USDA lowered its livestock, poultry and dairy exports dollar value forecast for 2016 to $2.5 billion to $25.7 billion, as lower prices drive declines for nearly all products.
In its latest Outlook for U.S. Agricultural Trade, USDA reduced beef export value by $200 million to $5.4 billion as lower unit values more than offset higher volumes.
Due to weak demand and lower unit values, poultry and products are decreased by $400 million to $4.8 billion.
The pork export forecast is lowered $100 million to $4.3 billion.
Largely driven by relative U.S. economic vitality, the value of the dollar appreciated considerably in 2015 and is expected to also gain, but by less, in 2016.
Expected dollar appreciation against key currencies has been revised up significantly relative to last quarter’s outlook. For many countries, notably China, the revision reflects changes in policy and weaker-than-expected economic conditions.
Source: Meetingplace.com, 2-29-2016