Iraq partners Swiss Bühler Group to build nation’s largest grain silo
The facility is being constructed by Switzerland’s Bühler Group, a global leader in grain processing and storage technology, in partnership with Egypt’s Samco Company.
IRAQ – Iraq has broken ground on its largest grain silo to date, a 60,000-tonne capacity facility in Kirkuk province, marking a significant milestone in the country’s agricultural infrastructure development.
The facility is being constructed by Switzerland’s Bühler Group, a global leader in grain processing and storage technology, in partnership with Egypt’s Samco Company. The Kirkuk silo is one of five identical facilities planned across Iraq, all contracted to Bühler under an agreement signed in late 2024.
Trade Minister Atheer Al-Ghurairy, who officiated the groundbreaking ceremony, stated that the new silos are part of a national strategy to address growing cereal production, particularly wheat, which has surged by 21% in 2024 to reach 6.3 million tonnes.
This growth has positioned Iraq above its domestic consumption threshold of 4.5–5 million tonnes for the second consecutive year, prompting a pivot toward strategic storage solutions.
Bühler’s involvement brings cutting-edge technology and engineering to Iraq’s grain infrastructure. Each silo will be outfitted with advanced grain management systems, including shell ladders for safe access, maximum level detectors for precision monitoring, ventilation grates for air circulation, modular catwalks for operational mobility, and manual discharge gates for controlled unloading.
These features aim to reduce post-harvest losses and increase operational efficiency. The Kirkuk facility is expected to serve as a model for the remaining four silos that will be distributed strategically across the country.
According to Bühler, this initiative underscores the company’s commitment to delivering customized, durable, and scalable storage solutions that cater to diverse climatic and logistical needs.
Although the cost of the project has not been publicly disclosed, its scope and technical sophistication reflect Iraq’s broader ambitions for agricultural self-sufficiency.
The kingdom has been making strides in local production, which has been reported to surpass local storage capacity.
In late 2024, the kingdom announced that it could lose up to US$458 million from 1.5 million metric tons of surplus wheat this season.
According to calculations by Reuters, the 1.5 million metric tons surplus, largely due to favourable rains and significant government subsidies, has been a boon for Iraqi farmers but could prove costly for the state.
The government, aiming to encourage wheat cultivation in Iraq’s often arid landscape, pays local farmers more than double the global market price for their wheat.
While this strategy has bolstered domestic production, it comes at a high financial cost. According to official figures, alongside interviews with over ten government officials, farmers, and analysts, the government is projected to lose US$458.37 million once it has compensated farmers and sold the surplus to private millers at a reduced price.
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