As per the recent analysis, the U.S. wheat starch market is likely to witness a modest rise in import prices during the entire month of March 2025, following a steep fall in previous months. Industry experts are of the view that this surge is attributed to ongoing supply deficits, rebounding demand, and ongoing cost pressures in the international wheat supply chain.

Initially, after the precipitous decline in wheat starch prices in the fourth quarter of 2024 and the initial portion of 2025, March 2025 will likely witness a turning point with a moderate rise in import prices. The earlier price drop was primarily spurred by an import surge of lower-cost wheat starch, a temporary surplus of stocks, and decreasing freight prices. But as supply-side issues again cropped up, wheat starch prices can further reflect stabilization and gradual recovery.

The key reason behind this recovery of wheat starch import prices is the narrowing of feed wheat supply. Some of the regions that produce wheat, such as some regions of North America and Europe, have experienced problems with production on account of unfavorable weather. The American wheat market, in turn, has suffered due to sub-par yields, increasing input costs, and supply chain bottlenecks that tightened supply chains.

Also, global demand for wheat starch will continue to increase substantially, especially in the food industry and the drug sector. Wheat starch is a crucial ingredient for convenience foods and bakery products, and seeing a growing tendency of consumers to use convenience foods, their vendors presently realize they pay more for acquiring them. In addition, the use of wheat starch by the pharmaceutical industry as a tablet excipient has also kept demand constant even amidst rising prices.

U.S. import price trends have been influenced by the international wheat market. Uncertainty in trade, geopolitical tensions, and exchange rate fluctuations have imparted volatility on wheat prices worldwide. Australia, which is among the largest wheat exporters, has supplied the world but has faced logistical challenges in maintaining a smooth export flow to North America. Furthermore, greater competition from Asian markets for Australian wheat has restricted its supply to U.S. purchasers, perpetuating price pressures on wheat starch imports.

Logistical difficulties, such as high freight costs and port backlogs, have also had an impact on the price of importing wheat starch. Delays in shipping and higher transportation costs have contributed to the overall cost pressure for importers, and importing wheat starch from overseas has become more costly.

Although the latest price hike, analysts are warning that the prices of wheat starch could stay unpredictable over the next few months. Various market experts state that there might be a further recovery in global wheat production in 2025, supply chain inefficiencies and persistent rise in demand can help maintain increased prices. Local manufacturers and importers are watching closely to market trends and searching for substitute sources of starch to manage increased costs.

While firms and consumers maneuver during this time of pricing volatility, end-user players are recalibrating their procurement strategies in a bid to achieve a constant wheat starch supply. As a whole, whereas the small uptick in March 2025 import prices serves as an indication of market calibration, volatility with respect to worldwide wheat production and trade patterns leaves wheat starch price levels as something that industry participants will keep focused on in the future.