Considerable concern surrounded the export potential for U.S. distiller’s dried grains with solubles (DDGS) following an adverse trade policy decision by Vietnam, a historic top buyer, in December 2016. Instead, other countries in the region increased DDGS purchasing, the Vietnamese market re-opened and the region set a new record at 2.3 million metric tons in DDGS imports in 2016/2017.
Representatives from the U.S. Grains Council (USGC) recently traveled to Indonesia and Thailand to visit with ministry and industry officials there and gain a better understanding of the opportunities for and challenges to expanded ethanol use in both markets.
The U.S. Grains Council (USGC) and United Sorghum Checkoff Program (USCP) are on the road to demonstrate the potential of U.S. sorghum to supply Southeast Asia’s most affordable protein source - fish.
U.S. exports of distiller’s dried grains with solubles (DDGS) to Southeast Asia have increased 16 percent so far this marketing year, according to data from the U.S. Department of Agriculture (USDA) and analysis by the U.S. Grains Council (USGC).
Representatives from the U.S. Grains Council's (USGC's) office in Southeast Asia participated in two regional conferences this month to provide context, industry insights and actionable market intelligence to customers of U.S. agricultural commodities.
As trade in food and feed ingredients continues to increase to meet rising demand, risks and opportunities will also invariably increase, making this type of one-to-one outreach and the information USGC can provide even more valuable.
The U.S. Grains Council (USGC) recently led an assessment mission of feed technology, animal nutrition and trading industry professionals to develop a roadmap for program engagement in Vietnam and Thailand.
- 18 MMT total feed production, up 7% YOY.
- Thai farmers shifting out of corn and opting instead for cassava.
- Gradual recovery in shrimp production seen after Early Mortality Syndrome outbreak.
- Flattening feed production growth outlook.
- Feed production breakdown: broiler = 40%, swine = 30%, layer = 20%.
- Population: 68.2 million
- Population growth: 0.32%
- Urban %: 60.4%
- Urban growth: 2.97%
- GDP: $1.108 trillion
- GDP growth: 2.8%
- GDP per capita:
The U.S. Grains Council held a set of regional two-day workshops, titled, "Advanced Information on Nutrition and Technology", in Indonesia and Thailand earlier this month. More than 100 poultry, swine and feed company representatives attended from Thailand, Indonesia, Vietnam and Philippines.
The market for distiller’s dried grains with solubles (DDGS) in Southeast Asia is poised for expansion. U.S. Grain Council efforts in the region have significantly contributed to the favorable export climate.
The U.S. Grains Council took its “DDGS Use in Poultry Road Show” to nutritionists, feed mill managers, and quality control staff across Malaysia, Thailand and Indonesia this summer to provide technical training and encourage distiller’s dried grains with solubles (DDGS) users to optimize inclusion rates.
“The program highlighted the cost saving factors that come from DDGS use in poultry and DDGS’ safety from mycotoxin problems,” reported Adel Yusupov, USGC regional director in Southeast Asia.