Combined, those three countries are forecast to buy 26.4% of global corn imports this year, according to the U.S. Department of Agriculture, so any substitution for wheat could have a large impact on global grain trade flows.
“It is more attractive to use wheat, we have seen demand for Australian wheat coming from feed makers although our crop quality is pretty good and there is not much lower quality wheat which can be termed as feed wheat,” said Ole Houe, a director at brokerage IKON Commodities in Sydney.
“But even milling wheat (from the Black Sea region) is cheaper than corn, so the switch is happening.”
