Demand for U.S. Soybeans in the European Common Market: A Case for Optimism
1965
Dahl, Reynold P.
High income elasticities of demand for meat in the EEC point to a substantial growth in meat consumption as consumer incomes rise. Most of the increased meat requirements will be met through domestic production. The demand for soybean meal will increase with expanded livestock production, better feeding practices, and favorable prices relative to feed grains. United States exports of soybeans and soybean meal should continue to rise unless trade barriers are erected. The increase in demand for soybean oil will be smaller because the consumption of fats and oils is already high, with most of the increased requirements being met by butter. Consequently, the common external tariff on soybean oil may not be important. Soybean oil derived from the increased European crush of soybeans for meal may meet most of the domestic‐market requirements. Tariffs on either soybeans or soybean meal would be more detrimental to U.S. interests than the tariff on soybean oil.
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