By: Javier Chavez, U.S. Grains Council Marketing Specialist in Mexico

“We need more U.S. corn” was the greeting a U.S. Grains Council-escorted team received from Eudoro Acebedo, a Colombian poultry producer.

As a growing country that is experiencing dietary shifts toward higher-value calories, Colombians are poised to eat more meat, eggs and dairy. However, the mountainous country cannot produce enough grain to meet it needs. This presents the opportunity for export growth in coarse grains and co-products.

The United States is a natural supplier for Colombia due to its proximity and the U.S.-Colombia free trade agreement, which allows 2.3 million metric tons (91 million bushels) of U.S. corn to enter the market duty free.

As of Feb. 12, Colombia had outstanding sales and accumulated exports of U.S. corn of more than 2.5 million tons (98 million bushels) this marketing year, which began Sept. 30, 2014.

Over the past 25 years of the Council’s work in Colombia, the focus has been on demand-building efforts in the poultry and swine sectors. The first stop for the team of U.S. corn producers in Bogota was with the National Federation of Colombia’s Poultry Producers. The group discussed the current situation of the Colombian poultry industry, which is a key driver of coarse grain demand in the country.

The U.S. producers also met with representatives of the Colombian feed industry, who are becoming more sophisticated in developing their supply chains, improving logistics and finding innovative ways to present their products. As the industry continues to grow, there is also potential demand for more U.S. coarse grains and co-products imports.

At the conclusion of their meetings with Colombian agricultural groups, the team estimated that there is potential for Colombia to import an additional 2 million tons (79 million bushels) of U.S. corn. However, trade is restricted due to Colombia’s tariff rate quota (TRQ). 

“Colombia needs access to U.S. coarse grains that are price competitive in its growing market,” said Dean Taylor, a member of the mission who is a corn farmer in Iowa. “The TRQ does not benefit Colombian corn buyers and end-users as they are paying a premium for the grains they desperately need and want.”

The Council will continue to partner with the Colombian livestock sectors on policy issues, in outreach to their members and promoting new products including sorghum and distiller’s dried grains with solubles (DDGS).

Click here to view photos from this mission.