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HAMBURG - Saudi Arabia’s main state wheat buying agency the Saudi Grains Organization (SAGO), said on Thursday it has issued an international tender to purchase about 720,000 tonnes of animal feed barley.
The barley is sought from global suppliers for arrival in Saudi Arabia during May and June, SAGO said, confirming earlier trader statements.
“This is the second barley tender for SAGO in 2020,” SAGO Governor Ahmad Al Fares said in a statement.
The tender closes on Friday, March 20. Results are expected on Monday, March 23.
Offers are requested for shipments of 60,000 tonnes. SAGO reserves the right to buy 10% more or less than the tender volume.
SAGO said it is seeking offers for 480,000 tonnes for delivery to Red Sea ports and 240,000 tonnes to Gulf ports without giving further details.
Traders said offers for these shipment periods were sought, although the Red Sea total bought would probably be 480,000 tonnes:
Arrival date Red Sea ports Gulf ports May 1-15 120,000 tonnes, 2 ships 60,000 tonnes, 1 ship May 15-30 120,000 tonnes, 2 ships 60,000 tonnes, 1 ship June 1-15 120,000 tonnes, 2 ships 60,000 tonnes, 1 ship June 15-30 120,000 tonnes, 2 ships 60,000 tonnes, 1 ship
In its last reported barley tender on Jan. 27, SAGO bought 900,000 tonnes at an average price of $224.45 per tonne for arrival in Saudi Arabia in March and April.
(Reporting by Michael Hogan and Maha El Dahan, editing by Jason Neely) ((michael.j.hogan@thomsonreuters.com; +49 172 671 36 54; Reuters Messaging: michael.hogan.thomsonreuters.com@reuters.net))