U.S. Agricultural Trade boosts overall economy

AgExporter, July, 2004

According to the April U.S. Agricultural Trade Update report (FAU-88) from USDA's ERS (Economic Research Service), U.S. agricultural exports generate employment, income and purchasing power in both the farm and nonfarm sectors. Each farm export dollar stimulated another $1.61 in business activity in calendar 2002. The $53.1 billion worth of agricultural products exported in 2002 produced an additional $85.4 billion in economic activity. Agricultural exports also generated 841,000 full-time civilian jobs, including 425,000 jobs in the nonfarm sector. Farmers' purchases of fuel, fertilizer and other inputs to produce commodities for export spurred economic activity in the manufacturing, trade and transportation sectors.

Production from almost a third of U.S. cropland moved into export channels in 2002. Of raw crops, the United States exported more than 50 percent of food grain production, almost 20 percent of feed grains and more than 35 percent of oilseeds. The full report is posted on the ERS Web site at: www.ers.usda.gov/publications/so/view.asp?f=trade/fau-bb/

FAS public affairs specialist Donald Washington is at (202) 720-3101; Email: Donald.Washington@usda.gov