HAMBURG/PARIS  - Algeria’s state grains agency OAIC has purchased about 600,000 tonnes of milling wheat for December shipment in a tender which closed on Tuesday, European traders said on Wednesday.

Initial trader assessments put the price at about $228 or $229 a tonne c&f. One French trader put the price at between $227 and $229.

The wheat can be sourced from optional origins but traders suspected the grain may well be sourced in France as ocean shipping costs make rival Argentina too expensive.

Algeria does not disclose the results of its tenders and purchase reports are based on trade assessments.

The wheat was sought for shipment in two periods, Dec. 1-15 and Dec. 16-31. If sourced from South America, shipment is between Nov. 1-15 and Nov. 16-30.

In its last reported tender on Sept. 18, the OAIC purchased about 600,000 tonnes of milling wheat at around $211 a tonne c&f. 

(Reporting by Michael Hogan in Hamburg and Guz Trompiz in Paris, editing by Jason Neely) ((michael.j.hogan@thomsonreuters.com; +49 172 671 36 54; Reuters Messaging: michael.hogan.thomsonreuters.com@reuters.net))