Bangladesh pays premium for US wheat to help reduce trade deficit

The Bangladesh government has approved the purchase of 270,000 tonnes of wheat, including 220,000 tonnes from the United States under a government-to-government (G2G) agreement. The U.S. wheat will be imported at US$322 per tonne, approximately US$24 per tonne higher than the price secured through an international open tender.

An additional 50,000 tonnes will be purchased through an international tender at US$297.92 per tonne. Singapore-based Agrocorp International will supply both shipments. According to the government, the higher-priced U.S. purchase is part of efforts to reduce Bangladesh’s trade deficit with the United States and help maintain trade preferences.

The imports are being made under a memorandum of understanding signed in 2025 between Bangladesh and U.S. Wheat Associates (USWA), which provides for annual purchases of up to 700,000 tonnes of U.S. wheat over five years. By mid-March 2026, Bangladesh had already imported 660,000 tonnes under the agreement.

Officials from Bangladesh’s Ministry of Food said the quality of U.S. wheat exceeded expectations. The protein content reached 13.5%, compared with the contractual minimum of 11.5%, while moisture levels and test weight also met high quality standards. If imports continue at the current pace, Bangladesh is expected to become one of the top ten markets for U.S. wheat during the five-year agreement.

In addition to the wheat purchases, the Bangladesh government also approved the import of 75,000 tonnes of muriate of potash (MOP) fertilizer from Russia and Canada to support agricultural production. Both contracts were concluded at US$380 per tonne, with supplies divided between the two countries.

Tags: prices, wheat, USA, Bangladesh