August 30, 2010

China's 2010 corn output may hit 168m tonnes

China's total corn output this year is expected to rise 2.5% to 168 million tonnes, an increase of 4.03 million tonnes from 2009, according to a forecast by the China National Grains and Oils Information Centre (CNGOIC) on Friday (Aug 27).

The country's corn imports in 2009-2010 are predicted to reach one million tonnes, an increase of 950,000 tonnes on-year.

Corn supply will exceed demand, the CNGOIC said. The country is estimated to consume 155.13 million tonnes of corn in 2009-2010, up 8.73 million tonnes from the previous crop year. It may have 9.84 million tonnes of surplus, compared with 19.56 million tonnes during the previous crop year.

In 2010-2011, China's corn imports may come to 600,000 tonnes, down 400,000 tonnes on-year, due to improved domestic supply.

Corn consumption in 2010-2011 is estimated at 160.44 million tonnes, up 5.31 million tonnes. Corn surpluses will come to 8.16 million tonnes.

Corn acreage has grown as higher prices prompted farmers to switch out of soy this year, said research group China Grains Network. Area planted with corn in the three major northeastern grain-producing provinces rose 4.1% this year to 11.8 million hectares. Nationwide, corn area grew 2.2% to 31.4 million hectares.