CHINA’S agriculture ministry has launched a campaign to lower the content of corn and soymeal in animal feed, according to a document issued this week, which could have repercussions for the global grain trade.

The document, sent to animal feed producers and other government departments, outlines a plan for nutrition experts to draw up guidelines by the end of this month on ways corn and soymeal could be replaced by alternative grains, three industry sources with knowledge of the matter said.

The document comes amid a growing deficit of corn in China, which has pushed prices of the grain used largely in animal feed to record highs and triggered a surge in imports by the world’s second-largest consumer.

Customs data Thursday showed corn imports in the first two months of the year rose 400 percent to 4.8 million tons, while wheat and sorghum imports also surged.

U.S. corn purchases by China have continued as the U.S. Department of Agriculture (USDA) confirmed private sales over the past three days totaling nearly 3.1 million tons.

The move also comes after China stepped up its focus on food security as the COVID-19 pandemic raised concerns about its dependence on imports and stability of supplies.

Industry participants said it was not clear how much impact the guidelines would have, given that they are not expected to be binding. (SD-Agencies)