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Monday, February 29, 2016

China Demand for Animal Products Expected to Rise

A U.S. Grains Council official told the USDA Agriculture Outlook Forum last week China’s demand for animal products will continue to rise in the coming years. Bryan Lohmar, director of U.S. Grains Council programs in China, said that will drive demand for feed grains including from imports. Lohmar spoke as part of a panel examining China’s economic situation and its impact on agricultural markets. Using estimates based on food consumption from other, higher-income Asian populations, he suggested actual pork consumption could rise to about 40 kilograms per person per year, dairy consumption could triple and poultry meat consumption could double, with eggs and beef also increasing. Regardless of whether increased demand for animal products in China is fulfilled domestically or through imports, it will mean increased overall world demand for feed grains. Lohmar said “when demand for animal products exceeds domestic supply, China will import either finished agricultural products or feed grains - either way, global demand for grains will rise.”