On 13 May, China signed protocols with Brazil to allow imports of distillers dried grains (DDGS) — a co-product of ethanol production widely used in animal feed, particularly for pigs, cattle, and poultry. However, this move is unlikely to significantly impact China’s corn import demand in the short term, said James He, a broker at Atria Brokers based in China. He noted that pending regulatory steps and limited near-term trade volumes remain key barriers to immediate market impact.

“There are still technical issues to address, like GMO safety certificates and facility approvals — and most expect this will take at least several more months,” He told ASAP Agri. “For instance, China approved sorghum imports from Brazil months ago, but the list of approved plants or facilities has yet to be released.”

Although symbolically important, the market opening is unlikely to result in significant volumes of Brazilian corn or DDGS entering China in the near term. He pointed to structural limitations and uncompetitive pricing as the main obstacles.

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