Hard Red Spring Wheat Contract Specifications
Contract Specification Basics
In the competitive U.S. wheat export market, contract terms are critically important in assuring quality. By observing three simple principles buyers can be assured of quality wheat at the most competitive price:
Don't ask for the impossible
While some demands may be technically possible, the cost may be prohibitive. Buyers must consider the cost of specification versus the economic value that quality will return. U.S. Wheat Associates and grain trade representatives are available to help analyze these options.
Changes should be known in advance
This helps reduce "price shock" offers, allows ample time to refine the contract terms and allows time for the export trade assess its risks fairly and offer the best price.
When possible, allow for flexibility.
That way a buyer will essentially receive the same quality but often at a significantly lower price by reducing risk to the exporter.
Examples of Specifications
Buyers can always require more restrictive limits than those stated in USDA grades. Here are some examples of contract specifications using options described in the contract specifications
Rigorous Specifications
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U.S. Grade No. 1 Dark Northern Spring
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Protein
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Minimum 15%
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No sublot below 14.9%
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Dockage - All dockage deductible from the contracted weight
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Maximum 0.5%
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No sublot to exceed 0.5%
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Moisture - Maximum 12%
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Maximum sprouted kernels 0.1%
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Falling number - minimum 350 sublot average
Relaxed Specifications
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U.S. Grade No. 2 or better
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Northern Spring or Dark Northern Spring​
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Protein
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Minimum 13.0% Average
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Dockage
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Content above 1.0% deducted from contact weight
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Moisture - Maximum 13.5%
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Maximum sprouted kernels 4%