UPDATE 1-Algeria tenders to buy nominal 50,000 T soft milling wheat

(Adds shipment periods, detail)

HAMBURG, Oct 29 (Reuters) – Algeria’s state grains agency OAIC has issued an international tender to buy soft milling wheat to be sourced from optional origins, European traders said on Tuesday.

The tender sought a nominal 50,000 metric tons but Algeria often buys considerably more in its tenders than the nominal volume sought.

The deadline for submission of price offers in the tender is Thursday, Oct. 31, with offers having to remain valid until Friday, Nov. 1.

The wheat is sought for shipment in 2024 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.

Algeria is a vital customer for wheat from the European Union, especially France, but Russian and other Black Sea region exporters have been expanding strongly in the Algerian market.

Algeria excluded French trading companies from its previous wheat import tender in October and required that participating firms did not offer French-origin wheat, in an apparent fallout from renewed diplomatic tensions between Algiers and Paris, trading sources said.

Traders said the tender could also provide a clearer view of the impact of Russia’s unofficial minimum wheat export price, imposed to cool Russian flour and bread prices. (Reporting by Michael Hogan, editing by David Evans)

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