Chinese demand for U.S. sorghum has increased to record levels, pushing prices higher and outbidding other crops for acres. The preference of using U.S. sorghum in animal feed in China stems from the desire for a product with no GMO issues and no tariffs like corn, and the fact that it’s cheaper than getting corn from North China. In addition, U.S. sorghum supplies are a key ingredient in a popular liquor consumed in China.
As U.S. farmers rush to add sorghum to their fields, they are also keeping a watchful eye on the possibility that the Chinese government may impose import quotas on sorghum, which could change the market overnight.
Lynda Kiernan is Editor with HighQuest Group Media and of the Oilseed & Grain News. If you would like to submit a contribution for consideration, please contact Ms. Kiernan at email@example.com.