September 28, 2010

China's deep-processing corn demand grows in H1

China's consumption of grain in corn deep processing increased 13% in the first half of the year as compared with the same period last year, according to the China National Grain and Oils Information Centre (CNGOIC).

Meanwhile, the output of the corn deep processing industry has climbed by 15% on-year, the CNGOIC said.

The output of cornstarch surged in H1, driven by increasing sugar prices and significant increase in starch sugar. Production of edible alcohol continued to rise thanks to robust demand. The trend is expected to continue in H2, the CNGOIC said.

It estimated 45 million tonnes of grain would be used in corn deep processing in 2009-2010, up 6.7 million tonnes or 17.5% from 2008-2009.

The amount of grain used for corn deep processing in 2010-2011 was predicted to reach 49 million tonnes, an increase of 4 million tonnes or 8.9% on-year.