Egypt canceled the tender for American wheat and opened a new one for all producing countries

Amid a significant decline in US wheat prices, Egypt's state operator GASC has announced a tender to buy food wheat from the US, Canada, South America and Australia for delivery from September to November, hoping for a low purchase price. To attract as much volume and cheap offers as possible, GASC even lowered the minimum protein requirement for American wheat from 11% to 10.5%.

However, this tender was canceled because it was only bid for US supplies, the cheapest of which was priced at $443/t C&F, well above the purchase price of the early July auction ($416-420/t C&F) and the auction from 29 June ($435/t C&F).

According to traders, by July 21, GASC will hold a new tender for the purchase of wheat with delivery from September 16 to November 15, but now it will allow all suppliers, in particular European countries and Russia, to participate in it.

We will remind that on July 4-5, the Egyptian GASC purchased 500,000 tons of French, German, Romanian, and Russian wheat of the old harvest with quick delivery at a price of $416-420/ton C&F, without announcing an international tender, but buying the grain directly from international trading companies.