Council Expanding Market for US DDGS

DDGS

U.S. distiller’s dried grains with solubles (DDGS) have gained popularity in markets around the world, with 9.7 million metric tons – valued at $2.9 billion – exported in 2013 to more than 45 countries. Behind this market expansion are Council-directed and implemented educational seminars and feeding trails, complimented by consistent end-user contact and support. In emerging markets around the world, the Council continues to work to expand the market for U.S. DDGS.

While Mexico is the third-largest market for U.S. DDGS, its southern region remains an underserved livestock sector with growth potential for U.S. exports. According to a 2012 Council assessment, the potential exists to more than double current exports by providing technical and practical education to local cattlemen. To further this effort the Council has conducted a feeding trial in the area.

New Malaysian Import Regulations Update: US DDGS and CGM Exempted

"Good news," said Adel Yusupov, U.S. Grains Council regional director for Southeast Asia. "The Malaysian government has confirmed that U.S. DDGS (distiller's dried grains with solubles) and corn gluten meal are not subject to the new import regulations that are scheduled to take effect July 1. For these important U.S. export commodities, the status quo remains in effect."

New Malaysian Regulations Threaten Trade: Discussions Continue

Intensive efforts continue in Malaysia to seek clarification or amendment of new agricultural import regulations, which threaten to impose costly new burdens on a wide range of commodities from several exporting countries. The U.S. Grains Council and the U.S. Soybean Export Council are working closely with USDA's Foreign Agricultural Service Malaysia office and APHIS to reduce or eliminate the negative impact of these new regulations on U.S. export cargos. Local stakeholders in the Malaysian feed, trade and livestock sectors are also expressing their concerns to the Malaysian government.

Vietnam’s Corn Imports Increasing

Vietnam Corn
Vietnam's macro-economic conditions – including population growth, continual urbanization and dietary shifts towards increased animal protein consumption – offer mounting prospects for increase in feed grain demand and imports of U.S. coarse grains and grain co-products. So far in calendar year 2014, Vietnam's corn imports have increased more than 400 percent over the same period last year to a total of 1.41 million metric tons (55.5 million bushels), according to the General Department of Vietnam Customs. U.S. corn exports to Vietnam are enjoying an increase as well, up more than 735 percent over the same time period last year. According to USDA FAS, Vietnam had combined U.S. corn outstanding sales and accumulated exports of 262,800 tons (1 million bushels) from Sept. 1 to March 27.

US Corn Gluten Meal Exports to Southeast Asia on the Rise

CGM Export Report

Southeast Asia's imports of U.S. corn gluten meal (CGM) has swelled this past year by 47 percent, nearly reaching 400,000 metric tons. This is a vital market for U.S. CGM with three of the top 10 U.S. export markets located in the region.
Indonesia alone, the largest overall market, accounted for 25 percent of the U.S. export market, importing more than 256,000 tons of CGM in 2013, valued at $176 million—a 36 percent increase from 2012. This record level of U.S. CGM imports was driven by a large demand for a high-quality protein source from Indonesia's poultry industry.

US DDGS Exports on the Rise in Southeast Asia

Southeast Asia DDGS

In 2013, Southeast Asia imported just over 1 million metric tons of distiller's dried grains with solubles (DDGS) from the United States, an increase from 2012.

The numbers for January 2014 are strong and tracking ahead of 2013 in year-over-year comparison: 110,112 tons for 2014 versus 93,304 tons in 2013. One reason for this – other than Vietnam increasing its imports by more than 22,000 tons – is the addition of Myanmar (Burma) to the list of importing countries.

Vietnam: US Corn Quality Scores Points

Vietnam U.S. Corn Exports

In recent years, Vietnam has emerged as a consistent market for U.S. distiller's dried grains with solubles (DDGS), but corn exports have been constrained by regional competition from India and a $5 to 7 per ton shipping advantage for South America versus U.S. corn from the Gulf. A recent spike in U.S. corn exports, however, is providing an opportunity for the U.S. Grains Council to educate buyers about U.S. quality and reliability.

Living Water Integra Trade Increase Council Membership

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.

TPP Negotiations Will Extend into Next Year

No one said it would be easy.

Trade ministers from Trans Pacific Partnership (TPP) countries stated they made substantial progress following four days of meetings in Singapore this week but will not meet their goal of concluding the talks by the end of this year. While there is no announced date they will likely meet in January.

Representing the U.S. Grains Council in Singapore was Floyd Gaibler, the Council's director of trade policy and biotechnology. Gaibler noted that key agricultural issues are among the most important remaining unresolved items.

Pages

Subscribe to RSS - Southeast Asia