Saudi Arabia's main state grain buying agency, the Saudi Grains Organisation (SAGO), said on Monday it has purchased 900,000 tonnes of animal feed barley in an international tender, well below the 1.5 million tonnes it had sought. "With market pricing increasing and our strategic reserves approaching SAGO's upper target levels, we will decide to increase inventory only when market pricing is favourable for taking such action," SAGO Governor Ahmad Al-Fares said.
"SAGO will purchase what is required, in line with consumption and continue to look for opportunities to add the strategic reserves". The origins offered were the European Union, Australia, United States and Black Sea, Al-Fares said. The sellers have the option to select the origin. The shipments are in 15 consignments, with 600,000 tonnes in 10 consignments arriving at Saudi Red Sea ports and 300,000 tonnes in five consignments arriving in Gulf ports.