Japan, the largest corn buyer, will probably boost U.S. imports after cutting its reliance on American grain to the lowest-ever level, as Chicago futures entered a bear market, industry officials said.
The worst U.S. drought in more than half a century will spur Japan, the world’s biggest corn importer, to buy a record amount from Brazil after record prices increased costs for feed makers and meat producers.
Japan, the world’s largest corn importer, is set to spend $20 million to help feed mills boost stockpiles and safeguard food security as the nation shifts purchases from the U.S. to Ukraine and Brazil.
Rice farmers near Japan’s crippled Fukushima nuclear plant will impose radiation safety limits that will only clear grains with levels so low as to be virtually undetectable after government-set standards were viewed as too lenient, curbing sales.
Japan, the world’s largest corn importer, doubled grain purchases from Europe in the past two months, heading for a record volume from the region this year, as local feed mills seek cheaper alternatives to U.S. supply.
Canada couldn’t offer wheat to Japan at today’s tender because it is seeking to resolve “some logistical issues” with the buyer, said Derek Sliworsky , general manager at the Canadian Wheat Board in Tokyo.