During a recent buyer workshop tour through China, U.S. Grain Council (USGC) consultant, Ross Korves, said it became more apparent that market intelligence will take on a great importance as China's corn buying needs rise.
Korves says at a time when expectations are for China's corn buying needs to rise dramatically over the next several years, the lack of consistent market data on China's production capabilities remains an ongoing challenge in obtaining more precise estimates of China's future demand schedule. "The wide range of import projections, given previously, only confirms that market intelligence is nontransparent, even among domestic producers. Moreover, the market information that does exist is not publicly shared," he says.
"As China continues to emerge as a major buyer, market intelligence takes on real importance. The immediate question is how this information need will be reconciled," says Korves.
Juli says: Getting more accurate and timely information from China seems like a daunting task, but we agree with Korves that it would be beneficial for all in the "price discovery" process.