Wheat imports increase to seven-year high

China's wheat imports rose to a seven-year high in the year to September, but higher global prices due to bad weather in the United States and Australia are likely to cut purchases for the rest of the year.

China is the world's biggest wheat producer, but a poor harvest, and higher domestic prices due to stockpiling in the beginning of the year, boosted wheat imports in the first nine months of 2012 to 3.21 million metric tons, the highest since 2005, according to official data.

September imports, at 524,156 tons, were also almost triple the amount purchased in the same month a year ago, the data showed, as more Chinese mills bought high-quality foreign wheat to supply bakeries, their fastest-growing client.

"Mills have stepped up imports given tightening global supplies while the domestic harvest has also been damaged. High-quality Canadian wheat is favored by mills for blending," said an industry analyst.

China Daily-Agencies