Facing weather extremes in literally all regions plus dwindling supplies of feed grains, Europe is being forced to increase imports. As a result, Europe is turning to U.S. sorghum as a reliable feed source for their livestock sector. Just within the last three weeks, 25.4 million bushels (646,000 metric tons) of U.S. sorghum has been sold to Europe. The largest buyer is France.
“In Western Europe, farmers are encountering flooding and in the eastern areas they are being hit with extreme drought conditions,” says Chris Corry, U.S. Grains Council director of international operations. “This is coupled with the fact that Europe has depleted their interventions stocks, most of which was wheat and barley.” He added that Europe had minimal feed grains in storage due to a poor harvest last year.
“Since the first of the month, France has purchased an astounding 3.25 million bushels (82,500 tons) of sorghum,” said Corry, adding that Ireland, Italy, Netherlands and Spain were also purchasers. He said that USGC consultants will be in Europe assessing the market situation and the extent of the crop damages and identifying opportunities and constraints.
Early reports suggest France may need up to 1 million metric tons of corn and sorghum and is looking to source these grains from the United Stated, Brazil and Argentina.
Source: U.S. Grains Council