March 11, 2011

US makes largest Canada feed wheat purchase in decade

There is an influx of Canadian feed wheat into south-eastern US in the largest quantities for more than a decade.

Wilmington Bulk LLC, a consortium of North Carolina poultry and swine producers including Smithfield Foods, has bought between 100,000 and 200,000 tonnes of Western Canadian feed wheat, industry sources in Canada and the US said.

Strong demand from ethanol producers has driven corn supplies to a 15-year low, while Canada has more feed wheat than usual after excessive rain last year and untimely frost.