Egypt’s strategic wheat reserves sufficient for 4.3 months, says Supply Minister

EGYPT – Egyptian Minister of Supply, Ali Al-Moselhi has provided reassurances regarding Egypt’s robust strategic reserves, revealing that the country’s wheat reserves can sustain the country for a period spanning 4.3 months.

Al-Moselhi assurances follows the General Authority for Supply and Commodities’ (GASC) move to procure 480,000 tonnes from Russia via tender as part of its strategy to enhance the country’s stock of basic commodities.

According o GASC, Egypt’s state grains buyer, about 180,000 tonnes of the procured Russian wheat are for the February 1-14 shipment and 300,000 tonnes for the February 15-29 shipment.

Further emphasizing the nation’s commitment to bolstering its agricultural sector, the minister projected an ambitious plan to cultivate approximately 3 million acres of wheat during the ongoing season.

The government has also set its sights on procuring around 3.5 million tons of locally produced wheat in the forthcoming season, underlining its dedication to fortifying domestic agricultural production.

The projection comes despite a recent report from the Foreign Agricultural Service of the US Department of Agriculture (USDA) indicating that Egypt’s wheat ending stocks in marketing year 2023-24 are forecast to drop to their lowest level in 20 years as the country grapples with a smaller crop.

The USDA attributes the dip to increased demand and a shift in trade flows due to Russia’s conflict with Ukraine.

Concurrently, the USDA projected that Egypt’s consumption will see a rise in 2023-24 by 50,000 tonnes to 20.6 million, which would be the second-highest total on record. To meet this demand, imports are projected to increase by 7% to 12 million tonnes in 2023-24.

Beyond wheat, Minister Moselhi shed light on the nation’s preparedness in other essential commodities, revealing that Egypt’s strategic reserves of both sugar and vegetable oils are adequate to meet national requirements for a duration of 5.3 months.

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