Senate Ag Committee Republican Roger Marshall of Kansas says China is no longer a reliable ag trading partner. He argues that United States producers need to utilize value-added farm goods to make up for losses in the Chinese market.
Value added farm goods are agricultural products that have been processed to increase their market value. Marshall made his comments at the annual Agri-Pulse Ag Outlook Forum. As China continues to essentially lock out U.S. soybeans from the Chinese market via tariffs, Marshall says that farmers need to focus on value-added products and other international markets.
He also points to India as a potential market for United States ethanol and dairy products. He emphasizes the importance once again of value-added products and not just bulk commodities.
Soybean growers argue that the loss of the Chinese marketplace cannot be made up elsewhere. Marshall counters that it is time to diversify markets and thinks that producers need to focus on goods that provide more value.
