FMD and MAP funds Promote DDGS in Korea

Since 2004, when Korea’s feed and animal industry was not aware of the availability and feeding value of U.S. corn-based ethanol DDGS, the Council has promoted its use in livestock and poultry diets.

Programs conducted were 1) a series of seminars/webinars and one-on-one on-site consultations on S&D perspectives, nutritional/financial value, physical property, currently acceptable inclusion rates and feeding tips; 2) team programs for import buyers to become familiarized with U.S. DDGS industry and export logistics; 3) feeding trials to demonstrate the feeding value of DDGS in diets of broiler chicks, laying hens, hogs, dairy cow, and beef cattle (Hanwoo, Korean native cattle); and 4) technical and trade information distribution through email, meeting and publication, including DDGS User Handbook in local language. Also the Council introduced U.S. exporters to local buyers and local importers to U.S. suppliers, and addressed quality and trade related issues.

During the program period, Jan 2004 – Jun 2013, the United States exported an accumulated total of 2,483 TMT (arrival basis) of corn based ethanol DDGS to South Korea, worth $611,632 thousands/FOB. Of which over 80 percent of the total could be claimed as the result of the programs.

The Council spent an accumulated total of $838,433 (program cost only) to develop U.S. DDGS in Korea. Return on investment is estimated at about $503 ($489,305 thousands/$838.4 thousands).