... instead of Russia and Ukraine, which formerly accounted for 80% of Egypt's wheat imports. They have a shortage, and have been importing from France, Romania, USA, and others. Prices have risen from $380 to $500 per ton.

Egypt is the largest or second largest importer (12 of its 21m tonnes per year consumption) of wheat. India is one of the largest producers, and while it hasn't been big in exporting it, it seems India is willing to do so, although it seems unlikely India would be willing to produce and export THAT much. Right now India produces 110m tonnes and consumes 105m.

They're meeting this week in Dubai. One thing they're doing (some Egyptian experts) is some tests to see what the quality of Indian wheat is, and how adequate it is for the Egyptian market. They found it is good enough, but commercial discussions which will come later will decide how much and at what price.

Wheat is a strategic commodity, and every country has its own standards for wheat. Because it is strategic, Egypt is really considering whether to add India to its list of strategic importers of the food.

Because Egypt is an important of wheat, so it can affect international prices of wheat. Not only a price taker but a price setter. That gives them the ability to have communications with several countries that export wheat, and to have some input on that trade of wheat on an international level. Exporters must respond differently when a big importer such as Egypt enters the market, compared with a smaller importer. (Big exporters also are price setters.)

#India #Egypt

Six days the ship (Ever Given) blocked traffic. The traffic was valued at $10b per day. When the Suez Canal Authority dislodged the vessel, it held it until terms could be arranged, given the costs to the port itself (SCA eventually claimed it was around $550m, including costs to dislodge, various expenses, and financial damages).

This will be billed to the ship's owners and insurers.

#Port #Canal #Egypt #EverGiven