Tag Archives: US Grains Council

Growing demand for meat – including chicken, pork and beef – in Cambodia has spurred a commensurate increase in imports of U.S. distiller’s dried grains with solubles (DDGS), corn gluten feed and meal and the first major U.S. corn purchase in recent history.

That explosive growth led Manuel Sanchez, USGC regional director for Southeast Asia, and his team to attend the country’s prominent international feed and livestock industry show, Agri Cambodia 2018, in Phnom Penh, Cambodia, this fall. It was the largest gathering of farmers, millers, feed producers, veterinarians, processors and integrators to date in the nation.

“Cambodia’s feed and livestock production industries have witnessed significant growth over the past few years,” Sanchez said. “Major international producers have increased their investments in the number of feed mills in the country. The first aquaculture feed mill facility is set to finish construction in early 2019, and feed production is growing at an average rate of 15 percent per year.”

Dedication to small yet important markets like Cambodia is needed to satisfy growing demand for feed grain and build market share for the U.S. producers and exporters.

“Cambodia is taking the lead as one of the fastest growing economies in Asia,” Sanchez said. “Consumer demand for meat protein translates to U.S. market share for coarse grains and co-products. But we have to maintain a presence in the market to capture the potential.”

While in the country, USGC staff members also met with two of the country’s largest feed producers, making inroads with the primary organizations responsible for animal feed nutrition for the Cambodian swine, laying duck and quail, broiler, layer and aquaculture industries.

Cambodia bought 2,446 metric tons (96,300 bushels) in 2017/2018. The country made its first-ever U.S. DDGS purchase of 858 tons in 2010, with imports growing to 63,000 tons in 2017/2018. The country’s imports of corn gluten feed and meal have increased from 499 metric tons in 2016/2017 to 918 metric tons in 2017/2018.

“The Council has a goal to support Cambodia’s growing livestock industry in 2019, providing all the information and resources to position our coarse grains and co-products as vital components of the country’s raw materials needs,” Sanchez said. “By engaging with domestic veterinarians and feed formulations professionals there, we should be able to provide technical support and increase usage of U.S. DDGS in local feed rations for all feed sectors.”

On average, Cambodia’s meat consumption per person, per year stands at 16.13 kg, relatively low compared to neighboring countries like Malaysia, where consumption is 52.3 kg per person, per year, or the United States, where it’s 98.3 kg per person, per year.

The country’s demand for animal proteins is projected to increase 14.6 percent by 2020, according to a report by the Ministry of Agriculture, Forestry and Fisheries. Cambodia also estimates its number of tourists will exceed 6 million in 2018, contributing to increased demand for milk and eggs.

The ethanol industry applauds the release of the Province of Ontario’s Environment Plan, which includes a fuel requirement for conventional gasoline to be blended with 15 percent ethanol that could go in effect as early as 2025. Following this announcement, Growth Energy, U.S. Grains Council, and Renewable Fuels Association (RFA) issued the following statement:

“As one of the largest markets for ethanol, this is a huge milestone for Canada and the people of Ontario. Ontario recognizes the important environmental, economic, and health benefits that ethanol provides and we look forward to seeing this plan become a reality by 2025.”

Last year, Growth Energy and the U.S. Grains Council submitted comments to Canada’s Ministry of the Environment and Climate Change, urging them to look beyond E10 at higher blends like E15, and welcomed the commitment from the Ontario Province to move from a 5 percent blend to a 10 percent ethanol fuel blend by 2020.