More DDGS from US to Southeast Asia

Despite the earlier export concerns for DDGS from the US, following an adverse trade policy decision by Vietnam, the US saw the DDGS exports to countries in Southeast Asia increasing. Vietnam, a historic top buyer, temporarily stopped buying DDGS in December 2016. Luckily, other countries in the region increased DDGS purchasing. At the same time, the Vietnamese market re-opened and the whole region set a new record at 2.3 million metric tons in DDGS imports in 2016/2017.

The Vietnamese government lifted its suspension of US DDGS imports in September 2017, following an intense effort by the Council, the US Department of Agriculture’s Animal and Plant Health Inspection Service (APHIS) and the Office of the US. Trade Representative (USTR). Thus far in the 2017/2018 marketing year (September-November 2017), Vietnam has purchased more than 213,000 tons of U.S. DDGS, a steady uptick in the market.

Elsewhere in the region, new buyers like New Zealand, Cambodia and Myanmar also made a big splash this past marketing year. Thailand was the 4^th largest buyer of US DDGS in 2016/2017, purchasing 791,000 tons. Already in the new marketing year, Thailand has purchased more than 206,000 tons, bolstered by the Council’s trade servicing and technical assistance to the country’s feed manufacturers for swine, broilers and layers sectors, among the largest in the world.

Source: US Grains Council