World feed manufacturers are projected to use more grain in harvest year 2010/11 as global economic expansion resumes and encourages more meat consumption, which in turn promotes extra demand for animal feeds.

The projection is contained in the latest market report from the International Grains Council (IGC), which says that 481 million metric tons of maize (corn) is likely to be used in feeds worldwide compared with 476 million tons in 2009/10.


The feed sector’s demand for all grains is increasing, it comments, but large availabilities of distillers dried grains and high-protein oilseed meals could restrain maize incorporations. Although industrial uses of maize are expected to increase by 8 million metric tons over this season to 214 million tons, this would be the smallest rate of growth in 10 years -- reflecting the slowing expansion of the U.S. ethanol industry.

The report suggests that an expansion of the feed market will also help global wheat consumption in 2010/11 to reach a total of 654 million metric tons, about 9 million tons more than in 2009/10. However, this is 2 million tons down from earlier IGC forecasts, because of larger supplies of competing feeds. World production of maize in 2010 is forecast at a record 809 million metric tons, some 6 million tons more than in 2009, while the projection for this year’s wheat output is a reduction of 17 million tons to 658 million tons.