Crop prices decline but still relatively high due to EGP depreciation

Mohamed Arafa El-Attar, member of the export committee of the Egyptian African Businessmen’s Association (EABA) and CEO of Haj Arafa Group, a specialised healthy snacks maker, said that prices of crops decreased in the last quarter of 2022.

Arafa elaborated that the high cost of energy and the devaluation of local currencies against US dollar led to a decline in prices of agricultural crops, however, price of final product continues to spike, which confirms that the stability of exchange rate and the decrease in cost of energy may lead to a decrease in prices of final product.

Arafa said: “Despite all difficult prospects for the global economy, it is possible that ending the conflict in Ukraine will spare Europe from recession. This is the bullish scenario for the improvement of the global economic situation only. However, the bottom line is that 2023 will be a year of weak growth and pressing high prices, and the lesson of the past few years is that things can always go wrong.”