November 28, 2007

China faces large grain deficit for 2007
 

China's National Grain and Oil Trade Center reports a significant grain deficit for 2007 caused by rising population and strong demand.

The Trade Center estimates 2007 grain production at 501.5 million tonnes against demand of 527.5 million tonnes, a shortage of 26 million tonnes.

The deficit is primarily due to soy deficit of 31 million tonnes and a half-million-tonne rice deficit.

Corn had a 3.1-million-tonne surplus while wheat could have 6 million tonnes excess.

In US Department of Agriculture update on November 9, Chinese corn production was estimated at 145 million tonnes, soy at 14.3 million tonnes, rice at 129.50 million and wheat at 106 million.

As of 2006, China produced 490 million tonnes of grains and oilseeds, while consumption was at 505 million to 510 million tonnes.