July 14, 2011
China raised its output forecasts for key grain sectors Wednesday (Jul 13), increasing its outlook for corn production by 2.4% from last year to 181.5 million tonnes.
Even as harvest prospects improve, soaring feed demand and low stockpiles are combining to spur large increases in China's purchases of foreign corn ahead of the autumn harvest season.
China has bought 3.7 million tonnes of corn from the US so far this year, with sales for the full year likely to reach five million tonnes, an executive with a major state-owned grain trading company said Tuesday (Jul 12).
Wheat output will likely rise 1.4% to 116.79 million tonnes, the state-backed China National Grain and Oils Information Centre said in a report.
Most of China's wheat has already been harvested. The government this week reported a 2% increase in the winter wheat harvest, which accounts for 90% of the total, to 110.8 million tonnes.
Rice output is forecast to increase by a modest 0.9% to 197.6 million tonnes, while soy production is expected to decrease 7.9% to 14 million tonnes and rapeseed output is forecast to fall 2.2% to 12.8 million tonnes, the centre said.
In terms of acreage, corn planting rose 2% to 33 million hectares, the CNGOIC said, while wheat and paddy area were relatively constant.
Soy and rapeseed area declined by 7% and 2%, respectively compared with 2010.