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Economic surge - Biobased industry's leap forward

By Farms.com

The U.S. Department of Agriculture (USDA) proudly observed the second National Biobased Products Day, a day dedicated to raising awareness about the value and benefits of biobased products. These products are not only vital for creating new income avenues for farmers but also offer eco-friendly alternatives to consumers, promoting a cleaner environment. 

During this celebration, the USDA released pivotal reports indicating the biobased products industry's positive impact on the U.S. economy, even amidst the COVID-19 pandemic's global effects. According to the 2023 update of the "Economic Impact Analysis of the U.S. Biobased Products Industry," the sector contributed a notable $489 billion to the economy in 2021, reflecting a significant growth from the previous year. 

The analysis underscores the industry's nationwide influence, showing that biobased products and the employment they generate benefit every state. One key finding is the sector's contribution to reducing petroleum dependency, with 2021 figures pointing to a displacement of over 10.7 million barrels of oil equivalents. 

The USDA's backing of hemp research through a $10 million investment in Oregon State University’s Global Hemp Innovation Center is a testament to the administration's dedication to fostering sustainable agricultural practices and products. This initiative aims to bolster economic opportunities for 13 Native American Tribes through hemp product development. 

These initiatives align with the Administration's objectives to promote a more sustainable, secure, and innovative American bioeconomy. By supporting biobased products, the USDA is not only encouraging environmental stewardship but also ensuring economic prosperity and job creation across rural America, underscoring the agency's commitment to advancing agricultural research and sustainability for future generations.


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U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again

Video: U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again


The market was hoping for a US-China trade deal, but we got a trade “truce” for now from the keenly awaited Trump-Xi meeting at the APEC Summit.
China commits to minimum purchase commitments of 12 MMT of U.S. soybeans during the “current season” and a minimum of 25 MMT annually through 2028.
U.S. Treasury Sec Bessent said other Asian countries have agreed to buy additional 19 MMT of US soybean.
Soybean futures trading above $11 now- they normally tend to rally to $12.
As expected, US Fed cuts interest rates by -0.25% again in October to 3.75%–4.00%. No further cuts promised for this year but trade looking out to the Dec FOMC.
The Bank of Canada cut interest rates to 2.25% but raised concern over trade war damage.
Soy meal futures, remarkably, have had 14 consecutive higher close sessions. A bull market in soybeans is a bull market in soy meal!
Cattle futures lower as funds unwind out of cattle for now due to Trump headlines and objective to lower beef prices.
All major stock indices climb to new record highs. It was Mag 7 reporting week, which had mixed results. But we now have the first $5 trillion company in Nvidia!