December 3, 2007

EU approves more imports of corn, sorghum

The European Union's grain management committee has granted for additional import licences for 380,000 tonnes of corn this week, bringing the total of authorised corn imports to 6.8 million tonnes as against the 1.9 million tonnes last season. 

Demand for corn from markets such as Brazil has soared in recent months as animal feed makers have scrambled for alternatives to wheat and domestic cereals in the face of record high prices fuelled in part by unfavourable weather conditions.

On the other hand, weekly imports of sorghum hit 158,000 tonnes, taking the total volume permitted since July 1 to 2.11 million tonnes compared with 242,000 tonnes by late November 2006.

Animal feed makers have turned heavily to sorghum as a substitution for more expensive cereals.