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The primary objective of the project is to expand opportunities for international trade and investment by small and mid-size Midwest agribusiness firms by employing the research capabilities at Iowa State University and the technical assistance capabilities provided under subcontract by the Greater Des Moines Partnership (GDMP). The primary objective will be accomplished by completing research in four major areas: analyses of the competitiveness and marketability of commodity and non-commodity agricultural products; consumer preferences and perceptions regarding food attributes and the impact of these preferences for U.S. exports; methods for developing and protecting high-value, differentiated products; and emerging issues and trade-distorting events with significant potential to affect U.S. agricultural exports and world markets. Technical assistance will include business climate and trade lead information, business contacts with potential buyers and partners, and dissemination of information to benefit companies before and during the export process. Primary outputs will be research reports, trade seminars and workshops, consultations with individual agribusinesses, and dissemination of information via Internet and other methods of delivery to enhance opportunities for agricultural exporters.
NON-TECHNICAL SUMMARY: As international markets have opened to new or expanded trade, the competition to supply those markets has also increased. Consumer preferences such as food safety, food quality, animal welfare, and the environmental impacts of producing and shipping food products are being reflected in domestic and trade policy in many countries. New policies can constrain U.S. exports, especially if they become politicized or if they are not harmonized with U.S. standards. At the same time, new regulations and mandates concerning the production and use of biorenewable fuels are changing patterns of supply and demand for grains and meat products. In response to changing production and trade environments, a portion of world grain and livestock industries are attempting to move toward non-commodity production to capture high-value markets. Finally, unexpected events can cause sudden and dramatic changes in trade flows. The Midwest Agricultural Trade Research and Information Center will conduct timely, need-based research and provide technical assistance to address these issues and to enhance opportunities for agricultural exports. In particular, research will focus on economic potential, trade barriers, product differentiation and branding for high-value markets, and consumer demand for specific food attributes and product information. The expected impact will be a change in knowledge and actions as stakeholders are informed about ongoing changes in the world trade environment and react to this new knowledge. <P>APPROACH: Researchers at Iowa State University have identified three areas of rapidly evolving change in the international trade environment and will conduct studies in these areas to generate market intelligence to inform producers, processors, and exporters about ways to improve their competitiveness. First, studies will address issues in international meat trade due to livestock disease-related and other changes in the trade environment. Data will be collected from the U.S. and foreign sources to evaluate mature and emerging markets and demand for red meats. Research for the second research area will collect and present data from in-country research and as case studies to evaluate the impacts of consumer demand for food attributes and production-related information. This research will also look for new and innovative methods for marketing high-value foods at the retail level. The third research project will address impacts of grain-based biorenewable fuel production on world grain and meat supplies. Researchers will evaluate country-specific mandates for production and use of biorenewable fuels and the potential impacts on grain and livestock trade. In addition, the GDMP has identified four areas of technical assistance to be performed: professional consultations to Midwest agribusinesses, assistance based on market opportunities created by free trade agreements, dissemination of need-based market information, and external communications using a quarterly newsletter and online databases. Collection and analysis of market intelligence will focus on selected countries with high import potential or significant competitive advantage relative to the United States and on indentifying innovative processes and technologies for marketing U.S. agricultural products. The success of the project will be measured in part by the ability to provide timely information to exporters that allows them to react to market changes, to company reports of increased sales as a result of research and technical assistance, and by data on the viewing and downloading of information published on the internet for this project.