West German use of tapioca is likely to decline further despite favourable prices and import licences for only 420000 tonnes have been registered since the start of the current agricultural year compared with 640000 tonnes during August/April the previous year trade sources said. The 12 European Community (EC) countries have licensed a total of 4.22 mln tonnes while at the same year-earlier period the EC contracted for 3.17 mln tonnes they said. The Netherlands is registering an increase in licences to around 2.9 mln tonnes up 400000 tonnes from last year they said. Total EC tapioca imports during the current agricultural year are expected to stagnate at last years level of around 6.0 mln tonnes the sources said. They reported a rise in consumption and in import licences for France Spain and Belgium but said the West German compound feed industry was increasingly using grain in feed mixtures. Sellers quoted tapioca for nearby delivery at around 27 marks per 100 kilos against 37 marks in March and 34 marks in April last year. Feed barley was quoted at about 42 marks per 100 kilos resulting in higher West German feed stuff prices but demand was seen as slack. The sources said the West German feed industry was trying to help cut the grain surplus through increased use of grain in feed mixtures. Other EC member countries are likely to take advantage of the lower tapioca prices they said.
WEST GERMAN TAPIOCA USE SEEN DECLINING