DUBAI: Egypt will issue a streamlined guide on wheat imports within two weeks that will detail all specifications, procedures, and regulations for traders selling to the world's largest buyer, Supply Minister Ali Moselhy told Reuters on Wednesday.
Egypt is looking to calm nervous suppliers who have been adding risk premiums of up to $500,000 per cargo because of what they said are inconsistent import rules and erratic inspection procedures.
Two cargoes were halted in recent months for containing poppy seeds and dozens have been delayed for costly addit-
ional procedures.
Speaking at an event in Dubai, Moselhy said a committee that includes the agriculture ministry has been putting together the compiled guide, which will not include new regulations but will combine all relevant rules and specifications, publishing them in one place to avoid uncertainties.
“It is our duty to publish this, and send it to all suppliers. When you know what should be done, you will be immune to any abuse of power,” Moselhy said.
Wheat shipments to Egypt have been disrupted in recent months after inspectors were stripped of travel benefits related to inspecting cargoes abroad, part of an inspection system introduced this year after a nearly year-long row over import rules.
But traders said government inspectors at Egyptian ports, angered over the loss of the travel benefits, are now applying inconsistent rules in protest and driving up the cost of doing business.
“We cannot bury our head in the sand. What happened is an abuse of power at an inconvenient time. This led to a misunderstanding between suppliers and the government,” Moselhy said of recent trade disruptions.
Suppliers have responded with hefty risk premiums on cargoes. And with Egypt's state grain buyer expecting to import around 7 million tonnes of wheat in the fiscal year that began in July, that threatens to add millions of dollars to the government's food subsidy bill.
“How will they actually apply the rules? That's what will matter,” said one Cairo-based trader.
Moselhy said Egypt's state buyer aims to keep wheat imports stable at around 7 million tonnes in the 2018-2019 fiscal year and that current reserves suggest there is no need for additional stockpiling.
“We are not a wealthy nation that can increase its stocks more than that level, so a three-month stock is more than sufficient as long as you have that amount already in-country,” said Moselhy.
— REUTERS
Egypt pledges to tackle wheat crisis
Egypt pledges to tackle wheat crisis
Silver crosses $77 mark while gold, platinum stretch record highs
- Spot silver touched an all-time high of $77.40 earlier today, marking a 167% year-to-date surge driven by supply deficits
- Spot platinum rose 9.8% to $2,437.72 per ounce, while palladium surged 14 percent to $1,927.81, its highest level in over 3 years
Silver breached the $77 mark for the first time on Friday, while gold and platinum hit record highs, buoyed by expectations of US Federal Reserve rate cuts and geopolitical tensions that fueled safe-haven demand.
Spot silver jumped 7.5% to $77.30 per ounce, as of 1:53 p.m. ET (1853 GMT), after touching an all-time high of $77.40 earlier today, marking a 167% year-to-date surge driven by supply deficits, its designation as a US critical mineral, and strong investment inflows.
Spot gold was up 1.2% at $4,531.41 per ounce, after hitting a record $4,549.71 earlier. US gold futures for February delivery settled 1.1% higher at $4,552.70.
“Expectations for further Fed easing in 2026, a weak dollar and heightened geopolitical tensions are driving volatility in thin markets. While there is some risk of profit-taking before the year-end, the trend remains strong,” said Peter Grant, vice president and senior metals strategist at Zaner Metals.
Markets are anticipating two rate cuts in 2026, with the first likely around mid-year amid speculation that US President Donald Trump could name a dovish Fed chair, reinforcing expectations for a more accommodative monetary stance.
The US dollar index was on track for a weekly decline, enhancing the appeal of dollar-priced gold for overseas buyers.
On the geopolitical front, the US carried out airstrikes against Daesh militants in northwest Nigeria, Trump said on Thursday.
“$80 in silver is within reach by year-end. For gold, the next objective is $4,686.61, with $5,000 likely in the first half of next year,” Grant added.
Gold remains poised for its strongest annual gain since 1979, underpinned by Fed policy easing, central bank purchases, ETF inflows, and ongoing de-dollarization trends.
On the physical demand side, gold discounts in India widened to their highest in more than six months this week as a relentless price rally curbed retail buying, while discounts in China narrowed sharply from last week’s five-year highs.
Elsewhere, spot platinum rose 9.8% to $2,437.72 per ounce, having earlier hit a record high of $2,454.12 while palladium surged 14% to $1,927.81, its highest level in more than three years.
All precious metals logged weekly gains, with platinum recording its strongest weekly rise on record.
