INDIANAPOLIS — Taiwanese leaders agreed to purchase millions of metric tons of U.S.-grown corn and soybeans on Sept. 23.
Leaders from Indiana Soybean Alliance and Indiana Corn Marketing Council participated in a signing ceremony at the Senate chambers of the Indiana Statehouse.
“International trade is essential to the economic viability of Indiana corn farmers,” said Mike Beard, president of ICMC.
“We thank the delegation from Taiwan for coming here, recognizing the quality of the crops that we grow and signing this agreement. We hope to work with them for many years to come.”
The Taiwan Feed Industry Association agreed to buy 5 million metric tons, or approximately 197 million bushels of corn and 500,000 metric tons of corn co-products, between 2020 and 2021.
The total estimated value of this agreement is $1.1 billion.
The Taiwan Vegetable Oil Manufacturers Association intends to buy between 2.6-2.9 million metric tons, equivalent to 96 million to 97 million bushels, of soybeans in 2020 and 2021.
The values of these purchases is estimated to be between $1 billion to $1.1 billion.
Members of the Taiwan delegation said they were pleased to continue trade with the United States.
“Due to its high-quality produce, the U.S. remains one of Taiwan’s largest sources of agricultural products, supplying more than one-quarter of the country’s major agricultural imports,” said Junne-Jih Chen, deputy minister of the Taiwan Council of Agriculture.
“We are here to demonstrate Taiwan’s continued willingness to purchase U.S. soybeans and our determination and dedication to promote bilateral agricultural cooperation.”
It is estimated that more than 20% of all agricultural production in the U.S. goes to outside markets, such as Taiwan, said Lt. Gov. Suzanne Crouch.
According to the Foreign Agricultural Service, Taiwan is an important trading partner.
Because of its small land area and high urbanization rate, Taiwan has a relatively small agricultural sector and relies on imports for domestic use.
Taiwan was the United States’ ninth-largest export market for farm and food products in 2018.