WSJ: Surging Imports Of Food Threaten Wider Trade Gap

[question everything]

Surging Imports Of Food Threaten Wider Trade Gap

U.S. Agriculture Exports, Relied on to Ease Deficit, Feel Heat of Competition

By SCOTT KILMAN
Staff Reporter of THE WALL STREET JOURNAL
November 8, 2004; Page A1

America's appetite for imported food is creating problems for the U.S. economy.

Agriculture, one of the few big sectors of the economy that could be counted on to produce trade surpluses, has recently generated monthly deficits -- a development that could worsen the nation's already significant trade imbalance. According to the U.S. Department of Agriculture, the U.S. imported more agricultural goods than it exported in June and August, the first monthly trade deficits since 1986, when the Farm Belt was mired in a depression.

(snip)

But the problem with the widening overall trade deficit is that it is sustainable only as long as foreigners are willing to lend the U.S. large amounts of money. Many economists warn that this isn't likely to continue, and if they're correct, the risks are growing for a market-rattling crash in the value of the dollar. The overall trade deficit widened to $54 billion in August, the most recent monthly figure available. That was the second-biggest gap on record after June's $55 billion.

(snip)

Many supermarket executives learned about importing during the 1990s, when they turned to Chile, Mexico and Argentina for grapes, tomatoes, asparagus and apples to keep their aisles stocked with fresh produce through the dead of the U.S. winter. Now retail executives are trying their hand at more exotic fare, such as Irish marmalade, Scottish cookies and Japanese horseradish powder.

(snip)

About 20% of the beef used by McDonald's Corp. restaurants in the U.S. now is from foreign cattle. A McDonald's spokeswoman said a shortage of lean beef in the U.S. is forcing the company's hamburger suppliers to turn to cattle from Australia and New Zealand.

(snip)

Write to Scott Kilman at [e-mail]

URL for this article:
http://online.wsj.com/article/0,,SB109987062938867100,00.html

[NVMojo]

1. so, tell me, does this hurt red states? if so, import away.

[aquart]

2. No, it hurts all of us.

[Maple]

3. Oh it does not

In Canada you can buy food from all over the world...any type, any season.

[aquart]

8. We're not discussing Canada.

You have the money to pay for what you buy.

We're bankrupt and we don't.

[makhno]

4. Why?

Cheaper food, greater choice. Looking at it from a republican perspective, I say, great, let the free market test the mettle of the American farmer. Perhaps they can get a degree in internets from their community college when farm subsidies finally dry up.

[Sugarbleus]

6. LOL-->get a degree in internets from their community college

Sorry, that just struck me funny...

Good points all...

[JPace]

16. Oh right, lets eat imported delicacies and wear imported

fine clothing and imported spiffy clothes....soon
and I mean very soon the country will be insolvent.

Thank you Red States, thank you Christian Conservatives,
Thank you Corporate Elite....

[Randi_Listener]

5. Increase in veggies and fruit prices?

Didn't someone call attention to this shit earlier?

[JDPriestly]

7. There goes Bush's red-neck base.

[oscar111]

10. 3rd Wrld food: banned pesticides, filth, lo inspectn rate

farmhands have worse conditions even than here.. no toilets.. fecal contamination of veggies... pesticides we ban are overused there.. meat inspection spotty, and

our customs food inspectors slashed in ranks by reaganomics, tiny percent of entering foood inspcted here. {said nader's CSPI, the food police so called on evening news.}

food from rich areas of europe may be better than here, not sure but logical.

bush fighting "country of origin labeling", so you will never know what to avoid. What a fine christian.\

Only a fool would eat third world food. BTW, all three canned tuna co's in our country, import from third world. Read FDA site's recall articles for horrific history of some tuna co's ignoring FDA orders to "not distribute". Just ignored! One would not let FDA into its warehouse to inspect.How can they do that?

History too of "filth". I eat chicken now, canned only tho. My brand had no FDA recalls listed. whew. Dont know if rules here let me name the good chicken co. so i wont. Maybe all are good, did not check.

[depakid]

9. What I don't buy local- I'll look for abroad

American agribusiness can look elsewhere for their dollars.

[oscar111]

11. Odd sounding but we need "land reform":agribiz to family farms again

sounds odd, but we need what used to only be heard of in backward lands.

break up the huge agribiz farms and give it back to family farmers.

Solve much.. or ALL... unemployment problems.

40 acres and a tractor for all the jobless? hmmmmmmm.

end campaign contributions from agribiz to GOP .

[elepet]

12. Go organic

It works. for the consumers and the farmers...and is a huge industry now with a well organized base of people who forced the administration to reverse proposed watering down of standards. Developing world wide as well.

[tsuki]

13. After the hepatitis scares,

I only buy organic. Usually means it is American.

[JPace]

17. Organic is wonderful, I buy quite a bit but......

it is extremely expensive often costing twice
what regular fare costs. I can only afford some
things organic, wish I could do it all that way.
With peoples income being stretched to the limit
these days many have no choice but to buy mass
produced food and on sale at that.

[ausiedownunderground]

14. Free trade agreements - "Bring em on" said The Smirking Chimp

Free Trade Agreements - Great for American "Big Pharma",Hollywood and Microsoft! Hey they all come out of Blue States!!! Absolutely terrible for American Farming and Agriculture!!! Hey they all come from Red States!!! BWAHAHAHAHAHAHA! Rove!

[Supersedeas]

15. US Multinationals are outsourcing Ag....they wouldn't dare