International officials explore DDGS industry

by World Grain Staff
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MANHATTAN, KANSAS, U.S. — Delivering accurate, firsthand information about the U.S. Dried Distiller Grains (DDGS) industry was the goal for instructors at the Kansas State University (KSU) International Grains Program (IGP) on July 7 and 8. For two days, IGP hosted a team of seven Chinese regulatory officials. These participants represented the Ministry of Agriculture and the China Feed Industry Association.

As part of a program to better inform key Chinese regulatory officials about the U.S. ethanol industry and DDGS, the U.S. Grains Council (USGC) brought this team of officials to the U.S. IGP was one of four places the team visited.

“Last year, China ranked number one among foreign buyers of U.S. DDGS,” said Jay O’Neil, senior agriculture economist at IGP. “However, this year has shown a substantial reduction in Chinese DDGS imports due to an anti-dumping complaint filed against the U.S. by the Chinese government. This has caused great concern among Chinese feed grain buyers and U.S. sellers and resulted in a reduction of business. “

With the expert assistance of industry professionals from the Renewable Fuels Association (RFA), ProExporter and the National Grain and Feed Association (NGFA), IGP staff conducted the workshop on topics that included an overview of the U.S. ethanol industry, U.S regulatory issues, DDGS marketing and DDGS supply and demand.

Alvaro Cordero, U.S. Grains Council’s manager of international operations, said that the team was pleased with the level of transparency and quality of information presented by DDGS industry personnel.

“We incorporated a stop to IGP because the programs are always diverse and high quality,” said Cordero.

“It is the hope of all U.S. DDGS industry producers and marketers that the Chinese government will understand the competitive nature of the U.S. DDGS markets and that they will not impose harsh duties on imports or take any actions that would restrict free trade between our two countries,” said O’Neil. “An active, open and healthy DDGS trade is in the best interest of our ethanol industry and Chinese feed producers and users.”

This workshop is just one example of the many partnership trainings offered through IGP. In addition, IGP offers standard short courses in grain marketing and risk management, flour milling, and grain processing, and feed manufacturing and grain marketing. For more information about IGP, visit www.grains.k-state.edu/igp.
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