China Disputes Contention They Will Need to Import Corn For Biofuel Push

The plan unveiled by China to boost the use of ethanol in gasoline will not impact grain markets, according to a Xinhua news report. Some have signaled the Chinese effort to have ethanol fuel go nationwide by 2020 will necessitate potentially large imports of corn to meet the needs.However, Han Jun, director of the central agricultural work leading team office, told a press conference it would be "unrealistic" to import large amounts of corn. "The government plan to increase ethanol fuel production is for consuming corn stocks," Han said. Government estimates are that current China corn supplies will meet needs in the short-term and a supply/demand balance in the corn market would be seen in three to five years.