Sioux City Times

Last week, U.S. Representatives Randy Feenstra and Adrian Smith led a letter to U.S. Trade Ambassador Jamieson Greer, urging for improved market access for American agricultural exports in India. The focus is on products such as U.S. ethanol, distillers' dried grains with solubles (DDGS), and soybean meal (SBM).

In their communication, the lawmakers highlighted that "India has publicly expressed its willingness to proceed in high-volume agricultural trade negotiations with the U.S., increasing demand for American farmers." They pointed out that DDGS alone could present a significant opportunity, with potential annual demand reaching two million metric tons valued at $500 million. This would position India as the second-largest export market after Mexico.

Regarding ethanol, India is currently the third-largest export destination at 170 million gallons valued at $393 million. The representatives noted that reducing existing market barriers could allow for over $400 million of additional exports. They expressed optimism about the progress in reciprocal trade negotiations between the United States and India and anticipated benefits for American farmers from increased exports of DDGS and SBM to India.

The letter also emphasized former President Trump's agenda focused on increasing U.S. agricultural exports to reduce the trade deficit. Since 2010, corn and soybean production have seen significant increases; however, commodity prices have fallen by over 30 percent in recent years, heightening the need for expanded export markets.

The National Corn Growers Association, American Soybean Association, Iowa Corn Growers Association, and Iowa Soybean Association support this initiative.

This development occurs amidst historic advances in negotiating a bilateral trade agreement with India announced by Vice President J.D. Vance and USTR in April. Additionally, U.S. Secretary of Agriculture Brooke Rollins plans to visit India this year to continue discussions on opening new markets for agricultural exports.

The full letter can be accessed through appropriate channels.