EXACTLY.
There is a fixed amount of food grown throughout the world.
Right now, a lot of American food is sold to China.
If China buys it from somewhere else, then that other place will have LESS FOOD.
And they will buy American food.
The net result, no change.
This is one of the most misunderstood parts of the agricultural products market of the world. You only have X-amount grown...that amount might shift 10-percent up because of a really great year, or shrink 10-percent because of a bad year. But no one is creating new farmlands out of thin air.
It’s like the cattle story when you had that really cold spell that killed off tens of thousands of cattle. The market shrunk, and US producers of beef for roughly 12-to-24 months made a ton of extra money because the market was tight.
China will go through some acting here but all they did was reshuffle the deck....there’s still only 52 cards in the deck...no matter how many times you reshuffle.