Algeria: French Grain Imports Banned

Algeria has dealt a major blow to French agriculture by banning French grain exports to the North African country due to heightened political tensions between the two nations. The Algerian government announced that it had “excluded French companies from grain import tenders” and “demanded that participating companies no longer offer grain of French origin.”

According to Algerian media, the radical decision came after diplomatic tensions between Algeria and Paris escalated following France’s criticized decision to back a plan to return the Western Sahara region to Moroccan sovereignty, with Algeria siding with the Polisario Front, which insists on the creation of an independent state in the territory.

Algeria is one of the world’s largest importers of grain, and France has been a major supplier to its former colony for many years. The exclusion of France from the tenders has significantly strengthened the position of Russia, the world’s largest grain exporter, which will now be able to dominate sales in the Algerian agricultural market. On Tuesday, October 8, Algeria’s grain agency (Office Algérien Interprofessionnel des Céréales, OAIC) held a tender in which the North African country bought more than 500 thousand tons of grain, mostly from Russia.

According to international traders, both in Algeria and in many other African countries, “French grain is no longer competitive due to poor harvests and much higher prices than grain offered by Russia, which is now Algeria’s main supplier.” Repeated and heavy rains have caused serious damage to French agriculture, where this year has seen the worst grain harvest in 40 years.