Bloomberg News: Wheat Falls as Japan Suspends U.S. Imports on Biotech Crop Find

Tony C. Dreibus and Rudy Ruitenberg of Bloomberg News report:

Wheat in Chicago fell, headed for the biggest monthly loss since February, after Japan suspended imports from the U.S., where the government discovered an unapproved, genetically modified strain growing in an Oregon field.

Japan, the biggest buyer of U.S. wheat behind Mexico, suspended imports of western-white wheat and feed wheat from the U.S., said Hiromi Iwahama, the director for grain trade and operation at the agriculture ministry. Scientists said the rogue wheat in Oregon was a strain tested from 1998 to 2005 by Monsanto Co. (MON), the world’s top seedmaker. Japan also canceled a purchase of 24,926 metric tons of white wheat.

The finding may hurt U.S. export prospects at a time when the U.S. Department of Agriculture is expecting record global production, boosted by a 48 percent increase in Russian output and a 40 percent gain from Ukraine. Exports from the U.S. probably will fall 9.8 percent to 25.2 million tons in the year that starts on June 1, according to the USDA.

Read the entire article here.