WASHINGTON, D.C. (RFD News) — USDA raised its fiscal 2026 agricultural export forecast to $179.5 billion, up $3 billion from its May projection. Expected imports were lowered to $204.5 billion, narrowing the projected agricultural trade deficit to $25 billion from $42.9 billion in fiscal 2025.
Corn is a major contributor to the stronger outlook. USDA now forecasts corn exports at $19.1 billion, dairy products at $10.4 billion, and tree nuts at $12.2 billion.
The improved outlook provides additional demand support for producers facing weaker commodity prices and elevated production costs, although the United States would still import substantially more agricultural products than it exports.
Mexico remains the largest individual market at a projected $31.5 billion in fiscal 2026, followed by Canada at $28.9 billion. Southeast Asia is forecast at $15.6 billion.
USDA projects agricultural exports to rise again to $186.5 billion in fiscal 2027, with the trade deficit narrowing slightly to $24.5 billion.
