Algeria buys wheat in tender for shipment to 2 ports only

Algeria’s state grains agency OAIC has purchased milling wheat in an international tender on Wednesday which seeks shipment to two ports only, European traders said in initial assessments.

Initial estimates of the purchase were about 60,000 to 80,000 tonnes. More details are expected later.

As just two ports were designated for imports, Mostaganem and Tenes, only a relatively small volume was expected to be purchased, traders said.

Traders said they believed French wheat had been accepted as a possible source in the tender after Algeria turned away from French supplies recently following political tension between the two countries. But the purchase was expected to be sourced from the Black Sea region.

Initial price estimates were around $375 a tonne c&f but more detailed estimates are also expected later.

The wheat was sought for shipment in three periods from the main supply regions including Europe: Feb. 16-28, March 1-15 and March 16-31. If sourced from South America or Australia, shipment is one month earlier.

Algeria does not release results of its tenders and reports are based on trade estimates.

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Tags: tender, Algeria, wheat