Ethanol Blog

This week, staff and consultants from the U.S. Grains council are meeting in southern Mexico as part of an effort to increase promotion of dried distillers grains with solubles, according to an article on the Council's website (http://bit.ly/…).

The Council's team is meeting with grain importers and livestock producers to promote DDGS in southern Mexican markets. Mexico is the second-largest importer of U.S.-produced DDGS, purchasing 1.5 million metric tons in 2012. However, the Council assessed the Mexican market in 2012 and found that southern Mexico was an underserved area. The Council estimates that southern Mexico has the potential to utilize more than 1 million tons of DDGS per year with demand from its 4 million-plus head of beef cattle.

Alvaro Cordero, USGC manager of global trade, said, "The Council is using its role as a catalyst to bring several key players in the region together and unite them in developing this feed market and expanding DDGS sales to this region."

The Council is currently developing a two-to-three-year marketing program to develop this market. The Council will ask its Mexican partners to join them in their effort, which could result in new business opportunities for the U.S. DDGS and Mexican feed and livestock industries.

Cheryl Anderson can be reached at Cheryl.anderson@telventdtn.com.

© Copyright 2013 DTN/The Progressive Farmer. All rights reserved.