Due to the intensification of political tensions between the two countries, Algeria recently announced a ban on French wheat exports to it. This move has dealt a severe blow to French agriculture. The Algerian government said it would exclude French companies from wheat import tenders and require enterprises participating in the tenders to no longer provide wheat originating from France.
According to Algerian media reports, this major decision was made against the backdrop of increasingly tense diplomatic relations between Algiers and Paris. The escalation of tensions stems from Frances support for the plan to place the Western Sahara region under Moroccan sovereignty, while Algeria supports the Polisario Front, which aims to establish an independent state in the region.
As one of the worlds largest wheat importers, Algeria has long regarded France as a major supplier, benefiting from the historical ties between the two countries. Excluding France from the tenders has significantly enhanced Russias position as the worlds largest grain exporter. Russia will have the opportunity to dominate Algerias agricultural product market.
In the tender held on Tuesday, October 8, the Algerian Grain Agency (Office Algérien Interprofessionnel des Céréales, OAIC) purchased more than 500,000 tons of wheat, most of which came from Russia.
International traders said that in Algeria and many other African countries, French wheat, due to poor harvests, is much more expensive than the wheat from Russia, the current main supplier to Algeria, and is no longer competitive. Continuous heavy rains have severely damaged French agriculture, making this years grain harvest the worst in nearly 40 years.
This series of events has not only impacted Frances agricultural exports but also reshaped the global wheat market landscape, with Russias influence in North Africa further strengthened.
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