US Grains Council releases corn harvest quality report

In December 2015, the U.S. Grains Council released its fifth annual Corn Harvest Quality Report. This report showed that 94 percent of U.S. corn samples were rated at U.S. grade No. 2 or better. The high quality was largely the result of a favorable corn growing season with earlier-than-normal planting; a cool, wet summer; and a warm, dry fall. The report showed that the 2015 U.S. corn crop entered the market channels with the following key characteristics:

Grade factors and moisture

• Average test weight of 58.2 pounds per bushel (74.9 kilograms per hectoliter), with 94.2 percent within the range for U.S. No. 1 grade corn. This test weight indicates good kernel filling and maturation.
• Low levels of broken corn and foreign material, with 98 percent within the range for U.S. No. 2 grade, indicating little cleaning will be required.
• Low levels of total damage, with 96.1 percent within the range for U.S. No. 2 grade.
• No observed heat damage.
• Average elevator moisture of 15.7 percent, which will decrease the potential for stress cracking.

Chemical composition

• Average protein concentration of 8.2 percent (dry basis).
• High average starch concentration of 73.6 percent (dry basis), indicating good growing conditions and excellent kernel filling and maturation, which will be beneficial for wet millers.
• Average oil concentration of 3.8 percent (dry basis).

Physical factors

• Extremely low percentage of stress cracks and low stress crack index, which is likely due to excellent field dry-down conditions at harvest with little artificial drying.
• High average kernel volume of 0.27 cubic centimeters.
• 100-kernel weight average of 34.34 grams, signifying larger kernels than in previous years.
• Lower than average kernel true density of 1.254 grams per cubic centimeter, indicating softer kernels compared to 2014 and the four-year average.
• Whole kernel percentage, on average, of 94.9 percent, which indicates corn should have fewer broken kernels and more resistance to molds than in previous years.
• Average percentage of horneous (hard) endosperm of 79 percent.

Mycotoxins

• One hundred percent of the samples tested below the U.S. Food & Drug Administration (FDA) action level for aflatoxins.
• One hundred percent of the samples tested below the FDA advisory level for deoxynivalenol (DON).

2015-16 corn crop production

The U.S. Department of Agriculture’s (USDA’s) World Agricultural Supply and Demand Estimate (WASDE) report released in November 2015 estimates U.S. corn production at 346.8 million metric tons (13.654 billion bushels) in 2015-16, a 4 percent decrease in production from the record 2014-15 crop year. The United States is the top exporter of corn, responsible for an estimated 38 percent of global corn exports during the 2015-16 marketing year.

US Grains Council releases sorghum harvest quality report

In November 2015, the U.S. Grains Council (USGC) released its first Sorghum Early Harvest Quality Report. This report showed that 92 percent of U.S. sorghum samples are rated at quality grade No. 2 or better.
This report is based on 50 commodity grain sorghum samples taken from defined areas within five of the top sorghum-producing and exporting states, including Arkansas, Louisiana, Mississippi, Tennessee and Texas. Inbound samples were collected from local grain elevators to observe quality at the point of origin and to provide representative information about the variability of quality characteristics across the crop production area.
The sorghum samples were tested at the department of soil and crop sciences at Texas A&M University in College Station, Texas, in accordance with the United States Department of Agriculture’s (USDA) Federal Grain Inspection Service’s (FGIS) Grain Inspection Handbook.
Though the harvest quality report is valuable information to customers, sorghum quality will be affected by further handling. In January 2016, the USGC will publish a second report, the Sorghum Harvest and Export Cargo Quality Report, to assess the quality of U.S. sorghum during the final half of the 2015 sorghum harvest season and the quality of U.S. sorghum as it is assembled for export.
The two reports are intended to provide reliable, timely and transparent information on the quality of U.S. sorghum as it moves through export channels. They will also use consistent methodology to permit the assessment of trends over time.
Setting the stage for the entire 2015 U.S. sorghum crop, the report showed that early harvest sorghum entered marketing channels with the following key characteristics:

Grade factors and moisture

• Average test weight of 57.9 pounds per bushel (74.5 kilograms per hectoliter), with 94 percent within the range for U.S. No. 2 grade sorghum.
• Low levels of broken kernels and foreign materials (average of 1.4 percent), with 92 percent within the range for U.S. No. 1 grade.
• Average foreign material of 0.5 percent, well within the range for U.S. No. 1 grade, indicating little cleaning will be required.
• Low levels of total damage (average of 0.2 percent), with 96 percent within the range for U.S. No. 1 grade.
• No observed heat damage.
• Average elevator moisture of 14.5 percent, near optimum for harvest moisture.

