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While the US-China trade war has dented demand for some US agricultural products, fundamental weaknesses continue to lurk below the surface on the supply side. Unusually high amounts of rain continue to cause flooding and destruction or degradation of crops in the Midwest, along with hundreds of millions of pounds worth of livestock losses.

Additionally, swine fever is ravaging China’s pork supply, cutting it by more than a third already, driving up prices and international demand across a number of different meats. MRP believes this almost biblical phenomenon of plagues and floods will continue to put pressure on increasingly thin agricultural supplies.

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