China's Sorghum Consumption and Inventory in April 2018, and Safety Index (ending stock/annual consumption)

By CnAgri2018-06-08 10:23:30 Print In April 2018, China’s output of Distilled Spirit of enterprises above designated scale was 786 million liters (converted to the production of brut liquor for 65°), a year-on-year decrease of 26.54% and a month-on-month decrease of 12.37%. The monthly grain consumption for Distilled Spirit production was 850,100 tons, which includes 170,000 tons of sorghum. In the same month, China imported 640,000 tons of sorghum, and 493,000 tons was used for manufacturing feed.
In April, the total consumption of sorghum was 691,000 tons, the month-end stock was  4.329 million tons, and the monthly Safety Index was 6.26% (monthly Safety Index = month-end inventory/monthly consumption).
In the crop year from August 2017 to July 2018, the domestic output of sorghum was 3.06 million tons, and the import volume is expected to reach 6.888 million tons, which remains high and is mainly used for feed consumption. Liquor manufacturing consumed 2.897 million tons of sorghum, which can be met by domestic production of sorghum. In the crop year, the expected consumption of sorghum is 8.435 million tons, the year-end inventory will be 4.776 million tons, and the security coefficient will reach 56.62%. The annual price of sorghum is predicted to reach RMB2,363 /ton, the import cost will be RMB1,889/ton, which is lower than the price of corn transported from Northeast China to the southern ports.
In April 2018, the consumption of sorghum was 691,000 tons, month-end inventory was 4.329 million tons, the ratio between month-end stock and monthly consumption was 6.26.
In 2018/19, it is expected that the output of sorghum will be 3.15 million tons, the total consumption will exceed 10 million tons for the first time, the ending inventory will be 5.75 million tons, and the Safety Index (ending stock/annual consumption)will be 55.21%.