Targeted DDGS promotion efforts drive sales In Mexico

Published Jun 9, 2022

Tridge summary

The U.S. Grains Council has successfully identified a potential market for distiller’s dried grains with solubles (DDGS) in western Mexico, targeting members of the Sonora Pork Producers Union and the Sonora Poultry Association, which could utilize up to 90,000 metric tons (MT) of DDGS, valued at $30 million. However, logistical issues and a lack of technical knowledge posed challenges. To overcome these hurdles, the Council invested in stinger equipment to facilitate DDGS unloading and hosted informative seminars, highlighting the economic benefits of DDGS in animal feed. Though COVID-19 temporarily slowed down sales, the project has already seen a return on investment of $62 for every $1 of funding from the Market Access Program (MAP). This initiative marks a significant step towards establishing a robust market for U.S. DDGS in the region.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The U.S. Grains Council has taken a targeted marketing approach to distiller’s dried grains with solubles (DDGS) promotion in one region in western Mexico, recognizing that members of the Sonora Pork Producers Union and the Sonora Poultry Association could represent a market for 90,000 metric tons (MT) of DDGS, valued at $30 million. The Council identified two constraints to the Sonora associations’ use of DDGS. The first was a logistical problem associated with the inability to unload rail cars of U.S. DDGS at their facility. The second was the lack of technical knowledge on the use of DDGS in poultry and swine rations. To address the first constraint, the Council and the Missouri Corn Growers Association used member funds, totaling $250,000, to purchase and install stinger equipment that would make for the quick and efficient discharge of DDGS from unit train (110 car) shipments. The Sonora Pork Producers Association saw the immediate value of the equipment and purchased a ...

Source: US Grains Council