The Chinese government says it plans to increase production of biodegradable plastics produced from corn over the next three years and increase the amount of corn feed it USES. It is the latest move by the government to absorb excess domestic supply.  

In its five-year plan from 2015 to 2020, the state administration of grain pointed out that the government would support PolyLactide, a biological substance that USES corn and sugar beets as raw materials to make plastic bags and tableware.  

The state administration of grain also reiterated its plan to increase corn ethanol production by 2020.  

The state administration of grain documents reveal the government's concerns and concerns about the huge stockpile of aging corn. The problem of excess supply of corn was serious and the task of digesting corn stocks was difficult, the document said.  

China has for years implemented temporary storage projects to buy corn at high prices from farmers, leading to a huge state corn stockpile. In early 2016, the government cancelled the corn temporary storage project and began to sell the old corn stocks. Some analysts estimate that state-owned corn stocks remain above 200 million tons, most of which are of poor quality. If corn stocks are not suitable for human consumption, processors must find other USES.  

Note: one us dollar equals 6.9511 RMB

Article source: Beijing derunin