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Indonesian corn imports are expected to rise to as much as 700,000 tonnes this year, or a 75 percent jump, as local corn production is set to be lower due to dry weather, the head of the cattle feed industry association said on Friday.
"The cattle feed industry estimates that corn imports for the industry's consumption may increase by 100,000 to 300,000 tonnes in 2010 from 400,000 tonnes in 2009," the head of the association, F.X. Sudirman, said. The State Statistic Bureau has forecast Indonesia's corn output will rise to 18.12 million tonnes this year, from 17.592 million tonnes last year.
The Meteorological and Geophysics Agency said in its latest forecast that Indonesia would still suffer from the effect of El Nino this year but it would be milder than in 2009. Indonesia's feedmillers are expected to produce 9.2 million tonnes of animal feed this year, compared with 8.6 million tonnes in 2009 on rising demand from tge poultry industry, Sudirman said.

Copyright Reuters, 2010

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