Bangladesh to import 700,000 MT of U.S. wheat under new five-year MOU
The MOU allows the Government of Bangladesh to purchase 700,000 metric tons of U.S. wheat annually for the next five years
BANGLADESH – The Government of Bangladesh has formalized a strategic commitment to import 700,000 metric tons (MT) equivalent to 25.7 million bushels, of U.S. wheat each year for the next five years under a newly signed Memorandum of Understanding (MOU) with U.S. Wheat Associates (USW).
The agreement, signed on July 20 in Dhaka, strengthens bilateral trade ties, reinforces Bangladesh’s food security strategy, and offers long-term market certainty for U.S. wheat farmers.
The MOU was signed by Joe Sowers, USW Regional Vice President for South and Southeast Asia, and Md Abul Hasanath Humayun Kabir, Director General of Bangladesh’s Directorate General of Food.
The signing was witnessed by U.S. Ambassador to Bangladesh Tracey Ann Jacobson, along with senior officials from the U.S. Department of Agriculture (USDA) and the Bangladesh Ministry of Food.
“Through this MOU signing, the Bangladesh government reiterates its commitment to deepening and renewing its longstanding friendship with the United States,” said Mike Spier, USW President and CEO.
The delegation emphasized the need to strengthen and expand trade relations with the Trump Administration, with a particular focus on reducing the existing trade imbalance between the United States and Bangladesh.
The agreement also provides an opportunity to demonstrate on a large scale how U.S. farmers can reliably meet the country’s need for high-quality milling wheat.
The five-year supply arrangement reflects Bangladesh’s aim to stabilize and diversify its wheat import sources. It also provides U.S. wheat producers with a consistent, sizeable demand in one of South Asia’s fastest-growing milling markets.
In recent years, Bangladesh has been an opportunistic buyer of U.S. wheat, often driven by international market dynamics and pricing. Historical imports have fluctuated from zero to a peak of 450,000 MT (16.5 million bushels) during the 2019/20 marketing year. The most recent notable purchase came in 2023/24, when the country imported around 150,000 MT (5.5 million bushels) of U.S. hard red spring (HRS) wheat.
“This agreement marks a strategic step toward strengthening Bangladesh’s food supply chain while promoting mutually beneficial trade,” noted Sowers, adding that the inclusion of U.S. wheat in Bangladesh’s procurement quota reflects a concerted effort to address the trade imbalance between our countries.
The MOU is effective immediately and is expected to be reviewed annually by both parties to ensure alignment with trade and food security objectives.
Sign up to HERE receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.
