Algeria bought 360,000 tons of Russian wheat at a tender and did not allow French grain to be traded

According to traders, the Algerian grain agency OAIS purchased from 360 to 390 thousand tons of soft wheat at the international tender. As with the tender in Saudi Arabia, it is believed that mostly Russian wheat was purchased at a price of $262.5/t and above, which is equivalent to $230/t FOB Novorossiysk.

In recent weeks, the prices of Russian wheat offers have been actively growing and have already exceeded $232-235/t with delivery in October - November. This is due to significant sales of Russian wheat at international tenders and to Egypt. At the same time, prices for French wheat are $20/ton higher than for Russian wheat, so importers are stepping up purchases in the Russian Federation.

According to Reuters, as a result of strained relations between Algeria and France, French companies were not invited to participate in the regular tender on October 8, which was conducted by the Algerian grain agency OAIS. And companies admitted to the tender were advised not to offer French wheat at auctions.

Algeria is one of the world's largest importers of wheat, and it was France that was the main supplier of wheat to the country for many years. But for several months there has been tension in the relations between the countries. On July 30, the Algerian government decided to recall its ambassador from France after it recognized the Moroccan plan to grant autonomy to Western Sahara as the only basis for resolving the conflict. Whereas Algeria has for many years supported the right of the peoples of the Sahara to self-determination and independence.