China launches campaign to cut maize, soymeal content in animal feed and promote greater use of rice and wheat

China's agriculture ministry has launched a campaign to lower the content of maize and soymeal in animal feed, which could have repercussions for the global grain trade.

The document, sent to animal feed producers and other government departments, outlines a plan for nutrition experts to draw up guidelines on ways in which maize and soymeal could be replaced by alternative grains, three industry sources with knowledge of the matter told Reuters.

The document comes amid a growing deficit of maize in China, which has pushed prices of the grain used largely in animal feed to record highs and triggered a surge in imports by the world's second largest consumer. It also comes after Beijing stepped up its focus on food security as the COVID-19 pandemic raised concerns about its dependence on imports and stability of supplies.

Chinese feed mills have already stepped up use of maize alternatives since last year when prices surged.

Source: FAO report, Nasdaq.com