March 28, 2007

Egypt's General Silos cancels tender for 25,000-60,000 tonnes wheat

Egypt's state-owned General Silos and Storage company cancelled a tender Tuesday (Mar 27) to buy between 25,000 and 60,000 tonnes of wheat, on a cost and freight basis, for shipment during April, traders said.

"There were five offers at the tender and they were all deemed too high," a Cairo-based trader told Dow Jones Newswires.

Glencore made an offer of 60,000 tonnes of US soft red wheat at US$216.50 a tonne and 30,000 tonnes of Russian or Kazakhstan wheat at US$223/tonne, the trader said.

Soufflet also made an offer for 60,000 tonnes of French or German wheat at US$239.50/tonne, Bunge's offer was for 63,000 tonnes of US soft red wheat or Canadian soft wheat at US$209.50/tonne, Logistique made an offfer for 25,000 tonnes of Russian wheat at US$216.95/tonne and Aston's offer was for 15,000 tonnes of Russian wheat at US$216/tonne.

"They were looking for prices ranging at US$210/tonne, and so these were all too expensive for them," a trader said.