Vietnam, a relatively small country in Southeast Asia, is on the verge of become a major American agricultural trading partner and is quickly becoming a key regional economic player.

Despite the overall sluggish American economy, agricultural trade has remained a major bright spot in the United State’s economic outlook. Even with the recent drought likely to decrease farm exports by $2 billion, agricultural trade is still largely profitable is on track to break new trade records.

The boom is partly related to the increased attention that the Obama administration and American lawmakers have put on trade. Over the last four years, the United States has signed free trade agreements with Panama, Colombia, and South Korea. In addition, trade officials are in negotiations to create a Pacific Rim free trade agreement, which could significantly increase American trade possibilities.

Vietnam will likely play a major role in those new trade agreements. In the last several years, food consumption in that country has increased by about 15 percent, and beef and pork consumption has more than doubled.

These figures represent a major opportunity for American corn and soybean producers (two major forms of livestock feed). If trade representatives can knock down import barriers in Vietnam, the potential benefits to American producers and Vietnamese consumers could be vast.

To learn more about agricultural financing opportunities contact a Farm Plus Financial representative by calling 866-929-5585 or by visiting www.farmloans.com.

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Written by: Justin Ellison / Farm Plus Staff Writer