The Need for New Markets U.S. agriculture is reeling from low commodity prices. Given an abundant domestic supply and a stable U.S. population rate, expanding existing market access and opening new export markets for agriculture is more important than ever. If we do not do this, American agriculture's long-standing history of yearly trade surpluses will not continue. Changes in domestic farm policy in recent years have placed increased emphasis on our need to export. When the U.S. Congress passed the 1996 Freedom to Farm Act, it phased out farm price supports, making U.S. agriculture more dependent on world markets.
Exports are agriculture's source of future growth in sales and income.
Global food demand is expanding rapidly, and more than 95 percent of the world's consumers live outside U.S. borders. Despite significant progress in opening markets, agriculture remains one of the most protected and subsidized sectors of the world economy. In addition, U.S. agricultural producers are placed at a competitive disadvantage by the growing number of regional trade agreements among our competitors. Ministerial Conference later this year in Seattle, Washington. As the host country for this ministerial, the United States and its trade policies will be in the spotlight.