United States: Market education leads to DDGS sales to Myanmar

Published 2022년 5월 9일

Tridge summary

The article highlights the investment of the Council in 2020 to boost the underdeveloped feed industry in Myanmar, a country with high potential in Southeast Asia. The focus was on increasing the understanding and use of U.S. distiller's dried grains (DDGS) in the local feed industry. The Council partnered with a major regional feed miller to improve the use of DDGS and faced challenges with software that undervalued the product. With the help of a Malaysian consultant, the software's energy equations were corrected, leading to a significant increase in DDGS usage. The investment of $1,040 from the Market Access Program (MAP) funds resulted in the purchase of 4,000 MT of U.S. DDGS worth $900,000, providing a return on investment of $865 per $1 of MAP funds.

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Original content

In 2020, Myanmar was listed by the Council as a new and emerging market with high potential in Southeast Asia. With a population of 53.6 million people, Myanmar’s underdeveloped feed industry was seen to have the same growth potential that Vietnam had 20 years earlier. However, the feed industry’s understanding of the economic and nutritional value of U.S. distiller’s dried grains was lacking. In fact, inclusion rates were disproportionately low, and the Council partnered with one of the largest regional feed millers with a presence in Myanmar to reverse this tide. Through a process of running formulations with local ingredients and imported ingredients, including DDGS, it became clear commonly-used formulation software was kicking out U.S.-produced DDGS. Further, energy equations assigned to U.S. origin DDGS were inappropriate due to unfamiliarity of DDGS by the software designers, who undervalued the product. The Council hired a consultant based out of Malaysia to help our ...

Source: US Grains Council