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China Limits Corn Imports As Domestic Production Accelerates

Published 06/14/2024, 06:16 AM
Updated 06/14/2024, 10:30 AM
© Reuters.  China Limits Corn Imports As Domestic Production Accelerates
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yolowire.com - China’s government is limiting imports of Corn in the nation of 1.4 billion people as domestic production of the agriculture staple accelerates.

At the International Grains Conference, Li Shengjun, director of China's national grain and oils information center, said the Chinese government’s aim is to eliminate reliance on corn imports.

“Looking forward to the next ten years, China's maize production and consumption will maintain a rapid growth, with gross rate of production exceeding the gross rate of consumption,” said Shengjun in prepared remarks.

The U.S. Department of Agriculture forecasts China's corn production this year at 292 million metric tons, up 1.1% from 2023. Domestic demand is expected to be 313 million metric tons, up 2% year-over-year.

However, China’s corn production is forecast to exceed domestic demand within 10 years.

Shengjun said that the government expects domestic corn supply and demand to “reach a balance” in coming years, eliminating the need for imports of the vegetable.

China’s government places high importance on food security, said Shengjun at the conference.

A reduction of corn imports into China could impact the price of the commodity as China is the world's largest importer of corn at 23 million metric tons per year.

About 70% of China’s corn imports come from Brazil, according to government data.

The price of corn has declined 14% over the last 12 months to $472.75 U.S. per metric ton.

This content was originally published on Yolowire.com

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