Iran buys 60,000T Australian wheat
Sydney, May 3, 2012
Iran's state grains agency the Government Trading Corporation of Iran (GTC) has bought around 60,000 tonnes of Australian wheat, European traders said, continuing to add to stocks after a rush of purchases in recent months.
The wheat was for nearby shipment, said a trader.
Over the past week the GTC has been seeking offers of varied quantities for Australian standard white wheat for June shipment, traders said.
"They're buying one-off shipments now because their harvest is in full swing," said a European trader.
Iran is facing a poor wheat crop at a time of rising political tension over its disputed nuclear programme.
The deal follows purchases of around 2 million tonnes of milling wheat since February, as the GTC built up stocks after private buyers struggled with trade financing due to western nuclear sanctions.
Sales of food to Iran are not banned under sanctions but the sanctions make it difficult to obtain letters of credit or conduct international transfers of funds through banks.
Iran's state animal feed buying agency SLAL has also moved to step up buying, seeking 200,000 tonnes of barley earlier this week.
Last month, Iran's deputy industries, mines, and commerce minister said $22 billion has been allocated for importing basic goods including rice, cooking oil, sugar, wheat, barley, soybeans, and meat, Iran's Mehr News Agency reported. – Reuters