South Korean millers will decide this week whether to lift a ban on U.S. white wheat imports after the latest tests by authorities found no evidence of genetically engineered wheat in cargoes from the United States.
South Korea and Japan, Asia's leading wheat importer, imposed a ban on U.S. white wheat imports in May after an unapproved genetically modified strain was found in an Oregon field.
Chicago wheat prices have taken a hit as Asian importers remain reluctant to buy U.S. white wheat even as the U.S. government has said the discovery of the rogue strand appeared to be an isolated incident.
South Korea tested 160 cases of wheat and flour covering all U.S. shipments and did not find any genetically modified wheat, the food ministry said in a statement on Tuesday. Initial tests had looked at wheat from the state of Oregon.
"We will discuss this week if we should lift the ban on U.S. white wheat imports," said a spokesman of the South Korea Flour Dealers Association.
The ministry said it will continue testing U.S. wheat shipments for strains of gene-altered grains.
Chicago Board of Trade wheat futures slid to a one-year low on Monday, pressured by rapidly advancing U.S. winter crop harvest and weak demand.
Japan is offering to buy wheat used for making cakes that is not the U.S. western white variety for the first time in at least 53 years.
