US agricultural exports are expected to reach a record $77 billion for the 2007 fiscal year.

The export figure is up $5 billion from the August forecast and $8.3 billion from 2006.

China will replace the EU-25 as the fourth largest market for US agricultural exports largely due to sales prospects for soybeans.

In 2007, China’s economy is expected to grow 10 percent, following 11 percent in 2006.

As China has instituted a more flexible exchange rate regime, the dollar is expected to depreciate modestly against the yuan in 2007.

This could help close the big trade gap that US has with China.

In 2005 the US deficit with China was more than $200 billion.

There are more than 1.3 billion people in China, US has just 300 million inhabitants.

On the other hand, China has just 70% of the arable land that United States has.

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