SIC 2046 Wet Corn Milling

SIC 2046

This industry comprises establishments primarily engaged in milling corn or sorghum grain (milo) by the wet process, and producing starch, syrup, oil, sugar, and by-products, such as gluten feed and meal. Also included in this industry are establishments primarily engaged in manufacturing starch from other vegetable sources, such as potatoes and wheat. Establishments primarily engaged in manufacturing table syrups from corn syrup and other ingredients and those manufacturing starch base dessert powders are classified in SIC 2099: Food Preparations, Not Elsewhere Classified.

NAICS CODE(S)

311221

Wet Corn Milling

The wet corn milling industry, also referred to as corn refining, processes roughly 20 percent of the U.S. corn crop. The corn wet milling process separates corn into its four basic components: starch, germ, fiber, and protein. Fiber and protein are made into animal feedstuffs; germ is refined further into corn oil; and starch can be further refined to create a wide variety of sweeteners, bioproducts, and ethanol.

Corn refining industry product shipments surpassed 56 billion pounds in the crop year running from September 1, 2004, to August 31, 2005. The value of corn purchased was $3.6 billion, and the value added by manufacture was $6.3 billion. There were 26 corn refining plants covering 12 states.

Use of the corn kernel differs by product. Corn starch is used in a variety of industries, including food products, paper, adhesives, textiles, and pharmaceuticals. Starch can also be converted to ethanol. Wet corn millers advocated using ethanol as part of an overall national energy policy. Industry reports in 2004 suggested ethanol margins were very strong, encouraging increased production and completion of new refining plants. Ethanol use of corn surpassed 2.1 billion bushels in 2006, an increase from 1.6 billion in 2005. As late as 2003, ethanol use of corn had totaled less than 1 billion bushels and had averaged a little over 450 million bushels annually during 1990s.

Corn sweeteners, also produced from starch, include corn syrup, dextrose, and high fructose corn syrup (HFCS). Corn sweeteners accounted for more than 55 percent of U.S. sweetener consumption in the early 2000s, according to the Corn Refiners Association. In 2006 an estimated 537 million bushels of corn were used to make HFCS, which since 1980 has been the sweetener of choice for the major U.S. soft drink...

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