2050 Source: U.S. Census Bureau, International Data Base

  10. That’s where the economic growth is Hong Kong

  11. True or false? 4. Nigeria’s economy is growing faster than the US economy. True.

  12. Economic growth rates Source: CIA World Factbook

  13. Sources of US petroleum imports, 2010 Source: U.S. Energy Information Administration

  14. Size of economy Source: CIA World Factbook

  15. Chinese economic growth: 1990 Beijing

  16. Chinese economic growth: 2005 mcchronicles.blogspot.com photo AP photo Dongguan, Dec. 10, 2005: McDonald’s opens first drive-thru in China; half of the 100 restaurants plan to open each year will have drive-thrus

  17. Chinese economic growth: 2008 1000 more cars added to the streets of Beijing every day

  18. Chinese economic growth: 2011 Open 24 hours Delivery 24 hours More than 1,300 McDonald’s in China, with 700 more on the way

  19. 10 largest economies (GDP rank) Source: PwC, The World in 2050, January 2011

  20. True or false? 5. There are more middle-class consumers in India than in the US. True.

  21. “Middle class” population growth in developing countries 2009 to 2030 India’s middle class already out-numbers total US population Source: OECD, , The Emerging Middle Class in Developing Countries, Homi Kharas, January 2010

  22. 12 countries over 100 million population Bubble size: population in 2010 India US Sources: CIA “World Factbook”, U.S. Census Bureau

  23. That’s where the consumption growth is Hong Kong

  24. Trends in US protein consumption Source: USDA Economic Research Service “Food Availability” data sets

  25. True or false? 6. The highest pork consumption growth is in Mexico. False.

  26. Pork consumption growth Source: USDA Foreign Agriculture Service PSD Online 12/19/11

  27. Chicken consumption growth Source: USDA Foreign Agriculture Service PSD Online 12/19/11

  28. True or false? 7. Beef consumption in India has doubled in the past decade or so. False, but it is close.

  29. Beef consumption growth Source: USDA Foreign Agriculture Service PSD Online 12/19/11

  30. Religion in India They eat beef in India? The Hindus don’t, but some of the Muslims do. About 150 million people -- third largest Muslim population after Indonesia and Pakistan source: 2001 census, in CIA “World Factbook”

  31. True or false? 8. Milk consumption in India is growing faster than in China. False. But it depends on the time frame.

  32. Fluid cow milk consumption growth Source: USDA Foreign Agriculture Service PSD Online 12/19/11

  33. As of 2011, 560 Pizza Hut restaurants, 130 Pizza Hut “Home Service” units (doubled in 3 years)

  34. 264 Subways

  35. More than 500 Starbucks

  36. True or false? 9. China consumes more soybean meal than the US. True.

  37. Soybean meal consumption Source: USDA Foreign Agriculture Service PSD Online 12/19/11

  38. Corn consumption Source: USDA Foreign Agriculture Service PSD Online 12/19/11

  39. We produce surpluses Heart of Iowa Co-op, Nevada

  40. True or false? 10. We export about a fifth of the US corn crop. False. But we previously did.

  41. US corn use Source: USDA WASDE reports

  42. True or false? 11. We export about a tenth of US dairy production. False. Now about 20%.

  43. Export share of US production, 2011 Source: USDA ERS “Livestock, Dairy & Poultry Outlook” 12/11

  44. True or false? 12. Japan is our # 1 ag export market. False. Used to be, before NAFTA.

  45. Top ten US ag export markets, 2010 Canada & Mexico buy 27% of US ag exports Source: US Census Bureau, Foreign Trade Statistics, FATUS export aggregations

  46. NAFTA US agricultural trade with Canada Two-way trade up 305% since NAFTA Source: US Census Bureau, Foreign Trade Statistics, FATUS export aggregations

  47. NAFTA US agricultural trade with Mexico Two-way trade up 375% since NAFTA Source: US Census Bureau, Foreign Trade Statistics, FATUS export aggregations

  48. Exports are crucial to Iowa farm income Microsoft photo

  49. True or false? 13. Iowa ranks # 3 in state ag exports. False. # 2.

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