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New Opportunity for US Feed in Viet Nam

by 5m Editor
24 August 2009, at 9:25am

US - Transportation is a key factor when it comes to US agricultural exports and now Vietnam has been afforded expanded access through a new shipping line.

Hanjin Shipping, South Korea’s largest shipping company, has announced the launch of a new direct service between Viet Nam and the United States this month. According to a Hanjin news release, the new service will improve transit time and provide higher quality service with easier access to its customers in Viet Nam.

As a country experiencing rapid growth and development, this new shipping route is welcomed by the Vietnamese and Americans alike. The opening of this line makes Hanjin the third major container line to offer this service to Viet Nam.

US Grains Council Regional Director in Southeast Asia Adel Yusupov said, “The launch of this line is certainly a favorable development for US exporters of distiller’s dried grains with solubles (DDGS), corn and corn gluten meal into the market.” The availability of direct service from the United States to Viet Nam will offer better risk management solutions for both US exporters and Vietnamese buyers.

The government of Viet Nam’s policies have created a favorable environment for the country’s commercial livestock sector, encouraging expansion of commercial livestock production. According to Mr Yusupov, 2009 projected feed grains demand is approximately 12 million metric tons.

“We estimate demand will reach 20 million tons by 2015, given the current rate of livestock and feed industry growth,” said Mr Yusupov. In this time of robust growth in the feedmilling industry, backed by escalating feed grains demand, the Council is optimistic this new shipping line will easily lend itself to increases in US feed grains exports to Viet Nam.

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