Ethiopia Govt issues international tender to buy 400,000 tonnes of wheat

ETHIOPIA – The Ethiopian government has issued another international tender to buy about 400,000 tonnes of milling wheat, according to European traders.

This was made after an earlier tender had been cancelled because the supplier failed to provide the US$10 million performance guarantee in early February.

The delivery of the contracted wheat, which will likely be sourced from the Black Sea region, could start by April/May.

According to local press reports, the bids for the re-tender are due on March 13.

The wheat is intended for the government’s bread subsidy program, though which the portion could be used to replenish some of the country’s strategic grain reserve.

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Like most Govt of Ethiopia wheat purchases in the past, the contracted wheat will likely be sourced from the Black Sea region since it is generally the least expensive on the international market.

The tender deadline is March 13 and shipment is two months after contract award.

A separate tender from Ethiopia for 400,000 tonnes of wheat in December was initially awarded to a regional trading house but no final purchase was made because of contractual disagreements, traders said.

The Govt of Ethiopia had previously also been making moves towards the wheat imports markets as last year; it floated an international bid towards a tender supplier of wheat to curb the country’s wheat shortage.

“The wheat will be delivered to drought victims for the next three months,” said Debebe Zewde, public relations director of the Commission.

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This tender was opened on October 17, 2017, at the premise of the Service located at King George VI Street.

“The supplier must supply the wheat in no more than a month as it will be used to respond to the drought victims urgently,” said Gojjam Tadele, a senior communication expert of the Service, during that period

Ethiopia is currently struggling with the impact of drought which has devastated farms in some regions with millions of people in need of food aid.

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