Japan is halfway around the world from the U.S. but continues to be a critical customer of American-made wheat. The U.S. supplies 57% of Japan’s total annual wheat imports. That adds up to 10% of total U.S. wheat exports for hard red winter (HRW), soft white and hard red spring.
For HRW wheat, Japan is the fourth-largest buyer, on average. This past year, the country imported 3.3 million bushels of HRW, or 1⁄25th of the entire U.S. crop.
According to the Kansas Wheat Scoop newsletter, the Japanese market is quality conscious and values the reliability and choices provided by the U.S. wheat supply chain from farm to port. As a result, Japan issues large tenders for U.S. wheat on a consistent basis through its import state-trading enterprise.
The Ministry of Agriculture, Fisheries and Forestry purchases nearly all of Japan’s wheat imports and then sells to Japanese flour mills. Japanese millers are highly sophisticated and efficient with the ability to produce up to 500 different products daily. Japanese millers primarily use HRW for noodle production.
While most of the wheat Japan purchases comes from targeted geographies, the total volume of imports raises the demand and price for all HRW farmers, says Shawn Campbell, assistant director of the U.S. Wheat Associates West Coast office.
“Without the Japanese, farmers in states like Montana would be forced to sell HRW at a much discounted price in order to compete in the domestic market,” he adds.
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