The Japanese government is expected to issue a tender to purchase about 100,000 tonnes of hard wheat as an aid donation to Jordan in the first week of June, traders said on Monday. The tender was part of a $40 million development aid donation under which Japan in April purchased 100,000 tonnes of hard wheat for Jordan at $176.70 a tonne C&F. "We have received indications that the next tender will be issued in the first week of June, possibly on June 1," one trader said. "The Japanese traditionally buy the absolute cheapest supplies possible in their aid tenders so this would favour east European wheat, probably Russian."
Wheat bought in the April tender was also thought to be Russian.
Japan has made a series of grain and other aid donations to Jordan in recent years to help the country overcome economic problems caused by the Iraq conflict.
"The Japanese aid means Jordan will probably not issue an international commercial tender for wheat for at least two months," a trader said. "They also seem to have good barley stocks and no barley tender is expected either."