USDA, Foreign Agricultural Service,update

The following Global Agricultural Information Network (GAIN) reports were released on Thursday, September 3, 2020. 

European Union: EU Eliminates Grain Import Duties

The European Commission (EC) eliminated EU import duties for corn, sorghum and rye on August 27, 2020, only four months after re-introducing duties for the first time since March 2018. The reintroduction of duties in April 2020 were allegedly triggered by the decline in U.S. corn prices after the COVID-19 crisis significantly reduced the demand for U.S. bio-ethanol production.

Japan: Japan 235th Food Safety Group

Japan’s Ministry of Health, Labour and Welfare (MHLW) announced revisions to Japan’s maximum residue levels for Oxazosulfyl, Cartap, Thiocyclam, Bensultap, Fenhexamid, Prohydrojasmon, Flometoquin, and Tildipirosin for various agricultural commodities. MHLW also proposes to designate Dipotassium L-tartrate, Metatartaric acid, and Calcium carbonate as approved food additives for grape wine. Interested U.S. parties are encouraged to submit their comments to PlantDivision@usda.gov by September 10, 2020. Japan will subsequently notify these proposed revisions to the World Trade Organization, which will provide another opportunity to comment.

Japan: Japan Publishes English Translation of the Enforcement Notice for the Positive List System for Food Packaging and Container Substances

Japan’s Ministry of Health, Labour and Welfare (MHLW) updated its English language website with more information about Japan’s new positive list system for food packaging materials. Japan implemented the positive list system on June 1, 2020 with a five-year transition period. Interested parties are encouraged to consult the MHLW website for further information on the positive list system.

Mexico: Cotton and Products Update

The Mexican cotton sector is facing a myriad of challenges, resulting in significant impacts to production in marketing year 2020/21, while COVID-19 demand reductions and supply chain impacts in the textile industry are likely to continue through 2021. Seeds shortages due to lack of genetically engineered (GE) seed approvals persist, and a glyphosate import ban is likely to affect pest protection in the near future, as existing stocks are dwindling down. Additionally, electricity cuts are affecting irrigation machinery and access to water for producers in Chihuahua State, the country’s largest producer. Reductions in production are likely to be fully recovered by domestic supply stocks, as lowered global and domestic textile demand has relieved pressure for imports. 

Netherlands: Dutch Mink Industry to Close in 2021 Due to Coronavirus

The government has elected to put an end to Dutch mink farming three years ahead of schedule due to the recent coronavirus (COVID-19) outbreaks on the country's mink farms. More than one-third of all Dutch mink farms have been infected by COVID-19, to date. The 'fur period' starts in November and once all minks have been stripped of their fur, the breeders will not longer be permitted to place new animals in their cages (effectively shuttering the industry by the end of March 2021). In the meantime, additional control measures have been imposed on the industry, and a mandatory buyout scheme will be established to buyout the industry before it was scheduled to close in 2024.

Thailand: Grain and Feed Update

MY2020/21 rice production is revised down to 18.6 million metric tons due to limited water supplies. Rice exports in 2020 are expected to decline 14 percent due to tight domestic supplies. MY2020/21 corn and feed wheat imports are expected to decline due to a recovery in MY2020/21 corn production. Also, milling wheat imports are expected to decline significantly in MY2020/21 due to economic recession from COVID-19 outbreak.

Turkey: Poultry and Products Annual

Despite the rapidly growing demand for chicken meat in Turkey, in 2021, chicken meat production is expected to increase only 5 percent compared to 2020, less than industry expectations. Production remains lower than demand due to unstable exchange rates in 2020. In 2019, Turkey produced 2.13 MMT of chicken meat and 59,000 MT of turkey meat, totaling 2.19 million metric tons of poultry meat. Feed costs account for 70 percent of the total expenditure in poultry operations. In 2019, 10 million MT of poultry feed was used for poultry production. The main inputs for feed production are corn and soy. In 2020, chicken meat exports are estimated 456,607 MT which is 12 percent higher than the previous year. In 2019, exports reached 407,685 MT and were valued at $540 million.