China switches to feed wheat in animal feed

China's shift from corn and soybeans to wheat comes at an unfortunate time for Brazil and the US , the leading suppliers of soybeans and corn to the world's largest buyer of both crops. Brazil produced a record soybean crop

this year , but shipments to CHINA are currently lagging behind last year's figures. Meanwhile, China has canceled more than 800,000 tons of US corn orders in recent weeks as buyers wait for cheaper options later this year. In addition, China, which is among the most productive countries in terms of its own wheat harvest, expects record results this year (this month harvesting

has already begun), but also continues to buy huge amounts of wheat from abroad, especially from Australia. Thus, in China, the total import of wheat in the amount of 6 million tons in the first four months of this year has already exceeded last year's figures by 61%. However, plans for a national wheat record have driven Chinese wheat prices down 15% over the past two months, making wheat grain a cheaper option than corn in many areas of the country.

According to feed producers, increasing the share of wheat will also lead to a decrease in the consumption of soybean meal. Wheat has a higher protein content than corn, which reduces the need for the protein-rich soy component in the feed."