Economics of the use of imported U.S. high oil corn in swine and poultry rations in Taiwan
2001
Yu, T.H. | Baumel, C.P. | McVey, M.J. | Sell, J.L.
High oil corn (HOC) is a genetically enhanced variety of corn that is gaining popularity as a commercial feed ingredient. HOC has an enlarged germ and contains higher levels of crude oil, protein, and amino acids than conventional corn. To capture the increased feed benefits of HOC, it must remain identity preserved. In addition to identity preservation costs, HOC typically has lower yields and higher seed costs. The purpose of this study is to examine the added value of two types of HOC in commercial poultry and swine rations in Taiwan. A linear programming model is used to estimate the value of the two HOC in least cost feed rations. Additional handling, transport, yield drag, and seed costs are subtracted from the estimated added values of HOC in the rations to estimate the profitability of importing HOC corn into Taiwan. The results suggest some alternatives for increasing U.S. exports of HOC.
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