Over the past several weeks, we have seen a shift in the global market to alternative grain usage to combat high prices, especially in the feed grain market.
The most talked about has been elevated use of wheat as a feed grain. Not only is wheat more abundant in the global market, but it also has a higher protein content than corn and can also displace some meal usage as well.
This is especially the case in the Asian market, with an emphasis on China.
When it comes to alternative grain usage, we are also seeing elevated interest in soy meal displacement. This isn't just due to price, but from simple necessity.
There are concerns over the volume of soybeans that will be available for crush later in the marketing year, and this is generating more demand for products such as distiller grains (DDGs). This is especially the case with more DDGs becoming available with ethanol production starting to rebound.
The demand for alternative feed grains is expected to increase over the next several weeks and likely last through the end...