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MCGA president participates in Morocco grain export mission

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In January, Minnesota Corn Growers Association President Dana Allen-Tully participated in a Minnesota Department of Agriculture (MDA) led trade mission that touted Minnesota grains to Moroccan feed mills. Joining Allen-Tully on the mission was MDA Commissioner Thom Petersen, Deputy Commissioner Andrea Vaubel, and International Trade Manager Jeff Phillips; University of Minnesota Extension Dean Bev Durgan; Duluth Seaway Port Authority Director of Trade and Business Development Kate Ferguson; and leaders from Minnesota Soybean and Minnesota Wheat.

The group visited feed mills and met with U.S. Agricultural Attache Benjamin Rau and Moroccan Agriculture Minister Mohamed Sadiki, who is one of hundreds of Moroccan agriculture professionals with an advanced degree from the University of Minnesota.

Morocco represents an opportunity for grain farmers in Minnesota and the U.S., given that the country has a free trade agreement with the U.S. and a growing feed market.

For corn specifically, the country each year imports over 2 million metric tons—equivalent to about 80 million bushels—but most of it comes from South America. That’s largely because South American corn is less expensive than U.S. corn, Allen-Tully said.

Morocco also imports more than 200,000 tons of dried distillers grains with solubles each year, mostly from the U.S.

Allen-Tully said she talked with Moroccan grain buyers about the quality of U.S. corn and how Minnesota Corn is working to increase the sustainability of corn production. She also noted a recent U.S. Grains Council study that found that U.S. corn performs better than South American corn varieties as a poultry feed source. (Poultry is the primary livestock in Morocco.)

The group also broached with Moroccan grain buyers the idea of sourcing grain from the Duluth port, which could increase basis levels for Minnesota farmers. Sourcing corn from Duluth could alleviate concerns among Moroccan buyers about mycotoxins since the toxic compounds are less prevalent in colder climates, Allen-Tully said.

Ships that dock in Duluth must be small enough to navigate the Great Lakes and St. Lawrence Seaway. Ships loaded at oceanside ports can be bigger and therefore too large to fit on Morocco’s waterways, so the grain must be reloaded onto smaller ships, adding time and expense.

As a bonus, there is potential for ships unloading in Morocco to reload their hulls with phosphate fertilizers before heading back to Duluth. (Morocco is a leading phosphate producer.)

The Moroccan buyers “were very receptive to the conversation as a whole,” Allen-Tully said. “I think a couple of the mills we met with were interested in paying a little more for quality instead of [their focus] just being price. They’re not going to pay a huge premium, but there may be an opportunity to have more conversations.”

Petersen said increasing Minnesota’s grain trade with Morocco could lead to additional opportunities for growers, since Morocco is an entry point into other north African and southern European markets. He noted that a lot of the mills the group visited conduct business with other African and European countries.

Petersen also said Allen-Tully’s background in animal nutrition—she has a doctorate in ruminant nutrition—made her an important part of the group, and he thanked Minnesota’s corn growers for supporting MDA’s trade-development efforts.

Learn more about MDA’s efforts to develop international markets here.

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