Egypt Independent

Egypt’s GASC buys 240,000 tonnes of Russian wheat after amending terms



Egypt's General Authority for Supply Commodities (GASC) bought 240,000 tonnes of Russian wheat on Thursday in a tender, its first successful purchase since abolishing a "zero ergot fungus" rule that had halted its previous three tenders.
 
GASC bought 180,000 tonnes of Russian wheat at an average price of $187.11 per tonne cost and freight, and another 60,000 tonnes at $186.80 per tonne cost and freight, traders said.
 
Earlier, suppliers had held off on making offers, saying they needed more guarantees that the import authorities would tolerate negligible levels of the common grain fungus in their cargoes.
 
"There was an amendment made so that final inspection of the wheat would be at the load port, and that is much better than what it was before," one Cairo-based trader said.
 
The offers were made by Louis Dreyfus, Olam, Union and Aston, they said.
 
Earlier, traders said the following offers were made in dollars per tonne free-on-board:
 
*Louis Dreyfus: 60,000 tonnes of Russian wheat at $189
 
*Union: Three cargoes, each of 60,000 tonnes of Russian wheat at $178.78
 
*Olam: 60,000 tonnes of Russian wheat at $187.79
 
*Aston: 60,000 tonnes of Russian wheat at $179.00
 
Traders also said earlier in the day that they estimated the lowest cost and freight prices (C&F) in dollars per tonne as follows:
 
*Aston: 60,000 tonnes of Russian wheat at $179.00 FOB and $7.80 freight, equating to $186.80 C&F
 
*Union: Three cargoes, each of 60,000 tonnes of Russian wheat at $178.78 FOB and $8.43 freight, equating to $187.21 C&F
 
*Olam: 60,000 tonnes of Russian wheat at $187.79 FOB and $8.98 freight, equating to $196.77 C&F
 
*Louis Dreyfus: 60,000 tonnes of Russian wheat at $189 FOB and $8.98 freight, equating to $197.98 C&F.