Iowa's Secretary of Agriculture, Mike Naig, recently led a trade mission to Vietnam and the Philippines to find new opportunities for Iowa farmers to meet the increasing food demands of middle-class populations in these countries. The mission focused on livestock, grain, and meat processing industries and explored new export opportunities from Iowa by meeting with industry partners, government entities, commodity importers, and agricultural interest groups.
Iowa is the second-largest state in the United States for exporting farm products, and its economy heavily relies on exports. However, farmers are experiencing tighter profit margins in 2023 due to some countries reducing their import of American products. Nonetheless, Vietnam and the Philippines are both ranked in the top 10 US agricultural export markets, offering exciting opportunities for Iowa's agricultural exports to Southeast Asia.
Vietnam is recognized as the second-largest soybean market for US exports in 2022 and is one of the fastest-growing feed markets globally. Iowa companies exported $227 million in agricultural goods to Vietnam in the same year. Meanwhile, the Philippines, Southeast Asia's second most populous country with a need for consistent food access, offers both trade and industry development opportunities. Iowa companies exported $273 million in agricultural goods to the Philippines in 2022, and the country was the ninth-largest US ethanol importer in 2021.
Although geopolitical uncertainties and global inflation have affected US exports, emerging markets in Central America, South America, and Southeast Asia offer opportunities to mitigate some of those losses. The importance of Asia as a partner for various US states is increasing, and trade missions like the one conducted by Iowa to Vietnam and the Philippines are crucial for the economic growth and success of the United States.
Photo Credit: GettyImages-Art Wager
Categories: Iowa, Business