News & Events
By: Alvaro Cordero, U.S. Grains Council Manager of Global Trade
U.S. sorghum sales to China have made a splash in the current 2013/2014 marketing year that began Sept. 1, 2013. Combined exports and outstanding sales are up from zero last marketing year to more than 2.2 million metric tons (87 million bushels) this marketing year through March 6 according to USDA Foreign Agricultural Service.
China has emerged as the world's top importer of U.S. DDGS, importing nearly 4.5 million metric tons of DDGS in 2013, valued at roughly $1.4 billion. Recently, China's Ministry of Agriculture (MOA) has officially certified the registration of more U.S. ethanol plants to export distiller's dried grains with solubles (DDGS) to China.
Recent disruption in U.S. corn exports to China have focused renewed attention on the uncertainties surrounding the enormous potential of the world's largest emerging market. Delegates who attended the U.S. Grain's Council's 11th International Marketing Conference and 54th Annual Membership Meeting in Long Beach, Calif., this past week devoted extensive attention to China and related issues in their sector and Advisory Team (A-Team) meetings.
U.S. corn quality and biotechnology issues highlighted the discussion today as a Chinese delegation of provincial State Administration of Grain (SAG) officials visited the U.S. Grains Council's Washington, D.C., headquarters. Council board member Chip Councell of the Maryland Grain Producers Utilization Board, was able to join the meeting and provide a farmer's perspective on the practical and environmental benefits of biotechnology.
This week's U.S. Grains Council Chart of the Week shows that U.S. exports and outstanding sales in the first several months of the current corn marketing year have more than doubled since the same time period of the previous year and have already exceeded the accumulated total sales of the 2012/2013 marketing year.
Please join the U.S. Grains Council in welcoming its newest member, Living Water Integra Trade, Inc.
Living Water Integra Trade was created to supply distiller's dried grains with solubles and whole grains from the United States to Chinese and Southeast Asia end-users. Living Water utilizes its established mature suppliers, local logistics, ocean carriers and end-users network to create value for its customers through professionalism and passion.
In its December World Agricultural Supply and Demand Estimate, the U.S. Department of Agriculture pegged China to import 7-million metric tons (276 million bushels) of U.S. corn during the current marketing year. Now - it doesn't look like China will meet those initial expectations due to a dilemma causing disruption in the marketplace.
China's developments in its food and agricultural systems and the increasing purchasing power of its middle class led the Iowa Corn Leadership Enhancement and Development (I-LEAD) team to identify China as its international trade mission destination for 2013. Composed of 24 talented Iowa agricultural-professionals, the group departed on Dec. 8, with 10 days ahead of them to develop a deeper appreciation for the opportunities and complexities of this rapidly growing market.
After two years of discussion, planning and organization, MAIZALL this week took to the field, meeting with key government and feed industry leaders in South Korea and China. A partnership of the national corn producer organizations of Argentina, Brazil and the United States, MAIZALL is an alliance of the world's top three corn exporting countries, working together to advocate the elimination of trade barriers, acceptance of modern agricultural technology and enhancement of food security through trade.
Korean imports of U.S. distiller's dried grains with solubles (DDGS) have increased more than 100 percent since with continued growth potential as Korean nutritionists gain confidence in utilizing DDGS in swine rations. The U.S. Grains Council hosted a webinar last week aimed at feed formulators, swine extension specialists and pork producers, giving the Council a longer reach into the Korean swine industry and enabling local partners to share information more broadly among industry colleagues.