Egypt has developed a plan to reduce wheat imports

Published Oct 7, 2024

Tridge summary

Starting from April 2025, Egypt plans to reduce wheat imports by replacing some of it with corn or sorghum in subsidized bread, according to five industry sources. The Ministry of Supply's new strategy involves mixing corn flour with wheat at a ratio of 1:4, which is expected to save around one million tons of wheat and significant amounts of hard currency. However, the success of this strategy hinges on the use of local corn instead of imported varieties. Egypt, which needs about 8.25 million tons of wheat per year to make subsidized bread for over 70 million people, currently relies heavily on imports to meet this demand.

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Original content

Egypt plans to cut wheat imports by reducing the cost of subsidized bread by adding corn or sorghum to it, five industry sources told Reuters. According to the latest plan of the Ministry of Supply, starting from April 2025, corn flour will be mixed with wheat in a ratio of 1:4. This will save about one million tons of wheat, said two sources of the publication. The introduction of cornmeal as an ingredient could allow significant savings in hard currency. However, this is only possible if local corn is used and not imported. According to LSEG, Russian wheat, which Egypt relies heavily on, costs around $220/t. At the same time, the price of corn is about $200/ton. "At best, the government could save about $35-41/t," said Cairo-based trader Hesham Soliman. Egypt's Ministry ...

Source: Elevatorist