The Renewable Fuels Association is concerned that China may curb purchases of U.S. Dried Distillers Grains. RFA Senior Vice President Geoff Cooper says China is an important market for U.S. dried distillers grains and any backing off of those purchases will hurt U.S producers.
He says that comes at a time when ethanol product exports such as DDG’s are even more important as the EPA has already backed off volume levels under the Renewable Fuel Standard.
Cooper says the U.S. will need to seek alternative markets for DDGs and will work with Vietnam, Thailand, and South Korea as well as with Canada and Mexico. He says DDG’s make up a huge part of the feed market.
Chinese corn and corn substitute imports are projected to drop 50 percent this year.
