Brazil and China have completed some key negotiations on starting Brazilian corn exports to China, according to a statement released May 23 by Brazil's Ministry of Agriculture, Livestock and Supply.
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However, there is no clarity on when China would allow imports of Brazilian corn into the country.
"The General Administration of Customs of China and the Brazilian Ministry of Agriculture signed the Protocol on Phytosanitary Requirements for exporting Brazilian corn to China (revised edition)," China's Ministry of Commerce said in a release.
"This protocol has been signed by the General Administration of Customs of China, but it has to be approved by China's Ministry of Agriculture. There are some intrinsic differences between the allowable GMO events into China and those that are present in Brazilian corn, so no imports can happen yet," a market source said.
China's import of feed grains, especially corn, has risen over the last two years as the planted area for corn has been largely flat while demand continues to rise.
China usually imports corn from the US and Ukraine.
Russia's invasion of Ukraine has severely curtailed Ukraine's grain exports and Brazil being one of the largest exporters of corn could fulfill China's requirement.
China imported 9.31 million mt of corn over January-April, up 8.5% year on year, according to customs data.
China imported 28.35 million mt of corn in 2021, up 152.2% year on year, customs data showed.