U.S. Cooperatives and the Potential for Grain Exports to Eastern Europe

Abstract

Cooperatives are major participants in grain production and marketing in the United States and Soviet Bloc countries. U.S. cooperatives, for example, receive more than 40 percent of off-farm grain sales, while cooperatives in most Soviet Bloc countries account for more than two-thirds of grain production. Despite this heavy involvement, trade between cooperatives in these regions is nil. U.S. cooperative exports to Soviet Bloc import organizations are also limited. Import decision making in Soviet Bloc countries is described and buyers’ concerns are evaluated against exports services offered by U.S. cooperatives. Exports to Soviet Bloc countries by U.S. cooperatives will remain limited unless cooperatives offer delivered sales, bids on large tenders, and improved services.