Taiwan agrees to purchase U.S. corn, co-products in $1.23 billion deal

A Taiwanese delegation signed a letter of intent this week with the U.S. Grains Council (USGC) to purchase 197 million bushels of U.S. corn and 500,000 tons of U.S. corn co-products valued at $1.23 billion by 2017 as part of the Taiwanese Agricultural Goodwill Mission.

During the 2014-2015 marketing year, Taiwan was the sixth-largest market for U.S. corn, third-largest market for U.S. barley and a top buyer of U.S. distiller’s dried grains with solubles (DDGS), a co-product of ethanol production that is a high-protein feed ingredient for livestock.

While in Washington, members of the delegation also met with the U.S. Wheat Associates, the U.S. Soybean Export Council, the North American Export Grain Association, and the National Grain and Feed Association, as well as with U.S. government officials. The delegates also signed letters of intent to purchase U.S. wheat, soybeans and co-products with U.S. Wheat Associates and the U.S. Soybean Export Council.

The biennial mission, which has been organized by Taiwan’s Ministry of Foreign Affairs (MOFA) since 1998, allows Taiwanese participants to gain familiarity with U.S. coarse grains’ yield, production and quality. It also educates the delegation on the advantages of U.S. coarse grains and related co-products, and re-confirms the United States’ commitment to being the long-term, reliable supplier of grains for the Taiwanese market.