Fargo, ND, USA. – Enthusiasm for corn is running high at Northern Crops Institute (NCI) this week, despite the gloomy weather. A seventeen-member Corn Market Education Team from China is in the region to learn more about risk management in U.S. corn purchases. The Advanced Grain Procurement Strategies short course runs from June 13-17 at NCI.

U.S. Grains Council (USGC) sponsors the Chinese commercial feed mill managers. During their two-week stay in the United States, they are learning how to use commodity futures for their risk management needs as well as exploring the U.S. grain marketing system first hand. Sam Niu Yi-Shan, Assistant Director of the USGC's China office, escorts the group.

NCI Director Patricia Berglund explains, “Through this course, we want to strengthen understanding of what we grow on the northern plains, particularly the high quality corn. We want the feed industry in China to be ready and able to buy from the U.S. when their market opens up.”

“The Council feels that China's feed grain demand will increase much faster than their production,” said Dr. Todd Meyer, U.S. Grains Council's Senior Director in China, during a meeting with the Illinois Corn Marketing Board last week. “China's declining corn stocks, the increased utilization of corn in its domestic livestock industry and the development of the country's industrial corn processing industry leads us to believe that China will eventually become a net importer of corn,” he concluded.

John Crabtree, NCI Assistant Director, says the weeklong course is designed to educate potential corn importers about the U.S. grain handling system . Course topics include basis analysis, hedging, current grain situation and outlook, commercial standards and inspection procedures, trading strategies, options, Value-at-Risk (VaR), corn purchasing strategies, forecasting models, logistics management and transportation trends.

Special features during the course include computer exercises, trading games, and tours of Alton Grain Terminal, a shuttle train facility near Hillsboro, N.D., and the Land O'Lakes Feed Mill, Detroit Lakes, Minn.

Course speakers include: Dr. William Wilson, NDSU; Mike Krueger, The Money Farm; Ed Stallman, GIPSA/USDA, Grand Forks, N.D.; Keith Finney, Alton Grain Terminal; Dr. David Bullock, Minnesota Department of Agriculture; Troy Lust, F. C. Stone; Tamara VanWechel , Upper Great Plains Transportation Institute; and Bruce Moe, Land O'Lakes Feed Mills.

Northern Crops Institute supports regional agriculture and value-added processing by conducting educational and technical programs that expand and maintain domestic and international markets for northern-grown crops.

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