Recent data from Reuters reveals that Egypt has procured only 466,266 tonnes of wheat from local farmers since mid-April—a 37% drop compared to the same period last year. This decline comes despite the government’s efforts to incentivize production by raising purchase prices by 10%.
Egypt typically buys 3.5 million tonnes of domestic wheat per season but now aims to procure 4-5 million tonnes this year. However, reduced cultivation areas and shifting farmer priorities pose challenges. According to the USDA, Egypt’s wheat production is projected at 9.5 million tonnes for 2024/25, but local procurement struggles may force higher imports.
Global Market Dependence and Black Sea Dynamics
Egypt relies heavily on imports, primarily from Russia and Ukraine, to meet its annual demand of 20 million tonnes. The Black Sea Grain Initiative’s collapse in 2023 disrupted supplies, pushing Egypt to diversify sources, including French and Romanian wheat.
The AgriSupp platform by UkrAgroConsult provides critical insights into Black Sea and Danube grain markets, helping stakeholders track price trends, export volumes, and logistical challenges. With daily operational data and historical analysis, AgriSupp aids agronomists, traders, and policymakers in making informed decisions.
Balancing Local Production and Imports
Egypt’s reduced domestic wheat purchases highlight structural issues in local agriculture, including land use shifts and water scarcity. While higher government prices may boost procurement, long-term solutions require improved yields, sustainable farming practices, and stable import strategies.
For farmers and agribusinesses, staying updated on market intelligence—such as through AgriSupp’s analytics—is crucial in navigating these evolving dynamics.
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