Wheat trade eyes normality in Egypt after shakeup
By Gus Trompiz and Maha El Dahan
PARIS/CAIRO (Reuters) - Wheat exporters hope new import terms by Egypt will lend more predictability to the tender process in the world's largest wheat importer following a quality row that led Cairo to tighten oversight.
The Egyptian authorities say changes this year to quality criteria, cargo sizes and inspection procedures in international tenders will put all exporters on an equal footing, an idea welcomed by operators scarred by months of uncertainty over trading conditions.
Wheat imports by the most populous Arab country have been mired in controversy since the seizure in May of Russian wheat on quality grounds, the first in a string of wheat seizures.
Most were eventually released into Egypt.
The imports suport a bread subsidy programme that helps millions survive on low income and wards off political unrest.
The wheat quality issues prompted Egypt to tighten its rules, though Trade Minister Rachid Mohamed Rachid told Reuters the country was enforcing existing terms, not adding more.
Changes have included a requirement for 55,000-60,000 tonne cargoes only, rather than 30,000-tonne ships often seen from Russia, and for consignments to be loaded at one port only.
"We wanted to unify the amounts we were asking for all the origins so that they are all on equal footing," Nomani Nomani, vice chairman of state wheat buyer GASC, told Reuters. Continued...
