With increasing uncertainty regarding the available supplies due to Russia's plans to impose an export tax, European wheat futures began to rise on the Euronext exchange, reaching their highest level in seven and a half years.
Prices were further supported after Algeria announced a new tender to import wheat this week, noting that Algeria is the largest buyer of wheat from the European Union. Futures on the Euronext exchange rose by €4.75, equivalent to 1.8%, closing at €235.75 per ton. Russia announced that it would impose a wheat export tax of €50 per ton from the beginning of March until the end of June, which raised the tax initially by €25, set to take effect from February 15, as part of its latest efforts to calm domestic food prices.
