Issue 36
April 2001

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Prairie Grains is the official publication of the Minnesota Association of Wheat Growers, North Dakota Grain Growers Association, South Dakota Wheat, Inc. and the Minnesota Barley Growers Assocation.

Copyright Prairie Grains Magazine
April  2001

Wheat Food News

Strengthening Domestic Demand for Wheat-Based Foods
While exports are key, since the U.S. produces twice as much wheat as it uses, the largest wheat market for American wheat producers is their own backyard (see graphic below). Indeed, every pound of flour or bushel of wheat sold domestically is one less that must be exported.

 U.S. Wheat Usage
Million Bushels  Source: USDA, September 2000

The Wheat Foods Council, with a membership that spans the domestic wheat industry including producers, millers, and bakers, works to increase domestic consumption of wheat.

At the recent Wheat Industry Conference, WFC president Judi Adams said that a key objective is countering fad high protein diets, which likely played a part in the four-pound drop in flour consumption in 1998. Put into perspective, four pounds per American (270 million) equals 1.08 billion pounds. The 1.08 billion pounds (white flour) translates into 25 million bushels of wheat. At $2.50 per bushel, the American wheat farmer earned $62.5 million less in 1998 over 1997. 

Thus, a key focus of the WFC’s educational efforts across the country is an aggressive program aimed at negating anti-carbohydrate fad diets.  This includes a “Harvest the Energy” grains retail seal to help consumers identify grain foods as healthy choices at the point-of-purchase. The seal generated successful consumer awareness in test markets and the goal is to launch the seal nationwide. The WFC continues to stress the healthfulness of grain foods and the importance of dietary guidelines that suggest 6 to 11 servings of grains daily.

Adams Testifies at USDA
USDA held a public forum earlier this year in Washington, D.C. to review and invite comments concerning its research program on popular weight-loss diets. The forum drew more than 250 people. Testimony submitted by WFC President Adams clarified that Americans are confused and often resort to extreme measures, such as eliminating whole food groups, when dieting. The WFC is concerned about the popular weight-loss trend of reducing grain food consumption, and the long-term health effects of low-carbohydrate dieting. Adams commended the USDA for allocating funds to study the effects of weight-loss diets, and encouraged officials to continue with the next phase of research.

Growing Hispanic Market Promising for Wheat
According to the U.S. Department of Commerce, the Hispanic population is the fastest growing segment in America, expected to rise from about 30 million people now to 96 million by 2050, which would be about one-fourth of the U.S. population. The growing hispanic population—strong consumers of grain products—will only benefit wheat producers, according to Arthur Klawans, managing director of the Specialty Food Distributors and Manufacturers Association.

Hispanic influence has already resulted in a sharp increase in tortilla consumption by Hispanics and other consumers as well. At the recent Wheat Industry Conference in New Orleans, Klawans offered tips about reaching Hispanic consumers:

•  They prefer to cook and eat at home.

•  They generally don’t clip coupons.

•  They’re conservative, and brand loyal.

•  Emphasize family and authenticity.

•  They like product messages that speak their language and respect their culture.