Soybean Exports Power U.S. Economy to Best Performance in Two Years
- General News
An October 28 Reuters article pointed to U.S. Soy as a key reason for an uptick in the U.S. economy.
According to the news story, the U.S. economy grew at its fastest pace in two years in the third quarter as a surge in soybean exports and a rebound in inventory investment offset a slowdown in consumer spending.
Gross domestic product increased at a 2.9 percent annual rate after rising at a 1.4 percent pace in the second quarter, the Commerce Department said last Friday.
That growth rate was the strongest since the third quarter of 2014 and beat economists' expectations for a 2.5 percent expansion pace.
A surge in soybean exports after a poor soy harvest in Argentina and Brazil helped to shrink the U.S. trade deficit in the third quarter, giving a lift to growth.
U.S. soybean exports rose to a record 1.936 billion bushels during the 2015/16 marketing year that ended on Aug. 31, as harvests in Brazil and Argentina faced weather problems, leading importers to buy more U.S. supplies than planned.
“The U.S. Soy industry is an integral piece of the U.S. economy,” said USSEC CEO Jim Sutter. “We take great pride in our team around the world that works so hard to create a demand for U.S. Soy, the U.S. farmers who grow such a quality product, and the U.S. export industry that makes it available when world demand comes knocking at the U.S. door.”
To read the Reuters article in its entirety, please click here.