Key facts
- India is expected to import around 5 million metric tons of Dried Distillers’ Grains with Solubles (DDGS) from the United States.
- DDGS are a by-product of biofuel production and are used as animal feed.
- India requires approximately 110 million metric tons of feed for its milk production but currently meets only about 50% of this demand domestically.
- The inclusion of DDGS is viewed as an important addition to the domestic cattle feed industry.
- Experts caution that importing DDGS could depress domestic prices of feed and fodder crops such as maize, sorghum, and soya.
India is poised to import approximately 5 million metric tons of Dried Distillers’ Grains with Solubles (DDGS) from the United States as part of a bilateral trade deal, aiming to bolster its animal feed supply. DDGS, a byproduct of biofuel production, are recognized for their utility in aquaculture and dairy feed.
The U.S. Grains Council has been actively engaging with Indian producers, highlighting the benefits of DDGS inclusion in aquaculture, a sector where Asia Pacific leads global feed production. India's dairy industry faces a significant feed deficit, currently meeting only about half of its 110 million metric ton annual requirement.
Industry estimates suggest that improved feeding practices, including the use of DDGS, could substantially increase India's contribution to global milk production. The Indian Dairy Association is also promoting advanced breeding techniques like in vitro fertilisation to enhance cattle productivity. However, concerns have been raised by experts regarding the potential impact of DDGS imports on domestic prices of feed crops such as maize, sorghum, and soya.