Japan unlikely to cut Australian wheat imports

The Japanese government is unlikely to reduce its Australian wheat imports, despite port congestion problems in Western Australia, a wheat trader with a multinational commodities brokerage in Tokyo said Tuesday (March 3).

"Wheat shipments from Australia have been a bit slow in the past couple of weeks but we don't expect any major delays in getting Australian wheat shipments," said the trader, declining to be named.

He added Japan was expected to buy 1.5 million tonnes wheat from Australia this year, which has been the average level for the past several years.

The trader also said since the Japanese government is a monopoly wheat buyer, the Japan-Australia wheat trade is a stable government-to-government arrangement.

Other Asian countries, such as South Korea and Indonesia, are mulling cutbacks on Australian wheat supplies since the severe port congestion in Australia is delaying wheat shipments.

Australia is the biggest wheat exporter in the Asia-Pacific region.