Technically Speaking: Increased non-GMO specialty grains use in North Asia is reason for optimism

By Alyson Segawa, SSGA Technical Adviser, North Asia

The North Asian countries of Japan, South Korea, Taiwan and China hold continued potential for the U.S. specialty grains market. While overall human consumption of some grains remains relatively small compared to feed use, data suggest that the North Asia region may present an opportunity for IP grains.

Prompted by the U.S.-China Phase One deal signed in January, China opened to U.S. exports of barley in May following the approval of a phytosanitary protocol by both countries. Japan is the largest importer of U.S. barley among North Asian countries, and the market for U.S. food grade barley has been growing rapidly in recent years.

Japan is also the largest annual importer of U.S. buckwheat and purchased 95% of total U.S. buckwheat exports to North Asia in 2019. Japan is the top market for U.S. rye in North Asia with South Korea and Taiwan purchasing rye in recent years as well. Taiwan and Japan together comprised 81% of U.S. oat exports to North Asia in 2019.

Millet has a long history in Asia, particularly in China, and U.S. millet exports to North Asia increased 286% from 2017 to 2019. Significant increase in purchases by China, combined with sales to South Korea and Japan, comprised 92% of North Asia’s millet imports from the U.S. in 2019.

Overall, food use of specialty grains in Asia may be on an upward trend. Further trade promotion efforts, with stabilized containerized shipments and inventories, may further expand market share of SSGA-covered specialty grains in North Asia over the long term.

Technically Speaking is an SSGA feature that includes news and information from SSGA’s technical advisers for North Asia, Southeast Asia and Europe.