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Algeria, one of the largest buyers of wheat in the world, had until then a preference for French wheat. But question of competitiveness or geopolitics, Algiers today prefers to buy on the side of the Black Sea.
Has wheat become a reflection of the complexity of France-Algeria relations? Commodity experts make little progress on the political terrain but, like Marc Zribi, head of the Grains and sugar unit of FranceAgriMer, they wonder, because the purchases of French wheat by Algeria have rarely been so low in recent years.
In a classic year (apart from 2020, an exceptional year), Algeria buys between 4 and 5 million tonnes of French wheat. Half of the blue, white and red cobs exported outside the European Union by France have traditionally gone to Algeria in recent years, an ideal local partner. But Russia, the world’s largest seller of wheat, has entered the arena and has been pushing for several years to gain market share on the other side of the Mediterranean. And for good reason, the country is in the top 5 wheat buyers.
► To listen also: Russia, new exporter of wheat to Algeria?
Algerian specifications now favorable to Russian wheat
Several months ago, the Algerian specifications, hitherto almost tailor-made for French wheat, were opened to allow Black Sea wheat suppliers to respond to tenders. At the end of 2021, Algiers went further and profoundly modified its texts. Results, ” the criteria have become unfavorable to French wheat and to the benefit of wheat of Russian origin explains Sébastien Poncelet, development director at Agritel.
« This does not mean that France will no longer be able to sell to Algeria, but it would have to be more competitive than wheat from the Black Sea and have the necessary volumes corresponding to the new quality of wheat sought by the Algerians “, explains our interlocutor. What is not earned.
Algeria’s next purchases scrutinized
Officially, there was never any question of a boycott, but it is felt as such in France by several market operators. ” The word sulk is not strong enough, even said one of them, because it implies that we will talk once more “. Some are also preparing that not a single gram of French wheat will be sold to Algeria by the end of the campaign, June 30.
A disaster scenario that would force France to align itself with its competitors to win new markets. Without any guarantee of reaching the quantities purchased so far by the Algerian neighbor.
The consequence of the loss, even temporary, of this Algerian outlet is already being felt, particularly on stocks which have been revised upwards.
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