China is accelerating its millet imports from Argentina. Buyers diversify their grain imports because they are in a clinch with their largest suppliers, Australia and the United States.
At the beginning of July, two deliveries of millet from South America arrived in China's ports. This is 80,000 tons and then 110,000 tons of millet have already been delivered from there. In 2019, that was the total amount from Argentina.
Should this develop into a trend, it could gain market importance. China had drastically increased import duties on Australian barley, millet (sorghum) can replace barley in feed mixes.
Political tensions between the United States and China could also call into question the Phase 1 deal, in which China had committed to buying large quantities of agricultural commodities from the United States. These include sorghum and soybeans. Traders therefore reasonably order their imports from other countries so that they do not unexpectedly experience problems importing Australian agricultural commodities or raw materials from the United States.
China's US millet imports in the first four months of this year were 783,393 tons, or 95%.
Source
Hansa Terminhandel GmbH
