Thailand’s feed wheat imports to slow down due to government restrictions

27.01.2017

Thailand’s corn production in marketing year 2016/2017 is likely to increase to 5.2 mmt, up 11% from the previous year, according to the USDA's GAIN report. Farm-gate price of corn is hovering around USD 0.17 per kg currently. This is a 24% reduction compared to the same period last year in part due to competition from other feed ingredients. Feed wheat imports have been acting as a substitute for domestic corn in compound feed for poultry due to its relatively cheaper price.

The downward pressure on domestic corn prices has led the government to impose import restrictions on feed wheat and to pursue more stringent import measures on alternative feed ingredients. In the first five months of marketing year 2016/2017, wheat imports totalled 2.3 mmt, but feed wheat imports are likely to slow down in the second half in response to new government restrictions.


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