Boom In China Wheat Market After Australian Deregulation

China, the world's largest grain producer, has shown an amplified interest in Australian wheat.

In the nine months to the end of June, Australian wheat exports to China were triple the sales made in the prior financial year (2008-09).

Commodity analyst Malcolm Bartholomaeus says deregulation of wheat exports has played a main role.

"Under the old arrangements, it would emerge that AWB used to deal with either just one government-backed industry or a very minute number of entities," he says.

"So now I think a larger number of mills can come straight into the Australian market and buy what they need in any smaller bulk parcels or in the container market." Bookmark and Share