China's Agriculture Minister said the world's second-largest corn consumer will gradually boost imports to meet growing demand, reflecting the challenge China faces in trying to achieve self-sufficiency in food output. Rising dependence from China on corn imports would bring about a long-term change in global trade in the grain and support international prices. 

 

Chinese buying has already had a big impact on the cost of corn. When the country bought a record volume in 2011/2012 it helped drive benchmark Chicago corn prices to $8 a bushel - more than double the average of the past decade. Any change of self-sufficiency policy for corn could herald long-term growth in imports in line with soyabeans, where the policy has been dropped. China's soyabean imports have surged over the past decade to a forecast 69 million tonnes in 2013/14, and account for over 60 percent of the global sea-borne market.

 

"The growing consumption of meat, eggs and dairy has boosted demand for the feed grain the expansion of the corn processing industry also needs more corn." Han's comments contrast with those in a strongly worded commentary last year, in which he said China should remain self-sufficient in corn and the grain should not follow the path of soyabeans.