DDGS trade to Southeast Asia soars

Recent trade policy discussions between the US and Southeast Asian countries, such as the Philippines and Thailand, have resulted in soaring exports of DDGS ( Distillers' Dried Grains in Solubles) to these countries.

Such discussions have benefited US growers significantly, said Ken Hobbie, US Grains Council president (USGC) and chief executive officer in a statement released June 26.

US Agriculture Secretary Ed Schafer announced an agreement with the Philippines on June 24 designed to promote agricultural trade and investment between the two countries.

The Philippines imported 79,153 tonnes of DDGSin 2007, compared to 958 tonnes just three years ago, according to USDA data.

In the past three years, Indonesia increased US DDGS imports sixfold from 11,516 tonnes in 2004 to 68,918 tonnes in 2007.

Similarly, Thailand, who imported just 10 tonnes of DDGS in 2004, last year imported 59,346 tonnes.

Free trade talks between the United States and Thailand also are reportedly scheduled to resume soon, the USGC said.

"A free trade agreement with Thailand would be paramount for expanding US export opportunities in Southeast Asia," said Hobbie. "The council has and always will support actions taken to liberalize free and open trade."