In China, government officials told Xinhua Net that China’s plan to increase the use of bioethanol gasoline will not have a significant impact on the grain market, and it would be unrealistic for the country to import large amounts of corn for the industry development.
“The government plan to increase ethanol fuel production was for consuming corn stocks,” Han Jun, director of the central agricultural work leading team office, told Xinhua Net at a press conference.
Years of support for corn farmers has left China with a substantial stockpile. In 2016, China’s corn output stood at around 220 million tonnes, while stocks amounted to 230 million tons. According to government estimates, China’s stockpile will suffice to meet demand in the short term, Han said, achieving a supply-demand balance in the corn market in three to five years.