Wheat bran, sharps and residues market in China

Earlier Report Observations

In 2018, the wheat bran market in China was regulated by the State Grain and Reserves Administration, with a gradually forming competitive landscape. In 2019, market volume declined to 22 141 thousand tons due to low profitability in the livestock sector, which reduced demand for bran as feed material. The COVID-19 pandemic in 2020 reduced flour production, cutting domestic bran supply, but market volume grew to 22 300 thousand tons thanks to a significant increase in imports, which compensated for the shortfall.

Growth continued in 2021, reaching 22 556 thousand tons, facilitated by capacity expansion and increased wheat imports that kept prices in check. In 2022, market volume rose to 22 999 thousand tons, largely driven by imports, which reached 840 thousand tons, as global supply chain issues and low mill utilization stimulated inbound shipments. By 2023, the market reached 23 989 thousand tons, with wheat imports hitting a 20-year high and the grain supply contract with Russia having a psychological impact, sustaining bran inflows despite weak flour demand and falling prices.

Production wheat bran, sharps and residues in China

In kind, 2017-2020, K t

From 2017 to 2020, China maintained its position as the world's leading producer of wheat bran, sharps, and residues.

Top producers of wheat bran, sharps and residues, 2017-2020

World map of production of wheat bran, sharps and residues, 2017-2020

In 2020, China produced 21 940 K t of wheat bran, sharps, and residues, showing minimal change from 2019. Production peaked in 2018 at 22 160 K t, with the largest decline of 1.0% occurring in 2019 and the largest increase of 1.0% in 2018.

Annual dynamics of production in China in kind, 2017-2020, K t

In value, 2017-2020, M $ US

China's production of wheat bran, sharps, and residues declined for the second year in a row. In 2020, the output was valued at 5 544 M $ US, remaining nearly unchanged from 2019. Between 2017 and 2020, production fell by 9.2%, averaging an annual decrease of 3.1%. The highest value was recorded in 2018 at 7 076 M $ US, with the largest decline of 21.3% in 2019 and the largest increase of 15.9% in 2018.

Annual dynamics of production in China in value, 2017-2020, M $ US

Exports wheat bran, sharps and residues from China

Exports in kind, K t

Following a two-year decline, China's exports of wheat bran, sharps, and residues rebounded in 2020, reaching 1.3 K t—a 17.9% increase from 2019. Over the 2017-2020 period, exports grew by 5.6%, with a compound annual growth rate of 1.8%. The lowest volume was recorded in 2019 at 1.1 K t, which also saw the largest decline of 10.3%.

Annual dynamics of product's exports from China in kind, 2017-2020, K t

From 2017 to 2020, Hong Kong was the primary market for China's wheat bran, sharps, and residues exports, accounting for 88.6% of total exports in volume, while other destinations made up a smaller share.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from China in kind, 2017-2020

Exports in value, K $ US

In 2020, China exported 322 K $ US worth of wheat bran, sharps, and residues, marking a significant 17.4% rise from 2019. However, between 2017 and 2020, exports decreased by 4%, averaging an annual decline of 1.4%. The lowest value was recorded in 2019 at 274 K $ US, with the largest drop of 28.7% that year, while the highest value was in 2018 at 385 K $ US.

Annual dynamics of product's exports from China in value, 2017-2020, K $ US

During 2017-2020, Hong Kong was the key buyer of wheat bran, sharps, and residues from China, representing 85.2% of total export value, with a diverse group of other countries accounting for the rest.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from China in value, 2017-2020

Imports wheat bran, sharps and residues to China

Imports in kind, K t

The market showed an unstable trend over this period. Imports reached their lowest point in 2017 and peaked in 2020, with a 3.7-fold difference between these years. In 2020, China imported 360.4 K t of wheat bran, sharps, and residues, a 79.0% increase from the previous year. The largest decline of 4.8% occurred in 2019, while the largest increase of 114.3% was in 2018.

Annual dynamics of product's imports to China in kind, 2017-2020, K t

From 2017 to 2020, Kazakhstan (36.4% of imports in volume), Indonesia (35.3%), and Singapore (12.6%) remained the main suppliers of wheat bran, sharps, and residues to China, together constituting 84.4% of total imports in volume.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to China in kind, 2017-2020

Imports in value, K $ US

The market exhibited volatility during these years. Imports hit their lowest in 2017 and highest in 2020, with a 4.3-fold difference. In 2020, China imported wheat bran, sharps, and residues valued at 322 K $ US, a 108.9% increase year-over-year. The largest decline of 16.4% was in 2019, while the largest increase of 144.9% occurred in 2018.

Annual dynamics of product's imports to China in value, 2017-2020, K $ US

Between 2017 and 2020, Indonesia (44.9% of imports in value), Kazakhstan (28.2%), and Singapore (13.5%) continued to be the principal suppliers of wheat bran, sharps, and residues to China, jointly accounting for 86.7% of total imports in value.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to China in value, 2017-2020