Friday, February 22, 2008

U.S. farmers can expect another strong year

WASHINGTON, Feb 21 (Reuters) - America's booming farm sector is headed for another year of strong growth, with a weak dollar aiding exports and strong demand for oil fueling the corn-based ethanol boom, top U.S. agriculture officials projected on Thursday.

Tempering the outlook is rising competition from South American farmers and a rebound in world wheat production in Australia and Ukraine that could provide competition for U.S. growers. Wheat prices, however, are expected to remain at record levels.

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