China Trade Team Travels to U.S. as Wheat Needs Soar
Date Posted: August 2, 2013
Arlington, VA—With wheat sales two months into the marketing year totaling almost nine times the five-year average, it is clear that China is turning to the United States this year to supply its increasing needs for wheat.
To help Chinese millers take advantage of competitive pricing and high quality U.S. wheat supplies, U.S. Wheat Associates (USW) is bringing a team of milling executives and purchasing managers to the United States.
From Aug. 3 to 13, six team members will travel to Oregon, Idaho, Montana and North Dakota to tour grain facilities, meet with wheat researchers and talk directly with farmers on their farms.
Discussions will help these managers build knowledge about the U.S. wheat marketing system and about the benefits of U.S. wheat for specific Chinese end-products.
The trade team is sponsored in part by the North Dakota Wheat Commission with additional collaboration from the Oregon Wheat Commission, Montana Wheat & Barley Committee and Idaho Wheat Commission.
“These team members are in charge of final purchasing decisions for their mills and are looking for information on crop quality and grain standards,” said USW Regional Vice President Matt Weimar, based in Hong Kong, who will accompany the team.
“China is looking to the United States to help bolster wheat supplies, and this team will learn how to use the U.S. grain marketing system to further increase the value of purchases of the high quality wheat needed to meet their consumers’ demands.”
In addition to an increasing preference for Western-style wheat foods and high protein wheat, China needs to replace stocks released from their national grain reserve and the domestic winter wheat crop likely had significant quality problems after persistent rains at harvest time.
At the same time, U.S. wheat prices have become increasingly competitive.
As a result, China has imported 131.6 million bushels of U.S. wheat to date for the 2013/14 marketing year, compared to last year’s total wheat sales of 12.6 million bushels and the five-year average of 14.3 million bushels.
For more information, call 703-650-0245.