Food manufacturers and flour millers in the Philippines have expressed strong interest in Australian soft wheat for cookies and cakes, as demand increases across the region.
As part of an industry collaboration to revitalise the Australian soft wheat export market, AEGIC wheat experts Dr Siem Siah and Dr Ken Quail visited Manila in May to work with large flour and food companies eager to investigate using Australian soft wheat for Philippines-style sweet products.
The companies said they were interested in diversifying their soft wheat supply and potentially gaining freight advantages compared with the US, which generally dominates milling wheat exports to the Philippines.
The visit was part of AEGIC’s ongoing work to help establish a new soft wheat industry for Australian growers.
This research is supported by Grains Australia, and previous research was supported by the WA Department of Primary Industries and Regional Development (DPIRD).
AEGIC will now collaborate with these Philippines companies to trial upcoming soft wheat varieties and collect insights on their performance.
While in Manila, Dr Siah and Dr Quail also met with the Philippine Association of Flour Millers (PAFMIL).
PAFMIL is supportive of Australia’s efforts to increase milling wheat exports, including soft wheat.
According to PAFMIL, 20 per cent of milling wheat consumption in the Philippines is for cakes and cookies.
The research is an example of how AEGIC delivers value as a delivery partner for Grains Australia’s market insights and market education functions.
With the popularity of baked products flourishing across Asia, AEGIC research identified an opportunity to revitalise the Australian soft wheat export industry, which has been dormant for some years.
AEGIC analysis estimated that soft wheat demand in South-East Asia was increasing and could reach more than three million tonnes by 2030.
AEGIC began working in partnership with industry to develop this market opportunity. This included working with growers, breeders and other industry stakeholders to explore the potential to reinvigorate soft wheat plantings in Australia.
Responding to AEGIC’s market insights and general market signals, Australian breeding companies have increased their investment in soft wheat breeding.
AEGIC supports these breeding programs by working with companies in markets such as Indonesia and the Philippines to educate customers and help ensure new Australian soft wheat varieties meet market requirements.
Watch this space
Did you know GRDC is exploring opportunities to work with industry to invest in research and development that could help growers take advantage of the soft wheat market? This is a new investment area for GRDC and part of efforts to support growers’ access to a diversity of markets, as well as improve on-farm profits. This work also includes making sure growers have information about the best economic and agronomic crops, and crop rotations for their environment.
More information: Dr Siem Siah, siem.siah@aegic.org.au
AEGIC is an initiative of the Western Australian Government and Grains Australia. GRDC provides investment to Grains Australia, which in turn invests in AEGIC.