China: Grain and Feed Annual

Persistent dry weather and lingering uncertainty about prices at harvest are likely to delay planting of the MY2019/20 corn crop for the second consecutive year in North East China and the North China Plain. China has employed various trade measures against the United States, Canada and Australia, driving processing and input costs for grain end-users higher. China’s total corn demand in MY2019/20 is forecast to reach a new record as processors continue to binge on state-owned inventories. However, capacity expansion has quickly outpaced demand for processed corn products. African Swine Fever’s impacts on China’s feed sector are forecast to stabilize in late 2019, weakening feed demand in MY2018/19 and recovering in MY2019/20. Wheat production is nearly unchanged compared to last year and stocks are forecast higher in MY2019/20 due to weak demand.   

China: Grain and Feed Annual