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Manila Bulletin devider Business devider The Economy devider USDA: Philippine wheat imports to drop amid softening feed demand

USDA: Philippine wheat imports to drop amid softening feed demand

Published Jun 16, 2025 12:01 am  |  Updated Jun 14, 2025 02:55 pm
The Philippines is expected to import less wheat in the upcoming market year as demand for animal feed weakens, reversing an initial forecast of increased uptake, according to the United States Department of Agriculture (USDA).
In its “Grain: World Markets and Trade report, the USDA’s Foreign Agricultural Service (FAS) estimated that wheat imports will reach 7.2 million metric tons (MT) within the period starting July 2025 and ending in June 2026.
The current projection is three percent lower than last month’s estimate of 7.4 million MT, which was just revised upward from 7.2 million MT on expectations of stronger food and feed demand.
The Philippines is not conducive to wheat production and relies solely on imports to meet its wheat supply needs.
The country imports milling wheat for human consumption and feed wheat for animal feed.
The USDA-FAS in Manila earlier projected that demand for feed wheat will likely soften as local feed manufacturers maintain preference for feed corn due to its physical attributes and fattening qualities.
Feed wheat, which is used as a multi-purpose feed ingredient, serves as a substitute for feed corn when wheat prices are more favorable than those of feed corn, or in instances where there are supply gaps.
The foreign agency observed that imported feed wheat was priced higher than imported corn by $12.22 to $48.41 per MT during the second half of 2024.
With the rise in global corn production, prices of feed corn are expected to be more competitive compared to feed wheat in market year 2025-2026.
With just one month left in the current market year, USDA is projecting wheat imports to fall to 6.8 million MT from a projection of 7.2 million MT.
The anticipated volume is a decline from the 6.9 million MT of wheat the agency estimated to have been imported to the Philippines in the market year 2023-2024.
During market year 2023-2024, the top supplier of wheat to the Philippines was the United States (US), followed by Australia, Brazil, and Canada.
Next year, the USDA-FAS expects the US to remain as the top supplier of wheat to the country.
The Philippines was the US’ second top market for wheat exports in 2024, with a total volume of 2.7 million MT, amounting to $735.71 million.
Meanwhile, the USDA has retained its projection for the country’s rice imports next year to reach 5.5 million MT.
The agency cited the “growth in population, increased tourism, and continued importance as a staple” as the drivers for this record-high figure.
If the forecast is realized, the Philippines is set to solidify its ranking as the world’s largest importer of rice for the fourth consecutive year.

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United States Department of Agriculture (USDA) Philippine wheat imports
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