A U.S. Grains Council shipment of 44 metric tons of distiller's dried grains with solubles to Algeria in January represents the first imports of U.S. DDGS by the country.
The DDGS will be used in feeding trials scheduled to begin in February or March.
The recipient of the DDGS, ECI Boudiab, is the largest feed grain importing company in Algeria.
For over a year, the Council has been in discussions with ECI Boudiab regarding the set up of DDGS feeding trials in Algeria.
“Government officials are unfamiliar with corn co-products such as DDGS or corn gluten feed,” said Kurt Shultz, USGC director of Mediterranean and Africa.
“Currently the import duty on corn is 2.5 percent while the duty on DDGS is 30 percent.
“The Council will also use these trials to educate end users about DDGS and its use in poultry and ruminant feeds and work with the government to reduce the duty and open the doors for future imports,” he said.
The Council projects that Algeria could easily import 100 to 200 tons of DDGS annually, once the industry becomes comfortable with the product. The Council's strategy in the North African region is to promote co-products such as DDGS and corn gluten feed in addition to U.S. sorghum and corn.
Shultz said that once importers become familiar with multiple feed ingredients in their rations, U.S. exporters will benefit because the United States is the only country exporting multiple products such as corn, DDGS and sorghum in one vessel.
Currently Algeria imports 2.2 million to 2.4 million tons (86.6 million to 94.2 million bushels) of corn annually with a U.S. market share of 50 percent to 60 percent.