October 22, 2012
The Japanese Ministry of Agriculture, Forestry and Fisheries in September 2011 increased its quota for feed wheat from 446,000 tonnes (17.5 million bushels) to 1.21 million tonnes (47.2 million bushels) for fiscal year 2012.
The US Grains Council (USGC) Chart of the Week on October 18 shows Japan's feed wheat imports from October 2010 to August 2012 demonstrates that imports have grown since late 2011.
High global corn prices will cause reaction in the industry with people trying to mitigate high feed costs. This substitution is a great example of increasingly competitive situation facing US corn, USGC said. Once end-users and feed mixers become accustomed to a new ration, it can become a challenge to win back the market.