April 10, 2009

 

China grain demand expected to rise two percent in 2010

 
 

China's grain demand is expected to rise 1.9 percent over 2009 to 530 million tonnes in 2010, an analyst with a government think tank said Friday.

 

However, the growth is likely to slow down over the next decade, with demand likely to rise 3.8 percent in 2020 versus 2010, said Yang Weilu, deputy chief of the China National Grain and Oils Information Center, in a conference held by CNGOIC.

 

Domestic grain stocks are ample on continuing harvest and sluggish feedmeal and industrial demand, he said.

 

As a result, China will remain a net grain exporter in the coming years, with the total trade volume at low levels, Yang added.

 

China was a net exporter of 8.3 million tonnes of cereals in 2007, but was a net importer of 128,000 tonnes last year, according to Yang.

 

This year, lower global grain prices have led to net cereal imports in the first two months of 2009 reaching 217,000 tonnes.