China reduced ethanol growth means increased distiller’s grain imports

Country's plan to slow production of grain-based ethanol will result in smaller supplies of dried distiller's grain, says U.S. Grains Council

China’s five-year plan to reduce its domestic production of grain-based ethanol will result in tighter supplies of dried distiller’s grain for animal feed and an increased demand for imports of the byproduct through 2016, according to the U.S. Grains Council.

Imports of dried distiller’s grains from the U.S. to China may rise to 6 million metric tons in the next four years, almost double the 3.1 million metric tons imported in the 2009-2010 marketing year. Imported U.S. feed will make up 42 percent of China’s consumption, according to Shanghai JC Intelligence Co.