Stable harvests entice buyers

Mexican company buys trainloads of wheat from Idaho

By SEAN ELLIS

Capital Press

A September visit to Idaho by representatives of Mexico's largest wheat buyer has already resulted in two trainloads of Idaho wheat being shipped south.

Gem State wheat growers hope the initial purchases by Grupo Altex is just the beginning of a relationship that will result in a lot more Idaho wheat being shipped to Mexico. Grupo Altex is the main purchaser of wheat for Grupo Bimbo, Mexico's largest food company and one of the largest bakers in the world.

"It's the start of something that we hope can become very large," said Blaine Jacobson, executive director of the Idaho Wheat Commission. "If they like the shipments that come in, then it could turn into a big deal."

Armando Rosales, director of purchasing and logistics for Grupo Altex, and Martha Beatriz, who manages one of the company's six mills, visited farms and grain elevators in eastern and southern Idaho Sept. 7-9.

They were so impressed with the quality of the wheat in those areas that they ordered a trainload of wheat while they were still here, said Dennis Brower, director of commodities and marketing for Idaho Farm Bureau Federation, which hosted the tour. They ordered another trainload the following week and have also purchased wheat for November and December delivery.

The pair looked at wheat in bins, in the field and at dealerships.

"Wherever they looked at it, they were very impressed with the quality," said Brower, who adds that Grupo Altex officials were very impressed to learn that Idaho farmers segregate their wheat by protein and quality.

"They just don't see that in the Midwest or other places in the U.S.," he said. "They were impressed that our farmers know exactly what is in every bin; what the protein is and what the quality is."

Jacobson said the stability of Idaho's crop was important to Rosales because drought conditions in Texas, Oklahoma and Kansas, the company's main suppliers, have caused crops in those states to be up and down in recent years.

"What impresses him about Idaho is the consistency of the crop and the stability of the production," Jacobson said. "Two-thirds of our crop is irrigated and he likes that stability."

The IWC and IFBF have been trying for years to build a relationship with Grupo Altex and Bimbo, which owns the Sara Lee brand in the United States. The seeds for the September visit were planted 15 years ago during an Idaho governor's trade mission to Mexico, and Farm Bureau and IWC officials first made contact with Bimbo officials five years ago during another governor's trade mission.

Last month's visit was a direct result of an IFBF trade visit to Mexico in May.

Beatriz has invited Farm Bureau officials to visit her mill next May and Rosales will return to Idaho next fall.

Jacobson said the relationship with Grupo Altex is reminiscent of a similar one with a domestic customer that started with a couple of trainloads a few years ago and is now pushing 4 million bushels a year.

"This could follow that same trajectory where it starts small but grows into something significant," he said.