HAMBURG/PARIS: Algeria’s state grains agency OAIC has purchased optional-origin milling wheat in an international tender, European traders said in initial assessments on Wednesday.

Initial estimates of the purchase price were around $485 a tonne c&f, traders said. More detailed assessments of prices are expected later.

The volume bought was initially estimated at about 500,000 tonnes, with more details also expected later.

Swings in Paris Euronext wheat futures had made negotiations in the tender difficult, traders said.

The deadline for submission of price offers in the tender was Tuesday when Euronext fell after recently touching record highs, and negotiations were postponed to Wednesday, when Euronext rose sharply again.

The wheat was sought for shipment in two periods from the main supply regions including Europe: May 1-15 and May 16-31. If sourced from South America or Australia, shipment is one month earlier.

Algeria does not release results of its tenders and reports are based on trade estimates.

In its last soft wheat tender reported on Feb. 17, Algeria purchased about 700,000 tonnes largely at around $345.50 to $346.50 a tonne c&f.

Since then, global wheat prices have surged to 14-year highs following Russia’s invasion of Ukraine, which Moscow terms a “special operation.”

Traders said on March 3 Algeria would allow French wheat imports in March because of disruption to Black Sea shipments, overturning a recent exclusion that had hit the EU’s biggest wheat exporter.

Traders said French wheat had been accepted in this week’s tender.