Egypt to import 360,000 tons of wheat to maintain strategic reserves

Ahram Online , Thursday 3 Aug 2023

Egypt's General Authority For Supply Commodities (GASC) has sealed a deal to import 360,000 tons of wheat, read a statement by the Ministry of Supply and Internal Trade on Thursday.

Egyptian wheat farmer. Ahram Gate.
Egyptian wheat farmer. Ahram Gate.


The batch will help keep Egypt's wheat reserves sufficient for six months, the ministry added.

The ministry didn't disclose the identity of the supplier nor the value of the shipment and date of delivery.

Minister of Supply Ali Moselhi stated in July that Egypt was in talks with the UAE to secure $500 million in funding to import wheat.

On Tuesday, the GASC announced that it has arranged an international tender for wheat. Offers are to be submitted on a free-on-board basis with shipment between 1 September and 25 October.

Payment will be made at sight by the International Islamic Trade Finance Corporation (ITFC), the GASC said. 

The GASC said it is particularly interested in sourcing wheat from the US, Canada, France, Bulgaria, Australia, Poland, Germany, and the UK. It is open to different varieties of milling wheat from these countries as well as from Romania, Russia, Ukraine, Serbia, Hungary, Paraguay, and Kazakhstan.

Egypt had previously entered into a $1.5 billion agreement with the ITFC in January to secure funding for the country's energy products and essential commodity imports.

In June, the GASC announced an international tender for wheat, which was scheduled for delivery between 21 and 31 July.

Egypt is expected to import 12 million tons of wheat during the fiscal year 2023/2024, according to a report by the Food and Agriculture Organization on 1 July.

With an annual consumption of up to 18 million tons of wheat, of which 12 million tons are imported based on 2022 figures, Egypt aims to mitigate disruptions in global food supply chains and the upward trend in commodity prices by encouraging farmers to increase their wheat supply to the government.

The government aims to purchase four million tons of local wheat during the current harvest season, which started in April and runs through the fall.

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