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HAMBURG/PARIS, Sept 29 (Reuters) – Algeria’s state grains agency OAIC purchased about 500,000 tonnes to 550,000 tonnes of optional-origin milling wheat in an international tender on Tuesday, European traders said in assessments on Wednesday.
This was similar to estimates made on Tuesday evening after the tender closed.
Estimates of purchase price remained around $364 a tonne c&f, also the same as on Tuesday evening, traders said. [nL8N2QU5OL]
More detailed assessments of prices and volume are still possible later. Algeria does not release the results of its tenders and reports are based on trade estimates.
Trader talk was that France could supply a good volume of the purchase, with possibly some from Russia and Baltic Sea regions.
“I think France will be well placed to supply a sizeable part of the purchase after Algeria compromised on the test weight requirement, but there is talk some Black Sea supplies could be used too,” one trader said.
“I am not sure a lot will come from Germany this time.”
Rain hit France’s wheat harvest this summer, reducing test weights, a key milling quality criteria. But Algeria and other importers have eased test weight requirements, continuing sales opportunities for French wheat.
The wheat was sought for shipment in two periods from the main supply regions including Europe: Nov. 1-15 and Nov. 16-30. If sourced from South America or Australia, shipment is between Oct. 1-15 and Oct. 16-31.
In its last wheat tender in late August, the OAIC purchased 460,000 to 490,000 tonnes at $353 to $356.60 a tonne c&f.
(Reporting by Michael Hogan in Hamburg and Gus Trompiz in Paris, editing by)
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