European traders reported on Wednesday that Algeria's state grain agency OAIC purchased approximately 600,000 metric tonnes of milling wheat at an international auction on Tuesday.

Some estimates put the number at 700,000-720,000 tons.

This compares to the traders' estimates of mainly between 500,000 and 690,000 tonnes on Tuesday evening.

The same traders reported the exact same price for all purchases on Wednesday, between $259 and $261 per metric ton including freight (c&f).

Although the origin of the wheat was optional, traders expected to receive large quantities from the Black Sea Region although some shipments could come from the Baltic States.

Algeria doesn't reveal the results of their tenders. Reports are based on the assessments of traders, and it is still possible to estimate prices and volume later.

Wheat was requested for shipment from two main regions, including Europe: November 1-15, and November 16-30. The shipment date is one month sooner if the wheat comes from South America or Australia.

The OAIC purchased about 1,000,000 tons of wheat at a cost between $253 and $257 c&f per ton in its previous tender, reported on 15 July. (Reporting from Michael Hogan, Hamburg; Gus Trompiz, Paris; editing by Ed Osmond.)

(source: Reuters)