Egypt Cancels Wheat Tender after Prices Hit $400

The Minister of Supply and Internal Trade, Ali Al-Moselhi, said that the government canceled the wheat tender, after prices had risen to $400, due to the presence of a strategic reserve.

Al-Moselhi added during his speech at the cabinet on Wednesday that the Egyptian state was able to provide the basic needs of citizens, especially for the most needy groups during the pandemic, and continues to secure the citizens’ needs for food commodities during the Ukrainian and Russian crises.

Three Waves of Wheat Price Increase

The minister pointed out that there is more than one wave that worked to raise wheat prices. The first wave was when coronavirus hit the global markets, where the price of wheat ardeb, an Egyptian grain measurement unit, rose to $250 globally, and the second wave arrived as the world started ease the measure of the pandemic, due to recovery, which caused a boom in demand, moving the price of an ardeb to $350, and finally the third wave during the Russian and Ukrainian crisis, which pushed prices to more than $400.

He stressed that the world is witnessing an unprecedented wave of price hikes, but Egypt is still able to absorb this wave and confront it, noting that the government bears the cost of a loaf of bread after the increase in prices of wheat and flour by 100%.

Oil Prices and Rice

"The government also bears the price difference in oils by 75%, as a liter bottle of oil is sold at EGP 25, while it is sold in the foreign market at EGP 35 or more."

He stressed that there is almost self-sufficiency in sugar, amounting to 87%. As for rice, it was agreed with traders that the price of a kilo of rice should not exceed EGP 10 during the holy month of Ramadan, pointing out that rice prices rose as a result of the rise in the price of barley.

Ahlan Ramadan 

Regarding the “Ahlan Ramadan” exhibition, he explained that it will be launched in the governorates on March 15, through 200 outlet in each governorate, in addition to the presence of my association outlets and consumer complexes, which offer all food commodities with discounts of up to 25%.

Meat Prices in the Egyptian Market

Regarding meat prices, he explained that the prices of municipal meat increased, but the ministry did not take a decision to raise the prices of 3 types of meat that are offered in consumer complexes, namely Indian meat at EGP 55, Brazilian meat at EGP 85, and finally Sudanese slaughtered in Egypt at EGP 95.