Algeria buys around 480,000 tons milling wheat in tender, traders say
Adds Baltic states as possible origin in paragraph 4
HAMBURG/PARIS, Oct 31 (Reuters) -Algeria’s state grains agency OAIC bought at least 480,000 metric tons of milling wheat in an international tender on Thursday, European traders said in first assessments.
Initial purchases were reported at around $263 a ton cost and freight included, they said.
Initial trader estimates of the purchase volume were substantial with at least 480,000 tons said to have been bought. Some estimates were 500,000 tons.
A large portion of the purchase was expected to be sourced from the Black Sea region including Bulgaria and Romania, along with the Baltic states, they said.
Reports reflect assessments from traders and further estimates of prices and volumes are still possible later.
The wheat is sought for shipment this year in two periods from the main supply regions including Europe: Dec. 1-15 and Dec. 16-31. If sourced from South America or Australia, shipment is one month earlier.
In its last reported wheat tender on Oct. 8, Algeria purchased around 510,000 to 570,000 tons at around $262.50 a ton c&f. Traders said Algeria excluded French companies from the Oct. 8 tender and required that participating firms did not offer French-origin wheat, in apparent fallout from renewed diplomatic tensions between Algiers and Paris.
Traders said on Wednesday that French companies had been invited to participate in Thursday’s tender but that they could only offer non-French wheat. GRA/EU
Reporting by Michael Hogan in Hamburg and Sybille de La Hamaide in Paris, editing by Rod Nickel
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