Chemical composition

• Average protein concentration of 10.4 percent on a dry basis.
• Average starch concentration of 73.3 percent on a dry basis.
• Average oil concentration of 4.3 percent on a dry basis.
• No detected levels of tannins.

Physical factors

• Average kernel diameter of 2.54 millimeters and average kernel volume of 19.22 cubic millimeters, typical values for any sorghum samples.
• A 1,000-kernel weight average of 25.97 grams.
• Average kernel true density of 1.350 grams per cubic centimeter.
• Average kernel hardness index of 68.5.

2015-16 sorghum crop production

The U.S. Department of Agriculture’s (USDA’s) World Agricultural Supply and Demand Estimate (WASDE) report released in November 2015 estimates U.S. sorghum production at 15.083 million metric tons (594 million bushels) in 2015-16, a 37 percent increase in production over the 2014-15 crop year. The United States is the top exporter of grain sorghum, accounting for almost 75 percent of the global trade.

US Grains Council launches new version of website

The U.S. Grains Council launched an enhanced version of www.grains.org. The website presents the latest news and data involving the United States and the global grain trade as well as updates about the Council’s programs and activities.
“We’re excited to unveil the new and improved USGC website,” said Julius Schaaf, USGC chairman and Iowa corn producer. “The Membership and Communications Advisory Team has done a great job of assessing members’ needs and the new site will be a cutting-edge resource for top-flight information, trends and statistics.”
New and updated features include:


• Responsive, dynamic sizing that will allow for uninterrupted viewing on smartphones, tablets and large projector screens.
• An improved member search feature for the Council’s online membership directory.
• A sophisticated search function that will allow readers to easily find the news they care about whether it be related to country, topic or commodity, etc.
• A new format for the weekly Market Perspectives, using a table of contents feature so users can click on a link and be brought to the correct section quickly.

US Grains Council offers online annual report

The U.S. Grains Council has created an online version of its annual report, which includes retrospective stories from 2011, video highlights and market profiles from more than 25 countries and regions. An exclusive feature of the online report provides access to downloadable spreadsheets containing supply/demand data for the countries and regions that are provided on individual market profile pages. The pages also display market growth potential and highlights from Council programs in each country. “The U.S. Grains Council gathers and produces so much information on an annual basis, we felt an online annual report would be a great way to organize and share more information with more people,” said Rex Martin of Syngenta, leader of the Council’s Membership and Communications Advisory Team. “While a considerably smaller, printed annual report will still be available, members and others interested in Council activities will find the online report a valuable, ongoing resource.” The printed publication will be mailed to Council members, and a downloadable form of the printed publication is available on the report's website, www.usgcAnnualReport.org. 

Tunisia poultry production slows due to decreased demand, increased feed prices

Tunisia’s poultry production has slowed due to lower consumer demand and increased feed prices, according to Cary Sifferath, U.S. Grains Council regional director based in the North African country.
The cutback will reduce the national demand for feed grains in 2011 after 2010 saw record corn imports and the first major importation of distillers dried grains.
This follows the social unrest and riots in Tunisia this year, in which rising food costs and unemployment were a major factor. The riots can be expected to have a major impact on Tunisia’s tourism industry and therefore for the national economy, said Sifferath. Tourism has represented 8% to 10% of Tunisia’s gross domestic product and was a major source of hard currency. “The effects on feed grains demand across North Africa is not known yet," said Sifferath. "However, Tunisia’s demand will be set back in 2011.” 

