Egypt’s GASC draws offers from 12 trading firms in wheat tender

19.07.2016

Egypt’s state grain buyer, the General Authority for Supply Commodities (GASC), received offers on Saturday from 12 trading firms in its second wheat tender in less than a week and amid growing uncertainty over the country’s local stocks.

The lowest offer was $166.90 a tonne, free-on-board (FOB), for 60,000 tonnes of Romanian wheat.

The tender is seeking wheat for Aug. 21-30 shipment.

Egypt, the world’s largest wheat importer, has seen its enormous grain purchasing programme disrupted over the past six months after different government agencies issued conflicting quality rules about ergot, a common grain fungus.

A ministerial decree this week allowing the country’s quarantine authority to follow international norms on ergot appears to have ended the stand-off, with trading firms that had sat out previous tenders amid the confusion making bids this week for the first time in months.
For a graphic on Egypt’s wheat imports, click on

Saturday’s tender was held just four days after the GASC purchased 180,000 tonnes of Russian and Ukrainian wheat, a rapid return to the market that underscores recent questions over how much wheat is actually in the country’s domestic stocks.

Egypt’s general prosecutor said this week that some local wheat purchased by the government during this year’s harvest may exist only on paper, the result of local suppliers misstating their stocks to cash in on government subsidies.

Traders said the following offers were made in Saturday’s tender in dollars a tonne FOB:

*ADM: 60,000 tonnes of Romanian wheat at 168.81

*ADM: 60,000 tonnes of Russian at 172.95

*Venus: 55,000 tonnes of Ukrainian at 168.00

*Union: 60,000 tonnes of Russian at 173.50

*Union: 55,000 tonnes of Russian at 173.00

*Olam: 60,000 tonnes of Russian at 170.89

*Casillo: 60,000 tonnes of Romanian 169.90

*Noble: 60,000 tonnes of Russian 171.95

*LDC: 60,000 tonnes of Russian 167.94

*Cerealcom Dolj: 60,000 tonnes of Romanian at 166.90

*Midgulf: 60,000 tonnes of Russian at 172.75

*Daewoo: 60,000 tonnes of Russian at 171.95

*Aston: 60,000 tonnes of Russian at 168.44

*Ameropa: 60,000 tonnes of Romanian at 167.67

*Ameropa: 60,000 tonnes of Romanian at 168.77

Traders also said they estimated the lowest cost and freight prices (C&F) as follows:

*Ameropa: 60,000 tonnes of Romanian wheat at $167.67 FOB and $6.66 a tonne freight equating to $174.33 a tonne C&F

*Cerealcom Dolj: 60,000 tonnes of Romanian wheat at $166.90 FOB and $8.26 a tonne freight equating to $175.16 a tonne C&F

*Ameropa: 60,000 tonnes of Romanian wheat at $168.77 FOB and $6.66 a tonne freight equating to $175.43 a tonne C&F

*Aston: 60,000 tonnes of Russian wheat at $168.44 FOB and $8.25 a tonne freight equating to $176.69 a tonne C&F

*LDC: 60,000 tonnes of Russian wheat at $167.94 FOB and $9.70 a tonne freight equating to $177.64 a tonne C&F


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