Right after the Government of Egypt announced the provisions for the crop supply season (Starting 15thAugust’22 until mid-December), the Ministry of Supply and Internal Trade in Egypt continues to receive barley rice from farmers and requests from speculators who are wishing to participate in the operations of supplying rice and barley in the country. The speculators submit an official request to the Ministry of Supply, or to the Food Safety Authority.
Allocated Locations
More than 150 places were allocated to receive the rice procured from the local farmers as each farmer should be providing one tonne for each feddan (25% of the feddan productivity). The Minister of Supply said that farmers would receive the financial dues within 48 hours.
The Ministry of Supply continues to receive the crop(Barley Rice) from farmers, through 150 receiving points, with a target of receiving 1.5 million tons, for the account of the General Authority for Supply Commodities.
Procurement Price
The quantities received of barley rice have so far exceeded 35,000 tons, and the Ministry of Supply receives the rice crop from farmers at a price of 6,600 pounds per ton of fine-grain rice and 6,850 pounds per ton of broad-grain rice. The supply is carried out through specialized committees to ensure that the crop conforms to specifications.
Conditions To Defaults
However, farmers who would abstain from exporting rice to the Ministry would be penalized by not granting them permission to plant rice in the following year, in addition to subsidized fertilizers and agricultural pesticides not being disbursed for a period of one year for all types of crops. Furthermore, as per the decree, the price of undelivered barley rice would be LE10,000 per tonne. The Directorate of Supply does not intend to impose sanctions directly on farmers who refrain from supplying but rather sends warnings to them through agricultural associations and places of worship to raise their awareness of the importance of supplying the rice crop because of its impact on providing the needs of citizens on ration cards.
Dr. Ali Al-Moselhi, a Minister of Supply and Internal Trade issued resolution number 109 of 2022 to regulate the process of trading and dealing with local Barley Rice Suppliers.
The Minister of Supply and Internal Trade also issued Resolution No. 113 of 2022 regarding the organization of storage places for local barley rice for the 2022 season. The decision was based on an official request submitted to the Public Authority for Food Safety, which authorized the approval of barley rice storage sites in accordance with the rules established by the Authority, and it is prohibited to store barley rice in sites Unapproved, while in the event that it is seized, it is considered a commodity of unknown origin.
The cultivated area of barley rice this year is 1.5 million feddans, and the productivity of one feddan has reached 4 tons of barley rice, with the total productivity at 6 million tons of barley rice.
