MARKET REPORT 64 FEED & ADDITIVE MAGAZINE February 2021 The type and amount of grains used in animal feed depends largely on the nutritional value and costs. Although the primary grain type preferred in different regions varies, corn is the most commonly used in feeds produced for many different animal species, especially the poultry group. Corn, which is an important energy source for animals, is also used in the food industry such as oil, starch, and flour, and by-products from these industries are also considered as important components for the feed industry. In the feed and livestock industry, the composition and properties of the coarse are as important as the price in the selection of the grain as a feed component. Increased raw material prices because of the problems caused by the Covid 19 pandemic in the supply process in 2020, export restrictions and due to some other factors had a significant impact on both livestock farmers and the feed industry. However, when we ignore such unpredictable factors, the main determining factor in grain prices is the amount of demand and production in the world. CURRENT PRODUCTION & CONSUMPTION DATA Production yield of the past years, predictions for the last season, and forecasts for the next season indicate that there will be a slight increase in world corn production, but this increase will not be sufficient. In its latest report published in January, the International Grain Council (IGC) stated that the world corn production, which was 1,129 million tons in the 2018/19 season, decreased slightly in the 2019/20 season, and was estimated to be 1,124 million tons. However, the increase expectation for the 2020/21 season still continues. The latest forecast made by the IGC is that the production will be 1,133 million tons in the current season. Likewise, the US Department of Agriculture (USDA) Foreign Agricultural Feed Raw Materials: CORN & 2021 EXPECTATIONS “Increased raw material prices because of the problems caused by the Covid 19 pandemic in the supply process in 2020, export restrictions and due to some other factors had a significant impact on both livestock farmers and the feed industry. However, when we ignore such unpredictable factors, the main determining factor in grain prices is the amount of demand and production in the world. Recent reports announced by international organizations show that, unfortunately, the supply-demand balance cannot be achieved in the next season, either.” By Bahadır Büyükkılıç
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