Egypt expected to produce more wheat in 2024-25

 Egypt is expected to produce more wheat in 2024-25 as the government encourages an increased planted area and higher yields, according to a report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture.

Production is estimated at 9.2 million tonnes, up from 8.87 million tonnes a year earlier.

High government procurement prices also have encouraged farmers to plant more wheat, the FAS said.

Wheat imports are estimated at 12.5 million tonnes, up 11.4% from the previous estimate but the same as 2023-24.

“The influx of foreign currency has contributed to a release of shipments held at ports and facilitated imports of essential commodities (including wheat) for both the public and private sectors,” the FAS said. “Moreover, the drop in international wheat prices has also contributed to both the private and public sectors seeking to maximize purchases on reduced prices.”

Egypt is a key supplier of wheat flour to many African and Middle Eastern countries and has significantly expanded its wheat flour exports to the region as it continues to increase its milling capacity, the FAS said.

Top destinations for Egypt’s flour have been Sudan, Eritrea, Yemen, Somalia, Djibouti, Syria, the West Bank and Gaza.

From January to May, Egypt increased its wheat flour exports by 250% compared to the same period last year. The largest increase in exports were to Djibouti, Sudan, Somalia, and West Bank and Gaza.

A primary reason is the Houthi attacks on vessels in the Red Sea, the Israel-Hamas crisis, and the crisis in Sudan.