China Corn Industry Analysis and Forecast Monthly Report

Focus
1. Analysis on Corn Market Condition and Its Industry Prosperity
1.1 Along with New-Crop Corn Availability on the Market, September Corn Prices Showed the Inversed-U Trend
1.2 Along with an Increase in Operating Rate Resulting from an End of Overhaul, Corn Starch Processing Margins Further Ascended
1.3 Corn Alcohol Companies’ Operating Rate Rose Greatly and Processing Margins Kept Improving
2. Analysis on Corn market
2.1 The Potential Demand Gap of Fuel Ethanol Would Have Reached 10 Million MT by 2020
2.2 The Potential Demand for Fuel Ethanol Would be Met Through Multiple Channels
2.3 The Operating Rate of Corn Further Processing Sector Would Ascend Rapidly
2.4 Should the Subsidies for Corn Further Processing Companies in 2017/18 Be Canceled?
2.5 After New Corn Availability on the Market, the Prices Won’t Go Down Greatly
2.6 The Role of Temporarily-Stored Corn Auction in Corn Supply is Weakening
2.7 Feed Mills’ Revenues in the First Half of 2017 Further Ascended, but Most of Them Saw a Drop in Profits
2.8 Environmental Inspections Would Promote the Integration and Upgrading of Feed Sector
3. Analysis on Corn Production
Along with an Increase in Yield in the Main Producing Areas, 2017 Corn Output was Expected to Reach 215 Million MT
4. Analysis on Corn, Processing Products & Substitutes Trade
4.1 Corn
4.2 Corn Processing Products
4.2.1 DDGS Import
4.2.2 Corn Starch Export
4.3 Corn Substitutes for Feed
4.3.1 Sorghum Imports
4.3.2 Barley Imports
5. Analysis on Farming and Demand for Feed Corn
5.1 September Hog, Layer and Broiler Farming Margins Totally Improved
5.2 Along with no Great Changes in Production Costs and a Slight Growth in Selling Prices, Gross Profits of Feed Ascended Slightly
6. Analysis on Corn Supply and Demand Balance
2017/18 Corn Supply and Demand Would Be Higher than the Last Forecast, Ending Stocks Would be 228 Million MT, and Stock/Use Rate Would be 99.9%
7. News
7.1 The First-Phase Project of Jinxinnong’s Hog Industrialization Project Located in Tieli, Yinchun, Heilongjiang Started Construction
7.2 Tech-Bank’s Hog Farming Project in Funan, Anhui Started Construction
7.3 Muyuan Group Would Set up 9 Subsidiaries in Henan, Shanxi, Liaoning, Shaanxi, Hebei, Jilin and Heilongjiang
7.4 Xiangyang CP Would Invest RMB 2 Billion in Expanding the Projects of 0.1-Million-Ton Cooked Processing and 0.36-Million-Ton Production Line
7.5 A Buying-Selling Agreement of 0.76 Million MT Were Reached at Inner Mongolia Grain Production-Selling Fair on September 6th
7.6 CP’s Project in Inner Mongolia was Granted the First One “Growing-Farming Combination Demonstration Base” in China by the Ministry of Agriculture
7.7 Dabeinong’s Hog Integration Project in Xinghe of Inner Mongolia with Investment of 1.2 Billion Started Construction
7.8 Dabeinong Acquired a 45.61% Stake in Rongchang Breeding with 280 Million RMB
7.9 Wens Signed a 0.6-Million-Ton Hog Integration Project with Linxi, Chifeng, Inner Mongolia
7.10 Xinguang’an Farming’s 0.3-Million-Head Hog Integration Project in Qiyang, Yongzhou, Hunan Province Started Constructing
7.11 Ningxia Jinyue Bioengineering Would Newly Build a 0.75-Million-Ton Corn Further Processing Project in Helan, Yinchuan, Ningxia
7.12 Haid Group Acquired a 60% Stake in Daxin Group with 299 Million RMB
7.13 Tongwei Group’s 50,000-Ton Polycrystalline Silicon Project in Baotou of Inner Mongolia Would Start Construction on September 30th
Attached Tables
Attached Table 1, China Corn Imports by Original Country, Aug., 2017
Attached Table 2, China Corn Imports by Enterprise, Aug., 2017
Attached Table 3, China DDGS Imports by Original Country, Aug., 2017
Attached Table 4, China DDGS Imports by Enterprise, Aug., 2017
Attached Table 5, China Sorghum Imports by Original Country, Aug., 2017
Attached Table 6, China Sorghum Imports by Enterprise, Aug., 2017
Attached Table 7, China Barley Imports by Original Country, Aug., 2017
Attached Table 8, China Barley Imports by Enterprise, Aug., 2017
Attached Table 9, China Corn Starch Exports by Country of Destination, Aug., 2017