February 25, 2016

South Korea saves cost on corn by selling rice for animal feed

South Korea will release old stocks of brown rice harvested in 2012, for sales as animal feed to the country's livestock, The Korea Times reported.

The decision is purposed to shave swelling supplies and cut expenses in managing stockpiles as well as saving the cost of importing corn, according to the agriculture ministry.

The cost of managing stockpiles ran to about KRW1.4 billion (US$1.1 million) per 10,000 kilogrammes. South Korea's rice stockpile had reached 1.9 million tonnes at the end of last year due to declining demand and consumption.

The Ministry of Agriculture, Food and Rural Affairs will begin offering 99,000 tonnes of brown rice to local distributors in February, at a price of KRW200 (US$0.16) per kilogramme.

5% of brown rice will then be mixed into corn-based forages for pigs, cows and chickens.