Miller Magazine Issue: 121 January 2020

CHINA 83 MILLER / JANUARY 2020 and high-protein flours for pastries, bread, and pizza. Wheat millers are managing the uncertainty related to China’s trade policies by buying greater volumes from Black Sea and Central Asian origins. RICE Rice is a major food source for China. It is the world's largest rice producer rice. 2019/20 season rough rice production is forecast at 207.1 MMT. And 2019/20 rice consumption is forecast at 145 MMT. In recent years, China’s policy-makers have openly dis- cussed how to facilitate expanded processing of rice into industrial ethanol and fuel ethanol production. In South China, less than 5 MMT of outdated, non-ed- ible rice is processed as a lower-priced substitute for imported cassava for industrial and fuel ethanol production. MY2019/20 rice imports are forecast at 5 MMT, up 500,000 tons from USDA’s MY2018/19 forecast on low international prices. Chinese rice is generally uncompetitive in the global market because of high prices. However, China has started to develop export markets in Africa, Latin America, and North America, including Puerto Rico. CORN Along with wheat and rice, corn is one of the three principle crops in China. It is the second-largest global producer of corn. China produced 257 million tonnes of corn in 2018, comprising 7.8 percent of gross domestic product. MY2019/20 corn produc- tion is forecast at 255 MMT, down 2 MMT from last season as soybean area expands. 2019/20 season corn consumption is forecast at a record high 282 MMT, on expanded corn processing more than off- setting lower feed use. And 2019/20 corn imports are forecast at 5 MMT.