European traders claim that Algeria's state grain agency OAIC bought between 130,000 and 150,000 metric tonnes of milling wheat on Wednesday in a limited international tender which only sought shipment to two ports.

They reported that the average purchase price was between $248 and $250 per metric ton, including freight.

It was believed that the wheat would be of optional origin and likely sourced in the Black Sea Region, including Russia, Ukraine. Romania, and Bulgaria.

Traders said that the requirement to only unload wheat in the ports of Mostaganem or Tenes, in two port tenders by the OAIC, generally indicates a relatively low purchase.

Wheat was requested for export in a number of periods, including Europe, from the main regions: August 1-15; Aug. 16-30; Sept. 1-15; Sept. 16-30; Oct. 1-15 & Oct. 16-30.

If the product is sourced from South America, Australia or New Zealand, it will be delivered one month sooner.

Algeria is an important customer of wheat imported from the European Union and especially France.

The results reflect the assessments of traders, and it is still possible to estimate prices and volume later. Michael Hogan reports.