China's anti-dumping case against US DDGS imports could be disruptive to trade

The U.S. Grains Council has released a statement in reposnse to China's anti-dumping case against U.S. DDGS imports, calling the investigation "surprising" and one that "could be disruptive to trade."
"China’s unusual market and supply volatility over the last two years has resulted in new global trade flows," said Grains Council President and CEO Thomas C. Dorr. "As trade flows change, it should perhaps not be surprising there would be an adjustment period in response to unprecedented demand. The United States takes pride in being a reliable supplier of high-quality feed and food grains and its ability to rapidly respond to global market demands." Dorr said the Council looks forward to maintaining its good relationship with China and hopes for a positive resolution to the investigation.

Early planting season leads to early corn harvest

Compared to just 16% at the same time last year and a 39% five-year average for this time of year, 68% of the 2010 U.S. corn crop has already been harvested, according to U.S. Department of Agriculture reports.
Many states are well above the national percentage; Illinois has harvested 93% of its corn compared to just 10% in October 2009. Iowa has harvested 66% compared to 9% in 2009 and Minnesota is at 47% instead of the 3% at this time last year. "We were able to complete our harvest sooner due to a much earlier planting season and a rapid maturation of the crop caused by a very warm summer and fall," said Illinois farmer Ron Gray, who is also the corn sector director for the U.S. Grains Council (USGC).
In addition to an early yield, the quality appears excellent, according to farmers. "The last two years' quality was down some and that shouldn't be an issue with this year's crop," said Iowa farmer and USGC Secretary Julius Schaaf. Plans are already being made for next season's harvest. "This fall is proving to be ideal to prepare for the 2011 crop year," said Schaaf.

Mexican feed company assesses a DDGS increase

A workshop with a group funded by the U.S. Grains Council discussed boosting usage of DDGS (dried distillers grains with solubles) in Mexico, particularly at a commercial feed plant of integrated poultry group Bachoco located in Minatitlan, which currently consumes 24,000 tons per year. Patricia Esqueda, the council's technical director in Mexico and Central America, said that Bachoco has specific clients who want to customize their ruminant feed with Bachoco if it is willing to increase DDGS levels in its commercial diets.
Although the Minatitlan plant has received expert help in previous years to improve pellet quality, the increase in inclusion levels of DDGS may oblige Bachoco to convince its customers to use meal instead of pellets. Information provided to participants during the workshop indicated that this change would not affect animal performance and would simplify operations for Bachoco, especially if it planned to increase DDGS levels in its commercial diets.
Bachoco's use of grain for feed production is around 1.5–1.8 million tons, but Bachoco is looking to increase its imports of DDGS to provide part of that requirement. In Mexico, Bachoco produces 3 million metric tons of feeds annually, according to the U.S. Grains Council. Its 19 plants located throughout Mexico include three that are for commercial feed production. Approximately 80% of the feed tonnage is used for poultry, but the company also makes diets for pigs, ruminants, rabbits and horses and sells pet, tilapia and bird feed.

US Grains Council meets with USDA

Representatives of the U.S. Grains Council met with USDA Under Secretary Jim Miller earlier this week in Geneva, Switzerland, for insight into the World Trade Organization’s Ministerial Conference taking place there and to learn about progress being made in the Doha Round of WTO negotiations.
According to a press release from the council, Miller said that Ministerial Conference was not a negotiating session, but that the Doha Round is moving toward a close and his primary concern is that the United States gets adequate market access from advanced developing nations.
In a press release, USGC president and CEO Thomas C. Dorr said his organization “supports the United States’ position consistently stating that we want the following: market access; more clarity on the modality texts; and to know what products will be designated as special or requiring special safeguards in the designated tariff lines.”
He added that the council “will continue to follow these negotiations closely as they directly affect the economic standing of the United States as well as the U.S. farmer."

Moroccan poultry industry expanding

Morocco’s market for chicken is growing steadily, reports the U.S. Grains Council Corn Mission team. On a Dec. 4 visit to a Moroccan poultry farm, the team spoke with farmer Ahmed Addioui and USGC Consultant Abdellah Ait Boulahsen about changes in the country’s poultry industry, including new vaccination and labor standards.
Morocco’s per capita chicken consumption has grown from 7 kilograms in 1990 to 15.5 kilograms in 2008. According to Addioui and Boulahsen, all of the chicken is produced domestically, but 90% of feed is imported. The feed is about 60% corn.