More corn planted as prices increase
China’s expanding feed production continues to take more grain supplies, according to Bingzhou Cheng, director general at state-owned grain reserves corporation Sinograin. On the basis of grain use forecasts, China expects at least another 3.75 percent increase in the volume of feed produced in 2012.
In remarks to a global conference organized by the International Grains Council, Cheng presented figures indicating that feed manufacturing in China utilized 200 million metric tons of grains in 2011, compared with 270 million tons for food. The forecast usage for feeds in 2012 is expected to rise to 207.5 million tons. More of the corn needed will be produced domestically in 2012, said Cheng. The escalation in corn prices on China’s internal market to their highest level in history has persuaded growers to plant an additional 2 percent of land for the crop in 2012, taking the total area to 33.75 million hectares.