Being so dependent on the U.S. creates risks.Ottawa—Canadian agrifood exporters need to broaden their horizons, says Farm Credit Canada, pointing to our staggering dependence on supplying the United States rather than other countries. In 2019, 78.5 per cent of Canada's food exports went to the U.S., and 77.3 per cent of agrifood export growth since 2015 has been south of the border, says Kyle Burak, Senior Agricultural Economist.“Canada has long been a major exporter of both agricultural commodities and food. Yet Canada's position in global food exports indicates opportunity for growth. In 2019, Canada ranked 5th among global commodity exporters and 11th in food. Diversifying export markets is critical to grow exports and mitigate risks.”An FCC analysis of Canada's trade rankings found export diversification potential for canola oil, prepared or preserved pork, potato products, prepared crab, prepared or preserved beef, prepared or preserved vegetables and pulses.While the U.S. is considered a preferred market for many exporters, Canada does have a free trade deals with many of the largest and fastest-growing importers in the world including Japan, South Korea and European nations that need to be pursued, Burak said.However, it may be hard to get Canadian exporters to think beyond the U.S. “Until demand for Canadian products is met in North America, diversification may have to wait.”There may be another factor he didn't mention--the Buy American platform of president-elect Joe Biden. While it won't be clear until he takes office, a massive infrastructure development  program is the leading component of it. However, the beef industry has felt the America First sting in the past.Biden hasn't mentioned food products in his list of goods he wants Americans to purchase from domestic suppliers.While diversification is desirable from a risk management perspective, there are market pressures against it such as selling into one or two markets provides economies of scale that may small sales don't provide. “It might be cheaper to maintain and develop existing markets than establishing an export presence in a new market.”As well, input and manufacturing costs play an important role and price-sensitive markets can offer limited potential, especially for higher-quality Canadian products.Another roadblock to diversification is non-tariff trade barriers in the form of regulations that can prevent market access for Canadian manufacturers while a slower pace of economic expansion worldwide can mean more timid food demand.“The pandemic has reminded us of the importance of a robust food supply chain and economic consequences for some countries may last years,” he said. “Further diversification is possible and offers advantages. Diversification allows export flows to continue when trade partners become unavailable.”As the world's population expands and incomes grow, demand for food climbs, creating opportunities for Canada to increase exports. Higher purchasing power in non-traditional markets and new trade agreements generate possibilities to diversify exports away from conventional destinations.Alex Binkley is a freelance journalist and writes for domestic and international publications about agriculture, food and transportation issues. He's also the author of two science fiction novels with more in the works.