Saudi Arabia secures 300,000 tons of wheat in latest GFSA tender
With global production forecasts remaining strong across several key exporters, international wheat values have softened, creating favorable conditions for major buyers such as Saudi Arabia.
SAUDI ARABIA – Saudi Arabia’s General Food Security Authority (GFSA) has confirmed the purchase of 300,000 metric tons of hard wheat in its latest international tender, reinforcing the Kingdom’s grain supply pipeline for early 2026.
The agency, cited by Zawya, said the wheat, which carries a protein content of 12.5%, is scheduled to arrive between February and April 2026.
GFSA Governor Ahmad Al-Fares noted that the tender was open to multiple origins, including the European Union, the Black Sea region, North America, South America and Australia, with sellers given the option to choose the final origin supplied.
European traders indicated that the bulk of the supply is likely to be sourced from the Black Sea region, particularly Russia and Romania, due to current competitive pricing and strong export availability from those origins.
Some traders also pointed to the potential inclusion of new-crop wheat from Argentina, which has recently appeared on the market at lower prices.
Market participants observed that the tender results reflected notable price aggression.
“Prices awarded look aggressively low, around US$7 to US$8 a ton below replacement prices in the market, possibly showing anticipation prices could fall in the first quarter of the New Year because of large global wheat supplies,” a trader, cited by Zawya said.
With global production forecasts remaining strong across several key exporters, international wheat values have softened, creating favorable conditions for major buyers such as Saudi Arabia.
GFSA released pricing and shipment details for the awarded volumes, all purchased on a cost-and-freight (C&F) basis.
For Jeddah port, the authority confirmed the purchase of 60,000 tons from Cargill at US$258.21 C&F for arrival between March 1 and 15, alongside another 60,000 tons from Solaris at US$259.74 C&F for the same arrival window.
For Yanbu port, GFSA secured 60,000 tons from Cargill at US$257.96 C&F for arrival between March 1 and 15, 60,000 tons from Cofco at US$259.49 C&F also for March 1 to 15, and a further 60,000 tons from Cargill at US$258.88 C&F for arrival between April 1 and 15.
These values reflect the competitiveness seen across global export markets in recent weeks as major producers move to place significant early-2026 shipment volumes.
The latest tender follows a series of substantial wheat purchases by Saudi Arabia as the country continues to advance its food security strategy.
On October 6, the GFSA awarded an international tender for 455,000 tons of wheat. Shortly afterward, on October 13, the authority announced the purchase of around 500,000 tons of wheat from Saudi investors operating agricultural ventures abroad, a move that helped reduce its subsequent international procurement requirements.
Saudi Arabia remains one of the world’s major wheat importers, and its tendering program plays a crucial role in stabilizing domestic supply for the milling, cereals and baking sectors.
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