USGC Promotes DDGS Use to Colombia02 September 2011
COLOMBIA - Earlier last month, the US Grains Council conducted a series of workshops in Colombia to promote US distiller’s dried grains with solubles (DDGS) use to the poultry and swine sectors in the country.
In four days, the Council delegation visited four different cities to meet with importers, feed millers and livestock producers to promote the potential benefits of using DDGS. Participants included Dr Phillip Smith, a poultry nutritionist with Tyson Food Inc., Gregorio Lanz, a swine nutritionist with Gowans Feed Consulting and Jose Artigas, director of business development for Poet Nutrition.
Colombia is the largest co-products market in South America, importing 140,000 metric tons in 2010 (74,000 tons of DDGS and 68,500 tons of corn gluten). According to USGC Regional Director in Latin America Kurt Shutlz, however, the market potential for DDGS could be as high as 750,000 tons.
"Several key developments must occur in order to reach this potential," said Mr Shultz. "First, approval and implementation of the US-Colombia Free Trade Agreement will remove 10 per cent duty on US DDGS. Secondly, the availability of DDGS in the Colombian market must be increased, which will require more USGC member involvement in exporting to Colombia. Finally, the Council must work diligently to make Colombian nutritionists comfortable in using DDGS at high-inclusion rates."
Council analysis of DDGS in the Colombian market shows the potential of significant prices savings by aggressively formulating with DDGS.
"Now the Council needs to educate Colombian end-users so they can capitalize on these savings," he said.