LOUISIANA SHATTERS STATE EXPORT RECORD IN 2007, REACHING $30.4 BILLION
Shipments Abroad Were 29.2 Percent Above Those of 2006, the Previous Record Year

Louisiana's worldwide merchandise exports, which set a record in 2006, exceeded that level in 2007 by nearly 30 percent, the second largest percentage increase of any state, according to a report issued today by the World Trade Center of New Orleans.

The value of the state’s exports reached a new high of $30.4 billion in 2007, according to the WTC report, compared to $23.5 billion in 2006. Louisiana's export growth of 29.2 percent last year was more than double the overall U.S. rate of 12.1 percent. In 2005, the year Hurricanes Katrina and Rita devastated southern Louisiana and other Gulf Coast states, the state’s exports were $19.2 billion, and in 2004 they were $19.9 billion.

Agricultural products, petroleum and coal, chemicals, processed foods, machinery, and transportation equipment ranked as Louisiana's top six export sectors in 2007, five of which registered double-digit percentage gains over 2006. The state's principal export markets last year were Japan, Mexico, China, Canada, and Egypt.

The WTC report was generated by the World Institute of Strategic Economic Research (WISER) from U.S. Census Bureau data. It covers the exports of both Louisiana originating products and some major commingled bulk commodities (especially grain and coal) produced in other states that are shipped abroad from Louisiana's ports and recorded as Louisiana exports because of the difficulty of identifying the actual states of origin.

The value of export shipments of agricultural products through Louisiana’s lower Mississippi River ports – which account for over 50 percent of U.S. grain exports – was especially strong in 2007 with $12.5 billion, a 37.8 percent increase.

"The state's remarkable export performance last year had a lot to do with exceptionally high prices of agricultural and petroleum-related products, but the gains in other products were almost as impressive" said Larry Collins, Director of International Services with Louisiana Economic Development. "The increases were also driven by the continuing weakness in the U.S. dollar relative to other currencies, making U.S. goods and services a good buy in most countries."

After agricultural products, Louisiana's largest exports in 2007 were petroleum and coal products ($5.7 billion, a 46.2 percent increase), chemicals ($5.6 billion, a 9.9 percent increase), processed foods ($2.6 billion, a 19.7 percent increase), machinery ($851 million, a 31.3 percent increase), and transportation equipment ($830 million, a 16.8 percent increase).

"We are seeing many of Louisiana’s exporters recording major increases in their overseas sales," said Donald van de Werken, Director of the New Orleans U.S. Export Assistance Center. "It is noteworthy that six of Louisiana's top 10 export markets were countries with which the United States already has a Free Trade Agreement (Mexico, Canada, and Guatemala) or pending FTAs in Congress (Korea, Colombia, and Panama)."

Japan and Mexico were virtually tied as the number one market for Louisiana exports in 2007. Shipments to Japan were $2.831 billion (a 13.2 percent increase over 2006), while those to Mexico were $2.830 billion (a 29.4 percent increase over the prior year). China was in third place as an export market for Louisiana ($2.6 billion), followed by Canada ($1.8 billion) and Egypt ($1.3 billion).

"The global economy continues to rapidly expand, even with the slowdown in the U.S., and offers tremendous opportunities for Louisiana companies in all sectors and all parts of the world,” said Eugene Schreiber, Managing Director of the World Trade Center. "It is absolutely critical that Louisiana make the needed investments in its ports to keep up with this growth and to compete successfully against other U.S. ports for future cargos, including those that will result from the widening of the Panama Canal.“

Among all states, Louisiana ranked 10th in 2007, up from 12th in 2006. Texas, California, and New York continued to be the top three exporting states. Total U.S. exports in 2007 were $1.2 trillion, a 12.1 percent increase over 2006.

The following three charts summarize the data reported above.

• Louisiana Exports by Country (NAICS)
• Louisiana Exports by Industry (NAICS)
• Louisiana Exports by Commodity (HS)
• U.S. Exports by State (NAICS)