Supply/Demand Basics

  • #8 U.S. agricultural product market ($3.9 billion in CY 2018).
  • #5 U.S. corn market (3.1 MMT in CY 2018).
  • #7 U.S. barley market (5.5 TMT in CY 2018).
  • #13 U.S. DDGS market (241 TMT in CY 2018).
  • Imported grains meet about 98% of local demand.
  • Feed sector uses about 95% of imported corn.
  • Swine and poultry (including duck) are major coarse grain users.
  • Two wet milling plants producing HFCS, using about five percent of imported corn.
  • Total coarse grain imports maintain at about 4.5 MMT annually.

Country Overview

  • Population / growth: 23.5 million / 0.15%
  • Urban %: 76.8%
  • GDP / growth: $189 trillion / 2.6%
  • GDP per capita: $50,500
  • Diplomatic isolation, limited land space, aging population, small agricultural sector and dependent on imported raw materials and fuels.

Trade and Market Share Overview

  • U.S. share of grain imports fell from 97% in 2006 to 14% in 2013 and then rebounded to 75% in CY 2018.
  • Brazilian & Argentine corn (both accounted for 71% of corn imports) are more competitive than U.S. corn (accounted for 29% of corn imports) in CY 2019.
  • Almost all the large feed mills in Taiwan are using DDGS already. However, they tend to use low inclusion rates in animal feeds due to their concerns on mycotoxins.
  • Some local feed mills are experiencing poor pellet quality and slow through-put speed while the inclusion rates of DDGS are higher than 10% in pellet feeds.
  • The people 65-years-old and over account for 13.9% of Taiwan’s population in 2018. Aging population with low growth rate of population mean limited growth in food demand and grain imports.

Policy Overview

  • Implemented chemical residues test by the government for grains import.
  • Some Legislators and NGOs’ activists are trying to revise the threshold level of GM labeling from 3 percent to 0.9 percent.
  • There is no supportive policy of using fuel ethanol in Taiwan yet.