The United States’ agricultural surpluses are, as we know, the result of fat subsidies to its producers; it spills the surpluses out across the world at dumping prices as part of its foreign aid program. Cotton was Paraguay’s chief export until the ruinous competition of U.S. cotton displaced it in the market, and Paraguayan production has fallen by 50 percent since 1952. (In the same way Uruguay lost the Canadian market for its rice, and the wheat of Argentina, once the world’s granary, virtually vanished from international markets.)
US has a strabglehod on Latin American export prices due to their vast resources and subsidies to agriculture
