July 15, 2012

China's overall 2012 corn crop show good condition

According to the UN's FAO, the 2012 corn sowings of China is in generally satisfactory condition nationwide, but below-average rainfall in some regions has brought stress and may negatively affect local output.

FAO said harvesting began this month in the south, while the crop is at an early- to middle-vegetative stage in the north, with interior parts of North China Plain and Yangtze Valley Plain being affected by poor rainfall since mid-May.

The FAO said latest forecasts put this year's corn production at a new record level of 197.5 million tonnes, some 3% above 2011's bumper harvest, with the expected increase predominantly attributed to an expansion in planted area.

Despite an improvement in production over the past few years, the FAO said China is expected to import about 11.6 million tonnes of cereal in 2012-13, slightly above last year's level. It said that corn imports are estimated at around six million tonnes, or one million tonnes more than in 2011-12, mainly due to China's growing demand for feed use.

Harvesting of China's winter wheat crop, which accounts for around 94% of total wheat production, was completed in June, with estimates being downwardly revised to 111.7 million tonnes from 114 million tonnes in May. The FAO said this reflects lower-than-anticipated yields following wet weather during the season which encouraged diseases.