Expert explains why China increased imports of US wheat

China is becoming the world’s largest importer of wheat, taking the leadership in this component from Egypt. This was stated by Dan Bass, the President and owner of the Chicago-based analytical company AgResource, during the BLACK SEA GRAIN. EUROPE-2024, Latifundist.com reported.

“The sales of the U.S. wheat to China are growing slightly now. The reason why China hasn’t been buying wheat elsewhere is because it didn’t have the protocols in place to import from, say, a country like Russia. There is ragweed in Russian wheat. But China still maintains these requirements for ragweed,” he said.

The increase in imports from the US had other reasons as well. In particular, it was due to the decline in wheat production in Australia and the lack of large stocks in Argentina.

“Therefore, the Chinese had nowhere to turn but the United States, where they imported winter soft red wheat. That is why the U.S. wheat exports are increasing at least at the level of one country,” Bass added.

According to the expert, this trend is unlikely to continue.

“I don’t think it will last. I can assume that China will continue to choose Argentina as a wheat supplier. Maybe other countries as well. In general, the demand from China will be declining in the coming years,” Mr. Bass said.

Tags: China, Egypt, wheat, USA