Nigeria is now the top market for US wheat shipments and will import a record 3.9 million tonnes of wheat from all its suppliers in 2005/06, the US Agriculture Department said on Thursday.
The USDA previously estimated Nigeria would import about 3.4 million tonnes of wheat in the 2005/06 marketing year, which began in July.
By comparison, Nigeria imported 3.01 million tonnes in 2004/05, the USDA's Foreign Agricultural Service said in a monthly grain trade report.
The report noted that Nigeria has overtaken Japan as the biggest market for US wheat sales. More than 1.2 million tonnes of US wheat has been exported to Nigeria, with outstanding sales of about 900,000 tonnes, the USDA said.
"Total demand is booming due to favourable prices and greater milling capacity. Currently, wheat is far more price competitive than other grains and food products and it is charged a smaller duty than other grains," the report said. "Additionally, with local corn prices soaring, there is even some wheat being fed."
Nigeria always has bought a lot of hard red winter wheat, but it is also buying more soft and durum wheats, the USDA said.
Nigeria will also raise its imports of parboiled rice to about 1.1 million tonnes in 2005 to meet growing demand, the USDA said. In 2004, Nigeria imported about 600,000 tonnes of rice, the USDA said.
Imports of parboiled rice are rising "because expanding production and shrinking stocks are not able to meet rising consumption,"
This year, imports were higher in the first half of the year as traders anticipated a duty increase on rice in late March. The higher duty has also meant "substantial quantities" of undocumented imports, particularly from neighbouring Benin, which has a lower import duty, it said.
"Thailand and India have been the major suppliers although the United States has exported about 7,000 tonnes to Nigeria, formerly a leading export market for US parboiled rice," the USDA said.
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