Brazil sorghum exports to China seen gaining momentum in second half

Brazil’s sorghum exports are likely to remain limited in the first half of the year due to tight supply, as exporters compete with feed and grain ethanol producers for the cereal, despite China recently opening its market to Brazilian shipments, a Chinese trading executive told Reuters.

However, trading company Hang Tung — one of the world’s largest sorghum traders, handling between 2.5 million and 3 million metric tons annually from multiple origins — expects stronger business involving Brazilian sorghum in the second half of the year, when the domestic harvest arrives and Chinese demand may increase.

“It’s currently the off-season, so I think export volumes will be limited,” said Gabriel Cordeiro, Hang Tung’s managing director in Brazil. He added that activity could pick up later in the year as the harvest progresses.

The most favorable export window is expected to begin “from July onward,” he said, noting that sorghum in Brazil is primarily grown as a second crop.

Brazil is not traditionally a major sorghum exporter, but the market has growth potential after China — the world’s largest importer — authorized ten Brazilian companies to export the grain in November last year.

China’s approvals came amid trade tensions with the United States in 2025, when Beijing sought alternative suppliers to its long-standing main source, the U.S., before the two countries reached a temporary truce.

“Brazil has interest in producing sorghum, but production lacked liquidity. With China entering the market, buying between 6 million and 9 million tons per year depending on the season, liquidity conditions improve for producers,” Cordeiro said, without specifying how much Hang Tung might source in Brazil.

Brazil is expected to harvest 6.7 million tons of sorghum in the 2025/26 season, nearly 10% more than the previous crop, according to the National Supply Company (Conab). The volume is more than triple the harvest recorded five years ago.

Cordeiro said the sector has also received a boost from grain-based ethanol producers, which purchase sorghum as a feedstock for biofuel production. As output expands, China may play a larger role in Brazil’s sorghum market, similar to its influence in soybeans and corn.

“On our side, we are very optimistic about both the future of sorghum production in Brazil and Chinese demand,” he said.

In January, Brazil shipped its first sorghum cargo to China since 2014, though the shipment totaled only about 25 tons — roughly a single container — according to Brazilian government data.

A market source previously said the deal was likely carried out by a small importer or by a buyer seeking to test the Brazilian product.

A larger cargo of 32,000 tons is expected to be shipped to Morocco in early March, according to maritime agency Cargonave and confirmed by exporter Agribrasil.

Including that shipment, Brazil’s sorghum exports will likely already surpass last year’s total of just 105 tons, according to government figures.

Industry participants still expect a stronger export pace once China begins sourcing larger volumes from Brazil.

Although ten Brazilian companies were authorized to export sorghum to China last year, Cordeiro said some procedural clarifications and additional approvals are still needed before shipments accelerate.

“There are more companies waiting for authorization, and that is one of the issues being discussed to increase trade flows,” he said.

Source: Forbes Brasil

Sharing is caring!