Lithuania: Direct Versus Indirect Trade--The Hidden Market for US Food and Agriculture in the Baltic States
According to U.S. Census Bureau database for tracking bulk, intermediate, and consumer-oriented (BICO) exports, 2019 exports of U.S.-origin food and agricultural products to the three Baltic countries reached $279 million. However, combined 2019 import data from the three countries’ National Statistical Offices (NSOs) reflect that 2019 U.S. food and agriculture imports were $166 million. The Baltic States are increasingly important transshipment hubs for U.S. products to markets throughout the former Soviet Union and as a result, BICO data overvalues them as markets for some U.S. food and agricultural exports. Conversely, BICO undervalues the Baltic markets for other U.S. products, which are shipped to the Baltic States via Western European ports of entry and are therefore counted as U.S. exports to those countries. Post expects that the NSOs’ data provides a more accurate reflection of the true value of U.S. trade.
