Iraq's state grains board has issued an international tender to buy at least 50,000 tonnes of hard milling wheat, European traders said on Thursday. The wheat can be sourced optionally from the United States, Canada or Australia. The tender closes on July 31 with offers remaining valid until August 6, they said.
Iraq's Agriculture Ministry said on Wednesday the country is likely to achieve its wheat harvest target this year, but it is still seen needing to import about 1 million tonnes. There has been uncertainty about Iraq's grain buying strategy after the Trade Ministry said in April it would negotiate more direct contracts for the import of rice and wheat after failures to secure supply via international tenders.
Traders said Iraq also told them in March it would delay payments for wheat and rice, making payments in instalments because of low oil prices and other financial restraints. This was said to have reduced participation in tenders by major grain trading houses. In its last reported wheat tender on July 10, Iraq's grains board purchased about 50,000 tonnes of hard wheat to be sourced from Australia. Volumes in Iraq's wheat tenders are nominal and the country frequently buys more than it tenders for.
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