Morocco extends wheat import subsidy to December 2025 as drought strains supply
Originally set to conclude on April 30, 2025, the program will now continue from May 1 through the end of the year.
MOROCCO – Morocco, grappling with severe drought and reduced wheat production, has extended its soft wheat import subsidy until December 31, 2025, to meet its annual demand of 10 million tonnes through international markets.
The National Interprofessional Office for Cereals and Legumes (ONICL) announced on March 24 that the Ministries of Economy and Finance, along with the Ministry of Agriculture, have jointly decided to extend the subsidy mechanism.
Originally set to conclude on April 30, 2025, the program will now continue from May 1 through the end of the year, with specific details to be announced subsequently.
This extension reflects concerns that the upcoming 2024/2025 wheat harvest, commencing in April, will be insufficient to meet domestic demand.
Persistent drought conditions have adversely affected Morocco’s agricultural output, with the 2023/2024 season witnessing a 42% decline in wheat production to 3.3 million tonnes.
In its triennial report “ Crop Prospects and Food Situation ,” published on March 10, the FAO estimates that overall cereal production in North Africa is expected to be below average in 2025 due to low rainfall at the start of the growing season, which delayed planting and compromised yield prospects, particularly in regions where crops are primarily rainfed.
“In Morocco, below-average cumulative rainfall in November and December 2024 hampered land preparation. This is the second consecutive year of early-season drought in the country, posing an additional challenge for farmers, whose planting opportunities are limited and input costs remain high,” FAO said.
In response to these challenges, Morocco has intensified its wheat imports. In 2024, the country imported approximately 6.3 million tonnes of wheat, a 6.8% increase from the previous year.
According to the industry report, despite the higher import volume, the import bill decreased by 7.9%, from MAD 19.35 billion (approximately US$ 1.93 billion) in 2023 to MAD 17.83 billion (approximately US$ 1.78 billion) in 2024, due to stable international wheat prices.
This has ensured market stability, with the country maintaining a strategic stockpile of at least three months’ worth of wheat. The government has also been diversifying its wheat import sources, increasingly turning to Black Sea countries such as Russia and Ukraine.
In the 2024-2025 marketing year, Russia emerged as a significant supplier, exporting over 700,000 tonnes of wheat to Morocco between July and November, while French shipments declined during the same period.
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