China to Import Sorghum from Argentina

Published Date : Oct 28, 2014

According to latest reports, sometime soon this year, China will open its markets to sorghum from Argentina. This step will create competition for the US market which until now was a significant exporter of sorghum to China. The demand for sorghum from China is mainly driven by the market for distilled alcohol.

Animal feed producers in China have turned to sorghum as an inexpensive alternative, since corn is highly priced in China. Furthermore, demand for sorghum in China is also driven by greater restrictions on imported corn that is genetically modified. 

Due to Beijing’s minimum price policy, the prices of imported sorghum and corn are lesser than domestic corn. The minimum price policy primarily aims at encouraging corn plantation.

Bilateral protocols will be signed by the agriculture minister of Argentina which will pave the path for China to import sorghum from Argentina. The Argentine agriculture minister will be visiting Beijing in November. 

The largest importer of sorghum in the world today is China. After China, the second largest sorghum importer of the world is Japan. Last year, China had imported about 4.3 million tons of sorghum from Argentina. The sorghum imported by China began soaring from the years 2012 and 2013. 

The global sorghum market is led by the US in terms of exports, production, and shipping. About 5 million tons of sorghum was shipped by the US this year. The fifth largest producer of sorghum in the world is Argentina; however in terms of exports, Argentina ranks second. Australia ranks third.