In only their third year, the U.S. Grains Council's dual corn quality reports -- the first measuring quality at harvest; the second, at export -- have become key reference points for foreign buyers and end-users in key markets around the world. This week, Alvaro Cordero, USGC manager of global trade, shared the Export Cargo Quality Report with appreciative audiences in Japan and Taiwan.
Questioning was vigorous, as buyers acknowledged the generally satisfactory quality of the U.S. crop but honed in on differences between the 2012 and 2013 crops, as well as qualitative changes due to handling since harvest.
Clover Chang, the Council's director in Taiwan, reported that "... customers asked questions especially about ... broken corn and foreign materials (BCFM), low percentage of protein, inspection systems using cusum (cumulative sum) vs. average, and the quality difference between containerized and bulk shipments." Buyers also noted a lower protein content than in competitor corn from Argentina and South Africa, as well as higher than expected levels of dust and BCFM. While generally satisfied with the current U.S. crop, buyers were anxious to let U.S. producers know that even small quality differentials can drive evaluations and sales abroad.
Buyers in Japan similarly noted higher BCFM, as well as a higher moisture content attributable to a much wetter U.S. season. Some also expressed concern about blackened corn in a few shipments, although fortunately there was no higher incidence of aflatoxin detected in connection with the blackening. The Council's country director in Japan, Tommy Hamamoto, noted that the dust and BCFM findings were generally "...consistent with the understanding of the customers that corn quality changes during transport and elevation." Buyers expressed appreciation for the transparency of the report's methodology and its consistency over time: "Such data accumulation raises the credibility of the reports," said Hamamoto, as stakeholders expressed the hope that the Council will continue to provide such data in the future.
The Council's twin quality reports provide a service unmatched by any competitor country, and the information is clearly valuable to buyers. To view the current report, see: 2013/2014Corn Export Cargo Quality Report.