High commodity prices encourage purchases of DDGS in South Korea
South Korea is one of the best examples of how high commodity prices encourage the search for alternative feed ingredients, such as dried distillers grains with solubles (DDGS).
The columns in blue show total Korean imported corn feed use over the past decade, rising to 7 million metric tons (278.6 million bushels) in 2007/‘08 and declining to 6 million tons (236.2 million bushels) in 2011/‘12. But that decline in corn use is more than compensated for by increases in wheat feeding and DDGS imports.
In 2011/‘12 imports of corn, feed wheat and DDGS are projected to be 8.9 million tons. The U.S. share of Korea's corn imports is variable, but has risen over the decade from 12 percent in 2001 to 75 percent last year. Korea is one of the top export markets for U.S. DDGS, the fifth-largest market in 2010/’11.